Latest News
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OWC Gets Cable Engineering Job for GreenVolt Floating Wind Farm
Renewable energy consultancy OWC has secured cable engineering support job for the 560 MW GreenVolt floating wind farm offshore Scotland, being developed by Flotation Energy and Vårgrønn, a joint venture firm created by Plenitude (Eni) and HitecVision.OWC’s scope of work includes cable engineering for both offshore and onshore cables.The subsea scope focuses primarily on the export cable, but OWC will also support inter array cable system design and alignment.The onshore engineering scope includes technical responsibility for the cable that runs from the landfall site near Aberdeen to an onshore substation.“It is a privilege to support a project that is setting new standards for floating wind and local content. Our contribution demonstrates the value of U.K.-based engineering talent and strengthens our position as a go-to partner for complex offshore wind developments,” said Will Cleverly, CEO of OWC.The GreenVolt project will deliver renewable electricity to oil and gas platforms, replacing existing natural gas and diesel power generation, while also providing power to the U.K. grid.The project has received support as part of Crown Estate Scotland’s Innovation and Targeted Oil & Gas (INTOG) leasing round.
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Elliott Affiliate's bid of $5.89 billion recommended as the winner of Citgo's auction
According to documents filed by the officer overseeing sale, a $5.89 billion offer from an affiliate hedge fund Elliott Investment Management was recommended as the winning bid in a U.S.-court-organized auction for shares of the Venezuelan-owned refiner Citgo Petroleum. Robert Pincus, a court officer, made the recommendation despite an attempt by a Gold Reserve subsidiary to sweeten their $7.4 billion deal earlier in the week. Pincus, in a ruling earlier this month said that an improved offer from Elliott's subsidiary Amber Energy was superior. The court then gave the Gold Reserve Group three days to match the bid. Pincus stated on Friday that Gold Reserve's Dalinar Energy transaction "didn't match or exceed the Amber Sale transaction and therefore the Amber Sale transaction continues to be a superior proposition." The proceeds of the auction are expected to compensate a few creditors who have been fighting in U.S. court since 2017 for nearly $19 billion after Venezuela expropriated its assets and defaulted. (Reporting and editing by Julia Symmes Cobb; Marianna Pararaga)
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California waives penalties for high profits from refineries
California's Energy Commission decided on Friday to set aside for a temporary period penalties for excessive refinery profits, which were adopted in response to the rise of gasoline prices over $8 per gallon by 2022. The delay of five years in implementing penalties comes at a time when Phillips 66 Los Angeles refinery prepares to start shutting down production next week, ahead of a complete closure. California's Democratic governor Gavin Newsom proposed the penalties but has now changed direction due to fears of price spikes after 2026 following the closure of a Phillips 66 plant and a Valero Energy Corp. plant in the San Francisco area next year. Both companies said declining gasoline demand promoted by state's policies in favor of non-fossil-fuel-powered vehicles made the once-lucrative California market untenable in the long-term. California has set a goal of banning the sale fossil fuel-powered cars by 2035. Western States Petroleum Association, which called for a 20-year delay in the penalty, supported this decision. WSPA has criticized the Energy Commission's claim that the threat of fines had kept gas prices low in the State. Catherine Reheis Boyd, WSPA president, said late last year that "no mandates, rules or decrees have been issued by Sacramento since 2019." Consumer Watchdog, a group within the state of California, has criticized officials for their change of direction. Consumer Watchdog's Jamie Court wrote in a letter before the vote that by removing the penalty, California officials were opening the market up to the price spikes of 2022. The commission also adopted policies to stabilize California’s refinery capacity and increase motor fuel imports, as well as to promote the development of the oil reserves in the state. California is separated from U.S. refinery centers in the Midwest and along the Gulf Coast by the Rocky Mountains. The state depends on the refineries in Washington and California as well as Asian imports.
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Brazil investigates JBS, other beefpackers and their purchase of cattle from deforested lands
According to a document seen on Friday, the Brazilian environment agency Ibama notified 12 meatpacking facilities, including two JBS SA plants, that they were being inspected for their alleged involvement with a scheme involving buying cattle from illegally cleared lands in the Amazon rainforest. Ibama announced on Thursday that it would be investigating 12 plants for violations of the law, but refused to name any companies. JBS issued a statement in which it said that it had not purchased cattle from the farm Ibama claimed to have illegally destroyed. The meatpacker said it could provide more information to the agency after it receives the full inspection report. The document seen by also shows that Frigol and Mercurio, both privately owned, are included in the 12 beef producers being reviewed. Frigol replied that Ibama made a mistake and added it had also not purchased cattle from the farm which the agency claimed had been illegally destroyed. Mercurio chairman Lincoln Bueno said that a third party firm monitors origin of animals it processes and that the company does not deal with properties which have environmental and labor irregularities. Ibama said on Thursday that it was inspecting factories which were "acquiring suspect cattle, triangulated by 'clean' farm, to conceal their illegal origin". Ibama said that six meatpackers who were not named had been fined 4 million reais (740,000 dollars) for buying directly 8,172 cattle from "embargoed zones." Ibama also seized over 7,000 cattle on 2,100 hectares that it had banned from commercial use due to illegal deforestation. It fined violators 49 million reais (9.04 million dollars) without naming the companies or individuals. Ibama said that producing, selling or purchasing cattle from embargoed regions is an environmental offense and the responsible parties are fined. Ana Mano, Richard Chang and Daina Beth Solon edited the article.
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Putin: Russia and China oppose discriminatory sanctions in global trade
In an interview with China's official Xinhua News Agency, Russian President Vladimir Putin stated that Russia and China oppose sanctions which are "discriminatory". These sanctions hinder the socio-economic progress of the world. In an interview published Saturday, Putin stated that the two countries would continue to reduce their mutual trade barriers. This was on the eve before a trip to Russia's largest trading partner. Putin is in China for four days, a visit the Kremlin called "unprecedented." First, the Russian leader will attend a two-day Shanghai Cooperation Organisation Summit In the northern port of Tianjin. Putin will travel to Beijing for talks with Chinese president Xi Jinping, and to attend a huge Chinese event. Military Parade After Japan's formal submission, the world marks the end of World War Two. "To summarize, economic collaboration, trade, and industrial cooperation between our countries is advancing in multiple areas," Putin stated. "During my next visit, we'll certainly discuss new prospects for mutually advantageous cooperation and steps to intensify them for the benefit of people in Russia and China." Putin is seeking to strengthen ties with China during his first visit since May of last year. Reverse a slowdown In bilateral trade during Russia's war against Ukraine The rage is on despite a recent Summit With U.S. president Donald Trump in Alaska China stepped in to help when Western nations cut ties with Russia in February 2022 after Moscow invaded Ukraine. They bought Russian oil and sold goods ranging from cars to electronic devices, pushing bilateral trade up to a record of $245 billion by 2024. Putin and Xi announced a strategic partnership "without limits" in 2022. They have met more than 40 times over the last decade. (Reporting and editing by Leslie Adler; Ryan Woo)
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Dollar weakens with Fed rate cut; stocks fall along with tech shares
The major stock indexes declined on Friday. Technology shares, including Dell Technologies, led the declines. Meanwhile, the dollar fell against the euro, after U.S. data on inflation kept expectations alive of a September rate cut. Dell fell 8.9% on Thursday after reporting results that included High manufacturing costs for artificial intelligence-optimized servers. In the wider tech selloff, other AI-related stocks fell, including Nvidia down 3.3% and Broadcom down 3.6%. The Nasdaq dropped more than 1%, and the S&P 500 Technology Index fell 1.6%. U.S. Commerce Department announced on Friday that its Personal Consumption Spending Price Index (PCE), which measures the price of consumer goods, rose by 0.2% in July. This compares to a 0.3% rise in June. The increase is in line with estimates from economists polled. PCE inflation increased by 2.6% over the 12-month period ending in July after increasing by 2.6% from June. After removing volatile components such as food and energy, the core PCE Price Index rose 0.3% in July. This followed a 0.3% increase in core inflation for June. You have to enjoy it when everything comes together. Art Hogan of B. Riley Wealth, Boston's chief markets strategist, stated via email that today's figures on personal consumption, spending, income and spending were in the middle. This leaves the Fed's options wide open to reduce rates in September, and possibly again in October and December. The Federal Reserve is now expected to cut rates next month by 89%, up from the 84% odds before the data. After Fed Chairman Jerome Powell's unexpectedly dovish remarks last Friday, traders increased their bets that there would be more cuts. Last, the euro rose 0.11% to $1.1696. The dollar index (which measures the greenback in relation to a basket currencies) fell by 0.09%, reaching 97.79. The Dow Jones Industrial Average dropped 92.02, or 0.20% to 45,544.88, while the S&P 500 declined 41.60, or 0.64% to 6,460.26, and the Nasdaq Composite was down 249.61, or 1.15% to 21,455.55. Zachary Hill of Horizon Investments, Charlotte, North Carolina, said, "Today, there is just weakness at the top of the tech market." This month The S&P 500 increased by 1.9%. The Dow gained 3.2%, and the Nasdaq rose by 1.6%. Labor Day is Monday. Major U.S. Financial Markets will be closed. The British banks weighed on European shares, which closed at their lowest level in two weeks. The data released on Friday showed that French consumer prices increased slightly less than expected in August, while Spain's 12-month inflation rate harmonised with the European Union was unchanged at 2.7%. The MSCI index of global stocks fell by 4.77 points or 0.50% to 951.57. The pan-European STOXX 600 fell by 0.64%. Treasuries Onger-dated yields As traders repositioned themselves for the month end, they closed their positions in anticipation of the long weekend. The yield on the benchmark 10-year U.S. notes increased 1.6 basis points, to 4.223%. The two-year Note The yield fell 1.6 basis points in the last day to 3.619%. This is the largest drop in one year, at 33 basis points. Fed Governor Christopher Waller said on Thursday that he wants to begin cutting interest rates in the next month, and "fully anticipates" further rate cuts. This will bring the Fed’s policy rate to a neutral level. Investors will be eager to see the August U.S. job data, due on Friday. Also, they are waiting for any new information on President Donald Trump's attempts to fire Fed Governor Lisa Cook. Cook has asked a federal judge to set up an expedited briefing program in order to temporarily stop Trump from removing her. She is pursuing a lawsuit claiming that he does not have a valid reason for doing so. Prices of oil were lower. U.S. crude dropped 59 cents and settled at $64.01 per barrel, while Brent fell 50 cents and settled at $68.12. Gold spot rose by 0.88%, to $3.446.75 per ounce.
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The US Court of appeals rules that most Trump tariffs are illegal
The U.S. Court of Appeals ruled Friday that the majority of Donald Trump's tariffs were illegal. This decision undermines the Republican President's use the tariffs as an important tool for international economic policy. In his second term as president, Trump has used tariffs to exert political pressure on countries that export goods into the U.S. and to renegotiate deals with trade partners. Tariffs are a tool that Trump's administration can use to gain concessions from its trading partners, but they also increase volatility on the financial markets. The U.S. Court of Appeals, Federal Circuit, in Washington, D.C., ruled on the legality of the "reciprocal tariffs" that Trump imposed during his April trade war, as well as a different set of tariffs imposed against China, Canada, and Mexico in February. The decision of the court does not affect tariffs imposed under other legal authority such as Trump's tariffs against steel and aluminum imports. It is expected that the case will be appealed before the U.S. Supreme Court. Trump has justified his tariffs, as well as those more recent ones, under the International Emergency Economic Powers Act. IEEPA allows the president to deal with "unusual or extraordinary" threats in times of national emergency. Historically, the 1977 law was used to sanction enemies or freeze their assets. Trump, who is the first president to impose tariffs using IEEPA, claims that the measures are justified due to trade imbalances and the flow of drugs across borders. The law doesn't mention tariffs but it does allow the president to respond to crises in a variety of ways. Trump's Department of Justice argues that emergency provisions in the law allow tariffs. These provisions authorize a President to "regulate or block" imports. In April, Trump declared an emergency because the U.S. imports far more than they export. This has been the case for decades. Trump claimed that the U.S. trade deficit undermined manufacturing capabilities and military readiness. Trump claimed that the tariffs imposed in February against China, Canada, and Mexico were justified because these countries did not do enough to prevent illegal fentanyl crossing U.S. border. These countries deny this claim. The court ruled in two cases. One was brought by five small U.S. companies and the second by 12 Democratic U.S. States, who argued that IEEPA doesn't authorize tariffs. According to the lawsuits, Congress has the power to impose taxes and tariffs and that is not delegated to the president. Any delegation must be explicit and limited. The U.S. Court of International Trade in New York ruled on Trump's tariff policy on May 28. It said that the president exceeded his authority by imposing both sets of tariffs. A judge appointed by Trump during his first term was part of the three-judge panel. A court in Washington, D.C., ruled the IEEPA did not authorize Trump's Tariffs. The government appealed this decision. At least eight lawsuits, including one by the State of California, have been filed to challenge Trump's tariff policy. Dietrich Knauth, Dietrich Knauth and William Mallard contributed to the reporting.
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Emergency crews finish work following mass Kyiv attack with 25 dead
Rescue crews completed Friday rescue operations following a Russian missile and drone attack on Kyiv in Ukraine's capital. The death toll was revised up to 25, according to authorities. The DSNS State Emergency Service posted photos of the damaged sites in the capital following the attack that occurred on Thursday morning on its Telegram channel. The report said that 22 people, including four children were killed in the apartment building which was destroyed in Darnytskyi's eastern district. The DSNS reported that emergency crews were dispatched at 19 locations in six districts of the city and provided assistance to 312 residents. Volodymyr Zelenskiy, the president of Ukraine, said that the attack, which damaged offices of the European Union (EU) and British Council (British Council), was the second largest since Russia invaded Ukraine on a large scale in February 2022. (Reporting and editing by Ron Popeski)
California waives penalties for high profits from refineries
California's Energy Commission decided on Friday to set aside for a temporary period penalties for excessive refinery profits, which were adopted in response to the rise of gasoline prices over $8 per gallon by 2022.
Phillips 66 Los Angeles refinery, which is preparing for a permanent shutdown by the end of next week, has delayed implementing penalties by five years.
In an email, the staff of the Commission stated that "the fact is that supply is decreasing faster than demand and we need them to align: this means aggressively pursuing a transition to zero-emission vehicles while slowing down supply loss." California's Democratic governor Gavin Newsom proposed the penalties but has now changed direction due to fears of price spikes after 2026 following the closure of Phillips 66 refinery, and a plant in the San Francisco area operated by Valero Energy Corp.
Both companies said declining gasoline demand promoted by state's policies in favor of non-fossil-fuel-powered vehicles made the once-lucrative California market untenable in the long-term.
California has set a goal of banning the sale fossil fuel-powered cars by 2035.
Western States Petroleum Association, which called for a 20-year delay in the penalties, said that global oil markets determine prices and not state policies.
Consumer Watchdog, a group within the state of California, has criticized officials for their change in policy. Consumer Watchdog's Jamie Court wrote in a letter before the vote that by removing the penalty, California officials were opening the market up to the price spikes of 2022.
The commission also adopted policies to stabilize California’s refinery capacity and increase motor fuel imports, as well as to promote the development of the oil reserves in the state. California is separated from U.S. refinery centers in the Midwest and along the Gulf Coast by the Rocky Mountains. The state depends on the refineries in Washington and California as well as Asian imports.
(source: Reuters)