Page 12 - AsianOil Week 25

AsianOil
NEWS IN BRIEF
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SOUTH ASIA
India’s oil product output dips in May
India’s oil product output declined 1.6% year on year to 21.54m tonnes in May.
State-owned re nery output dipped 7% to 11.09m tonnes, while public-private re ners li ed throughput 3.3% to 1.65m tonnes and private re neries boosted production 5% to 8.79m tonnes.
In the rst two months of nancial year 2019-2020, re nery output increased 1.2% to 42.17m tonnes. State re neries’ production was down 4.7% to 21.67m tonnes, while private re neries li ed output to 8% to 17.24million tonnes. JV re neries pumped 9.7% more at 3.26m tonnes.
Overall capacity utilisation stood at 101.9% in May and 101.7% in the two-month period.
India expresses oil price concerns
e Indian government has spoken to Saudi Arabia over its concerns that oil prices will rocket owing to tensions surrounding Iran, Indian Minister of Petroleum and Natural Gas Dharmendra Pradhan has revealed.
e minister’s comments came a day a er Brent oil jumped 6% over fears that the US was planning to attack Iran.
ONGC may auction its own DSFs
ONGC intends to auction its discovered small elds (DSFs) under production enhancement contracts (PECs) in a bid to prevent the central government from con scating them.
As many as 60 elds could be o ered to domestic or foreign bidders, though ONGC will give preference to global majors with experience in enhancing production. Under the PECs, the successful bidders must introduce enhanced production technologies to the acreage.
e government had agged its intention earlier this year to take 97 DSFs from ONGC and Oil India Ltd (OIL) and auctioned them to private investors.
Only 5% of ONGC’s oil and gas production comes from DSFs.
MOL and GAIL sign charter contract for one LNG Carrier
Mitsui OSK Lines (MOL) today announced that, through a wholly owned subsidiary of MOL, a short-term charter agreement for a lique ed natural gas (LNG) carrier has been signed with GAIL (India).
e present Agreement has been concluded in line with the direction, which MOL declared in the Management Plan “Rolling Plan 2019”, to strategically allocate management resources to businesses where MOL has strengths.
MOL will, in response to increasing demands for energy transportation, continue its e ort to provide a stable sea transportation services with high safety standards, which the company is known for.
MITSUI OSK LINES, June 20, 2019
Bangladeshi LNG project draws builder interest
Bangladesh has reportedly received interest from a dozen companies to build the country’s rst onshore LNG terminal, Reuters quoted unnamed sources from Rupantarita Prakritik Gas as saying.
e companies include Mitsui, KOGAS, Summit Group, Petronet LNG and an unnamed French company.
A committee will evaluate the proposals before creating a shortlist and it take more than a year for a contract to be awarded. e contract will be awarded on a 20-year build- own-operate basis.
SOUTHEAST ASIA
Petronas, Aramco plan RAPID start-up
Malaysia’s state-owned Petronas and Saudi Aramco are looking to start up a 300,000 bpd re nery at the RAPID project in Pengerang by the end of June.
RAPID also include petrochemical units designed to produce 1m t/y of ethylene, 900,00 t/y of propylene, 165,000 t/y of benzene and 180,000 t/y of butadiene (BD), 750,000 t/y of polyethylene (PE) and 900,000 t/y of polypropylene (PP).
An explosion at the re nery’s 140,000 bpd atmospheric residue desulphurisation unit on April 12 delayed the complex’s start up
EAST ASIA
Shanghai oil futures close higher
e Shanghai International Energy Exchange’s crude oil futures for August delivery closed up 13.8 yuan ($2) to 439.5 yuan ($63.9) per barrel on June 21.
e exchange traded 456,030 lots lots of seven listed crude oil futures contracts, with a turnover of 199.8 billion yuan (29.06$bn)
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Week 25 26•June•2019