Energy News to 01 July 2022. OPEC daily basket price stood at $115.61/bl, 30 June 2022
International Rig Count is up 7 rigs from last month to 824 with land rigs down 3 to 621, offshore rigs up 10 to 203.
1st Helicopter Flight Powered Solely by Sustainable Aviation Fuel
An Airbus H225 has performed the first ever helicopter flight with 100% sustainable aviation fuel (SAF) powering both Safran’s Makila 2 engines.
This flight, which follows the flight of an H225 with one SAF-powered Makila 2 engine in November 2021, is part of the flight campaign aimed at understanding the impact of SAF use on the helicopter’s systems. Tests are expected to continue on other types of helicopters with different fuel and engine architectures with a view to certify the use of 100% SAF by 2030.
“This flight with SAF powering the twin engines of the H225 is an important milestone for the helicopter industry. It marks a new stage in our journey to certify the use of 100% SAF in our helicopters, a fact that would mean a reduction of up to 90% in CO2 emissions alone,” said Stefan Thome, Executive Vice President, Engineering and Chief Technical Officer, Airbus Helicopters. Read More
Eve and Kenya Airways’ Fahari Aviation sign agreement to scale UAM with an order of up to 40 eVTOLs
The agreement involves joint studies to develop and scale the Urban Air Mobility (UAM) market in Kenya and a business model for cargo drone operations Read More–>
Safran has launched its Explore H2 program to spot and support startups and forge cooperation for its hydrogen-related R&T and innovation projects. The first group of selected startups will focus on four areas: hydrogen flow control in propulsion systems, hydrogen state and temperature control, real-time systems monitoring, and aviation fuel cells.
Hydrogen offers an attractive solution for decarbonizing air transportation but presents certain technical challenges. Through its Explore H2 program, developed with French and German partners, Safran aims to work together with startups to mature technologies and turn hydrogen into a viable and technologically feasible solution that will help decarbonize aviation.
Startups will be selected through various challenges run by German startup accelerator TechFounders by UnternehmerTUM and by the European Commission’s European Innovation Council1. Successful contenders will receive support from the Starburst accelerator program, along with training from Safran University, plus assistance in the technical maturation phase from France’s Alternative Energies and Atomic Energy Commission (CEA) and CETIM in its own laboratories. This program could lead to the signing of cooperation agreements with the Group within a year. Read More
Newly launched French airline Flying Green has signed a Memorandum of Understanding (MoU) with Safran Aircraft Engines for the use of its SFCO2 fuel optimization service.
As part of the agreement, the two companies will conduct collaborative research into the use of SFCO2 for the Orly-based airline’s new fleet of Airbus A320 neo and A321neo aircraft, aimed at assessing savings in CO2 emissions and operating costs. The MoU also covers the rollout of SFCO2 at Flying Green’s new academy for training its pilots in fuel saving techniques.
In addition, Flying Green and Safran Aircraft Engines have signed a framework agreement to equip the airline’s eight aircraft—due for entry into service between 2023 and 2027—with new-generation CFM International LEAP-1A[1] engines. Read More
Rolls-Royce Motor Cars has announced that Emma Begley has been appointed Director of Global Communications. She will join the company on 1 July.
Emma joins Rolls-Royce from BMW UK where she has been General Manager, Product and Internal Communications since 2019. In this role she has been responsible for external communications for the BMW Group and its products, as well as co-ordinating and delivering internal communications within the National Sales Company. Emma first joined the BMW Group in 2014, working at the company’s headquarters in Munich where she was spokesperson for the member of the BMW AG Management Board responsible for Customer, Brands and Sales. Read More
Crude oil responds to signs of slowing US demand
Crude oil remains rangebound on a continued battle between macroeconomic focused traders, selling “paper” oil through futures as a hedge against recession, and the physical market where price supportive tightness remains. In addition, however, the market has seen some early signs of demand destruction among US motorists after data on gasoline demand showed a surprise and counter seasonal drop last week.
Crude oil remains rangebound but on track for its first, albeit small, monthly loss since last November. During the past month persistent supply concerns have increasingly been countered by a prolonged lockdown in China and not least emerging concerns that aggressive rate hikes by central banks around the world will eventually hurt growth and demand for key commodities such as fuel products.
Emerging demand concerns have already been the culprit behind the steep declines seen recently across industrial metals, most recently copper which trades down 13% on the month. The energy sector meanwhile has so far managed to avoid getting caught up in this correction phase due to an extraordinary tight supply outlook. Fortress crude oil however did come under some pressure yesterday amid signs of slowing US gasoline demand. Read More
On June 24, 2022, the Executive Board of the International Monetary Fund (IMF) concluded the Article IV consultation [1] with The Kingdom of Bahrain, and considered and endorsed the staff appraisal without a meeting on a lapse-of-time basis [2] .
Bahrain implemented a strong vaccination campaign that covered all residents, was one of the fastest globally, and allowed the broad reopening of the economy in summer 2021. The support package provided relief to the private and banking sectors, helping to contain job losses and corporate strains.
A gradual post-COVID recovery is underway, while the renewed fiscal reform momentum, with the recent doubling of the VAT rate to 10 percent, and high oil prices are mitigating Bahrain’s fiscal and external vulnerabilities. The Bahraini economy grew by 2.2 percent in 2021, driven by 2.8 percent growth in non-hydrocarbon GDP. The recovery was supported by a strong performance in non-hydrocarbon manufacturing as well as by the retail trade and hospitality sectors. With the economic recovery and higher oil prices, the state budget deficit narrowed to 6.8 percent of GDP in 2021, while the overall fiscal deficit narrowed to 11.1 percent of GDP and debt declined slightly to 129 percent of GDP. The current account improved markedly and posted a surplus of 6.7 percent of GDP in 2021 and international reserves increased to about 2.4 months of prospective nonoil imports. Banks’ soundness indicators remain resilient, but the financial sector support package might have masked some vulnerabilities.
Economic activity is projected to continue a moderate rebound and the fiscal and external positions will improve considerably in the near-term. Over the medium-term, growth is set to stabilize at 3 percent. However, declining oil prices will put pressure on the medium-term fiscal deficit and public debt is projected at 127 percent of GDP by 2027. Significant uncertainty clouds the forecast, including from the uncertain evolution of the pandemic, and the war in Ukraine, as well as the global inflation outlook. More
Monthly Energy Review (MER). Preliminary estimates for March 2022 indicate the following:
U.S. renewable energy consumption totaled 1.2 quadrillion British thermal units, which accounted for 14% of U.S. total primary energy consumption.
Biomass accounted for 35% of U.S. renewable energy consumption, wind energy for 32%, hydroelectric power for 19%, solar energy for 13%, and geothermal energy for 1%.
Renewable energy accounted for 26% of U.S. primary energy consumption in the electric power sector, 10% of U.S. primary energy consumption in both the industrial sector and residential sector, and 6% of U.S. primary energy consumption in both the transportation sector and the commercial sector. Read More
INPEX CORPORATION (INPEX), IHI Corporation (IHI) and Mitsui O.S.K. Lines, Ltd. (MOL) announced they have executed the demonstration of a clean ammonia supply chain linking the United Arab Emirates (UAE) and Japan. The clean ammonia used for the demonstration was supplied by Abu Dhabi National Oil
Company (ADNOC). It was produced by Fertiglobe, a joint venture between ADNOC and OCI.N.V. that is a key supplier of ammonia, using natural gas produced in Abu Dhabi. Most of the CO2 emitted from the production of the ammonia was sequestered and injected into Abu Dhabi onshore oil fields in which INPEX has a participating interest, making it clean ammonia.
INPEX oversaw the entire process of the demonstration in close partnership with ADNOC. MOL transported the clean ammonia to Japan in an ISO tank container1 with the support of Nippon Concept Corporation, in which the company holds shares. IHI utilized the clean ammonia to conduct a combustion experiment using an ammonia combustion turbine which is under development. SHOWA DENKO K.K. also provided support and cooperation in the transportation of the clean ammonia. Furthermore, His Excellency Shihab Al Faheem,
Ambassador of UAE to Japan was in attendance for the delivery of the clean ammonia to IHI. Read More
OMV Update on OMV Schwechat Refinery
During the legally required water pressure test as part of the final stages of the turnaround of the OMV Schwechat Refinery, damage occurred to the outer shell of one of the columns of the crude oil distillation unit on June 3, 2022. In order to identify the causes of the damage, a large interdisciplinary team is working with the support of experts from the OMV Group and independent experts. As the damage occurred in the lower section of the distillation column, the damage site is difficult to access – OMV’s priority is the safety of the team. The findings so far indicate that it should be possible for the refinery to restart fully operational and fully utilized in the second half of Q3/2022. The creation of a robust alternative supply system provides products and mitigate the impact on customers.
The task force set up immediately after the incident is working with undiminished intensity to minimize and rectify the damage. The essential tasks are being carried out by several working groups under the leadership of the task force: Ensuring the occupational safety of OMV’s own employees and those of partner companies, timely repairs, maximum availability and optimal utilization of the facilities still running, as well as supplying products to customers. Read More
| Oil and Gas Blends | Units | Oil Price $ | change |
| Crude Oil (WTI) | USD/bbl | $107.40 | Down |
| Crude Oil (Brent) | USD/bbl | $110.90 | Down |
| Bonny Light | USD/bbl | $118.10/td> | Down |
| Saharan Blend | USD/bbl | $117.77 | Down |
| Natural Gas | USD/MMBtu | $5.70 | Down |
| OPEC basket 30/06/22 | USD/bbl | $115.61 | Down |
Lundin Energy AB announced it is changing its name to Orrön Energy AB (“Orrön Energy” or the “Company”) and is now a pure play renewables business.
From today, Orrön Energy will be a pure play renewables business, with a strong portfolio of high quality and low-cost assets in the Nordics and becomes the new renewables growth company within the Lundin Group of Companies. With cash flowing assets, no debt and financial capacity of up to MUSD 180 for acquisitions, Orrön Energy is in a unique position to take advantage of opportunities in the energy transition aiming to create long term shareholder value.
Orrön Energy is initially trading on the Nasdaq Stockholm under Lundin Energy’s ticker “LUNE” until registration of the name change to Orrön Energy (new ticker: ORRON), which is expected to occur on or around 1 July 2022.
Daniel Fitzgerald, CEO of Orrön Energy comments:
“We see many opportunities in the energy transition, and Orrön Energy is uniquely positioned to take advantage of these with a strong portfolio of cash generating renewables assets, no debt and with Board, management and the major shareholders fully aligned to grow the business. I would like to thank all shareholders who have supported Lundin Energy throughout the years and welcome you as shareholders in this new and exciting renewables company, aiming to create value through the energy transition.” Read More
Africa Oil Corp. announced that it has received a dividend from Prime Oil and Gas Cooperatief UA (“Prime”). The Company has a 50% shareholding in Prime.
Prime has distributed a $75.0 million dividend with a net payment to Africa Oil of $37.5 million related to its shareholding. This is the third Prime dividend distributed this year with Africa Oil having received an aggregate amount of $162.5 million.
Since acquiring its 50% interest in Prime for a cash consideration of $519.5 million in January 2020, Africa Oil has received 13 dividends from Prime for a total amount of $562.5 million.
Also, the Company reports the following share capital and voting rights update in accordance with the Swedish Financial Instruments Trading Act.
As a result of the exercise of stock options under the Company’s Stock Option Plan and return to treasury, the Company now has 477,280,774 common shares issued and outstanding with voting rights as at June 30, 2022. Read More
The Future of U.S.-Kurdish Relations in Iraq
Three experts evaluate the KRG’s oil and gas industry and discuss the growing urgency of resolving its disputes with Baghdad. Read More
Fuel prices will rise in the UAE by as much as 14.9 percent, effective today, July 1.
The price of diesel has increased to 4.76 dirhams per litre from 4.14 dirhams per litre last month, according to the updated price list.
Super 98 petrol now costs 4.63 dirhams per litre, up by 11.5 percent compared to 4.15 dirhams per litre last month.
Special 95 has gone up by 12.1 percent to 4.52 dirhams per litre from 4.03 dirhams per litre in June.
The price of 91 E-Plus has likewise jumped by more than 12 percent to 4.44 dirhams per litre when compared to 3.96 dirhams a month ago. The cost of living has been rising, with consumer inflation in Dubai rising by 4.6 percent in April, the highest since May 2015. Read More
Dubai developer to build zero carbon “future city” in Saudi capital
ALNAMA will be home to 44,000 people and have 100 percent renewable energy, water recycling and waste recycling, according to developer URB Read More
International Rig Count is up 7 rigs from last month to 824 with land rigs down 3 to 621, offshore rigs up 10 to 203.
| Region | Period | Rig Count | Change from Prior |
| U.S.A | 01 July 2022 | 750 | -3 |
| Canada | 01 July 2022 | 166 | +12 |
| International | June 2022 | 824 | +7 |
OilandGasPress Energy Newsbites and Analysis Roundup |Compiled by: OGP Staff, Segun Cole @oilandgaspress.
Disclaimer: News articles reported on OilAndGasPress are a reflection of what is published in the media. OilAndGasPress is not in a position to verify the accuracy of daily news articles. The materials provided are for informational and educational purposes only and are not intended to provide tax, legal, or investment advice.
Please email us your industry related news for publication info@OilAndGasPress.com
Follow us: @OilAndGasPress on Twitter |
Oil and gas press covers, Energy, Climate, Renewable, Wind, Biomass, Sustainability, Oil Price, LPG, Solar, Marine, Aviation, Fuel, Hydrogen, Electric ,EV, Gas, News and Analysis
