South Asia

Crude oil prices have been driven primarily by the unwinding OPEC+ production cut, China storage flows, and geopolitical tensions this year. This is likely to continue for the foreseeable. It is important to understand the factors that influence the market. It is impossible to predict with accuracy the future of these factors. Forecasting the market is a difficult task for the crude oil industry because all three factors are unpredictable and can change rapidly. The Energy Markets Forum, held in Fujairah (the hub for oil storage and shipping in the United Arab Emirates) this week, was a place where participants...

The Nigerian oil workers' union ordered its members on Monday to stop gas supplies to the Dangote Petroleum Refinery. This escalated a labour dispute that had been sparked by the dismissal hundreds of Nigerian workers. The Petroleum and Natural Gas Senior Staff Association of Nigeria, (PENGASSAN), has directed all its branches in major oil companies to stop crude and natural gas deliveries at the refinery immediately. According to a letter from September 26, the union accused Dangote of "misinformation" and "propaganda" rather than addressing the alleged wrong disengagement of unionised workers. "The crude oil supply valves should be closed." In...

Two people who were familiar with the negotiations said that U.S. negotiators told their Indian counterparts to reduce India's tariffs and seal a deal by limiting purchases of Russian crude oil. A U.S. official stated that while trade negotiations were on the right track, there was still more work to be done in order for India to address U.S. concerns about market access, trade deficits, and purchases of Russian crude oil. U.S. president Donald Trump has tried to pressure India, European Union members and NATO to reduce purchases of Russian oil in order to cut Moscow's revenues and speed up...

Indian Oil Corp., the nation's largest refiner, has been in discussions with European trader Vitol about establishing a joint venture in order to increase its exposure on global oil markets. Three IOC sources confirmed this. Two sources confirmed that talks about a possible partnership started last year. IOC and its subsidiary Chennai Petroleum Corp control 80.8 million tons of refining per year (1.62 millions barrels per day), which is about 31% of India’s total 5.2million bpd. The state-run firm is increasing the capacity of three refineries in order to increase crude processing by 346, 000 bpd within the next two...

Trade sources reported on Tuesday that the arbitrage window for shipping U.S. West Texas Intermediate Crude to Asia has shrunk as tanker rates have risen, and strong export demand has pushed up premiums for this grade to multi-month heights. The U.S. Asia arbitrage opened in late summer, and the demand for Very Large Crude Carriers to make this two-month journey prompted a tightening of vessel supply. Kpler's preliminary data shows that U.S. imports into Asia will increase in September. South Korea and India are the top buyers. The first shipment of U.S. oil for Pakistan's biggest refiner Cnergyico, and the...

The European Commission will make a proposal Accelerating the phase-out Ursula von der Leyen, head of the European Union's executive branch, said Tuesday that she was concerned about Russian fossil imports after speaking with U.S. president Barack Obama. Donald Trump Von der Leyen stated that she spoke with Trump about a joint effort to increase economic pressure against Russia by taking additional measures. The U.S., and the European Union, import Russian energy and commodities worth billions of Euros, from liquefied gas to enriched Uranium. Von der Leyen posted a message on the social media platform X saying that "the Commission...

A government source revealed on Tuesday that India's Nayara Energy increased fuel sales to Hindustan Petroleum Corp, after European Union sanctions hit the Russian-backed refiner. Since the imposition sanctions, Nayara operates its 400,000 barrels per day (bpd), Vadinar refinery located in western India at 70 to 80% capacity. Source: Increasing local sales of refined fuels will help the company sustain its refinery operations. The source told reporters that they would like Nayara to work at maximum capacity. HPCL, a state-owned fuel retailer, buys diesel and petrol for local sale from other companies, despite the fact that Indian Oil Corp. and...

Three people with knowledge of the situation said that Russian-backed Indian refiner Nayara Energy was seeking Indian government assistance to obtain equipment and materials for maintenance, as European Union sanctions are making it difficult to procure key items. Sources said that the private refiner had approached the Centre for High Technology (a advisory body within the Indian oil ministry) to seek assistance in locating specialised equipment, catalysers, and other raw material. Nayara, and the Centre for High Technology, did not respond immediately to comments. Sources said that Nayara, which is majority owned by Russian companies, including Rosneft oil giant, operates...

Two industry sources and calculations show that Russia revised its September crude export plans from western ports up to 2.1 millions barrels per day, an 11% increase over the initial schedule. This is due to drone attacks on domestic refining plants reducing local demand for crude. The preliminary plan had estimated 1.9 million barrels per day (bpd) and the August exports were 2.0 million bpd. It is anticipated that the increase in Urals crude production will meet an extra demand for spot in India. Purchases of this grade fell in August but are still strong despite Western sanction. Nirmala Sitharaman,...

A government source stated on Monday that India will likely finalise terms of reference of a proposed free-trade agreement with Qatar by early October. This is in response to its efforts to create deeper global partnerships, and to offset the impact from U.S. Tariffs. The government source who requested anonymity because the details of the trade negotiations are not yet public told reporters that Trade Minister Piyush Goyal may visit Doha to finalize the framework for the negotiations on October 6. Both sides agreed that they would double their bilateral trade in five years to $28 billion during the visit...

Donald Trump, U.S. president, said Sunday that he was ready to move into a second phase in sanctioning Russia. This is the closest he's come to implying he might be about to ramp up sanctions against Moscow and its oil purchasers over the war with Ukraine. Trump has repeatedly warned Moscow of further sanctions, but he withheld them while pursuing peace talks. Trump did not commit to a decision, nor did he specify what the second phase would entail. When asked by a White House reporter if he was ready to move on to the "second phase" of sanctions, Trump...

The Governor of Russia's Sakhalin region in the far east told reporters on Thursday that a possible return of U.S. Energy Major Exxon Mobil could be a boon for local oil and gas businesses. Last month, Russian President Vladimir Putin issued a decree that would allow foreign investors to recover their shares in the Sakhalin-1 project. This includes Exxon Mobil, a major U.S. oil company. The decree was signed on the same day that Donald Trump and Russian President Vladimir Putin met in Alaska at a summit, where the agenda included opportunities for business collaboration and investment as well as...

Gold reached a new record on Tuesday, as there was no sign of an end to the impasse that led to the government shutdown between the two chambers of the U.S. Congress. Near-certainty bets about a Federal Reserve interest rate cut in this month also provided support. Gold spot was up 0.1% to $3,965.39 an ounce at 0308 GMT after reaching a session high of $3977.19 earlier. U.S. Gold Futures for December Delivery gained 0.3%, to $3988.10. Kelvin Wong, senior market analyst at OANDA, said: "The (chances) of October and December cuts remain above 80%. This is actually supporting the...

The Czech billionaire Daniel Kretinsky agreed to sell his 20 percent stake in Thyssenkrupp’s steel business and scrap plans for joint ventures, according to a statement released by both parties. This could pave the way for an agreement with Jindal Steel. The sale of the stake ends long-running discussions about what could have been a German and Czech steel and energy giant. Discussions that have made no measurable progress since Kretinsky purchased a fifth in Thyssenkrupp Europe (TKSE) late last year. Thyssenkrupp shares, which had earlier reached a high of six years, briefly fell on the news, before recovering and...

The joint statement from both parties revealed that the Czech billionaire Daniel Kretinsky sold his 20% stake in Thyssenkrupp’s steel unit, and scrapped plans to create a 50/50 joint venture. This could pave the way for an agreement with Jindal Steel. The sale of the stake ends long-running discussions about what could have been a German and Czech steel and energy giant. Discussions that have made no measurable progress since Kretinsky purchased a fifth in Thyssenkrupp Europe (TKSE) late last year. Thyssenkrupp can now move forward with its talks with India's Jindal Steel International. Jindal Steel International last month made...

Two merchant bankers reported on Wednesday that a Vedanta subsidiary, a wholly-owned subsidiary of Vedanta Resource, has accepted bids for bonds with a seven-year maturity in U.S. dollars worth $500 million. The bankers said that Vedanta Resource Finance II would pay an annual coupon below its initial price guide of 9.50% after receiving bids totaling over $2.2 billion. CreditSights, however, sees the fair price of the bond as 9.22%. This is based on a relative value comparison of existing debt from December 2031 and March 2033 with similar bond structures and comparable returns. The issue will include a call option...

Industry and government sources claim that India's private power producers are urging the government to allow the importation of equipment from China. They say the domestic resources available in the country are not enough and expensive, and the country is looking to increase its coal-based generation. India's Ministry of Power, as part of its "Make in India", mandated that homemade equipment be used in 2021. The initiative was designed to boost local manufacturing. This programme was also launched at a time of high diplomatic tensions between China and India. According to a letter that was reviewed by, the Association of...

Two merchant bankers announced on Monday that a wholly owned subsidiary of Vedanta plans to raise money through the sale of bonds denominated in U.S. dollars and with a seven-year maturity. Vedanta Finance II may raise $750 million in the coming days through these bonds, which have a call-option at the end of the two-year period, according to the company. One of the bankers stated that any proceeds over and above this amount will be used for other debts or general corporate purposes. Investors have been more interested in dollar bonds issued by Indian companies over the past few weeks,...

The gold price reached a new record high on Monday, helped by the safe-haven flows in response to geopolitical uncertainties and expectations for further Federal Reserve rate reductions. Investors were also focused on Jerome Powell's later speech. As of 10:18 am, spot gold was up 0.7% at $3,771.94 an ounce. After hitting a new record high of $3.790.82 in the earlier session, gold prices rose 0.7% to $3,771.94 per ounce at 10:18 a.m. ET (1011 GMT). U.S. Gold Futures for December Delivery rose by 0.8% to $3.804.30. The 10-year Treasury yields benchmark fell by 0.2% while the U.S. Dollar was...

Gold reached a new high on Monday due to the growing expectation of more U.S. interest rate cuts, and the persistent demand for safe-haven assets amid political uncertainty. Investors closely monitor upcoming Federal Reserve speeches as well as key inflation data to get new policy signals. As of 09:53 am, spot gold was up 1% at $3,718.71 an ounce. ET (1132 GMT) after reaching a record high of 3,728.22 earlier during the session. U.S. Gold Futures for December Delivery climbed 1.3%, to $3.752.60. There's still a steady flow of demand for safe havens, despite geopolitical issues that are still a...

On Monday, gold prices reached a record of $3,728 for a troy ounce, continuing a rally which has seen them double since late 2022. The demand is expected to be robust for a while due to various factors. The main drivers are central bank purchases, strong investment demand visible in the inflows of physical gold exchange traded funds and U.S. president Donald Trump's reversal of Western security policies, his trade wars and concerns over the independence of the U.S. Federal Reserve. Will central banks continue to buy more? Metals Focus estimates that central banks will buy 900 tonnes of gold...

This week, physical gold premiums in India reached a record high of 10 months as investors continued to buy bullion because they expected further gains. Discounts in China also increased to their highest level in five years. The price of gold in India was around 109.500 rupees (1,240.09 dollars) per 10 grams, after reaching a record high earlier this week at 110,666. A bullion dealer in Chennai said, "The rally made people more certain that gold would keep rising. So they snapped up coins and bar." This week, the dealers quoted a premium The highest price since mid-November, 2024, is...

Gold reached a new record on Tuesday. The market was buoyed by the weakening dollar and the growing anticipation of a rate cut by 25 basis points at Federal Reserve policy meeting. As of 8:09 am, spot gold was up 0.5% at $3,696.34 an ounce. ET (1209 GMT), following a session high of $3699.37. U.S. Gold Futures for December Delivery rose by 0.4% to $3733.70. The dollar dropped to its lowest level in over two months against other currencies. Gold becomes cheaper for holders of other currencies when the dollar weakens. Gold is gaining in popularity due to the anticipation...

Industry officials said that India's imports of silver are expected to grow in the next few months. This is due to increased investment and industrial demand, which has already consumed the excess from last year's high shipments. The world's largest silver consumer, China, could boost global prices to the highest level since 14 years. Chirag Thakkar of Amrapali Group Gujarat (a silver importer) said at the India Gold Conference, New Delhi, that "with prices going up, the investment demand has also shot up -- nearly twice what it was before." Thakkar predicted that silver imports would increase in the next...