New base energy news 24 march 2019 issue no 1235 by khaled al awadi

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NewBase Energy News 24 March 2019 - Issue No. 1235 Senior Editor Eng. Khaled Al
Awadi
NewBase For discussion or further details on the news below you may contact us on +971504822502, Dubai, UAE
UAE inaugurates 3 Renewable Energy projects in Caribbean
WAM + NewBase
Three climate-resilient solar power projects in the Bahamas, Barbados, and Saint Vincent and the
Grenadines are being inaugurated this week under the US$50 million UAE-Caribbean Renewable
Energy Fund, UAE-CREF.
The fund, the largest renewable energy initiative of its kind in the region, is a partnership between
the UAE Ministry of Foreign Affairs and International Cooperation, the Abu Dhabi Fund for
Development, ADFD, and Abu Dhabi Future Energy Company, Masdar.
In total, the three projects, which broke ground in November 2018, will deliver 2.35 MW of solar and
637 kWh of battery storage capacity, while displacing more than 2.6 million tonnes of carbon dioxide
annually. Combined, they will also achieve diesel savings of more than 895,000 litres per year,
worth about $1.1 million.
The Bahamas, Barbados, and Saint Vincent and the Grenadines face some of the highest power
costs in the world, due to their reliance on diesel. All three projects are designed to withstand up to
160 mile per hour winds and extreme weather, per a new requirement instituted in the UAE-CREF
in the wake of Hurricanes Irma and Maria. The projects will be inaugurated by Bader Almatrooshi,
UAE Ambassador to Cuba, Haiti, and Jamaica and Representative to the Association of Caribbean
States.
"By funding renewable energy solutions globally, ADFD is enabling Small Island Developing States
to tackle their development challenges, meet their outlined priorities, and optimise use of their
natural resources," said Mohammed Saif Al Suwaidi, ADFD Director-General, the UAE’s leading
national entity for international development aid, which fully finances the UAE-CREF.
He added, "Together with our strategic partners – the UAE Ministry of Foreign Affairs and
International Cooperation and Masdar – we are proud of the timely delivery of three of the UAE-

CREF projects. We are confident that these projects will continue to drive socio-economic benefits
to local communities in the Bahamas, Barbados, and Saint Vincent and the Grenadines."
The three projects all represent significant steps forward in realising the three countries’ renewable
energy ambitions.
In the Bahamas, which hopes to generate 30 percent of its power needs from renewable sources
by 2030, the Thomas A. Robinson National Stadium 925kW Solar PV Carport Power Plant will
displace 310,000 litres of diesel per year, saving the government $350,000 and offsetting 856
tonnes of carbon dioxide annually.
The project is the largest-ever solar plant to feed into the national grid and sets a critical regulatory
precedent for future private development. The project was developed in partnership with the
Bahamas Ministry of Environment and Housing, with initial concept work by the Rocky Mountain
Institute. In addition to power generation, it also serves as a carport with 342 parking spaces,
including two spaces that are equipped with fast-charging electric vehicle charging stations.
In Barbados, the government aims to generate 100 percent of its energy from renewable sources
by 2030. As part of this target, the Bridgetown 350kW Solar PV Carport Power Plant and Bow
Manston 500kW Solar PV Power Plant in Barbados are expected to save $381,000 per year by
displacing 265,000 litres of diesel fuel and 975 tonnes of carbon annually.
Both projects were developed in partnership with the Barbados Water Authority, BWA, providing
power to its water treatment plant and the water pumping stations. The 350kW solar PV carport also
provides 124 parking spaces, as well as six level 2 electric vehicle charging stations.

In Saint Vincent and the Grenadines, the project – with 600kW of solar PV and a 637 kilowatt-hour,
kWh, lithium-ion battery – is unprecedently able to supply 100 percent of Union Island’s daytime
power requirements. The plant alone also meets over 30 percent of Union Island’s energy needs
and will displace 320,000 litres of diesel fuel per year, saving the island $368,000 and offsetting 825
tonnes of carbon annually.
The hybrid plant was developed in partnership with St Vincent Electricity Services Limited, VINLEC,
again with initial concept support from the Rocky Mountain Institute. With its combination of solar
PV and battery, the project also provides a model for high penetration of renewable energy on small
outer islands, which can dramatically reduce their crippling power costs. The government has set a
target to generate 60 percent of the country’s energy from renewable sources by 2020.
"Masdar is pleased to leverage its global expertise and experience in renewables to support the
Caribbean’s sustainable energy transition, as well as its climate resilience," said Masdar CEO
Mohamed Jameel Al Ramahi.
"These landmark solar projects will pave the way for further investments in clean energy across the
countries. By delivering tailor-made solutions to address the specific energy needs of each country
in partnership with their governments, Masdar is fulfilling its mandate to deliver on the UN
Sustainable Development Goals and ensure sustainable energy for all," he added.
Since its inception in 1971, ADFD has funded thousands of development projects worth
approximately AED83 billion in 88 beneficiary countries. Mandated to implement Abu Dhabi
government’s development programme policies, ADFD provides concessionary loans, manages
Abu Dhabi government grants and injects direct long-term investments with the aim of driving
economic development in partner countries.
The UAE-CREF was launched
in 2017 on the sidelines of the
annual assembly of the
International Renewable
Energy Agency, IRENA, under
the umbrella of Abu Dhabi
Sustainability Week. The fund
intends to deploy renewable
energy projects in 16 Caribbean
countries in three cycles to
reduce energy costs, increase
energy access, and enhance
climate resilience.
The Bahamas, Barbados, and
Saint Vincent and the
Grenadines constituted the first
cycle, while a number of second
cycle countries are shortly going
into procurement, including
Antigua and Barbuda, which will
see the rebuilding of the power system on hurricane-devastated Barbuda. The third cycle of the
fund was announced in January 2019.
UAE foreign aid for renewable energy projects now totals almost US$1 billion since 2013, supporting
more than 40 countries.

UAE: Japan's Inpex eyes LNG bunkering JV with Adnoc
The National + NewBase
Japan's Inpex will look to finalise a joint venture with Abu Dhabi National Oil Company on liquefied
natural gas in the UAE and Southeast Asia “as quickly as possible”, after picking up an onshore
block for Dh646m in Abu Dhabi.
"We had already signed an MoU with Adnoc about LNG bunkering, so I think there might be a lot of
potential. We would like to quickly establish a joint venture with Adnoc in this area, so we can get
enough demand," Inpex president and chief executive Takayuki Ueda told The National in an
interview in Abu Dhabi.
"Equal partnership seems to be desirable," he added when asked about the terms of a possible
partnership.
Japan's Inpex is a long-term investor in Abu Dhabi's hydrocarbons industry, which accounts for 4.2
per cent of the world's crude production. The firm, which first began partnering with the national oil
company in the early seventies, signed a preliminary agreement with Adnoc last year to use LNG
as a bunkering fuel. With the 2020 onset of regulations for low-sulphur fuel as set by the United
Nations' International Maritime Organisation, the use of sulphur-free LNG as a fuel on non-LNG
ships is expected to see an uptake.
The Japanese firm saw opportunities for greater expansion in the LNG bunkering business in Abu
Dhabi and the region, said Mr Ueda.
Inpex, which has a mid-term capital expenditure plan of around $1.2 billion from 2018 to 2022, will
look to ramp up investment this year if the price of Brent remained at more than $60 per barrel, he
added.

The energy firm will look to bid in future licensing rounds in Abu Dhabi and is also interested in
developing the emirate's unconventional gas resources - a sector in which the firm has begun
investing recently in the US.
"We're just trying to enter into the US shale business. In terms of developing unconventional oil and
gas, in Abu Dhabi there is a potential," said Mr Ueda. Earlier this month, the Japanese firm through
a domestic subsidiary reached an agreement with GulfTex to acquire producing assets in the Eagle
Ford shale basin in the US.
On Sunday, Adnoc awarded onshore block exploration rights to Inpex as part of its first ever
competitive bid round. Jodco Exploration, a subsidiary of the Japanese firm, will hold and manage
interest in the Onshore Block 4 as part of its 35-year concession deal.
The Japanese firm will hold a 100 per cent stake during the exploration phase in the block, which
straddles Abu Dhabi’s border with Dubai and stretches across an area of 6,116 square kilometres.
“For over 40 years, Inpex, along with its subsidiary Jodco, has been a strategic partner to Abu Dhabi
and Adnoc,” said Adnoc group chief executive and UAE minister of state Dr Sultan Al Jaber.
"Today’s agreement, following a competitive bid round, extends that long-standing partnership
between one of the world’s leading oil and gas resource holding countries and the third largest
global economy, and represents an attractive and strategic opportunity for both parties that will
deliver mutual benefits."
Inpex will have the opportunity to develop and produce any commercial discoveries, with Adnoc
having the option to hold a 60 per cent stake during the production phase.
Following its latest award, Inpex will also appraise two existing undeveloped fields in the concession
area - Ramhan and Hudairat. The block’s proximity to existing producing fields Al Dabb'íya and
Rumaitha, as well as the offshore Umm Al Dalkh, suggested “promising potential”, Adnoc said in a
statement on Sunday.
The first phase of development would take four years and would commence in 2019, said Mr Ueda.
Last year as part of its re-allocation of blocks belonging to the Adma-Opco concession, Adnoc
awarded Inpex a stake in the offshore Lower Zakum field. The Japanese firm is working with
France’s Total, China National Petroleum Corporation as well an Indian consortium led by ONGC
Videsh to raise production from 300,000 barrels per day to 450,000 bpd over the next 10 years.

UAE: ADNOC inks key partnership deal with OMV, Borealis
By Staff Writer, TradeArabia
Abu Dhabi National Oil Company (Adnoc) has signed MoUs with two leading Austrian groups -
energy giant OMV and leading provider of innovative plastics solutions Borealis - to explore new
opportunities for collaboration in the downstream sector.
These agreements were signed today (March 23) by Dr Sultan bin Ahmad Sultan Al Jaber, Minister
of State, Adnoc Group CEO, and Dr Rainer Seele, Chairman of the OMV Executive Board and CEO
along with Borealis CEO Alfred Stern in the presence of HH Sheikh Mohamed bin Zayed Al Nahyan,
Crown Prince of Abu Dhabi and Deputy Supreme Commander of the UAE Armed Forces,
and Sebastian Kurz, Chancellor of Austria.
As per the first MoU, Adnoc and OMV will evaluate new opportunities in petrochemical projects as
a potential extension to their existing partnerships, and exchange knowledge and experience in
refinery-petrochemical integration and optimisation, said a statement from the Abu Dhabi group.
The two companies will also assess opportunities for petrochemicals marketing support, it stated.
The second MoU will see the duo jointly explore the potential of OMV’s ReOil technology in Ruwais,
Adnoc’s integrated refining and petrochemicals hub in the Al Dhafra region of Abu Dhabi. OMV’s
ReOil recycling process produces synthetic crude oil from used plastics.
The third MoU will see Adnoc and Borealis jointly explore potential growth opportunities within the
integrated polyolefin industry in key geographical markets.
They will partner to build on their strength which has successfully contributed to the growth
of Borouge over the last 20 years to support the growth of customers in key markets through value
creation and innovation.

Dr Al Jaber said: "The agreements with OMV build on, and further strengthen, our long-term
partnership across the full oil and gas value chain."
"OMV brings world-class expertise and advanced technology that will enable us to further stretch
the value of our crude and secure greater returns from the global growth in demand for
petrochemicals as we accelerate delivery of our 2030 smart growth strategy. This is yet another
stepping stone in our journey to grow Adnoc’s downstream portfolio and establish Ruwais as a
global refining and petrochemicals hub," he stated.
Dr Seele said: "These agreements underline our commitment to the strategic partnership with Adnoc
and our readiness to bring expertise and add value to this collaboration."
"Moreover, we are following our strategy of expanding the value chain and further strengthening our
petrochemical business, as well as contributing to CO2 reduction through the circular economy
concept of our ReOil process," he stated.
Stern said: "We want to build on our joint success in Borouge and continue to deliver ‘value creation
through innovation’. A sustainable development in Asia and the Middle East will show an increasing
need and demand for high value, innovative polyolefin solutions."
"Borealis’ proprietary technologies and market expertise can make significant contributions to the
successful development of our partnership with Adnoc. As a committed, long-term partner to the
UAE, Borealis and Adnoc have successfully built our joint venture Borouge. Building on our fruitful
collaboration, we look forward to discovering value-add opportunities in the polyolefin industry with
our trusted partner Adnoc, servicing our customers around the globe," he added.

Oman: Petroleum Development Oman to ramp up production
By Staff Writer, Muscat Daily
Muscat - Petroleum Development Oman (PDO) on Wednesday announced plans to ramp up oil
production to a new level of 670,000 barrels per day (bpd) in the next five years.
After setting a 550,000 bpd ten-year plateau commitment over the last decade, PDO has
consistently grown production and is confident of delivery of further production growth. This comes
after it confirmed that 2018 yielded its highest oil output since 2005 of 610,170 bpd, despite the
impact of Cyclone Mekunu last May, which disrupted production in the south of its concession area.
Speaking at the annual media briefing of
the Ministry of Oil and Gas at the Oman
Convention & Exhibition Centre, PDO’s
managing director Raoul Restucci said,
“Our approach has been simple: To stay
the course in the face of oil price
uncertainty and increasing technical and
operational scale challenges.
Increasing value delivery for the nation’s
development and preparing the business to
face changing energy expectations. This
means more sustainable oil and gas,
driving energy efficiency in all aspects of
our operations.”
He said during 2018, PDO successfully delivered a combined daily oil, gas and condensate output
of 1.205mn bpd. “As we head into the next decade, we are stepping up the deployment of new
technology and pursuing ever more efficient ways of working to achieve enhanced productivity in
our exploration and production business.”
Restucci said that while oil and gas will continue to be fundamental to PDO’s energy mix, the
company is developing innovative renewable solutions to create new growth opportunities. “This
has us increasing emphasis on renewables, such as solar, whilst leveraging new technology and
improving our overall energy efficiency.”
He said ‘good progress’ was being made on both PDO’s mega projects at Rabab Harweel and Yibal
Khuff with the former, the largest capital project in PDO’s history, expected to come on stream in
mid-2019, representing a reserve add of more than 500mn barrels of oil equivalent. The latter, an
integrated sour oil and gas development, is scheduled for start-up in 2021, developing in excess of
327mn barrels of oil equivalent.
Despite the increased complexity in 2018 drilling scope, PDO’s Well Engineering Directorate
delivered 600 new wells and achieved the best ever recorded cost per metre drilled in PDO’s history
(four per cent lower than 2017). By the end of 2018, the directorate had carried out 22,400
completion and well intervention activities – the highest number ever recorded with the same
number of resources as previous years.
PDO also ramped up its in-country value programme, awarding contracts worth US$3.7bn to
nationally registered firms, retaining a value in country of 44 per cent, and supporting the opening
of new Oman-based workshops and factories to service the domestic oil and gas sector.

Saudi Aramco to develop Shale gas resources in Al Hasa
Aramco + Trade Arabia + NewBase
Saudi Aramco is keen to develop the wealth of unconventional gas resources in Al Hasa, apart from
establishing the King Salman Energy Park (Spark) between Al-Hasa and Dammam, as part of its
effort to create more opportunities in the region.
Through its participation in the two-day Al-Hasa Investment Forum
organised by Al-Hasa Chamber of Commerce and Industry, Saudi Aramco
aims to pave the way for increased domestic and international investment,
promote the national economic diversification programmes and create more
job opportunities in alignment with Saudi Vision 2030, a statement said.
The Al-Hasa Investment Forum kicked off today (March 20) under the
patronage of Prince Saud bin Naif bin Abdulaziz Al Saud, Amir of Eastern
Province; with the attendance of Prince Badr bin Muhammad bin Jalawi Al
Saud, Governor of Al-Hasa and Head of the Higher Committee organising the forum; Minister of
Energy and Mineral Resources, Khalid Al-Falih; and Amin H Nasser, Saudi Aramco President and
CEO.
The forum is a platform for enhancing investment in Al-Hasa through highlighting investment
opportunities in the public and private sectors as well as shedding light on its key components and
comparative advantages. Participants will discuss investment opportunities in the energy industry;
conversion industries; healthcare; housing and real estate development; education and training;
and the overall investment climate in Al-Hasa.

Amin Nasser said the growth prospects for Al-Hasa within Saudi Vision 2030 are promising. Placing
Al-Hasa on the Unesco list of World Heritage and its selection as the Capital of Arab Tourism 2019
are testimony that these achievements generate positive movement on several levels and enhance
the attractiveness of Al-Hasa.
In the field of localisation of industries and services, Nasser said the company has recently
commenced the establishment of King Salman Energy Park (Spark), located between Al-Hasa and
Dammam. This mega project and the pioneering park will be an ideal environment for attracting
local and global investments and for creating more jobs for Saudi people.
Nasser mentioned that Al-Hasa has a wealth of resources of unconventional gas that includes a
high percentage of liquids, and that Saudi Aramco is currently developing these resources.
"As part of Saudi Aramco's investment plan, we will start a new phase of the Jafura gas plant
construction next year. This is a huge plant that will produce sales gas, ethane, condensate and
natural gas liquids. The plant is part of Saudi Aramco's plan to produce 3 billion standard cubic feet
of unconventional gas over the next decade,” he said.
Nasser also announced Saudi Aramco’s plans to establish a large and modern driving school for
women in Al-Mubarraz. The centre is expected to train several thousand women drivers annually.
It will be managed by qualified Saudi women, and it will train both Saudi Aramco female employees
and Saudi women in general.
Saudi Aramco, through its exhibition stand, highlighted investment opportunities in energy-related
services. A special section with relevant guidelines for investors wishing to invest in Saudi Aramco
operations was provided. The section promoted the goals of the In-Kingdom Total Value Add
Program (IKTVA), which aims to enhance localisation, reduce costs, build a world-class supply
chain and strengthen the company’s potential to fulfil its commitments to its customers around the
world,

Indonesia: JAPEX commence production at Kangean TSB Phase 2
Source: JAPEX
Japan Petroleum Exploration (JAPEX) has announced that the Sirasun and Batur
gas fields, which are part of the TSB gas complex in the Kangean block in the Republic
of Indonesia, commenced the production of natural gas on March 10.
JAPEX has been participating in the development and production of natural gas in Kangean block
located offshore East Java in Indonesia since 2007, through Kangean Energy Indonesia which is
the operator of the block.
In TSB gas complex of Kangean block, Terang gas field has been producing natural gas since May
2012. Its produced gas is processed at the FPU and is supplied to a national fertilizer plant, a
national electric power company, and others near Surabaya in East Java.
The TSB gas complex is located offshore, 90 kms north of Bali Island, with a water depth of 90 to
230 meters, and consists of the three gas fields, which are Terang, Sirasun, and Batur. Following
the gas production from Ter ang in 2012, in order to maintain production volume in the block for mid
to long term, the development work of Sirasun and Batur gas fields has been promoted since 2014
as 'TSB Phase 2,' and its gas production has commenced this time.
The Sirasun and Batur gas fields are planned to produce at a maximum of 5.0-5.1 million cubic
meters per day (175-180 million cubic feet per day) of natural gas. Together with Terang gas field
which is currently in production, TSB Phase 2 will continuously contribute to the stable natural gas
supply to the local clients.
The JAPEX group will continue to make contributions to the development and production of
Kangean block with its knowledge and expertise in the E&P business, and will endeavor to maximize
its corporate value by applying the experience of offshore development in this block to its other
projects.

Iran fuel oil exports beat U.S. sanctions in tanker odyssey to Asia
Reuters -Roslan Khasawneh, Ahmed Rasheed, Ahmed Elumami
At least two tankers have ferried Iranian fuel oil to Asia in recent months despite U.S. sanctions
against such shipments, according to a Reuters analysis of ship-tracking data and port information,
as well as interviews with brokers and traders.
The shipments were loaded onto tankers with documents showing the fuel oil was Iraqi. But three
Iraqi oil industry sources and Prakash Vakkayil, a manager at United Arab Emirates (UAE) shipping
services firm Yacht International Co, said the papers were forged.
The people said they did not know who forged the documents, nor when.
The transfers show at least some Iranian fuel oil is being traded despite the reimposition of sanctions
in November 2018, as Washington seeks to pressure Iran into abandoning nuclear and missile
programs. They also show how some traders have revived tactics that were used to skirt sanctions
against Iran between 2012 and 2016.
“Some buyers...will want Iranian oil regardless of U.S. strategic objectives to deny Tehran oil
revenue, and Iran will find a way to keep some volumes flowing,” said Peter Kiernan, lead energy
analyst at the Economist Intelligence Unit.
While the United States has granted eight countries temporary waivers allowing limited purchases
of Iranian crude oil, these exemptions do not cover products refined from crude, including fuel oil,
mainly used to power the engines of large ships.
NO RECORD AT BASRA
Documents forwarded to Reuters by ship owners say a 300,000 tonne-supertanker, the Grace 1,
took on fuel oil at Basra, Iraq, between Dec. 10 and 12, 2018. But Basra port loading schedules
reviewed by Reuters do not list the Grace 1 as being in port during those dates.
MAP: Grace 1 tanker movement between Iraq, Iran and the UAE

One Iraqi industry source with knowledge of the port’s operations confirmed there were no records
of the Grace 1 at Basra during this period.
Reuters examined data from four ship-tracking information providers - Refinitiv, Kpler, IHS Markit
and Vessel Finder - to locate the Grace 1 during that time. All four showed that the Grace 1 had its
Automatic Identification System (AIS), or transponder, switched off between Nov. 30 and Dec. 14,
2018, meaning its location could not be tracked.
The Grace 1 then re-appeared in waters near Iran’s port of Bandar Assaluyeh, fully loaded, data
showed. The cargo was transferred onto two smaller ships in UAE waters in January, from where
one ship delivered fuel oil to Singapore in February.
Shipping documents showed about 284,000 tonnes of fuel oil were transferred in the cargoes
tracked by Reuters, worth about $120 million at current prices.
The Grace 1, a Panamanian-flagged tanker, is managed by Singapore-based shipping services firm
IShips Management Pte Ltd, according to data. IShips did not respond to several requests for
comment via email or phone.
A Reuters reporter visited the office listed on IShips’ website but was told by the current tenant that
the company had moved out two years earlier.
SHIP-TO-SHIP TRANSFERS
The ship-tracking data analyzed by Reuters showed the Grace 1 emerged from the period when it
did not transmit its location almost 500 kilometers south of Iraq. It was close to the Iranian coast
with its draught - how deep a vessel sits in water - near maximum, indicating its cargo tanks were
filled.
The Grace 1 transferred its cargo to two smaller tankers between Jan. 16 and 22 in waters offshore
Fujairah in the UAE, data showed.
One of those vessels, the 130,000 tonne-capacity Kriti Island, offloaded fuel oil into a storage
terminal in Singapore around Feb. 5 to 7. Reuters was unable to determine who purchased the fuel
oil for storage in Singapore. The Kriti Island is managed by Greece’s Avin International SA.
The tanker was chartered by Singapore-based Blutide Pte Ltd for its voyage to Singapore, Avin
International’s Chief Executive Officer George Mylonas told Reuters. Mylonas confirmed the Kriti
Island took on fuel oil from the Grace 1.
There is no indication that Avin International knowingly shipped Iranian fuel oil. Mylonas said his
firm had conducted all necessary due diligence to ensure the cargo’s legitimate origin.
CERTIFICATE OF ORIGIN
Mylonas emailed Reuters a copy of a Certificate of Origin (COO) that he said was provided by the
charterers – referring to Blutide - showing the Grace 1 loaded fuel oil at Basra on Dec. 10 and 12,
2018.
“The Certificate of Origin and all the information obtained did not reveal any connection with Iran,
let alone that the cargo of fuel oil originated” from there, Mylonas wrote.
Mylonas said the Grace 1’s owners, managers, shippers, receivers and charterers were screened
by Avin International. “There were not circumstances that would make the COO of dubious origin,”
he said via email.

He said he had been told by the charterers that the Grace 1 only stopped in waters off Iran in late
December and early January for “repairs of damaged diesel generators” before sailing to Fujairah.
The document provided by Mylonas says Iraq’s state oil marketer SOMO certified the Grace 1 in
December loaded a total of 284,261 tonnes of Iraqi fuel oil.
Reuters shared the document with a SOMO official in Iraq who said it was “faked” and “completely
wrong”. The official declined to be identified by name, citing the marketer’s communications policy.
Two other Iraqi oil industry sources with direct knowledge of Basra port and oil industry operations
also said the documentation was forged.
The two sources said the document bore the signature of a manager who was not working at Basra
port on the stated dates. The document also bears contradictory dates: It indicates a loading period
of Dec. 10 and 12, 2018 but a sign-off date for the transaction of Jan. 12, 2018.
‘CONSIDER TO BE FORGED’
Data showed the second tanker into which the Grace 1 transferred cargo was the Marshal Z, also
a 130,000-tonne vessel.
It was bound for Singapore in the first half of February but changed course on Feb. 15, parking off
western Malaysia. Reuters was unable to determine who owns the Marshal Z, nor who chartered it.
Around Feb. 25, the Marshal Z transferred its cargo to another vessel called the Libya, owned and
managed by Tripoli-based General National Maritime Transport Company (GNMTC).
A GNMTC spokesman said the Libya was chartered by Blutide, the same Singapore firm that
chartered the Kriti Island.
Blutide registered as a company in Singapore on May 14, 2018. Its sole listed shareholder and
only director, Singaporean Basheer Sayeed, said by telephone on Feb. 7 he was retired and not in
a position to comment on the company’s activity.
The Libya’s owner GNMTC “was not aware, at any stage that the cargo is linked in any way to Iran,”
the company’s spokesman said via email.
GNMTC provided Reuters with a copy of a COO that it said was issued by shipping services
company Yacht International, based in Fujairah, showing the Marshal Z loaded Iraqi-origin fuel oil
during a ship-to-ship transfer in UAE waters on Jan. 23.
However, Yacht International shipping manager Prakash Vakkayil said in an email his firm did not
issue the certificate and “considers it to be forged”.
The GNMTC spokesman did not respond to follow-up questions from Reuters.
As of March 20, data showed the Libya was located alongside the Marshal Z offshore western
Malaysia, the position vessels typically adopt for ship-to-ship transfers.
Reuters could not immediately determine whether the fuel oil cargo the Libya had been carrying
was still aboard the ship.

NewBase 24 March 2019 Khaled Al Awadi
NewBase For discussion or further details on the news below you may contact us on +971504822502 , Dubai , UAE
Oil end week with a dip from 2019 highs on demand worries
Reuters + NewBase
Oil fell about 2 percent on Friday, slipping further from 2019 highs as focus shifted to a lack of
progress in U.S.-China trade talks and as grim manufacturing data from Germany and the U.S.
reignited fears of a slowdown in the global economy and oil demand.
Wall Street’s main indexes tumbled between 1 and 2 percent on Friday after manufacturers in
Europe, Japan and the United States suffered in March as surveys showed trade tensions had
impacted factory output, a setback for hopes the global economy might be turning the corner on its
slowdown.
Brent crude futures settled at $67.30 per barrel, 83 cents, or 1.2 percent below their last close and
down about 0.2 percent on the week. The contract hit a four-month high of $68.69 on Thursday.
The global benchmark has risen by more than 20 percent since the beginning of January, due to
supply cuts by the Organization of the Petroleum Exporting Countries and allies, such as Russia,
and U.S. sanctions on Iran and Venezuela.
Oil price special
coverage

U.S. West Texas Intermediate (WTI) futures fell 94 cents, or 1.6 percent, to settle at $59.04 per
barrel. WTI marked a 2019 peak on Thursday at $60.39 and rose 0.8 percent on the week. “Today’s
disappointing PMI data out of Germany and France spurred further dollar gains while, at the same
time, compressing global risk appetite,” said Jim Ritterbusch, president of Ritterbusch and
Associates.
The U.S. dollar climbed against the euro on Friday to its highest in more than a week. A strong
dollar makes oil more expensive for holders of other currencies. “The fact that these macro factors
are able to offset the price impact of an exceptional bullish EIA report attests to the fragility of this
three month bull move in oil.”
The U.S. Energy Information Administration data on Wednesday showed that stockpiles last week
fell by nearly 10 million barrels, the most since July, thanks to strong export and refining demand.
[EIA/S]
As economic growth has slowed across Asia, Europe and North America, potentially denting fuel
consumption, no breakthrough has emerged in the trade stand-off between Washington and Beijing,
at least before meetings scheduled on March 28-29.
Trade negotiations with China were progressing and a final agreement “will probably happen,” U.S.
President Donald Trump said in a television interview aired on Friday.
Three in four Japanese companies expect U.S.-China trade frictions to last until at least late this
year, a Reuters poll found.
A jump of more than 2 million barrels per day in U.S. crude oil production since early 2018 to a
record 12.1 million bpd has made the United States the world’s biggest producer, ahead of Russia
and Saudi Arabia.

This has resulted in increasing exports, which have doubled over the past year to more than 3 million
bpd. The International Energy Agency estimated that the United States would become a net crude
oil exporter by 2021.
U.S. energy firms this week reduced the number of oil rigs operating for a fifth week in a row, cutting
nine rigs to the lowest count in nearly a year as independent producers follow through on plans to
cut spending with the government cutting its growth forecasts for shale output.

NewBase Special Coverage
News Agencies News Release 21 March 2019
How Much Oil Is Displaced by Electric Vehicles? Not Much, So Far
Bloomberg - Dan Murtaugh
Electric vehicles are taking ever-bigger bites out of global oil demand, but they haven’t yet caught
up with the growing size of the pie.
Gasoline and diesel displacement by electric vehicles will grow by 96,000 barrels a day this year,
Bloomberg NEF said in a report Tuesday. That brings the lost cumulative demand since 2011 at
352,000 barrels a day, about as much as total consumption by some countries, such as Peru or
Portugal. By comparison, total global oil demand growth over the same period rose 12 million barrels
a day to 100.6 million, according to the International Energy Agency.
Demand Displacement
Electric vehicles have displaced about 3% of oil consumption growth since 2011
Source: International Energy Agency; BloombergNEF
Still, the volume of oil displaced this year is nearly 14 times higher than 2014, according BNEF. And
about 2.7 million electric vehicles will be sold in 2019, increasing the number of such cars on the
road by more than 50 percent, BNEF analysts David Doherty and Daisy Maugouber wrote in the
report.
“The impact of passenger EVs and e-buses on global oil consumption is growing rapidly,” they
wrote.

Disappearing Demand
Electric vehicles are increasingly displacing petroleum consumption
Source: BloombergNEF
By 2040, electric vehicles could displace much as 6.4 million barrels a day of oil demand, while fuel
efficiency improvements will erase another 7.5 million barrels a day, according to
BloombergNEF’s May 2018 long-term EV outlook .
More than three-quarters of the displacement so far has come from electric buses, according to
Tuesday’s report. About 500 barrels a day of diesel demand is displaced for every 1,000 electric
buses on the road, about 30-times the rate for medium-sized battery electric cars. Most of the
roughly 95,000 of such vehicles sold in 2018 were in China.
Morgan Stanley analysts earlier this month predicted that China’s oil demand would peak in 2025
as drivers forgo petroleum-fueled transport for battery-powered vehicles and high-speed rail.
China's E-Buses That Are Denting Oil Demand
The oil industry needn’t be too concerned -- for now -- about how Tesla Inc.’s electric cars
are denting demand. China and its bus fleet could be more of a worry.
By the end of this year, a cumulative 270,000 barrels a day of diesel demand will have been
displaced by electric buses, most of it in China, according to a report published Tuesday by
BloombergNEF. That’s more than three times the displacement by all the world’s passenger
electric vehicles (a market where Tesla has a share of about 12 percent.).

Despite rapid growth, the impact on the oil market from electric vehicles remains relatively small.
Collectively, buses and electric vehicles account for about 3 percent of oil demand growth since
2011, and 0.3 percent of current global consumption, according to BloombergNEF figures and data
from the International Energy Agency.
Buses matter more because of their size and constant use. For every 1,000 electric buses on the
road, 500 barrels of diesel are displaced each day, BloombergNEF estimates. By comparison, 1,000
battery electric vehicles remove just 15 barrels of oil demand.
Still, the EV market’s impact on oil consumption is only going to grow. By 2040, electric vehicles
could displace much as 6.4 million barrels a day of demand, while fuel efficiency improvements will
erase another 7.5 million barrels a day, according to BloombergNEF’s May 2018 long-term EV
outlook.

NewBase For discussion or further details on the news below you may contact us on +971504822502, Dubai, UAE
The Editor :”Khaled Al Awadi” 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 28 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 2019 K. Al Awadi

New base energy news 24 march 2019 issue no 1235 by khaled al awadi

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New base energy news 24 march 2019 issue no 1235 by khaled al awadi