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NewBase Energy News 23 March 2022 No. 1498 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 partners with Netherlands to boost hydrogen efforts
The National + NewBase
The UAE has joined forces with the Netherlands to boost its research and efforts on hydrogen
energy. The countries are working together to decarbonise the energy sector and increase the
use of clean hydrogen
The Netherlands and UAE sign a memorandum of understanding on hydrogen energy.
Suhail Al Mazrouei, the UAE’s Minister for Energy and Infrastructure, signed a preliminary
agreement on hydrogen energy with the Netherlands’ Minister for Foreign Trade and Development
Co-operation Liesje Schreinemacher at the Expo 2020 site on Monday.
“Such partnerships contribute to catalysing the transition towards hydrogen energy and support the
two countries' orientation in formulating projects and initiatives to support the Paris Agreement on
Climate Change,” Mr Al Mazrouei said.
It will open new opportunities for growth and development, diversifying the energy mix, relying on
clean energy, building concrete partnerships and enhancing co-operation, he added. As part of
their joint economic committee, both countries are working together to identify common interests
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or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavors have been used to ensure the accuracy of the information contained in this
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and create a partnership for decarbonisation of the energy sector and increasing the use of clean
hydrogen.
Hydrogen, which can be produced from both renewable energy and natural gas, is expected to
become a critical fuel as economies and industries transition to a low carbon world to mitigate
climate change and global warming.
The UAE is drawing up a comprehensive road map to position itself as an exporter of hydrogen and
tap into its future potential.
There is increasing pressure on current ecosystems to meet the burgeoning demand for energy
resources without further eroding the ecosystem, Ms Schreinemacher said.
“The production and use of green hydrogen energy as an alternative to fossil fuel has an important
place for both of our countries in our aim to achieve net-zero emissions,” she added.
The Gulf country aims to capture about 25 per cent of the global hydrogen market share and is in
discussions with many countries to export it, Mr Al Mazrouei said earlier this year.
The UAE also signed a preliminary agreement with Austria this month to boost collaboration in
the hydrogen technology industry.
Abu Dhabi National Oil Company is also expanding strategic partnerships with German companies
across the hydrogen value chain. The company signed a new preliminary agreement and joint study
agreements with counterparts in Germany to accelerate and deepen collaboration in clean
hydrogen, Adnoc said in a statement on Monday.
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Malaysia: Mubadala Petroleum begins gas production project
The National - Aarti Nagraj
Abu Dhabi-based Mubadala Petroleum has begun producing gas from the Pegaga field offshore in
Malaysia.
The facility has the capacity to produce 550 million standard cubic feet of gas per day plus
condensate. Gas produced will be directed through a new 4-kilometre, 38-inch subsea pipeline tying
into an existing offshore gas network and subsequently to the onshore Petronas LNG Complex in
Bintulu.
The move marks the "culmination of a challenging gas project", during a period in which Mubadala
Petroleum navigated the challenges of the global pandemic, the company said in a statement on
Monday.
“Having taken this project from discovery to development and now into production with the support
of Malaysia Petroleum Management Petronas, our partners and contractors, this demonstrates our
deep capabilities, resilience and commitment as an energy provider," said Mansoor Al Hamed, chief
executive of Mubadala Petroleum.
"With our strategic focus on gas as a key bridge fuel in the energy transition, this achievement
reflects our ambition for the future as a long-term investor and strategic energy partner.”
Mubadala Petroleum, a unit of Abu Dhabi’s strategic investment firm Mubadala Investment
Company, has a gas weighted portfolio with assets and operations spanning 11 countries, primarily
The pegaga gas field has capacity to produce 550 million standard
cubic feet of gas per day plus condensate
Mubadala Petroleum has been present in Malaysia since 2010 and
is the operator of Block SK 320 with a 55% interest. Photo:
Mubadala Petroleum
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in the Middle East and North Africa, Russia and South-east Asia. It produces about 430,000 barrels
of oil equivalent per day.
Last year, the company finalised a $1 billion deal with Israel’s Delek Drilling to buy a 22 per cent
stake in the Eastern Mediterranean's offshore Tamar field.
Mubadala Petroleum has been present in Malaysia since 2010 and is the operator of Block SK 320
with a 55 per cent interest. Petronas Carigali Sdn, a subsidiary of Petronas, holds 25 per cent and
Sarawak Shell Berhad has the remaining 20 per cent interest.
The Pegaga gasfield is in the Central Luconia province, offshore Sarawak, at about 108-metre water
depth. The development concept comprises of an integrated central processing platform (ICPP).
The jacket and wellhead deck, which were constructed locally, were installed in April 2020 followed
by the Pegaga development drilling campaign. The ICPP float-over and installation was then
completed in August 2021.
Pegaga will be a "key producing field" supplying gas to the Petronas LNG Complex in Bintulu and
is expected to "significantly contribute towards sustaining Malaysia’s gas supply for many decades",
the statement said.
“The project, which undertook its final investment decision at the time when the oil market was still
recovering in 2018, demonstrates the confidence of investors in Malaysia’s upstream industry," said
Mohamed Asnan, senior vice president of Malaysia Petroleum Management at Petronas.
"The country’s ecosystem also proved its resiliency with the successful design and fabrication of
facilities completed during the peak of the Covid-19 pandemic."
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or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavors have been used to ensure the accuracy of the information contained in this
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Egypt: SDX Energy announces discovery at South Disouq
Source: SDX Energy
AIM-listed SDX Energy, the MENA-focused energy company, has announced a gas discovery at
the SD-5X exploration well which targeted the Warda prospect in the South Disouq development
lease.
SD-5X (SDX:36.85% WI) spudded on 4 March and reached TD at 7,855ft MD on 16 March which
was on time and within budget. The primary basal Kafr El Sheikh target was encountered at 6,973ft
MD and discovered 55.5ft of net pay gas sand with an average porosity of 26.3%, all of which were
in line with pre-drill estimates. SD-5X will now be completed, tested and tied-in via the existing SD-
4X flow-line to the CPF and it is estimated that the well will be on production in June 2022. An
announcement concerning the results of the testing of SD-5X will be made in due course.
With the completion of SD-5X, the rig will now move to the second well in the three well campaign,
SD-12-East on the Sobhi Field (planned spud of mid-April). The th ird well in the campaign will be
the MA-1X well targeting the Mohsen prospect (planned spud of mid-to-late May).
Mark Reid, CEO of SDX, commented:
'I am very pleased to announce the success of the first well in the South Disouq 2022 drilling
campaign, and, that the SD-5X well aims to contribute to production by June 2022. Our production
guidance issued earlier this year did not reflect success at this well and as a result we will be
providing updated guidance once the well is connected and producing. The three well campaign
aims to further exploit the potential that we see in the South Disouq area. I look forward to updating
the market further on the results of the SD-5X well-test and as the 2022 campaign progresses.'
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or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavors have been used to ensure the accuracy of the information contained in this
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Algeria: Eni and Sonatrach announce significant O&G discovery
Source: Eni
Eni and Sonatrach have announced a significant oil and associated gas discovery in the Zemlet el
Arbi concession, located in the Berkine North Basin in the Algerian desert. The concession is
operated by a joint venture between Eni (49%), and Sonatrach (51%). Preliminary estimates of the
size of the discovery are around 140 million barrels of oil in place.
The exploratory well that led
to the discovery has been
drilled on the HDLE
exploration prospect,
located about 15 Km from
the processing facilities of
Bir Rebaa North field.
HDLE-1 discovered light oil
in the Triassic sandstones
of Tagi Formation,
confirming 26 m of net pay
with excellent petrophysical
characteristics.
During the production test,
the well delivered 7000
barrels of oil per day and 5
mmscfd of associated gas.
The HDLE-1 well is the first
well of the new exploration
campaign which will include
the drilling of 5 wells in the
Berkine North Basin.
The discovery will be
quickly appraised with the
drilling of a second well,
HDLE-2, in April 2022 to
confirm the additional
potential of the structure
extending in the adjacent Sif Fatima 2 concession operated by an Eni-Sonatrach JV (50-50%).
In parallel with the appraisal program, Eni and Sonatrach will perform studies and analyses to
accelerate the production phase of the new discovery through a fast-tracked development with start-
up foreseen in Q3 2022.
With this discovery, Eni and Sonatrach continue to successfully pursue their near field and
infrastructure-led exploration strategy allowing a rapid valorisation of these new resources.
Eni has been present in Algeria since 1981 where it operates several concessions. With an equity
production in the country of about 95.000 Boepd, Eni is the most important international company
operating in the country.
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or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavors have been used to ensure the accuracy of the information contained in this
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U.K: Alfanar invests $1bn to produce sustainable aviation fuel
ONG + NewBase
Alfanar of Saudi Arabia is investing £1 billion ($1.32 billion) in the Lighthouse Green Fuel project in
Teesside, the UK, to produce sustainable aviation fuel from waste. This was told to Boris Johnson,
Prime Minister of the UK, at Alfanar’s stand during his visit to the Sabic Development Centre in
Riyadh.
The Lighthouse Green Fuel project, which is the first of its kind in the UK, produces more than 180
million litres of sustainable aviation fuel annually.
It is part of Alfanar's ongoing green energy development programme undertaken in different parts
of the world, including Spain, India, Egypt and Saudi Arabia. The amount produced is sufficient to
operate 15,000 flights per year while reducing harmful carbon emissions from conventional fuels by
more than 700,000 tons annually.
Alfanar's has a diversified portfolio of products and services and works to providing sustainable
solutions in power, healthcare, oil and gas, water and social sectors. The company manufactures
electrical and construction products at six facilities worldwide and has revolutionised the way cities
are run by building and integrating the digital Infrastructure.
Key members of the UK aviation industry, including Boeing, Virgin Atlantic and London City Airport
are among a coalition that has pledged to achieve net-zero carbon emissions in the sector by 2050,
to assist with the UK's overall net-zero strategy.
A roadmap to accompany the launch suggests the sector believes it can accommodate a 70%
increase in passengers by 2050, while reducing carbon emissions from more than 30 million tonnes
a year to net-zero. New aircraft and engine technology and smarter flight operations have been
heralded as some of the solutions to support the transition.
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or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavors 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
Indonesia: bp awarded Agung I and Agung II exploration blocks
Source: bp
bp has been awarded Agung l and Agung ll oil and gas exploration blocks, which the government
has put on as a Direct Offer tender as part of the second round of 2021 Oil and Gas Working Area
(WK) Bid Round.
The Agung I Block covers an area of 6,656 sq kms deepwater offshore Bali and East Java, while
the Agung II Block is located in deepwater offshore of South Sulawesi, West Nusa Tenggara and
East Java covering an area of 7,970 sq kms. The area is underexplored with significant potential of
gas resource close to growing gas demand.
The Government of Indonesia’s decision to award 100% interest of the two blocks to
bp demonstrates our position as a trusted partner of Indonesia, where we continue to grow
our presence and commitment.
'bp has more than 55 years of history in Indonesia. We operate the country’s largest gas-producing
field in Tangguh LNG, Papua Barat, contributing approx. 20% of national gas production and will
increase to more than 30% once Tangguh's Train 3 starts-up following the completion of Tangguh
Expansion Project.
bp also has non-operated interest (30%) in Andaman II PSC, an offshore deepwater exploration
block in Aceh. The addition of Agung I and Agung II Blocks to our portfolio reflects our continuous
commitment to invest and grow our business in Indonesia, said Nader Zaki, bp regional president
Asia Pacific.
'We thank the Indonesian government, especially Ministry of Energy and Mineral Resources and
SKK Migas for their continued support and we look forward to working with them for many more
years to come.' Nader added.
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EIA projects U.S. energy-related CO2 emissions to fall in the
near term, then riseSource: U.S. Energy Information Administration, Annual Energy Outlook 2022 (AEO2022)
In our Annual Energy Outlook 2022 (AEO2022), we project that energy-related carbon dioxide
(CO2) emissions will decrease in the United States through the mid-2030s and then increase
through 2050 across a wide variety of assumptions. We project that, over time, increasing emissions
from natural gas and petroleum consumption growth will offset declines in emissions from coal
consumption.
In our AEO2022 Reference case, which assumes no changes to current laws or regulations, we
project that U.S. energy-related CO2 emissions will fall to 4.5 billion metric tons (Bmt) in 2037, or
6% below the energy-related CO2 emissions in 2021, before rising to 4.7 Bmt in 2050, or 2% below
2021 levels.
Projected emissions decline from 2022 to 2037 primarily as a result of decreasing carbon intensity
(CO2 per unit of energy consumed) in the electric power sector. The rise in emissions from 2037 to
2050 is primarily due to increasing consumption.
In the AEO2022 Reference case, U.S. energy consumption grows from 2021 through 2050 because
of population growth of 0.4% per year and real economic growth of 2.2% per year. However, the
amount of energy needed to produce a unit of economic output, or the energy intensity of the U.S.
economy, declines by 41% from 2021 to 2050.
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Declining energy intensity and carbon intensity result in our Reference case projection of U.S.
energy-related CO2 emissions remaining slightly below 2021 levels in 2050 despite the growth in
energy consumption.
We expect that the carbon intensity of electricity generation will fall because the electric power
sector will continue to transition from relatively carbon-intensive coal to less carbon-intensive natural
gas and renewable energy. In the AEO2022 Reference case, we project that coal’s share of U.S.
energy-related CO2 emissions will decrease from 22% in 2021 to 14% in 2037 and to 13% in 2050.
Also in the Reference case, we project that electric power sector emissions will fall below industrial
sector emissions by 2040, despite energy consumption growing by about 9% from 2037 to 2050 in
both sectors.
We expect growth in natural gas used in the industrial sector’s bulk chemicals industry will primarily
drive the growth in industrial sector energy consumption.
Transportation will likely continue to contribute more energy-related CO2 emissions than any other
sector through 2050, despite less energy consumption in the transportation sector than in both the
electric power and industrial sectors toward the end of the projection period.
We expect the carbon intensity of transportation to remain higher than the other sectors through
2050 because we project continued use of liquid fuels for most modes of travel.
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NewBase March 23-2022 Khaled Al Awadi
NewBase for discussion or further details on the news below you may contact us on +971504822502, Dubai, UAE
Oil prices rise as U.S. stockpiles decline amid tight market
Reuters + NewBase
Oil prices rose on Wednesday as a reported drop in U.S. crude inventories increased concerns
about tight global supplies amid the hit to Russian exports from economic sanctions.
Brent crude futures climbed $1.45, or 1.26%, to $116.93 a barrel at 05.33 GMT, after falling 14 cents
in the previous session. U.S. West Texas Intermediate (WTI) crude futures rose $1.31, or 1.2%, to
$110.57 a barrel, after losing 36 cents on Tuesday.
Oil price special
coverage
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The market remains on edge over the prospect of further sanctions on Russia, the world's second-
largest crude exporter, after its invasion of Ukraine, actions that Moscow calls a "special operation".
Prices dipped on Tuesday as the European Union seems unlikely to agree to a ban on Russian oil.
However, U.S. President Joe Biden is set to announce more sanctions on Russia when he meets
with European leaders on Thursday in Brussels, including an emergency meeting of NATO.
"We expect continued high volatility through the rest of the week, and especially around Thursday’s
NATO summit," said Vandana Hari, founder of oil market analysis provider Vanda Insights.
Hari added that there may be some relief for the market if the EU drops the idea of a ban on Russian
oil imports.
"But supply worries will remain elevated as long as the Russia-Ukraine peace talks remain
deadlocked," she said.
The latest data from the American Petroleum Institute industry group showed crude stocks in the
U.S., the world's biggest oil consumer, fell by 4.3 million barrels for the week ended March 18,
according to market sources, counter to analysts' forecasts for an increase.
Nine analysts polled by Reuters on average had estimated crude inventories rose by 100,000
barrels in the week to March 18.
"The U.S. and Saudi Arabia are the two nations that can meaningfully offset the loss of Russia's oil.
Extra supply from either seems unlikely right now but we are in a highly unusual situation and that
makes everything more fluid," Commonwealth Bank analysts said in a note.
Official U.S. inventory data is due from the Energy Information Administration on Wednesday.
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or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavors have been used to ensure the accuracy of the information contained in this
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NewBase Special Coverage
The Energy world –March -23 -2022
CLEAN ENERGY
EUROPE POLITICS
European Union unlikely to impose an oil embargo on Russia,
Silvia Amaro@SILVIA_AMARO
KEY POINTS
 The U.S. decided to ban imports of the commodity earlier this month, but international allies
have so far refused to do so given their dependency on Russian energy.
 In 2020, Russian oil imports accounted for about 25% of the EU’s oil purchases, according
to the region’s statistics office.
 The EU’s reluctance in taking action against Russian oil accentuated a dip in prices on
Tuesday morning.
 Brent futures fell about 0.6% in early trading hours to $114.96 a barrel.
A general view of oil tanks in the Transneft-Kozmino Port near the far eastern town of Nakhodka,
The European Union is unlikely to impose an immediate oil embargo on Russia over its unprovoked
invasion of Ukraine, according to two CNBC sources with knowledge of the discussions.
The U.S. decided to ban imports of the commodity earlier this month, but international allies have
so far refused to do so given their dependency on Russian energy. In 2020, Russian oil imports
accounted for about 25% of the EU’s oil purchases, according to the region’s statistics office.
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The EU’s reluctance in taking action against Russian oil accentuated a dip in prices on Tuesday
morning. Brent futures fell about 0.6% in early trading hours to $114.96 a barrel.
Whereas Poland and the Baltic nations are among the most vocal supporters of restricting the
purchases of Russian oil, other nations — notably Germany and Hungary — are concerned about
what this step would mean for prices.
“Only a minority of countries are in favor [of an oil embargo],” an EU official, who didn’t want to be
named due to the sensitivity of the talks, told CNBC Tuesday.
A second anonymous EU official said: “Discussions continue but no decision likely this week unless
[Russian President Vladimir] Putin does something even more outrageous.”
European leaders will be gathering in Brussels later this week to further coordinate their response
to the invasion of Ukraine. U.S. President Joe Biden will also be in attendance.
The U.S. has recently highlighted the possibility of Russia using chemical weapons in Ukraine. This
came after Russia, itself, accused Ukraine of operating chemical and biological weapons
laboratories backed by the U.S. This was roundly rebuffed by Ukrainian and Western officials and,
moreover, the West believes that the accusations could actually be Moscow inventing and building
a false narrative and pretext for using its own chemical weapons against Ukraine.
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When asked what sort of reaction Russia using chemical weapons would cause among European
countries, the first EU official said: “Then nothing would be off the table.”
“If Russia starts using chemical weapons, we would be in a different situation,” the same official
said, suggesting that an oil ban could be one of the options. Pressure continues to mount on the
bloc to take more action against Moscow as the war in Ukraine drags.
“It is very hard, in my view, to make the case that we shouldn’t be moving into the energy sector,
particularly oil and coal,” Simon Coveney, Ireland’s foreign affairs minister, told reporters on
Monday.
Finland’s Minister for European Affairs, Tytti Tuppurainen, said Tuesday: “So far we have not agreed
on sanctions when it comes to energy, but it is not excluded either.”
Meanwhile, according to a draft document, seen by CNBC, EU leaders are expected to call for an
international conference to raise more funding for Ukraine. They will also soon announce that they
are phasing out the EU’s dependency on Russian gas, oil and coal imports “as soon as possible.”
EU split on Russia oil sanctions, mulls other steps
The European Union's foreign ministers disagreed on Monday on whether and how to slap sanctions
on Russia's lucrative energy sector over its invasion of Ukraine, with Germany saying the bloc was
too dependent on Russian oil to decide an embargo.
The EU and allies have already
imposed hefty measures against
Russia, including freezing its central
bank's assets.
Russia's siege and bombardment of
Mariupol port, which EU foreign policy
chief Josep Borrell called "a massive
war crime", is increasing pressure for
action.
But targeting Russian energy exports,
as the United States and Britain have
done, is a divisive choice for the 27-
nation EU, which relies on Russia for
40% of its gas.
Some of those who want the EU to go
further showed impatience at the pace
of talks after a meeting of EU foreign
ministers in Brussels.
"Why should Europe give Putin more
time to earn more money from oil and
gas? More time to use European ports?
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More time to use unsanctioned Russian banks in Europe? Time to pull the plug,"
Lithuania's Foreign Minister Gabrielius Landsbergis said on Twitter. But Borrell told a
news conference that while that the bloc would "continue isolating Russia", concrete
decisions would be made later.
One EU diplomat said some hoped that by June the EU would have found enough
alternative sources of energy to seriously consider an oil embargo. No date has been
agreed though, and other EU states may have different targets in mind.
Germany and the Netherlands said the EU was dependent on Russian oil and gas and
could not cut itself off right now.
"The question of an oil embargo is not a question of whether we want or don't want (it),
but a question of how much we depend on oil," German Foreign Minister Annalena
Baerbock told reporters.
"Germany is importing a lot (of Russian oil), but there are also other member states who
can't stop the oil imports from one day to the other," she said, adding that the bloc should
instead work on reducing its reliance on Moscow for its energy needs.
Other potential sanctions being discussed, diplomats have said, include closing loopholes on trust
funds used by oligarchs, adding new names to the sanctions list, stopping Russian boats from
docking in EU ports, and cutting more banks' access to the SWIFT global messaging system.
All this will be discussed again on Thursday, when U.S. President Joe Biden will be in Brussels for
talks with transatlantic alliance NATO's 30 members, the EU, and Group of Seven (G7) members
including Japan, designed to harden the West's response to Moscow.
Diplomats have said a Russian chemical weapons attack in Ukraine, or heavy bombardment of the
capital, Kyiv, could be a trigger for the EU to go ahead with an energy embargo. But they cautioned
that energy was one of the most complex sectors to sanction because each EU country has its own
red lines.
They said that while the Baltics want an oil embargo, Germany and Italy, which depend on Russian
gas, are pushing back because of already high energy prices. Sanctions on coal are a red line for
some, including Germany, Poland and Denmark, while for others, such as the Netherlands, oil is
untouchable. Moscow itself has warned that such sanctions could prompt it to close a gas pipeline
to Europe - another potential deterrent.
'TECTONIC SHIFT'
Meanwhile, EU foreign and defence ministers adopted a security strategy meant to boost the bloc's
military clout, establishing a rapid reaction force with up to 5,000 troops to be swiftly deployed in a
crisis. "The war that is ongoing is a tectonic shift," Borrell said. "We have to be able to react rapidly."
The Kremlin has so far not been moved to change course in Ukraine by EU sanctions, including on
685 Russians and Belarusians, and on Russian finance and trade.
Russia invaded Ukraine on Feb. 24, calling it a "special operation" to demilitarize Ukraine and purge
it of dangerous nationalists. Ukraine and the West say these are baseless pretexts for aggression.
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NewBase Energy News 31 March 2022 - Issue No. 1498 call on +971504822502, UAE
The Editor:” Khaled Al Awadi” Your partner in Energy Services
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www.linkedin.com/in/khaled-al-awadi-38b995b
Mobile: +971504822502
khdmohd@hawkenergy.net or khdmohd@hotmail.com
Khaled Al Awadi is a UAE National with over 30 years of experience in the Oil & Gas
sector. Has Mechanical Engineering BSc. & MSc. Degrees from leading U.S.
Universities. Currently working as self leading external Energy consultant for the GCC
area via many leading Energy Services companies. Khaled is the Founder of the
NewBase Energy news articles issues, Khaled is an international consultant, advisor,
ecopreneur and journalist with expertise in Gas & Oil pipeline Networks, waste
management, waste-to-energy, renewable energy, environment protection and
sustainable development. His geographical areas of focus include Middle East, Africa
and Asia. Khaled has successfully accomplished a wide range of projects in the areas
of Gas & Oil with extensive works on Gas Pipeline Network Facilities & gas compressor
stations. Executed projects in the designing & constructing of gas pipelines, gas
metering & regulating stations and in the engineering of gas/oil supply routes. Has drafted
& finalized many contracts/agreements in products sale, transportation, operation & maintenance
agreements. Along with many MOUs & JVs for organizations & governments authorities. Currently dealing
for biomass energy, biogas, waste-to-energy, recycling and waste management. He has participated in
numerous conferences and workshops as chairman, session chair, keynote speaker and panelist. Khaled is
the Editor-in-Chief of NewBase Energy News and is a professional environmental writer with over 1400
popular articles to his credit. He is proactively engaged in creating mass awareness on renewable energy,
waste management, plant Automation IA and environmental sustainability in different parts of the world.
Khaled has become a reference for many of the Oil & Gas Conferences and for many Energy program
broadcasted internationally, via GCC leading satellite Channels. Khaled can be reached at any time, see
contact details above.
Copyright © 2022 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 endeavors 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 18
Copyright © 2022 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 endeavors 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 19
Copyright © 2022 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 endeavors 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 20

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NewBase March 23-2022 Energy News issue - 1498 by Khaled Al Awadi.pdf

  • 1. Copyright © 2022 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 endeavors 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 1 NewBase Energy News 23 March 2022 No. 1498 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 partners with Netherlands to boost hydrogen efforts The National + NewBase The UAE has joined forces with the Netherlands to boost its research and efforts on hydrogen energy. The countries are working together to decarbonise the energy sector and increase the use of clean hydrogen The Netherlands and UAE sign a memorandum of understanding on hydrogen energy. Suhail Al Mazrouei, the UAE’s Minister for Energy and Infrastructure, signed a preliminary agreement on hydrogen energy with the Netherlands’ Minister for Foreign Trade and Development Co-operation Liesje Schreinemacher at the Expo 2020 site on Monday. “Such partnerships contribute to catalysing the transition towards hydrogen energy and support the two countries' orientation in formulating projects and initiatives to support the Paris Agreement on Climate Change,” Mr Al Mazrouei said. It will open new opportunities for growth and development, diversifying the energy mix, relying on clean energy, building concrete partnerships and enhancing co-operation, he added. As part of their joint economic committee, both countries are working together to identify common interests
  • 2. Copyright © 2022 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 endeavors 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 and create a partnership for decarbonisation of the energy sector and increasing the use of clean hydrogen. Hydrogen, which can be produced from both renewable energy and natural gas, is expected to become a critical fuel as economies and industries transition to a low carbon world to mitigate climate change and global warming. The UAE is drawing up a comprehensive road map to position itself as an exporter of hydrogen and tap into its future potential. There is increasing pressure on current ecosystems to meet the burgeoning demand for energy resources without further eroding the ecosystem, Ms Schreinemacher said. “The production and use of green hydrogen energy as an alternative to fossil fuel has an important place for both of our countries in our aim to achieve net-zero emissions,” she added. The Gulf country aims to capture about 25 per cent of the global hydrogen market share and is in discussions with many countries to export it, Mr Al Mazrouei said earlier this year. The UAE also signed a preliminary agreement with Austria this month to boost collaboration in the hydrogen technology industry. Abu Dhabi National Oil Company is also expanding strategic partnerships with German companies across the hydrogen value chain. The company signed a new preliminary agreement and joint study agreements with counterparts in Germany to accelerate and deepen collaboration in clean hydrogen, Adnoc said in a statement on Monday.
  • 3. Copyright © 2022 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 endeavors 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 3 Malaysia: Mubadala Petroleum begins gas production project The National - Aarti Nagraj Abu Dhabi-based Mubadala Petroleum has begun producing gas from the Pegaga field offshore in Malaysia. The facility has the capacity to produce 550 million standard cubic feet of gas per day plus condensate. Gas produced will be directed through a new 4-kilometre, 38-inch subsea pipeline tying into an existing offshore gas network and subsequently to the onshore Petronas LNG Complex in Bintulu. The move marks the "culmination of a challenging gas project", during a period in which Mubadala Petroleum navigated the challenges of the global pandemic, the company said in a statement on Monday. “Having taken this project from discovery to development and now into production with the support of Malaysia Petroleum Management Petronas, our partners and contractors, this demonstrates our deep capabilities, resilience and commitment as an energy provider," said Mansoor Al Hamed, chief executive of Mubadala Petroleum. "With our strategic focus on gas as a key bridge fuel in the energy transition, this achievement reflects our ambition for the future as a long-term investor and strategic energy partner.” Mubadala Petroleum, a unit of Abu Dhabi’s strategic investment firm Mubadala Investment Company, has a gas weighted portfolio with assets and operations spanning 11 countries, primarily The pegaga gas field has capacity to produce 550 million standard cubic feet of gas per day plus condensate Mubadala Petroleum has been present in Malaysia since 2010 and is the operator of Block SK 320 with a 55% interest. Photo: Mubadala Petroleum
  • 4. Copyright © 2022 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 endeavors 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 in the Middle East and North Africa, Russia and South-east Asia. It produces about 430,000 barrels of oil equivalent per day. Last year, the company finalised a $1 billion deal with Israel’s Delek Drilling to buy a 22 per cent stake in the Eastern Mediterranean's offshore Tamar field. Mubadala Petroleum has been present in Malaysia since 2010 and is the operator of Block SK 320 with a 55 per cent interest. Petronas Carigali Sdn, a subsidiary of Petronas, holds 25 per cent and Sarawak Shell Berhad has the remaining 20 per cent interest. The Pegaga gasfield is in the Central Luconia province, offshore Sarawak, at about 108-metre water depth. The development concept comprises of an integrated central processing platform (ICPP). The jacket and wellhead deck, which were constructed locally, were installed in April 2020 followed by the Pegaga development drilling campaign. The ICPP float-over and installation was then completed in August 2021. Pegaga will be a "key producing field" supplying gas to the Petronas LNG Complex in Bintulu and is expected to "significantly contribute towards sustaining Malaysia’s gas supply for many decades", the statement said. “The project, which undertook its final investment decision at the time when the oil market was still recovering in 2018, demonstrates the confidence of investors in Malaysia’s upstream industry," said Mohamed Asnan, senior vice president of Malaysia Petroleum Management at Petronas. "The country’s ecosystem also proved its resiliency with the successful design and fabrication of facilities completed during the peak of the Covid-19 pandemic."
  • 5. Copyright © 2022 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 endeavors 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 Egypt: SDX Energy announces discovery at South Disouq Source: SDX Energy AIM-listed SDX Energy, the MENA-focused energy company, has announced a gas discovery at the SD-5X exploration well which targeted the Warda prospect in the South Disouq development lease. SD-5X (SDX:36.85% WI) spudded on 4 March and reached TD at 7,855ft MD on 16 March which was on time and within budget. The primary basal Kafr El Sheikh target was encountered at 6,973ft MD and discovered 55.5ft of net pay gas sand with an average porosity of 26.3%, all of which were in line with pre-drill estimates. SD-5X will now be completed, tested and tied-in via the existing SD- 4X flow-line to the CPF and it is estimated that the well will be on production in June 2022. An announcement concerning the results of the testing of SD-5X will be made in due course. With the completion of SD-5X, the rig will now move to the second well in the three well campaign, SD-12-East on the Sobhi Field (planned spud of mid-April). The th ird well in the campaign will be the MA-1X well targeting the Mohsen prospect (planned spud of mid-to-late May). Mark Reid, CEO of SDX, commented: 'I am very pleased to announce the success of the first well in the South Disouq 2022 drilling campaign, and, that the SD-5X well aims to contribute to production by June 2022. Our production guidance issued earlier this year did not reflect success at this well and as a result we will be providing updated guidance once the well is connected and producing. The three well campaign aims to further exploit the potential that we see in the South Disouq area. I look forward to updating the market further on the results of the SD-5X well-test and as the 2022 campaign progresses.'
  • 6. Copyright © 2022 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 endeavors 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 Algeria: Eni and Sonatrach announce significant O&G discovery Source: Eni Eni and Sonatrach have announced a significant oil and associated gas discovery in the Zemlet el Arbi concession, located in the Berkine North Basin in the Algerian desert. The concession is operated by a joint venture between Eni (49%), and Sonatrach (51%). Preliminary estimates of the size of the discovery are around 140 million barrels of oil in place. The exploratory well that led to the discovery has been drilled on the HDLE exploration prospect, located about 15 Km from the processing facilities of Bir Rebaa North field. HDLE-1 discovered light oil in the Triassic sandstones of Tagi Formation, confirming 26 m of net pay with excellent petrophysical characteristics. During the production test, the well delivered 7000 barrels of oil per day and 5 mmscfd of associated gas. The HDLE-1 well is the first well of the new exploration campaign which will include the drilling of 5 wells in the Berkine North Basin. The discovery will be quickly appraised with the drilling of a second well, HDLE-2, in April 2022 to confirm the additional potential of the structure extending in the adjacent Sif Fatima 2 concession operated by an Eni-Sonatrach JV (50-50%). In parallel with the appraisal program, Eni and Sonatrach will perform studies and analyses to accelerate the production phase of the new discovery through a fast-tracked development with start- up foreseen in Q3 2022. With this discovery, Eni and Sonatrach continue to successfully pursue their near field and infrastructure-led exploration strategy allowing a rapid valorisation of these new resources. Eni has been present in Algeria since 1981 where it operates several concessions. With an equity production in the country of about 95.000 Boepd, Eni is the most important international company operating in the country.
  • 7. Copyright © 2022 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 endeavors 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 U.K: Alfanar invests $1bn to produce sustainable aviation fuel ONG + NewBase Alfanar of Saudi Arabia is investing £1 billion ($1.32 billion) in the Lighthouse Green Fuel project in Teesside, the UK, to produce sustainable aviation fuel from waste. This was told to Boris Johnson, Prime Minister of the UK, at Alfanar’s stand during his visit to the Sabic Development Centre in Riyadh. The Lighthouse Green Fuel project, which is the first of its kind in the UK, produces more than 180 million litres of sustainable aviation fuel annually. It is part of Alfanar's ongoing green energy development programme undertaken in different parts of the world, including Spain, India, Egypt and Saudi Arabia. The amount produced is sufficient to operate 15,000 flights per year while reducing harmful carbon emissions from conventional fuels by more than 700,000 tons annually. Alfanar's has a diversified portfolio of products and services and works to providing sustainable solutions in power, healthcare, oil and gas, water and social sectors. The company manufactures electrical and construction products at six facilities worldwide and has revolutionised the way cities are run by building and integrating the digital Infrastructure. Key members of the UK aviation industry, including Boeing, Virgin Atlantic and London City Airport are among a coalition that has pledged to achieve net-zero carbon emissions in the sector by 2050, to assist with the UK's overall net-zero strategy. A roadmap to accompany the launch suggests the sector believes it can accommodate a 70% increase in passengers by 2050, while reducing carbon emissions from more than 30 million tonnes a year to net-zero. New aircraft and engine technology and smarter flight operations have been heralded as some of the solutions to support the transition.
  • 8. Copyright © 2022 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 endeavors 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 Indonesia: bp awarded Agung I and Agung II exploration blocks Source: bp bp has been awarded Agung l and Agung ll oil and gas exploration blocks, which the government has put on as a Direct Offer tender as part of the second round of 2021 Oil and Gas Working Area (WK) Bid Round. The Agung I Block covers an area of 6,656 sq kms deepwater offshore Bali and East Java, while the Agung II Block is located in deepwater offshore of South Sulawesi, West Nusa Tenggara and East Java covering an area of 7,970 sq kms. The area is underexplored with significant potential of gas resource close to growing gas demand. The Government of Indonesia’s decision to award 100% interest of the two blocks to bp demonstrates our position as a trusted partner of Indonesia, where we continue to grow our presence and commitment. 'bp has more than 55 years of history in Indonesia. We operate the country’s largest gas-producing field in Tangguh LNG, Papua Barat, contributing approx. 20% of national gas production and will increase to more than 30% once Tangguh's Train 3 starts-up following the completion of Tangguh Expansion Project. bp also has non-operated interest (30%) in Andaman II PSC, an offshore deepwater exploration block in Aceh. The addition of Agung I and Agung II Blocks to our portfolio reflects our continuous commitment to invest and grow our business in Indonesia, said Nader Zaki, bp regional president Asia Pacific. 'We thank the Indonesian government, especially Ministry of Energy and Mineral Resources and SKK Migas for their continued support and we look forward to working with them for many more years to come.' Nader added.
  • 9. Copyright © 2022 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 endeavors 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 EIA projects U.S. energy-related CO2 emissions to fall in the near term, then riseSource: U.S. Energy Information Administration, Annual Energy Outlook 2022 (AEO2022) In our Annual Energy Outlook 2022 (AEO2022), we project that energy-related carbon dioxide (CO2) emissions will decrease in the United States through the mid-2030s and then increase through 2050 across a wide variety of assumptions. We project that, over time, increasing emissions from natural gas and petroleum consumption growth will offset declines in emissions from coal consumption. In our AEO2022 Reference case, which assumes no changes to current laws or regulations, we project that U.S. energy-related CO2 emissions will fall to 4.5 billion metric tons (Bmt) in 2037, or 6% below the energy-related CO2 emissions in 2021, before rising to 4.7 Bmt in 2050, or 2% below 2021 levels. Projected emissions decline from 2022 to 2037 primarily as a result of decreasing carbon intensity (CO2 per unit of energy consumed) in the electric power sector. The rise in emissions from 2037 to 2050 is primarily due to increasing consumption. In the AEO2022 Reference case, U.S. energy consumption grows from 2021 through 2050 because of population growth of 0.4% per year and real economic growth of 2.2% per year. However, the amount of energy needed to produce a unit of economic output, or the energy intensity of the U.S. economy, declines by 41% from 2021 to 2050.
  • 10. Copyright © 2022 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 endeavors 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 Declining energy intensity and carbon intensity result in our Reference case projection of U.S. energy-related CO2 emissions remaining slightly below 2021 levels in 2050 despite the growth in energy consumption. We expect that the carbon intensity of electricity generation will fall because the electric power sector will continue to transition from relatively carbon-intensive coal to less carbon-intensive natural gas and renewable energy. In the AEO2022 Reference case, we project that coal’s share of U.S. energy-related CO2 emissions will decrease from 22% in 2021 to 14% in 2037 and to 13% in 2050. Also in the Reference case, we project that electric power sector emissions will fall below industrial sector emissions by 2040, despite energy consumption growing by about 9% from 2037 to 2050 in both sectors. We expect growth in natural gas used in the industrial sector’s bulk chemicals industry will primarily drive the growth in industrial sector energy consumption. Transportation will likely continue to contribute more energy-related CO2 emissions than any other sector through 2050, despite less energy consumption in the transportation sector than in both the electric power and industrial sectors toward the end of the projection period. We expect the carbon intensity of transportation to remain higher than the other sectors through 2050 because we project continued use of liquid fuels for most modes of travel.
  • 11. Copyright © 2022 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 endeavors 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 March 23-2022 Khaled Al Awadi NewBase for discussion or further details on the news below you may contact us on +971504822502, Dubai, UAE Oil prices rise as U.S. stockpiles decline amid tight market Reuters + NewBase Oil prices rose on Wednesday as a reported drop in U.S. crude inventories increased concerns about tight global supplies amid the hit to Russian exports from economic sanctions. Brent crude futures climbed $1.45, or 1.26%, to $116.93 a barrel at 05.33 GMT, after falling 14 cents in the previous session. U.S. West Texas Intermediate (WTI) crude futures rose $1.31, or 1.2%, to $110.57 a barrel, after losing 36 cents on Tuesday. Oil price special coverage
  • 12. Copyright © 2022 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 endeavors 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 The market remains on edge over the prospect of further sanctions on Russia, the world's second- largest crude exporter, after its invasion of Ukraine, actions that Moscow calls a "special operation". Prices dipped on Tuesday as the European Union seems unlikely to agree to a ban on Russian oil. However, U.S. President Joe Biden is set to announce more sanctions on Russia when he meets with European leaders on Thursday in Brussels, including an emergency meeting of NATO. "We expect continued high volatility through the rest of the week, and especially around Thursday’s NATO summit," said Vandana Hari, founder of oil market analysis provider Vanda Insights. Hari added that there may be some relief for the market if the EU drops the idea of a ban on Russian oil imports. "But supply worries will remain elevated as long as the Russia-Ukraine peace talks remain deadlocked," she said. The latest data from the American Petroleum Institute industry group showed crude stocks in the U.S., the world's biggest oil consumer, fell by 4.3 million barrels for the week ended March 18, according to market sources, counter to analysts' forecasts for an increase. Nine analysts polled by Reuters on average had estimated crude inventories rose by 100,000 barrels in the week to March 18. "The U.S. and Saudi Arabia are the two nations that can meaningfully offset the loss of Russia's oil. Extra supply from either seems unlikely right now but we are in a highly unusual situation and that makes everything more fluid," Commonwealth Bank analysts said in a note. Official U.S. inventory data is due from the Energy Information Administration on Wednesday.
  • 13. Copyright © 2022 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 endeavors 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 NewBase Special Coverage The Energy world –March -23 -2022 CLEAN ENERGY EUROPE POLITICS European Union unlikely to impose an oil embargo on Russia, Silvia Amaro@SILVIA_AMARO KEY POINTS  The U.S. decided to ban imports of the commodity earlier this month, but international allies have so far refused to do so given their dependency on Russian energy.  In 2020, Russian oil imports accounted for about 25% of the EU’s oil purchases, according to the region’s statistics office.  The EU’s reluctance in taking action against Russian oil accentuated a dip in prices on Tuesday morning.  Brent futures fell about 0.6% in early trading hours to $114.96 a barrel. A general view of oil tanks in the Transneft-Kozmino Port near the far eastern town of Nakhodka, The European Union is unlikely to impose an immediate oil embargo on Russia over its unprovoked invasion of Ukraine, according to two CNBC sources with knowledge of the discussions. The U.S. decided to ban imports of the commodity earlier this month, but international allies have so far refused to do so given their dependency on Russian energy. In 2020, Russian oil imports accounted for about 25% of the EU’s oil purchases, according to the region’s statistics office.
  • 14. Copyright © 2022 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 endeavors 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 14 The EU’s reluctance in taking action against Russian oil accentuated a dip in prices on Tuesday morning. Brent futures fell about 0.6% in early trading hours to $114.96 a barrel. Whereas Poland and the Baltic nations are among the most vocal supporters of restricting the purchases of Russian oil, other nations — notably Germany and Hungary — are concerned about what this step would mean for prices. “Only a minority of countries are in favor [of an oil embargo],” an EU official, who didn’t want to be named due to the sensitivity of the talks, told CNBC Tuesday. A second anonymous EU official said: “Discussions continue but no decision likely this week unless [Russian President Vladimir] Putin does something even more outrageous.” European leaders will be gathering in Brussels later this week to further coordinate their response to the invasion of Ukraine. U.S. President Joe Biden will also be in attendance. The U.S. has recently highlighted the possibility of Russia using chemical weapons in Ukraine. This came after Russia, itself, accused Ukraine of operating chemical and biological weapons laboratories backed by the U.S. This was roundly rebuffed by Ukrainian and Western officials and, moreover, the West believes that the accusations could actually be Moscow inventing and building a false narrative and pretext for using its own chemical weapons against Ukraine.
  • 15. Copyright © 2022 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 endeavors 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 15 When asked what sort of reaction Russia using chemical weapons would cause among European countries, the first EU official said: “Then nothing would be off the table.” “If Russia starts using chemical weapons, we would be in a different situation,” the same official said, suggesting that an oil ban could be one of the options. Pressure continues to mount on the bloc to take more action against Moscow as the war in Ukraine drags. “It is very hard, in my view, to make the case that we shouldn’t be moving into the energy sector, particularly oil and coal,” Simon Coveney, Ireland’s foreign affairs minister, told reporters on Monday. Finland’s Minister for European Affairs, Tytti Tuppurainen, said Tuesday: “So far we have not agreed on sanctions when it comes to energy, but it is not excluded either.” Meanwhile, according to a draft document, seen by CNBC, EU leaders are expected to call for an international conference to raise more funding for Ukraine. They will also soon announce that they are phasing out the EU’s dependency on Russian gas, oil and coal imports “as soon as possible.” EU split on Russia oil sanctions, mulls other steps The European Union's foreign ministers disagreed on Monday on whether and how to slap sanctions on Russia's lucrative energy sector over its invasion of Ukraine, with Germany saying the bloc was too dependent on Russian oil to decide an embargo. The EU and allies have already imposed hefty measures against Russia, including freezing its central bank's assets. Russia's siege and bombardment of Mariupol port, which EU foreign policy chief Josep Borrell called "a massive war crime", is increasing pressure for action. But targeting Russian energy exports, as the United States and Britain have done, is a divisive choice for the 27- nation EU, which relies on Russia for 40% of its gas. Some of those who want the EU to go further showed impatience at the pace of talks after a meeting of EU foreign ministers in Brussels. "Why should Europe give Putin more time to earn more money from oil and gas? More time to use European ports?
  • 16. Copyright © 2022 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 endeavors 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 16 More time to use unsanctioned Russian banks in Europe? Time to pull the plug," Lithuania's Foreign Minister Gabrielius Landsbergis said on Twitter. But Borrell told a news conference that while that the bloc would "continue isolating Russia", concrete decisions would be made later. One EU diplomat said some hoped that by June the EU would have found enough alternative sources of energy to seriously consider an oil embargo. No date has been agreed though, and other EU states may have different targets in mind. Germany and the Netherlands said the EU was dependent on Russian oil and gas and could not cut itself off right now. "The question of an oil embargo is not a question of whether we want or don't want (it), but a question of how much we depend on oil," German Foreign Minister Annalena Baerbock told reporters. "Germany is importing a lot (of Russian oil), but there are also other member states who can't stop the oil imports from one day to the other," she said, adding that the bloc should instead work on reducing its reliance on Moscow for its energy needs. Other potential sanctions being discussed, diplomats have said, include closing loopholes on trust funds used by oligarchs, adding new names to the sanctions list, stopping Russian boats from docking in EU ports, and cutting more banks' access to the SWIFT global messaging system. All this will be discussed again on Thursday, when U.S. President Joe Biden will be in Brussels for talks with transatlantic alliance NATO's 30 members, the EU, and Group of Seven (G7) members including Japan, designed to harden the West's response to Moscow. Diplomats have said a Russian chemical weapons attack in Ukraine, or heavy bombardment of the capital, Kyiv, could be a trigger for the EU to go ahead with an energy embargo. But they cautioned that energy was one of the most complex sectors to sanction because each EU country has its own red lines. They said that while the Baltics want an oil embargo, Germany and Italy, which depend on Russian gas, are pushing back because of already high energy prices. Sanctions on coal are a red line for some, including Germany, Poland and Denmark, while for others, such as the Netherlands, oil is untouchable. Moscow itself has warned that such sanctions could prompt it to close a gas pipeline to Europe - another potential deterrent. 'TECTONIC SHIFT' Meanwhile, EU foreign and defence ministers adopted a security strategy meant to boost the bloc's military clout, establishing a rapid reaction force with up to 5,000 troops to be swiftly deployed in a crisis. "The war that is ongoing is a tectonic shift," Borrell said. "We have to be able to react rapidly." The Kremlin has so far not been moved to change course in Ukraine by EU sanctions, including on 685 Russians and Belarusians, and on Russian finance and trade. Russia invaded Ukraine on Feb. 24, calling it a "special operation" to demilitarize Ukraine and purge it of dangerous nationalists. Ukraine and the West say these are baseless pretexts for aggression.
  • 17. Copyright © 2022 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 endeavors 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 17 NewBase Energy News 31 March 2022 - Issue No. 1498 call on +971504822502, UAE The Editor:” Khaled Al Awadi” Your partner in Energy Services NewBase energy news is produced Twice a week and sponsored by Hawk Energy Service – Dubai, UAE. For additional free subscriptions, please email us. About: Khaled Malallah Al Awadi, Energy Consultant MS & BS Mechanical Engineering (HON), USA Emarat member since 1990 ASME member since 1995 Hawk Energy member 2010 www.linkedin.com/in/khaled-al-awadi-38b995b Mobile: +971504822502 khdmohd@hawkenergy.net or khdmohd@hotmail.com Khaled Al Awadi is a UAE National with over 30 years of experience in the Oil & Gas sector. Has Mechanical Engineering BSc. & MSc. Degrees from leading U.S. Universities. Currently working as self leading external Energy consultant for the GCC area via many leading Energy Services companies. Khaled is the Founder of the NewBase Energy news articles issues, Khaled is an international consultant, advisor, ecopreneur and journalist with expertise in Gas & Oil pipeline Networks, waste management, waste-to-energy, renewable energy, environment protection and sustainable development. His geographical areas of focus include Middle East, Africa and Asia. Khaled has successfully accomplished a wide range of projects in the areas of Gas & Oil with extensive works on Gas Pipeline Network Facilities & gas compressor stations. Executed projects in the designing & constructing of gas pipelines, gas metering & regulating stations and in the engineering of gas/oil supply routes. Has drafted & finalized many contracts/agreements in products sale, transportation, operation & maintenance agreements. Along with many MOUs & JVs for organizations & governments authorities. Currently dealing for biomass energy, biogas, waste-to-energy, recycling and waste management. He has participated in numerous conferences and workshops as chairman, session chair, keynote speaker and panelist. Khaled is the Editor-in-Chief of NewBase Energy News and is a professional environmental writer with over 1400 popular articles to his credit. He is proactively engaged in creating mass awareness on renewable energy, waste management, plant Automation IA and environmental sustainability in different parts of the world. Khaled has become a reference for many of the Oil & Gas Conferences and for many Energy program broadcasted internationally, via GCC leading satellite Channels. Khaled can be reached at any time, see contact details above.
  • 18. Copyright © 2022 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 endeavors 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 18
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  • 20. Copyright © 2022 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 endeavors 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 20