Page 12 - MEOG Week 29

MEOG
neWs In BrIeF
MEOG
PoLICy
US sanctions Chinese oil
buyer over alleged Iran
violations
e United States has sanctioned the China’s state-run energy company Zhuhai Zhenrong Co Ltd for allegedly violating restrictions imposed on Iran’s oil sector, U.S. Secretary of State Mike Pompeo said in a speech on Monday.
“We’ve said that we will sanction any sanctionable behaviour, and we mean it,” Pompeo said in remarks in Florida.
e move comes amid increased tensions between Iran and the West as well as between the United States and China, which have restarted major trade talks.
republican U.S. President Donald Trump’s administration has stepped up its sanctions against Iran a er breaking from the nuclear pact brokered between Tehran and other Western nations under the previous Democratic administration of President Barack obama.
China’s embassy in Washington rejected Pompeo’s announcement.
“China rmly opposes the U.S. imposition of unilateral sanctions and so-called ‘long-arm jurisdiction’ on China and other countries invoking its domestic law,” a spokesperson said by email.
“We urge the U.S. to immediately correct its wrongdoing and earnestly respect other parties’ legal rights and interests.” Zhuhai Zhenrong, which specializes mainly in buying Iranian oil and is based in Beijing, was previously sanctioned in 2012 by the obama administration over its dealings with Iran.
e company is now a subsidiary of Macau-based, state-controlled conglomerate nam Kwong Group.
It is largely disconnected from the Chinese
nancial system, which limits the “contagion” of the sanctions from other entities and banking systems, analysts at ClearView energy Partners said. But Washington’s move is another shot across the bow that re ects the seriousness of the Trump administration’s stance on Iran.
“We see the shot as being aimed just at China, but also at other potential buyers,” such as Turkey and possibly russia, which could serve as a middleman for brokering oil from Iran to other countries, ClearView said.
e United States reimposed sanctions on Iran in november a er pulling out of a 2015 nuclear accord between Tehran and six world powers.
Last month the U.S. special representative for Iran, Brian Hook, said Washington will sanction any country that continued to import Iranian oil and warned that it would look at reports of Iranian crude going to China.
According to data from government and trade sources, Asia’s crude oil imports from Iran fell in May to the lowest in at least ve years a er China and India wound down purchases amid U.S. sanctions, while Japan and South Korea halted imports.
reUters
ComPanIes
KNPC, KOC to extend 2 contracts for six months
Kuwait national Petroleum Company (KnPC) and Kuwait oil Company (KoC) decided to extend two contracts for six months at a total value of more than KD60 million until the release of new tenders in relation to these contracts, reports Al-Anba daily quoting sources.
Sources con rmed the two companies have obtained approval from the Central Agency for Public Tenders to extend for six months
their contract with Arabi energy Company, valued at KD3.9 million, for mechanic maintenance and liquid gas production units in Ahmadi Mina re nery starting from Jan 1, 2020.
Sources added KoC extended for six months its contract with Al- Wazzan Trading Company, valued at KD2 million, for feeding services starting from Aug 9, 2019.
araB tImes
oIL
ADNOC sales to Chinese
companies in 2018 reach
US$7.9 billion
e strategic ties between the UAe and China in the past ve years have led to close cooperation on all fronts, with the UAe becoming China’s main commercial partner in the region, re ecting the vision and the mutual coordination of the leadership of the two friendly countries.
During the past ve years, the UAe and China have established a number of important partnerships in various sectors, especially in the eld of energy, which has witnessed the signing of strategic partnership agreements con rming the important role of the UAe
in supporting the Chinese “Belt and road” initiative.
In the following report, the emirates news Agency, WAM, is presenting the key strategic agreements between the Abu Dhabi national oil Company, ADnoC, and a number of major Chinese companies in the oil, gas and petrochemicals sector.
In 2018, ADnoC’s sales of crude oil
and re ned petroleum products to Chinese companies, in addition to the production quotas of Chinese companies, amounted to US$7.9 billion. e total value of their current
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Week 29 23•July•2019