The following is a selection of the most important news affecting the oil market.
Oil Fluctuates After Biggest Weekly Gain in Almost Four Months
Oil fluctuated in New York after capping the biggest weekly advance in almost four months amid signs of economic growth in the U.S., the world’s largest crude- consuming nation.
Hedge Fund Oil Bets Jump as Fiscal Cliff Averted: Energy Markets
Hedge funds raised bullish bets on West Texas Intermediate oil to the highest level in 11 weeks before U.S. lawmakers passed a bill to undo automatic tax increases and spending cuts that threatened the U.S. economy.
Shell Leads S. Africa on Record Oil Rush as Coal Falters: Energy
South Africa, the African continent’s economic engine, is on the cusp of an oil rush never before seen in the country as burgeoning energy demand exposes the vulnerability of its dependence on coal.
Exxon Hedges Oil Sands With Offshore Project: Corporate Canada
Exxon Mobil Corp.’s plans to develop a $14 billion underwater oil field off Newfoundland’s coast allows the world’s biggest energy company to hedge against discounted crude from Canada’s oil sands.
Asian Gasoil Crack at Highest Level in a Week: Oil Products
Asia gasoil’s premium to Dubai was at the highest level in more than a week. Fuel oil’s discount to the Middle Eastern crude widened.
Libya Crackdown Makes Benghazi Ghost Town as Police Fight Gunmen
As night fell in Libya’s eastern city of Benghazi, masked men pulled a senior officer from his car at a traffic light.
Qatar’s Tasweeq Offers a Year’s Supply of Condensates From April
Qatar International Petroleum Marketing Co., or Tasweeq, offered to sell a year’s supply of deodorized field condensate and low-sulfur condensate starting from April, according to a notice sent to potential buyers.
Energy Boosts Office Market as Pittsburgh Rents at Decade High
Leasing demand from natural-gas and other energy companies is helping to bolster the U.S. office market and drive growth in cities such as Pittsburgh, where rents are at their highest in more than a decade.
REFINERIES Map global refinery outages
BP to Resume Operations at Texas City Fluid Catalytic Converter
BP Plc plans to resume normal operations at a fluid catalytic converter at its Texas City, Texas, oil refinery beginning at 6 p.m. local time today.
California Diesel Advances as BP Carson Refinery Plans Flaring
Spot diesel in California strengthened against futures after BP Plc reported planned flaring at the Carson refinery, California’s second-largest.
Gulf Crude Premiums Weaken as Brent-WTI Differential Narrows
Light Louisiana Sweet and Heavy Louisiana Sweet oils from the U.S. Gulf of Mexico lost value on the spot market as the margin between Brent crude and West Texas Intermediate narrowed.
Pemex Minatitlan Refinery Controls Small Fire, Output Unaffected
Petroleos Mexicanos said a small fire that broke out at its Minatitlan refinery in Mexico’s Veracruz state has been extinguished, according to a statement posted on its website.
California Spot Gasoline Declines on Short-Term Valero Repairs
Spot gasoline in Los Angeles weakened against futures for a fourth day on speculation that Valero Energy Corp. will start two production units at the Wilmington refinery in Southern California after short-term repairs.
CVR Said to Shut Alkylation Unit at Wynnewood, Oklahoma, Plant
CVR Energy Inc.’s Wynnewood refinery in Oklahoma has shut an alkylation unit for unplanned work, according to a person familiar with the situation.
Valero Said to Plan Meraux Refinery Shutdown for Late February
Valero Energy Corp. is planning to shut units at the Meraux refinery in Louisiana for planned work that will start in late February, according to a person with knowledge of the situation.
Asia Naphtha Crack Rebounds; Vitol Sells Gasoline: Oil Products
Asia’s naphtha crack spread rose for the first time in four days, signaling increased profit for refiners. Vitol Group sold gasoline and fuel oil in Singapore, the region’s biggest oil- trading center.
Bharat Petroleum Restarts Kochi Refinery Crude Unit After Work
Bharat Petroleum Corp., India’s second-biggest state refiner, restarted a crude distillation unit at its Kochi plant late last month after completing planned maintenance work, according to two company officials.
Gulf Coast Gasoline Advances on Process Upsets, Alon Big Spring
Gasoline gained on the U.S. Gulf Coast after a process upset at Phillips 66’s Borger refinery and as a unit of Alon USA Energy Inc.’s Big Spring plant is shut for repair.
OTHER OIL MARKET NEWS
Oil Product Shipping Costs to Japan Fall 2.0 %
The cost of shipping a gallon of gasoline, jet fuel or other so-called clean petroleum products from the Middle East to Japan fell 2.0 percent to 9.69 U.S. cents yesterday, according to data compiled by Bloomberg. The cost is based on a cargo of 55,000 metric tons.
Crude Official Selling Prices and Formulas by Country (Table)
The following table shows official prices, formulas and relative values for crudes from the Middle East, Africa and the Americas. Figures represent outright prices in dollars a barrel, or premiums and discounts to regional benchmarks where plus and minus symbols appear.
TOP ENERGY STORIES
Solars Top Steepest Jump in 3 Months on Economy: China Overnight
Chinese stocks climbed a fifth week in New York, rallying the most since September, as manufacturing data added to signs the economy is recovering and as the U.S. budget deal boosted China’s second-largest trading partner.
China Starts $481 Million Nuclear Power Project, Xinhua Says
China started construction of a 3 billion yuan ($481 million) nuclear power reactor last month, the Xinhua News Agency reported today, citing the Chinese energy company in charge of the project.
Malaysia Palm Oil Reserves Seen Near Record as Exports Drop (1)
Palm oil stockpiles in Malaysia, the world’s biggest producer after Indonesia, probably held near a record last month as exports declined amid low demand, according to a Bloomberg survey. Futures dropped.
Uranium Rebound Seen as Japan Considers Nuclear: Energy Markets
Uranium is poised to rebound from a second annual decline as Japan considers restarting its atomic plants almost two years after the Fukushima disaster and China pushes ahead with the world’s biggest nuclear building program.
Gas at $8 May Lure Reliance to Start New Fields: Corporate India
Reliance Industries Ltd., sitting on untapped natural gas reserves off India’s east coast, will be able to generate profit from new fields if the government agrees to double prices, a person familiar with the matter said.
Bulls Add to Wagers for First Time Since November: Commodities
Speculators increased their bullish commodity wagers for the first time since November as signs of accelerating growth in China and the U.S. drove prices higher for a fourth consecutive week.
Coffee Deal Wave Sparks Krispy Kreme-to-Jamba Appetite: Real M&A
Following the biggest surge in takeovers of restaurant and coffee companies since the last recession, Krispy Kreme Doughnuts Inc. and Jamba Inc. could be next on the menu.
Texas Lawmakers Enter Budget Debate Flush With Energy Boom Cash
Legislators in Texas, the biggest energy producer among U.S. states, will begin deliberating its next two-year budget with a surplus that may near the $8.8 billion record set in 2007.
Maersk Wants Hong Kong to Ban Dirty Ship Fuel to Fight Pollution
Maersk Line, the world’s biggest container-shipping company, threatened to stop using cleaner fuel at Hong Kong port from next year if the government doesn’t mandate higher quality oil for carriers berthing in the city.
Asian Stocks Fall Most in Two Weeks on Value; Yen, Gold Advance
Asian stocks fell as investors speculated a rally that drove valuations to their highest level since June 2010 was excessive relative to earnings prospects. The yen strengthened from a 2 1/2 year low and gold rebounded.
Yen Rallies From 2 1/2-Year Low on Sign Currency Is Oversold
The yen rallied from a 2 1/2 year low against the dollar after a technical gauge showed it was the most oversold in more than a decade.
Westpac Tops Wells Fargo as Most Accurate Forecaster: Currencies
Westpac Banking Corp. edged out Wells Fargo & Co. as the most-accurate foreign-exchange forecaster by predicting recession in Europe and a continuation of the sovereign-debt crisis that weighed on the euro.
Asian Stocks Drop Following Seven-Week Rally; Nomura Retreats
Asian stocks fell, with the regional benchmark retreating after posting its longest streak of weekly gains since March last year.
Odey Raising Chicken Coop Bets on Banks as Hedge Fund Yields 24%
Crispin Odey is fumbling around a storage room in a Georgian town house in London’s Mayfair district, home to Odey Asset Management LLP, his $7 billion hedge-fund firm.
Gold Rebounds as Prices at Cheapest in Four Months Spur Demand
Gold gained, rebounding from the worst run of weekly losses since 2004, as a drop to the cheapest in more than four months lured buyers amid record low interest rates in the U.S. Silver, platinum and palladium advanced.
LBMA’s Best Gold Forecaster Hochreiter Says Bull Market Is Over
Gold’s 12-year bull market is over as U.S. economic growth means investors will switch focus to precious metals that benefit from expansion, the top forecaster in the London Bullion Market Association’s 2012 poll said.
Hagel Poses Tougher Fight Than Kerry as Obama Shapes World Team
President Barack Obama’s expected nomination of Chuck Hagel as defense secretary poses a tougher confirmation fight for the former Republican senator within his own party than that faced by Obama’s choice for secretary of state, Democratic Senator John Kerry.
McConnell Takes Taxes Off the Table in Debt Limit Negotiations
Senate Minority Leader Mitch McConnell said further tax changes are off the table as lawmakers and the president gear up for a fight next month over raising the U.S. government’s debt limit.
Warne Gets One-Game Ban, Fine for Altercation in Twenty20 Match
Shane Warne was banned for one game and fined A$4,500 ($4,700) by Cricket Australia after being found guilty of three out of four code of behavior breaches for his Twenty20 match altercation with West Indian Marlon Samuels.
PGA Tour’s Season-Opening Event Canceled for Third Straight Day
The U.S. PGA Tour’s season-opening Tournament of Champions in Hawaii was canceled by windy conditions for the third straight day, forcing organizers to plan for a Tuesday finish in Maui.
Juventus Loses in Serie A; Barcelona Wins 4-0 to Extend Lead
Juventus’ lead in Serie A was cut to five points after the defending champion slipped to a 2-1 home defeat against Sampdoria. Barcelona beat Espanyol 4-0 to move 11 points clear atop Spanish soccer’s La Liga.
Last Chg %Chg Exch Contract
---- ---- ---- ---- -------- WTI Crude ($/Bbl) 92.82 -0.27 -0.3 Nymex Feb. Brent Crude ($/Bbl) 111.23 -0.08 -0.1 Ice February Gasoil ($/Ton) 934.25 +3.50 +0.4 Ice Feb. Gasoline (c/Gal) 276.07 -0.36 -0.1 Nymex Feb. Natural gas ($/MMBtu) 3.31 +0.03 +0.8 Nymex Feb. Dated Brent ($/Bbl) 111.14 -0.22 -0.2 OTC 21 Days Heating Oil 301.92 +0.15 +0.0 Nymex Feb.
----- ----- Dollar Index 80.59 +0.1 Gold ($/Oz) 1,648.90 -1.5 MSCI World Index 1,369.29 -0.1
Prices as of 6 a.m. GMT
To contact the editor responsible for this story: Alexander Kwiatkowski in Singapore at email@example.com