Oil & Natural Gas: News & Discussion

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sanjaykumar
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Re: Oil & Natural Gas: News & Discussion

Post by sanjaykumar »

Well the party and the Jihad seems to be over.
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Post by chanakyaa »

SaiK
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Re: Oil & Natural Gas: News & Discussion

Post by SaiK »

Time has come to create some massive oil reserves, augmented storage areas. The prices are to hit low! sub 25 per crude barrel. Unless UNkill lets Russkies gain on their supplies for the demand.

Now, we have to be careful in the sense, maintain the oil intake only marginally high for the augmented use, so that we don't upset the demand: supply balance to further crash the oil market! :twisted:
Kashi
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Re: Oil & Natural Gas: News & Discussion

Post by Kashi »

^^ What's the status of our strategic oil reserve that was supposed to come up..

This link tells me that the construction of the three designated reserves should have been completed by October 2015

http://www.isprlindia.com/default.asp

But no updates on whether they have actually started stocking oil. We must do so while the oil prices stay low.
deejay
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Re: Oil & Natural Gas: News & Discussion

Post by deejay »

The article is good read focussing on multiple aspects of Oil economy. Its long so just posting the link and an image

http://www.rferl.mobi/a/falling-oil-pri ... 97423.html
Crude Reckoning: The Far-Reaching, Unexpected Effects Of Falling Oil Prices

Image
Austin
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Re: Oil & Natural Gas: News & Discussion

Post by Austin »

off my head a lot of data on the Oil Price Needed to balance the budget in incorrect

........ And balancing the budget itself is a weird concept because not many countries in world try to do that they run some percentage of budget deficit.
member_29172
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Re: Oil & Natural Gas: News & Discussion

Post by member_29172 »

Kashi wrote:^^ What's the status of our strategic oil reserve that was supposed to come up..

This link tells me that the construction of the three designated reserves should have been completed by October 2015

http://www.isprlindia.com/default.asp

But no updates on whether they have actually started stocking oil. We must do so while the oil prices stay low.
The less it's talked about the better, most countries wouldn't even discuss these things in open public.
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Re: Oil & Natural Gas: News & Discussion

Post by Vipul »

As India seeks to build strategic reserves, UAE’s Adnoc agrees to store crude.

In a first of its kind deal, the UAE’s national oil company, Adnoc, has agreed to store crude oil in India’s maiden strategic storage and give two-third of the oil to it for free.

India, which imports 79 per cent of its crude oil needs, is building underground storages at Visakhapatnam in Andhra Pradesh and Mangaluru and Padur in Karnataka to store about 5.33 million tonnes of crude oil to guard against global price shocks and supply disruptions.

The Abu Dhabi National Oil Company (ADNOC) is keen on taking half of the 1.5 million tonnes in the Mangaluru facility, Oil Minister Dharmendra Pradhan said on Wednesday.

It will stock 0.75 million tonnes or 6 million barrels of oil in one compartment of the Mangalore facility. Of this, 0.5 million tons will belong to India and it can use it in emergencies. Adnoc will use the facility as a warehouse to trade its oil.

The 1.33-million-tonne Visakhapatnam storage and 2.5-million-tonne Padur stockpile together with the 1.5 million tonnes in Mangaluru will be enough to meet the nation’s oil requirements for about 10 days. After talks with visiting UAE Minister for Energy Suhail Mohammed Al Mazrouei, Pradhan said tax issues remain to be sorted out before Adnoc can begin storing oil in Mangalore. The Congress-ruled Karnataka government has not yet agreed on waiving VAT on the crude oil imported for the strategic storage, which the UAE wants to use to stock oil when prices are low and supply to its customers when rates are good.

“This will be beginning of our strategic ties,” he said, adding that Prime Minister Narendra Modi’s visit to the UAE last August laid the foundation for closer cooperation.

UAE had then committed to invest $75 billion in India, and Pradhan showcased opportunities for that investment to Mazrouei on Wednesday. “We have offered them refinery projects, petrochemical plans, pipelines and LNG terminals for investment,” he said.

On offer was a 26 per cent stake for $700 million in ONGC’s about-to-be-commissioned petrochemical project in Dahej, Gujarat, and 24 per cent equity for $200 million in an expansion being planned by BPCL of its subsidiary Bina refinery in Madhya Pradesh.
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Re: Oil & Natural Gas: News & Discussion

Post by arun »

Concise information our country’s present and proposed strategic crude oil and refined petroleum product storage capacity. Underground Storage cavern of Vizag unit of Indian Strategic Petroleum Reserve Limited aka ISPRL with 1.33 MMT of crude oil has been commissioned and stands filled up. Excerpt:

“The Government, through Indian Strategic Petroleum Reserve Limited (ISPRL) is setting up strategic crude oil reserves with storage capacity of 5.33 Million Metric Tonnes (MMT) at three locations viz. Visakhapatnam(1.33 MMT), Mangalore(1.5 MMT) and Padur (2.5 MMT). Also, Detailed Project Reports have been prepared for establishing additional crude oil reserves of 12.5 MMT at Chandikhol (3.75 MMT), Padur(2.5 MMT), Rajkot (2.5 MMT) and Bikaner (3.75 MMT).

At present, there is existing tankage of 14.8 MMT of crude oil and 13.7 MMT of petroleum products in the country which provides coverage of approximately 63 days as per consumption. Strategic crude oil reserves of 5.33 MMT being set up in phase-I and strategic crude oil reserve of 12.5 MMT in phase-II will give coverage of approximately 12 days and 28 days respectively as per present consumption.

Vishakhapatnam cavern has been commissioned and filled with crude oil. Mangalore and Padur caverns would be completed by March and May 2016 respectively.”


From here:

Strategic crude oil reserves in the country
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Re: Oil & Natural Gas: News & Discussion

Post by Gagan »

Located all three on Google earth. In the process of identifying other sites.
I think India is moving from these steel tank farms to these cemented underground tunnels for Oil storage.
The walls are Cement lined, and will store only curde oil.

Image

Vizag facility
Image
Water curtain works
Excavation work included advance of two 6m x 6.5m x 1.3km long water curtain galleries. Once completed boreholes of 102mm diameter and 75m long were drilled horizontally at 10m intervals from both sides of the galleries to cover the caverns. These were sealed and connected to a continuous recirculating pumping system injecting water to a pressure of 6 bar to seal any fissures in the rock around the caverns. As an essential part of the project, the water will prevent seepage of crude fumes through the fissures to eliminate the possible risk of explosions. Similarly, the strictly enforced smooth finish specification of the gallery walls, with just 400mm tolerance either side of the tunnels, is set to reduce the risk of voids in the caverns and the possible build-up of fumes and once again preventing the risk of explosions.
The floors of the caverns are 80m below mean sea level and beneath a hill that rises above the site to an elevation of about 130m.
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Re: Oil & Natural Gas: News & Discussion

Post by ashthor »

Chandikhol is in odisha 41 kms from cuttack
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Re: Oil & Natural Gas: News & Discussion

Post by rsingh »

There was this article about how India and China are changing the way crude is sold in international market. Instead of going by old established method of buying oil-futures, spot buying is perfected by these countries and that is a big pain in the ass for oil producers. hope I could find yhis article somewhere.
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Re: Oil & Natural Gas: News & Discussion

Post by Prem »

India wants to store OPEC’s crude
http://fuelfix.com/blog/2016/03/03/indi ... ecs-crude/
Prime Minister Narendra Modi’s message to OPEC is come and store crude oil in India.Modi’s Feb. 29 budget exempts foreign companies from federal income taxes on permitted local sales of oil kept in caverns India has been building. That may spur the Organization of the Petroleum Exporting Countries to fill the bunkers, allowing Modi to skirt the full cost of about $5 billion for stockpiling a targeted 130 million barrels.“This is a good way to fill up the caverns,” said Arun Kumar Sharma, finance director at the country’s biggest refiner Indian Oil Corp. “Most of our refineries are heavily dependent on OPEC crude.”Using India’s bunkers would help the bloc maintain its 85 percent share of the local market. A portion of the oil would likely be ring-fenced for use in a crisis, with the rest available to trade. The world’s third-largest crude buyer is seeking to boost small strategic reserves of just 10 million barrels. India’s emergency stockpile is a fraction of the supply buffers in neighbors Japan and China, even in a world awash with cheap crude looking for a home.“The Indian model is similar to the Japanese model, in that the country saves money by allowing other nations to store crude but has first access to it in the case of an emergency,” said Amrita Sen, chief oil market analyst at Energy Aspects Ltd. in London.India could boost the strategic reserve by 30 million barrels this year, but there may be delays to the schedule of having the rest in place by 2020, Sen added.The government is seeking to create strategic storage capacity of 17.83 million tons across seven caverns, which would provide cover for 40 days. Some 1.33 million tons in one cavern is in place now, and two others with a total 4 million tons capacity are due to be completed by May.Besides emergency tanks, refiners have capacity to store as much as 28.5 million tons of crude and fuels in tanks and pipelines, sufficient for 63 days.Several national oil companies from OPEC members in the Middle East are interested in storing crude in Indian caverns, people familiar with the matter said in 2015.
Last month, Oil Minister Dharmendra Pradhan said Abu Dhabi National Oil Co. has offered to storeoil at the Mangalore emergency reserve in southern Karnataka state. An official said two-thirds of the deposit would be strategic storage and the rest can be traded.While India is moving to make sales of crude from bunkers free of federal income tax, the nation’s states impose other levies foreign companies would have to pay. Brent crude, the global benchmark, has slipped about 39 percent in the past year and was trading at $37.07 a barrel at 9:37 a.m. Singapore time on Thursday.“The budget proposal is a step in the right direction,” said Tushar Tarun Bansal, a senior oil consultant at analyst Facts Global Energy in Singapore. “However, overseas investors and producers would want complete clarity on all the various taxes and duties that may potentially be applicable before deciding
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Re: Oil & Natural Gas: News & Discussion

Post by Kakkaji »

D5 Block: ONGC sees over $4bn investment
On the heels of the government announcing a slew of reforms in the oil and gas sector, state-run explorer ONGC Saturday said it will finalise "a multi-billion dollar investment plan" for the 98/2 fields of D5 Block in the KG Basin by the month-end or early April.

The D5 Blocks will be the second largest oil and gas fields for both ONGC and in the country, with the largest being the Bombay High oil fields and the Bhasin gas fields.

"We will finalise a multi-billion dollar investment for our 98/2 fields in D5 Block in the KG Basin by the end of the month or early next month. I cannot divulge exact quantum of the investment, but I can assure you that it will be in multi-billion dollars," ONGC chairman and managing director S K Sarraf said.

This will be the largest investment in a single field by ONGC in its over six decades of existence, he said.

Sarraf described the new oil and gas policy announced on March 10 as "the best thing happened in many decades as that was a golden day for the oil industry".

The Cabinet approved a new pricing formula for gas discoveries made in difficult-to-access areas. The formula will be based on a weighted one-year average of prices of fuel oil, naptha and imported coal.

In a bid to attract investments in oil and gas sector, the government Saturday announced a new pricing formula for undeveloped gas discoveries in difficult areas that would result in 85 per cent jump in rates and help monetise Rs 1.80 trillion of inert finds.
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Re: Oil & Natural Gas: News & Discussion

Post by Suraj »

India, Middle East Countries In Talks On Oil-For-Food
India is in talks with some Gulf nations to buy oil to fill its strategic reserves and sell food in return, seeking to use its position as the world’s third-largest oil importer to both secure energy supplies and boost exports.

Indian Oil Minister Dharmendra Pradhan told reporters the idea was still fluid, but New Delhi had held preliminary conversations with the United Arab Emirates (UAE).

Prime Minister Narendra Modi and Abu Dhabi’s crown prince, Sheikh Mohammed bin Zayed Al Nahyan, have discussed the issue twice, Pradhan said.

“We are discussing various models,” Pradhan added.

India imports about four-fifths of its oil needs, with bulk of that supplied from the Middle East. A global supply glut has oil-rich countries there struggling to boost sales.

India is also the world’s biggest rice and wheat producer after China and has large stocks of the staples.

Countries in the Middle East import food in large quantities as the region has less arable land and water.

The cost of food imports there could double to $70 billion in 20 years, as climate change hits crop yields and the population rises, an analyst at the International Center for Agricultural Research in the Dry Areas told the Thomson Reuters Foundation last year.

On Feb. 1, rice stocks at the state-run Food Corporation of India were 16.2 million tonnes, against a target of 7.6 million tonnes. Wheat stocks totaled 20.3 million tonnes, higher than the government-set target of 13.8 million.

“They can buy food from here and store in India or in their countries; and we can buy oil from there and store in our strategic storage,” Pradhan said.
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Re: Oil & Natural Gas: News & Discussion

Post by hanumadu »

Gagan wrote:Located all three on Google earth. In the process of identifying other sites.
I think India is moving from these steel tank farms to these cemented underground tunnels for Oil storage.
The walls are Cement lined, and will store only curde oil.
The steel tank farms are part of the supply chain inventory and there is a 60day supply in them. Add 30 days of the planned strategic reserve and it comes to 90 days of supply available in times of emergencies.
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Re: Oil & Natural Gas: News & Discussion

Post by vishvak »

first major U.S. LNG shipment for export launched this week
Read it all. The world LNG market, like oil market, is oversupplied and will be so for few years with Australia increasing exports. Local LNG inventories in USA are growing too.
But Gentle and others point out that U.S. supply is plentiful and cheap to produce currently.
Shale gas is decreasing local prices of LNG within USA too.
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Re: Oil & Natural Gas: News & Discussion

Post by arshyam »

Didn't see this posted on BRF. x-posting on the economy thread as well.

New Oil Exploration Policy Is True Market-Based Reform; Dharmendra Pradhan Has Earned His Reform Stripes - R Jagannathan, Swarajya
This is reform. Real reform. The NDA government’s announcement of a new Hydrocarbon Exploration and Licensing Police (HELP), which replaces the controversy-ridden NELP, is likely to go down as one of its biggest market-oriented reforms to date, possibly as big as the New Telecom Policy of NDA-1, which launched the telecom revolution. The stage has been set to increase oil, gas and coal-bed methane products in the coming years dramatically.

The key features of HELP, drafted under the stewardship of Petroleum Minister Dharmendra Pradhan, are that there will be one single licensing policy for all kinds of hydrocarbon (oil, gas, coal-bed methane, shale), market-based pricing for hydrocarbon produced in deep water, ultra deep water, and high pressure temperature areas (that is, places where exploration and production are difficult), and, most importantly, offer licensees bidding based on revenue-sharing instead of profit sharing.

With this policy, Pradhan has emerged as one of the unexpected reform icons in the Modi government, after stewarding diesel price decontrol and shifting LPG subsidies to direct benefit transfers. Next on his list could be kerosene, for which pilot projects are underway.

Pradhan’s hydrocarbon licensing policy is a big shift from the profit share-based bidding process under the previous New Exploration and Licensing Policy (NELP) that resulted in endless wrangles, heartburn and arbitration involving Reliance Industries’ gasfields in the Krishna-Godavari (KG) offshore areas, among other things.

Revenue-sharing is intrinsically easier to define and capture for both parties than profit share, since profit share needs you to calculate both variable and investment costs, often leading to gold-plating of projects by contractors since this enables them to postpone sharing of profits with government. If costs are inflated, the profit share date get pushed back for the government as profits can be made only after full investment and variable costs are recovered.

But before Arvind Kejriwal rushes in to say that this was intended to benefit Reliance Industries, the policy explicitly states that HELP will apply only to new offshore oilfield projects that are yet to start commercial production as on 1 January 2016. Reliance can benefit only from bidding in new fields, and it has to win those bids in the first place.

The new, liberalised marketing and pricing freedom policy will not apply to contractors who have “pending arbitration or litigation…directly pertaining to gas pricing covering such fields”. Thus Reliance, which has arbitration and litigation going on in respect to its Krishna-Godavari fields, will not benefit from this till it settles with the government. The government’s policy also makes it clear that “all the fields currently under production will continue to be governed by the pricing regime which is currently applicable to them.”

In short, it is about future projects, and not current ones.

However, the marketing and pricing freedom indicated by the new policy is not total, and the government has put in a ceiling based on the landed cost of imported fuels. The ceiling price to be announced by the government will be the lowest among three prices – the landed price of fuel oil, the weighted average landed price of substitute fuels such as fuel oil, coal and naphtha, and the landed price of imported liquefied natural gas (LNG).

But this ceiling is generous enough to pass off as market-based pricing since the market price would anyway have been limited by the price at which one can make imports. What this formula does is limit the contractors’ ability to use kinks in an imperfect market to make large price increases. A transparently calculated ceiling price will not be too intrusive an intervention by government in market trends. It leaves ample room for discovering a true balance between demand and supply in the home market.

Another innovation introduced in HELP is the opening up of the entire Indian exploration acreage for investment instead of offering blocks bit by bit. Under the new “open acreage licensing policy”, anyone can bid for any area to explore, but the actual licence will be given only on the basis of competitive bidding. In revenue-share bids, the winner will be the party offering the highest net present value of future revenue shares over the expected life of a hydrocarbon field.

In order to encourage exploration, the government is also offering a concessional royalty scheme – which will be zero for deep water and ultra-deep water areas for seven years, and then go up to 5 percent and 2 percent for the two kinds of fields respectively. For shallow water areas, the royalty rates are down from 10 percent to 7.5 percent.

After dilly-dallying for nearly two years, the NDA government has finally bitten into real reform. Dharmendra Pradhan is the unlikely reformer who deserves kudos for this achievement.
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Oil & Natural Gas: News & Discussion

Post by Peregrine »

India signs big energy deals with Russia’s Rosneft
NEW DELHI/MOSCOW: Indian state-owned companies signed energy deals worth billions of dollars with Russia's Rosneft on Wednesday to buy into its most promising assets in Siberia, stepping up a drive to cut New Delhi's dependence on imports.
Cheers Image
Neshant
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Re: Oil & Natural Gas: News & Discussion

Post by Neshant »

^^ now how long before they shift the goal post and demand more money as with defence deals
Austin
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Re: Oil & Natural Gas: News & Discussion

Post by Austin »

India, Russia oil ties with $4billion deals

http://timesofindia.indiatimes.com/busi ... 434055.cms
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Re: Oil & Natural Gas: News & Discussion

Post by Kakkaji »

India in final stage of talks with UAE for strategic crude oil storage tie-up

Around two-thirds of the storage will be available to India for free for strategic use
Austin
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Re: Oil & Natural Gas: News & Discussion

Post by Austin »

Indian Firms Could Invest $20 Billion in Tehran: Oil Minister

http://profit.ndtv.com/news/corporates/ ... er-1375617
ramana
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Re: Oil & Natural Gas: News & Discussion

Post by ramana »

Bhaskar Use this thread for oil and gas news.
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Re: Oil & Natural Gas: News & Discussion

Post by vasu raya »

GAIL to Use Drones to Secure Gas Pipelines
Gail India, the country's biggest gas transporter, will deploy drones on pilot basis on its main trunk pipeline as part of higher safety measures it is implementing to secure its vast network.

In the aftermath of the June 2014 accident at its pipeline in Andhra Pradesh that killed at least 18 people, the state-owned firm has taken a number of initiatives to raise safety standards including replacing old pipelines and using advanced technology.
"We plan to use drones on a pilot basis on a 200-km stretch of the HBJ pipeline in the Chambal Ravines in Madhya Pradesh," GAIL Director (Projects) Ashutosh Karnatak told PTI.

The company has already tendered for drones and the response has been encouraging. "We hope to award the tender in a month time," he said.

The drones will be used to patrol the pipeline to detect physical abnormal activity like encroachment or intrusion on the pipeline.

GAIL India has also started using satellite surveillance to monitor its 13,000-km of gas pipeline network.

A government probe into the June 2014 accident had highlighted safety lapses at the firm and prompted sector regulator Petroleum and Natural Gas Regulatory Board (PNGRB) to slap a penalty.

Karnatak said drones will be used to detect encroachments around pipelines as they are a big safety hazard.

In the pilot, a drone will fly over the pipeline, capturing pictures and other data using smart technology.

The data will be analysed to detect any potential hazard.

"We estimate a drone may cost Rs 2.5 crore or so," he said adding the company is experimenting if technology can replace patrolling.

If successful, drones will be used on other key pipelines.

GAIL, at present, uses foot patrolling to spot encroachments and seeks local administration's help in getting them cleared.

Drones will however not be able to detect any leakage, for which the company will continue to reply on sensors and patrolling, he said.

"We started using live satellite monitoring of the pipelines this year and we are now integrating advance Unmanned Ariel Vehicle (UAV) with this system," he said.

Pipeline securities is a major issue across the world and with recent progress in satellite sensing technology, availability of new high resolution satellites and object oriented image analysis, there is a possibility to introduce space technology for pipeline monitoring applications.

GAIL did pilot project on satellite monitoring on its 610 km Dahej-Vijaipur pipeline.
Wonder why India didn't ask for the hydro carbon sensors on the P-8I? the export version

There is the shallow water UUV showcased in news recently maybe they can adapt it to monitor the undersea pipelines as well as the internet cables
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Re: Oil & Natural Gas: News & Discussion

Post by Austin »

The 17 Countries Sitting On The Most Valuable Energy Reserves

http://www.businessinsider.in/The-17-Co ... 355961.cms

India is Ranked 16 $6.5 trillion value at current prices
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Re: Oil & Natural Gas: News & Discussion

Post by Prem »

http://english.alarabiya.net/en/views/n ... olicy.html
Hurt Saudi Arabia: Iran’s oil war and policy politicization
The defiant Islamic Republic of Iran has ignored proposals, from members of the Organization of the Petroleum Exporting Countries (OPEC) as well as other major oil-producing countries, to discuss freezing of oil production in order to boost prices and tackle global oil surplus.Many argued that Iran would become more cooperative after it re-joined the global financial system. Nevertheless, it remains a delusion to make the argument that Iran will join other heavy-oil suppliers to address low oil prices anytime soon, even though the plunging oil revenues have wreaked havoc on several nations. The uncooperative behavior of the Iranian leaders highlights several crucial issues economically and geopolitically.Iran’s oil policies are not solely driven by economic factors, like other rational state actors, but by geopolitical parameters as well as Tehran’s regional hegemonic and ideological ambitions.
When it comes to shaping and controlling oil policy, two major institutions play crucial roles and have the final say in Iran; the office of the supreme leader, Ali Khamenei, and senior officials of Iran’s Revolutionary Guard Corps. They hold the monopoly and enjoy significant control over Iran’s oil and gas reserves and resources.Secondly, Khamenei and the IRGC do not analyze supply, demand, and inventories in the market in order to adjust their oil output and oil prices. From their perspectives, Iran’s military expenditures, its geopolitical and ideological influence in the region, as well as the regional balance of power guide its oil policies.Iran’s oil policies are not solely driven by economic factors, like other rational state actors, but by geopolitical parameters as well as Tehran’s regional hegemonic and ideological ambitionsAs a result, for Khamenei and the IRGC leaders, they consider only if their country’s defiant attitude of increasing oil production will inflict harm on the economic prowess and national interests of Tehran’s regional rivals.Finally, Iran is not harmed by the current oil prices. Khamenei used to be satisfied with oil at less than $20 a barrel. As long as the oil prices are even at the current low prices, Khamenei and IRGC leaders will be satisfied with the revenues that they are receiving. They are also increasing their output to four millions barrels a day. That would increase Iran’s revenue to over 500 percent, in comparison to the time when Iran was under economic sanctions.Iran’s foreign policy is increasingly being defined by the vicious cycle of interaction between soft power and hard power. The soft power in this case is the Islamic Republic’s employment of economic and financial prowess to exert its influence the region. The hard power is deploying its military and Qud Forces (branch of IRGC), using proxies for wars, as well as setting up military bases outside Iran for offensive purposes and support of its allies.

As the IRGC military influence and stranglehold is escalating in several countries – including in Syria, Iraq, and Yemen – its need for financial means is increasing. The Islamic Republic is spending billions of dollars every year in order to maintain Bashar al-Assad’s power, preserve its military, security and intelligence influence in the Iraqi government, in Lebanon through Hezbollah, in Yemen via the Houthis, and in Bahrain through some Shiite groups.Thanks to the nuclear deal, the United Nations Security Council’s sanctions relief has finally provided the senior official of the IRGC and the supreme leader, Ali Khamenei, with the required financial means to buttress its military stranglehold across the region. More importantly, with Iran’s revenue increasing due to its ramping up of oil exports, the country will invest more in its hard power across the region to tip the balance of power of its favor.For Iran to become cooperative with other OPEC member and major oil producing nations, the oil prices have to significantly drop even below the current rate. Or, if the regional countries put pressure on Iran through soft power – such as cutting diplomatic ties with Iran – and if they isolate the Iranian leaders, that could also force the Iranian leaders to recalculate their oil policies since geopolitical issues and oil policies are mixed together for them.Iran views itself as the leader of the Islamic world (not only the Shiites but also the Sunnis). As a result, being isolated by Muslim nations is as powerful as economic sanctions – when it comes to trying to change Iran’s uncooperative behavior and the shift in its aggressive and interventionist policie
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Re: Oil & Natural Gas: News & Discussion

Post by Prem »

http://www.dnaindia.com/money/report-sa ... an-2206236
Saudi Arabia's Aramco studying offers for Indian oil refinery stakes: Dharmendra Pradhan
Saudi Aramco is considering proposals to buy stakes in Indian oil refining and petrochemical projects, oil minister Dharmendra Pradhan said on Monday, as the world's biggest oil exporter seeks outlets for its oil.Pradhan earlier this month met with Saudi Aramco chairman Khalid al-Falih and sought Saudi investment in a planned 1.2 million bpd refinery on India's west coast, the expansion of the Bina refinery and a petrochemical plant at Dahej, he said on Monday."All the three we have offered to Saudi. The two sides will decide on the proposals in a time bound manner," Pradhan said, meaning there are deadlines for reaching investment decisions.Three Indian state refiners - Indian Oil Corp, Hindustan Petroleum Corp and Bharat Petroleum Corp BPCl.NS - plan to build the 1.2-million bpd refinery on the country's west coast at a cost of more than Rs 1 lakh crore ($15.02 billion) to meet the country's growing fuel demand.Bharat Oman Refineries Ltd is expanding the capacity of the Bina refinery in Central India by 30% to 156,000 bpd while OPAL, majority owned by Oil and Natural Gas Ltd, is building a petrochemical plant in Gujarat.Saudi Aramco Chief Executive Amin Nasser last month said his company will is looking to expand its downstream investments in China, Malaysia, India, Vietnam and Indonesia.Saudi Aramco's expansion into refineries in major markets help guarantee demand for its crude oil exports amid intensifying global competition.India will be the most important driver of world energy demand growth in the years to come with its oil consumption rising by 6 million bpd to about 10 million bpd by 2040, according to the International Energy Agency.In the fiscal year to March 2016, the country's fuel demand surged at its highest pace in at least 15 years.
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Re: Oil & Natural Gas: News & Discussion

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Bright prospect for piped gas
Mumbai, May 29: Demand for city gas distribution is expected to see strong growth because of the focus on clean environment and competitiveness of gas vis-a-vis other fuels.

"CNG is extremely competitive vis-a-vis petrol (around 50 per cent advantage) and diesel (around 20 per cent advantage), with a short payback period of two years to convert a private car from petrol. Residential piped natural gas is uncompetitive compared with subsidised LPG. The growth in the residential sector, therefore, is driven by the ease of use. However, piped natural gas is competitive compared with unsubsidised LPG,'' analysts in the report said.

To boost city gas distribution, the Centre will add 28 circles to the existing 51 through the fifth and sixth round of auctions.
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Indian oil majors, Russia’s Rosneft to ink $3-3.5 bn deals for Siberia field stake

http://www.financialexpress.com/article ... ke/274499/
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EIA Ups Crude Oil Price Predictions for 2016 and 2017

http://oilprice.com/Latest-Energy-News/ ... -2017.html
The United States Energy Information Administration upped its forecasts of average crude oil prices by $1 a barrel and $3 for 2016 and 2017, respectively, on Tuesday, in its monthly Short-Term Energy Outlook report.

The new predictions say the average price in 2016 would stand at $43 a barrel and $52 a barrel in 2017. West Texas Intermediate price would be slight lower than Brent oil prices in 2016, but the two would be equal by 2017, the report said.
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Government gears up to start LNG barges on Ganga by 2018-end
NEW DELHI: To encourage fuel-efficient cargo transportation and minimise pollution, the government today said efforts are on to ensure LNG barges commence navigation on National Waterway-1 (Ganga) by 2018-end.

Petronet LNG plans to set up a base depot at Haldia and fuelling stations at Sahibganj (Jharkhand), Patna (Bihar) and Ghazipur (UP).

The Ministry said there is a potential for 17.5 MT of cargo on NW-1 by 2020.

As National Waterways in Goa offer immense opportunities in transportation of iron ore and are closer to LNG storage facilities, the introduction of LNG Barges is being considered for that region too, the statement said.
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India's ONGC to Invest $5 Bln in Russia Projects in 2016 - Official

http://sputniknews.com/business/2016061 ... s-oil.html
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By 2040, oil prices will probably reach only $80 per barrel, ExxonMobil’s CEO, Rex Tillerson, said at SPIEF.

“We are expecting $80 by 2040,” he predicted.
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Rosneft Chief on recent India Deal

http://tass.ru/pmef-2016/article/3388556


On the purchase of a stake in Essar Oil Refinery


"Rosneft" expects that the completion of the deal to buy 49% stake in Essar Oil refinery in India will be held by October. "We have the main documents signed, go through various procedures, bilateral, obtain the necessary permits and are working to complete the deal here. (In the completion of the transaction - Ed.). Is not only up to us to think that by October about complete.", - He said, Sechin.

The head of "Rosneft" did not mention the amount of the transaction to complete the signing of documents.

"In general, we are talking not only about 49% of the refinery, we have included in the transaction perimeter of the second phase of the plant, it all requires a little clarification. In general, all major decisions were held, including on the issue of evaluation. Just have additional assets that we have included ", - he said.
In July 2015, "Rosneft" and the shareholders of Essar signed the basic conditions for entering the Russian company in the authorized capital of Essar Oil refinery in the city of Vadinar with a share of up to 49%.

"Rosneft" and Essar Oil have also signed a long-term contract for the supply of crude oil to India. The contract includes the supply of a total of 100 million tons of oil for 10 years. It was noted that "Rosneft" will start oil supplies to the refinery Essar refinery after entering the capital. Refinery capacity is currently 20 million tons per year. The parties intend to increase the capacity of the plant, bringing the annual volume of oil refining to the level of 45 million tonnes by 2020.

The transaction perimeter includes also retail network of 1.6 thousand. Gas station on the territory of India. The party plans to bring the total number of petrol stations up to 5 thousand. For the next two years.

Essar Oil - a division of diversified Essar Group, owns the second largest private oil refinery in the city of Vadinar India.

The deal with a consortium of Indian companies


The amount of the transaction with a consortium of Indian companies - Oil India, Indian Oil and Bharat Petro Resources - for the sale of 23.9% stake in "Vankorneft" is more than $ 2 billion.

"It is true (value of more than $ 2 billion - ed.). Indeed so However, we managed to convince partners that the fundamental value of the mining project does not depend on the current situation, and even improve the original proposal What I would like to thank... our partners who trust us and who understand the value of our resource base, and now have the opportunity to participate in our work ", - said Sechin.

According to him, the Indian partners are convinced that "all this work will be aimed at including in the energy security of India."

"The fact that the Indian partners are increasing their share in the capital of" Vankorneft "allows, in turn, we have to take a decision on the development of East Siberian cluster We will develop oil production in this region and to organize new projects." - Said Sechin.

"Rosneft" and a consortium of Indian companies - Oil India, Indian Oil and Bharat Petro Resources - within past St.Petersburg International Economic Forum signed a purchase contract - the sale of 23.9% shares of "Vankorneft 'and shareholders' agreement.

After closing, the consortium will join the board of directors "Vankorneft". At the same time, "Rosneft" will retain a majority stake in the project, the majority of the board of directors, control over the operations, as well as complete control over common infrastructure cluster (including pipeline Vankor - Purpe).

Vankor field is located in the north of Eastern Siberia in Turukhansk district of the Krasnoyarsk Territory, 142 km from the town of Igarka. 2P reserves of hydrocarbons in accordance with PRMS classification at January 1, 2016 amount to 265 million tons of oil and condensate and 88 billion cubic meters. m. gas.

In 2015, at the Vankor field produced 22 million tons of oil and 8.71 billion. Cubic meters of gas.
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