Greetings, Attached FYI ( NewBase Special 23 March 2015 ) , from Hawk Energy Services Dubai . Daily energy news covering the MENA area and related worldwide energy news. In todays’ issue you will find news about:- • Saudi oil official refutes conspiracy theory • Qatar can consider establishing gas price benchmark, Expert says • Pipe dreams? Turkey aims to be gas transit hub • Angola sees oil output rising 10 pct this year to 1.84 mln bpd • Oil prices drop after Saudi says won’t cut output alone • Oil Reverses Last Week’s Gains as Saudi Arabia Pumps Near Record • Saudi Power 2015 to address country’s growing power demand As this daily news periodical is free for you, we would appreciate your actions to send to all interested parties that you may wish. Also note that if you or your organization wish to include your own article or advert in our circulations, please send it to :- khdmohd@hotmail.com or khdmohd@hawkenergy.net Best Regards. Khaled Al Awadi Energy Consultant & NewBase Chairman - Senior Chief Editor MS & BS Mechanical Engineering (HON), USA Emarat member since 1990 ASME meme since 1995 Hawk Energy since 2010

1. Copyright © 2014 NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced,
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NewBase 23 March 2015 - Issue No. 566 Khaled Al Awadi
NewBase For discussion or further details on the news below you may contact us on +971504822502 , Dubai , UAE
News in today’s issue ….
Greetings,
Attached FYI ( NewBase Special 23 March 2015 ) , from Hawk Energy Services
Dubai . Daily energy news covering the MENA area and related worldwide energy
news. In todays’ issue you will find news about:-
• Saudi oil official refutes conspiracy theory
• Qatar can consider establishing gas price benchmark, Expert says
• Pipe dreams? Turkey aims to be gas transit hub
• Angola sees oil output rising 10 pct this year to 1.84 mln bpd
• Oil prices drop after Saudi says won’t cut output alone
• Oil Reverses Last Week’s Gains as Saudi Arabia Pumps Near Record
• Saudi Power 2015 to address country’s growing power demand
As this daily news periodical is free for you, we would appreciate your actions to send to all
interested parties that you may wish. Also note that if you or your organization wish to include your
own article or advert in our circulations, please send it to :-
khdmohd@hotmail.com or khdmohd@hawkenergy.net
Best Regards.
KhaledKhaledKhaledKhaled Al AwadiAl AwadiAl AwadiAl Awadi
Energy Consultant & NewBase Chairman - Senior Chief Editor
MS & BS Mechanical Engineering (HON), USA
Emarat member since 1990
ASME meme since 1995
Hawk Energy since 2010

2. Copyright © 2014 NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced,
redistributed, or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained
in this publication. However, no warranty is given to the accuracy of its content . Page 2
Saudi oil official refutes conspiracy theory
The National + NewBase
A leading Saudi Arabian oil official on Sunday refuted any accusations that his country was part of
a politically motivated conspiracy to push oil prices lower. “There isn’t any political dimension in
what we do at the oil ministry,” Mohammed Al Madi, the Saudi
representative on Opec’s board of governors, was quoted by
Reuters as saying in Riyadh.
“Our vision is commercial and economic.”
Hassan Rouhani, the Iranian president and other senior officials, as
well as politicians from other oil-producing countries, including
Venezuelan and Russia, have accused Saudi Arabia and its allies in
recent months of deliberately engineering last year’s oil price collapse
to further political aims.
Iran and Russia are both subject to US-led international sanctions which have hurt their oil and
gas sectors – the former for its treaty-breaking nuclear programme and the latter for its annexation
of Crimea and military involvement in eastern Ukraine.
Saudi Arabia has maintained that its decision as Opec’s de facto leader to leave oil production
unchanged last November, even as oil prices were collapsing, was simply aimed at defending
market share against a surge in higher-cost production, particularly from the United States.
“We didn’t mean to hurt anybody,” Mr Al Madi said. “Our vision is simply the following: the
producers which have low costs have to have the priority to produce, but those who have high
costs have to wait for their turn to produce.”
Although Mr Al Madi denied it, the Saudi policy is widely thought to be aimed mainly at US
production, where new technologies have resulted in so-called shale oil production surging by
more than 4 million barrels per day since 2009, to levels not reached since the 1970s.
The Saudi policy seems to be slow to take effect. US shale oil, while more expensive to produce
initially, is proving resilient to lower oil prices. Production has kept rising this year even though oil
rigs in use have declined, as producers focus on getting more output from larger fields.
Last week, the US energy information agency reported that domestic crude oil inventories rose by
9.62 million barrels to a record 458.5 million barrels. As well as domestic production, US imports
have been rising.
“As suspected, low [official selling prices] from Middle Eastern producers such as Saudi Arabia
are also playing a part in higher imports, with Saudi [crude imports to the US] jumping by nearly
500,000 barrels per day to 1.1 million bpd [in the latest week], the highest in four months,”
according to Energy Aspects, an independent energy analysis firm.
Worldwide, oil supply has been outstripping demand by about 1 million bpd for months, leading to
higher inventories across the board, and the market is not expected to be back in balance until
later in the year.
On Friday, the world benchmark North Sea Brent crude futures finished higher on the week for the
first time in five weeks, gaining 65 cents to $55.32 on the week. It is down 52 per cent from last
June’s high above $115 per barrel.

3. Copyright © 2014 NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced,
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in this publication. However, no warranty is given to the accuracy of its content . Page 3
Qatar can consider establishing gas price benchmark, Expert says
Gulf Times + NewBase
Qatar can consider establishing a benchmark for gas as “it is the leading producer and supplier
with a history of steady supply” to established customers under long-term contracts, says George
T Abed, senior counsellor and director (Africa & the Middle East) at the Institute of International
Finance.
“I think there is some merit in Qatar considering a benchmark for its own
gas. Then others (producers) will have to price their gas relative to that,”
Abed said in an interview with Gulf Times here. While it is “possible to have
benchmarks” for gas, Abed emphasised that “it won’t be easy, universal, or
perhaps even useful” as in the case of benchmarks for oil markets. He said
benchmarking gas would have been “simple”, if there were only two or three
sources supplying all the gas in the world.
“The cost structure of the gas that goes into the final price is so different that it is very difficult to
establish a clear benchmark in order for others to price gas around it. “Heavy investment is
required to extract gas and deliver it. Basically, the gas market is made up of an oligopoly of
suppliers, whereas oil is being extracted from a number of sources. And in market-based
economies such as Canada, the US and other places, we have thousands of operators who can
either undersell competitors or can deliver products at different prices… so it is a different market,”
the Washington, DC-based Abed points out.
Asked whether there was a glut in the gas market, Abed said, “Countries such as the US and
Australia are developing their capabilities. Australia has already invested in LNG facilities…and at
some point; US will become a major player in the liquefied natural gas market.”
On whether the market will shift from term contracts to spot basis, Abed said, “It is difficult to say.
Gas is not the same as that of oil. Oil is very transportable… liquid that can be loaded onto ships
and taken anywhere. You can buy oil anywhere, in any port in the world…pretty much at the same
price across the world. This is because the cost of transportation is minimal relative to the sale
price.”
In the case of gas, Abed said, “The delivery system
one has to build – whether it is LNG plants and
ships, pipelines or liquefaction facilities… is
enormous. And therefore, the ultimate price
depends on how much you invest in the
infrastructure to deliver gas. The ultimate price of
the gas depends on all of that investment.”
Qatar, Abed asserted, has already the “first mover”
advantage in the global gas market.
“Qatar has enormous reserves. Its cost structure is
somewhat lower. It has established relationships in
the market. And I think Qatar will remain a leading
supplier of gas for quite some time,” said Abed, a
former chairman of the Palestine Monetary
Authority and special adviser to the IMF managing director.

4. Copyright © 2014 NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced,
redistributed, or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained
in this publication. However, no warranty is given to the accuracy of its content . Page 4
Pipe dreams? Turkey aims to be gas transit hub
AFP + NewBase
Turkey has staked a claim to become a major transit hub with two new pipelines to pump gas from
Azerbaijan and Russia to Europe, but boasting may prove easier than fulfilling the ambitious
projects.
Turkey and Azerbaijan last week started work on the new 1,850 kilometre (1,150 mile) overland
Trans-Anatolian Natural Gas Pipeline (TANAP) which by 2018 aims to provide 10 billion cubic
metres of gas per year (bcma) to European consumers and 6 bcma to Turkish customers.
At the same time Turkish and Russian officials are in intense negotiations to agree terms for a
brand new Turkish Stream pipeline under the Black Sea. With the EU backing TANAP and Russia
behind Turkish Stream, Turkey is now placed in a hugely strategic position in the intensifying
rivalry between Brussels and Moscow over gas supply.
Turkey's dream is to turn the region on the western side of the country bordering Greece and
Bulgaria into a gas hub, where multiple pipelines will meet to pump gas to EU consumers. The
EU-backed TANAP appears sure to be built, as finding returns on the $40-$45 billion investment
in Azerbaijan's Shah Deniz 2 gas field depends on the pipeline. Turkish Stream however is a far
less stable proposition.
- 'Takes time' –
Questions remain over whether Turkey has sufficient capacity to become a genuine gas hub,
which requires far more than the building of pipeline infrastructure. "To be an energy hub there are
a number of ingredients that are necessary, none of which exist as yet in Turkey," said Edward
Chow, senior fellow at the Centre for Strategic and International Studies (CSIS).
He pointed to the lack of a strong international banking system, a solid legal system to resolve

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redistributed, or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained
in this publication. However, no warranty is given to the accuracy of its content . Page 5
normal commercial disputes and sufficient storage facilities. "Turkey has the advantage of
location, it's near a lot of oil and gas producing countries. Being a hub takes time," he said.
The $10 billion TANAP project -- whose construction was launched by President Recep Tayyip
Erdogan and his Azerbaijani counterpart Ilham Aliyev -- is firmly backed by the European Union
which hopes it will help Europe reduce its dependence on Russian gas.
But analysts say Turkey will need to ramp up its total capacity from the initial plan of 16 bcma for it
to make any major impact on the EU's goal of diversifying supplies away from the Russia of
President Vladimir Putin.
"In the longer term if TANAP carries much more that will start to give it greater significance. That is
something that will probably happen but will not be imminent," said Laurent Ruseckas, senior
advisor in global gas at IHS Energy.
- 'Hard to fathom' –
The plan to build Turkish Stream was dramatically announced by Putin in December in Ankara, as
a replacement for the South Stream pipeline and to bypass Ukraine. Putin blamed the EU for the
collapse of the South Stream project, which was to have come ashore in Bulgaria.
But Russia and Turkey, who already operate the undersea Blue Stream pipeline, have yet to
agree a final accord on Turkish Stream. In exchange for agreeing to host the pipeline, Turkey
secured from Russia a reduction on its own gas imports of 10.25 percent, a welcome concession
for a country with slowing growth and pressured currency.

6. Copyright © 2014 NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced,
redistributed, or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained
in this publication. However, no warranty is given to the accuracy of its content . Page 6
Angola sees oil output rising 10 pct this year to 1.84 mln bpd
Reuters + NewBase
Angola expects oil output to average 1.84 million barrels per day (bpd) this year, up
10 percent from 1.67 million bpd in 2014, according a revised 2015 budget passed
by parliament on Thursday, the state news agency said.
Angola's parliament voted heavily in favour of passing a revised 5.4 trillion kwanza
($51 billion) 2015 budget, cutting spending by 1.8 trillion kwanza from its original
plans due to a halving of oil prices since June last year. The revised budget figures
are based on an oil price of $40 per barrel rather than the $81 previously forecast
and predicts a budget deficit of 7 percent of GDP.
Oil accounts for around half of Angola's GDP, 80 percent of tax revenues and 90
percent of export earnings.
Angola's state-oil company Sonangol laid out ambitious plans to increase oil
production last month after what it called a 'very difficult' 2014 as cost cuts soared,
prices slumped and technical problems hit output. The OPEC-member has missed its
oil production target of 2 million bpd for several years due to project delays and
disappointing levels of investment as oil majors scaled back exploration projects due
to the global economic downturn.
Chevron, Exxon Mobil, Total, BP and China's Sinopec are all major producers in
Africa's second largest oil exporter.

7. Copyright © 2014 NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced,
redistributed, or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained
in this publication. However, no warranty is given to the accuracy of its content . Page 7
Oil Price Drop Special Coverage
Oil prices drop after Saudi says won’t cut output alone
Oil prices dropped around a percentage point in early Asian trade on Monday after Saudi Arabia
said over the weekend that it would not unilaterally cut its output to defend prices.
Since oil prices started to fall in June 2014, many analysts have expected Saudi Arabia, Opec's
biggest producer, to curb its output.
Yet Riyadh has so far opted to keep output stable in a move to defend market share against non-
Opec producers like Russia and the United States, where production has soared as a result of the
shale exploration boom.
"We tried, we held meetings and we did not succeed because countries (outside Opec) were
insisting that Opec carry the burden and we refuse that Opec bears the responsibility," Naimi said.
"The production of Opec is 30 per cent of the market, 70 per cent from non-Opec ... everybody is
supposed to participate if we want to improve prices," Saudi oil minister Ali al-Naimi said on
Sunday.
Benchmark Brent crude oil futures was trading at $54.79 a barrel at 0123 GMT, down 53 cents
from their last settlement. US WTI crude was down 58 cents at $45.99 a barrel.

8. Copyright © 2014 NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced,
redistributed, or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained
in this publication. However, no warranty is given to the accuracy of its content . Page 8
Oil Reverses Last Week’s Gains as Saudi Arabia Pumps Near Record
Bloomberg + NewBase
Oil fell in London, erasing most of last week’s gains as Saudi Arabia said it’s pumping crude near
a record pace, bolstering speculation that a global glut will persist.
Futures dropped as much as 1.3 percent. Saudi Arabia is producing almost 10 million barrels a
day, Oil Minister Ali al-Naimi said on Sunday, adding he was optimistic about the market. U.S.
companies are preparing to boost drilling activity later this year and building a “war chest” of
uncompleted wells, according to Goldman Sachs Group Inc.
Oil has lost 12 percent from this
year’s peak in February as U.S.
crude output and inventories rose to
the highest levels in more than three
decades. Prices are unlikely to
return to $100 a barrel because a
surge would draw higher-cost
producers into the market, said
Mohammed Al-Madi, Saudi Arabia’s
governor to the Organization of
Petroleum Exporting Countries.
“The supply story is still there,”
Jonathan Barratt, the chief
investment officer at Ayers Alliance
Securities in Sydney, said by phone.
“The volatility suggests that the market is looking for a near-term low.”
Brent for May settlement slid as much as 70 cents to $54.62 a barrel on the London-based ICE
Futures Europe exchange on Monday and was $54.89 at 1:09 p.m. Singapore time. The contract
climbed 89 cents to $55.32 on Friday, capping a 1.2 percent gain for the week. The European
benchmark crude traded at a premium of $8.88 to West Texas Intermediate, the U.S. marker
grade.
Saudi Output
WTI for May delivery decreased as much as 70 cents, or 1.5 percent, to $45.87 a barrel in
electronic trading on the New York Mercantile Exchange. The April contract expired on Friday
after advancing $1.76 to $45.72. Total volume was about 46 percent below the 100-day average.
Front-month prices are down 14 percent this year.
Saudi Arabia, the world’s biggest oil exporter, is able to meet demand from any customer, al-
Naimi said at a conference in Riyadh. While global consumption is improving, there isn’t enough
need to expand the nation’s production capacity beyond its current level of 12.5 million barrels a
day, he said.
The kingdom pumped 9.85 million a day in February, increasing output for a second month, data
compiled by Bloomberg showed. It’s the largest producer in OPEC, whose 12 members supply
about 40 percent of the world’s crude.

9. Copyright © 2014 NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced,
redistributed, or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained
in this publication. However, no warranty is given to the accuracy of its content . Page 9
Rig Count
Drillers in the U.S. further reduced the number of active machines seeking oil to the fewest since
March 2011. The nation’s rig count shrank for a 15th week to 825, according to data from Baker
Hughes Inc.
“The current rig decline can reverse given flexibility in bringing back rigs at a lower cost,” Goldman
analysts including Damien Courvalin in New York said in an e-mailed report dated March 20. “The
backlog of uncompleted wells is rising.”
U.S. oil production will fall “slightly sequentially” during the second and third quarters, Goldman
predicted. Output growth by the fourth quarter may average 160,000 barrels a day, the bank said.
The U.S. pumped 9.42 million a day through March 13, the fastest pace in weekly Energy
Information Administration records dating back to January 1983. Stockpiles rose to 458.5 million,
the most since at least August 1982, according to the Energy Department’s statistical arm.
Hedge funds were the least bullish on WTI since 2012, cutting net-long positions by 12 percent in
the week ended March 17, U.S. Commodity Futures Trading Commission data showed.

10. Copyright © 2014 NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced,
redistributed, or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained
in this publication. However, no warranty is given to the accuracy of its content . Page 10
Saudi Power 2015 to address country’s growing power demand
The power consumption in the Kingdom of Saudi Arabia (KSA) continues to grow at a steady rate.
Over the last decade, it has witnessed an average annual increase in demand for electricity, with
a significant rise in the number of subscribers. In order to address the challenges faced by the
country’s power industry, Riyadh Exhibitions Company (REC) is looking forward to contribute
positively towards the development of this industry.
The Saudi Power is an annual international trade exhibition for electricity, power generation,
alternative energy, water technology, and lighting. The current edition of the show will be hosted
under the patronage of the Saudi Ministry of Water and Electricity from . For the 18th consecutive
year, Saudi Power will help industry players to showcase products, services and technologies to a
professional audience from the KSA and the wider Middle East.
Formerly known as Saudi Energy, the Saudi Power 2015 will serve as an ideal platform for leading
international companies to network with government officials, buyers and developers; explore
partnership opportunities with local companies; strengthen brand presence in the Saudi market;
and gain access to the Middle East to identify opportunities for collaboration and promote their
latest technological creations and innovations. The show will showcase the latest trends and
cutting-edge products, equipment, solutions, and services in the power industry.
The Saudi Aircon exhibition, a dedicated platform for air conditioning, heating, ventilation and
refrigeration products and service, will be held consecutively with the Saudi Power.
The Saudi Power attracts
hundreds of local and
international organizations and
more than 3,200 unique
visitors worldwide annually,
earning it the reputation as the
KSA’s leading power event.
Representatives from
government agencies, power
production, construction and
development, and other major
industrial companies as well
as factory operators, service
providers, and distributors and
retailers participate in the
annual show.
May 11 to 13, 2015 , Riyadh , KSA

11. Copyright © 2014 NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced,
redistributed, or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained
in this publication. However, no warranty is given to the accuracy of its content . Page 11
NewBase For discussion or further details on the news below you may contact us on +971504822502 , Dubai , UAE
Your partner in Energy Services
NewBase energy news is produced daily (Sunday to Thursday) and
sponsored by Hawk Energy Service – Dubai, UAE.
For additional free subscription emails please contact Hawk Energy
Khaled Malallah Al Awadi,
Energy Consultant
MS & BS Mechanical Engineering (HON), USA
Emarat member since 1990
ASME member since 1995
Hawk Energy member 2010
Mobile : +97150-4822502
khdmohd@hawkenergy.net
khdmohd@hotmail.com
Khaled Al Awadi is a UAE National with a total of 25 years of experience in
the Oil & Gas sector. Currently working as Technical Affairs Specialist for
Emirates General Petroleum Corp. “Emarat“ with external voluntary Energy
consultation for the GCC area via Hawk Energy Service as a UAE
operations base , Most of the experience were spent as the Gas Operations
Manager in Emarat , responsible for Emarat Gas Pipeline Network Facility &
gas compressor stations . Through the years , he has developed great
experiences in the designing & constructing of gas pipelines, gas metering & regulating stations
and in the engineering of supply routes. Many years were spent drafting, & compiling gas
transportation , operation & maintenance agreements along with many MOUs for the local
authorities. He has become a reference for many of the Oil & Gas Conferences held in the UAE
and Energy program broadcasted internationally , via GCC leading satellite Channels.
NewBase : For discussion or further details on the news above you may contact us on +971504822502 , Dubai , UAE
NewBase 23 March 2015 K. Al Awadi

12. Copyright © 2014 NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced,
redistributed, or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained
in this publication. However, no warranty is given to the accuracy of its content . Page 12
11 March 2015 K. Al Awadi

13. Copyright © 2014 NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced,
redistributed, or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained
in this publication. However, no warranty is given to the accuracy of its content . Page 13