FT Energy News 15 December

December 15, 2010

BP nearer target after $77m sale of Pakistan assets (Page 18)

BP’s asset sales this year have risen to almost $22bn after the UK oil group agreed to sell most of its exploration and production assets in Pakistan to United Energy Group for $775m.

Anadarko’s Jubilee party caps tough year (Page 23)

The Jubilee field in Ghana will produce its first oil today and will represent more than a boost in production for Anadarko Petroleum, it will validate the US independent oil group’s strategy to pursue international exploration even as its peers pulled back, it is among a handful seeking organic growth abroad. Anadarko says it expects production to rise by 7-9%, over the next five years, much of it from a string of oil discoveries off the west African coast. As 25% partner in BP’s Macondo well, Anadarko face between $5-$10bn in potential liabilities.


FT Energy News 14 December

December 15, 2010

Wood Group agrees to buy PSN for $955m (Page 22)

John Wood Group, the energy services company, will become the world’s leading brownfield production services provider after agreeing to purchase smaller rival PSN for $955m. The combined brownfields services businesses – which support mature oilfields and gasfields – will bring in about $3bn in annual revenues, according to both companies.

GE’s £800m Wellstream move reflects expansion into energy services (Page 18)

GE has agreed to buy Wellstream, the UK oil and gas services group, for about £800m as part of an aggressive expansion into energy services.

FT Energy News 13 December

December 13, 2010

Cancún seen as ‘beacon of hope’ for climate deal (Page 8)

A global agreement on climate change moved a step closer over the weekend as governments ended the UN Cancún talks with a series of accords on key elements of an overarching deal. A ‘green fund’ that will distribute money to help poor countries cope with climate change, a mechanism for international co-operation on low-carbon technology, and a way to help developing nations preserve their forests all emerged from the two weeks in negotiations in Mexico.

Regal board urges £77m sale (Page 18)

The board of Regal Petroleum has recommended a 24p per share cash offer by Energees Management Limited, a subsidiary of one of the biggest holding companies in the Ukraine. The bid values the oil and gas group at £77 and represents a 62% premium on the company’s average closing share price in November.

China taps into Argentina’s oil prospects (Page 20)

Chinese oil companies have spent more than $15bn in upstream deals in Latin-America. The shift toward the region is happening partly because China’s oil groups are increasingly confident of competing against their western peers in mergers and acquisitions.

FT Energy News 9 December

December 9, 2010

Green deal needs better incentives, says industry (Page 4)

Business and consumer groups have cast doubts over government claims that its flagship policy o insulate Britain’s homes will lead to a green revolution, saying that more incentives will be needed to help meet tough emissions targets. The “green deal” will encourage consumers and businesses to make their premises more energy efficient at no upfront cost. Instead, they will pay through a charge on their energy bill that is intended to be less than the savings made by the improvements.

U-turn fuels fears over higher bills (Page 4)

A Conservative pledge to require gas companies to guarantee supplies will not be included in the energy bill. The Tories had promised to force suppliers to guarantee gas provision even in an emergency but the government is now planning to merely ask them to pay a market price for such supplies, even if a squeeze on supplies has sent that price soaring.

Energy jobs in peril as grants expire (Page 6)

Renewable energy industries in the US face the prospect of falling off “a market cliff” if investment grants for projects such as wind farms are not extended by Congress.

FT Energy News 8 December

December 8, 2010

Energy bill increases fail to fund new power capacity (Page 4)

Higher energy bills that British consumers will begin paying this month have nothing to do with funding new generating capacity, according to leading gas and electricity groups, saying that the UK will lose about 30% of its generating capacity by 2020.

Do you need a car?

December 7, 2010

Few of us add up all the costs, but car ownership is one of the costliest things people do on an ongoing basis in life. While the day to day costs of petrol are significant, the annual costs of motor tax and insurance and servicing should also be factored in, while the depreciation associated with the capital outlay is the largest cost of all.

Other costs vary from person to person. The cost of parking, time, stress, fines and risk are significant.

When all costs are added up, the total cost is extremely large, just see for yourself.

CO2 Emission Bands Band A Band B Band C Band D Band E Band F Band G
Car Value 10,000 12,500 15,625 19,531 24,414 30,518 38,147
Motor Tax 104 156 302 447 630 1,050 2,100
Insurance 500 575 661 760 875 1,006 1,157
Depreciation 1,250 1,563 1,953 2,441 3,052 3,815 4,768
Interest on Capital 500 625 781 977 1,221 1,526 1,907
Parking 300 300 300 300 300 3,909 3,909
NCT 25 25 25 25 25 25 25
Servicing and Replacements 250 313 391 488 610 763 954
Petrol/10,000km 980 1,120 1,260 1,400 1,540 1,680 1,820
Oil/10,000km 10 13 16 20 24 31 38
Tyres/10,000km 100 125 156 195 244 305 381
4,019 4,814 5,845 7,054 8,521 14,109 17,060

The most common cars in Ireland are in Band C. At a running cost of €5,845 per year, how many buses, taxis, trains and car rentals would that pay for?

Average Price Trips for the same price
Train 30 195
Local Bus/train 2 2,923
Inter-city Bus 15 390
Car Rental/day 100 58
Taxi 20 292
Walks/Cycles <1 1000s

Do you need a car?

FT Energy News 7 December

December 7, 2010

Nuclear plants’ subsidies attacked (Page 2)

New nuclear power plants should not receive government subsidies because they are financially viable but a proposed feed-in tariff for low-carbon energy , which would include renewable and nuclear, would be acceptable because it would not represent a direct subsidy, said David Kennedy, chief executive of the Committee on Climate Change, a statutory body set up to advise the government on how to meet its emissions-cutting targets.

France nears $9bn deal to build two reactors in India (Page 8)

France has taken a lead over rivals including the US and Russia for a €7bn deal to build two nuclear power plants in India.

Brussels to target energy trading abuses (Page 10)

The European Union plans to crack down on insider trading and price manipulation in the natural gas and electricity markets. Gunther Oettinger, the energy commissioner, is expected to release legislation proposals on Wednesday requiring traders and generators to give regulators details of their trading and production activities.

ÈDF says that overseas strategy is unchanged after EnBW sale (Page 23)

EDF insisted its international strategy was unchanged after announcing its withdrawal from Germany through the surprise sale of its politically controversial stake in the German utility EnBW. The state of Baden-Wurttemberg is buying EDF’s 45% stake for €4.7bn in cash.