LONDON, Nov 6 (Reuters) – BG Group’s Andy Samuel will
head Britain’s Oil & Gas Authority (OGA), a new regulator
charged with fostering cooperation between government and
industry to get the remaining barrels out of the North Sea.
The OGA, expected to be up and running by April 2015, is
being established following recommendations in Sir Ian Wood’s
strategic industry review published earlier this year.
LONDON (Reuters) – Banks and trading houses will join forces to provide hedging services in commodities in the same way that they have provided joint trade finance in the last two years, Mercuria’s chief executive Marco Dunand said.
Last month Swiss trading house Mercuria completed the purchase of U.S. bank JPMorgan’s physical commodities unit. It now wants to expand its provision of hedging services to external customers.
LONDON (Reuters) – Hermes Investment Management on Friday joined an exodus of financial institutions from commodities, saying it planned to close its business in the sector due to difficulties in making returns and a shift in investor attitudes.
Many fund managers have struggled to make profits in commodities in recent years as prices have slid and volatility has been low, leading to fund closures including Hall Commodities earlier this month, Clive Capital, BlueGold and Higgs Capital Management.
LONDON (Reuters) – In a telling sign that commodities may struggle for several years to attract investment flows, a clutch of professionals who make their living from the asset class slammed its prospects at a recent conference.
One speaker dismissed one by one the attractions of holding commodities in an investor portfolio.
LONDON, Oct 10 (Reuters) – A lack of buyers willing and able
to take on ageing oil rigs in Britain’s North Sea has stalled
deal flow this year, creating a headache for North American
firms who are under pressure from shareholders to sell.
Marathon, Conoco and Talisman have
all put North Sea assets on the block, but the bigger packages
are slow to change hands due to wrangling over decommissioning
costs, financing problems for smaller buyers, and the fact that
some rigs have very little time left on the clock.
LONDON, Oct 3 (Reuters) – Brent crude oil futures edged up
on Friday to around $93.50 a barrel after a three-day slide
pushed prices to their lowest since 2012, but the overall tone
remained bearish as abundant supplies and a strong dollar
continued to weigh on the market.
Brent for November delivery was up 14 cents at
$93.56 a barrel by 0838 GMT. But the contract is down more than
$3 for the week, having hit $91.55 on Thursday, its lowest since
LONDON, Sept 25 (Reuters) – European refiners, in a
desperate battle for survival, are investing in costly upgrades
or trying to close plants that bleed the most money, but
industry experts say their efforts fall short of what is needed
to make the industry profitable.
Some 1.8 million barrels per day (bpd) of capacity has shut
since 2008, with the loss of Coryton in Britain, Harburg in
Germany and Berre l’Etang in France, to name a few, but the
industry is still struggling to make decent returns.
BRUSSELS (Reuters) – European refiners will enjoy only a brief period of improved margins before high product imports and weak demand will undermine profitability, industry experts say.
In particular an abundance of light shale oil and gas in the United States will create surplus gasoline, propane and naphtha barrels, prompting U.S. refiners to seek new markets overseas, forcing out European products.
LONDON, Sept 17 (Reuters) – Brent crude oil fell below $99
per barrel on Wednesday after a bigger-than-expected build in
weekly U.S. crude stocks, and a strong dollar continued to
create headwinds for commodities.
U.S. crude stocks rose more than twice as much as expected
week-on-week, the Energy Information Administration said, as
refineries cut output and imports jumped.
LONDON, Sept 12 (Reuters) – Brent crude oil fell below $98 a
barrel on Friday as concerns over weak demand and plentiful
supplies prompted investors and traders to dump the contract,
while a strong dollar created further headwinds.
Brent futures have sold off hard this week, dipping to
two-year lows. On Friday, short-covering provided some support
early in the session but by the time U.S. traders arrived at
their desks the market had resumed its slide.