Black Hills buys GE-backed SourceGas for $1.89billion
Black Hills has agreed a $1.89billion deal to buy GE-backed SourceGas Holdings.
Full steam ahead for biofuel plan
The UK’s biggest railway stations have signed up to a new project turning coffee waste into fuel. Euston, King’s Cross, Liverpool Street, Paddington, Victoria and Waterloo, all in London, generate nearly 700 tonnes of coffee waste each year between them. Rather than sending it to landfill, where it would release more than 5,000 tonnes of carbon dioxide into the atmosphere each year, this waste will now go to a factory run by the bio-bean firm to become carbon-neutral biofuels for heating homes, offices and factories.
Renewable projects share £500,000
Communities across Scotland will share £500,000 of funding for projects designed to encourage the use and local ownership of renewable energy.
Scottish economy continues recovery despite oil dip
Scotland’s economy is continuing its moderate recovery after a slowdown at the beginning of the year, according to a report. The Bank of Scotland’s monthly purchase managers index (PMI) - which measures performance in manufacturing and services by gathering data from around 600 companies - signalled continued economic growth in June, although it was down slightly compared with the previous month. The services sector was again the primary driver of expansion, recording an increase in activity in line with higher levels of new business.
Greece to ‘reform gas market’
Greece has pledged to reform its gas market in a 13-page set of proposals handed over to its European creditors. The country also said it would open restricted professions including engineers, notaries and court bailiffs. Yesterday, Greece revealed plans for a £2billion gas project with Russia.
In case you missed them, Energy Voice’s Friday Five
Each week Energy Voice pulls together the Friday Five. Click below to see the site’s most read and engaged with copy of the week.
PM pays tribute to Saudi Arabia’s Prince Saud al-Faisal
David Cameron has paid tribute to Saudi Arabia’s Prince Saud al-Faisal, the world’s longest-serving foreign minister, for his “great wisdom” following his death aged 75. Prince Saud was in the post for four decades until his retirement in April. His tenure saw him navigate the oil-rich region through a number of crises, including Lebanon’s civil war in the 1970s and 1980s, the 9/11 terror attacks in the US and subsequent invasion of Iraq, and most recently the rise of Islamic State (IS). The Prime Minister echoed comments by US secretary of state John Kerry who previously hailed Prince Saud as being “among the wisest” foreign ministers. Mr Cameron said: “I am saddened to hear of the death of His Royal Highness Prince Saud al Faisal.
Prince Saud Al-Faisal dies at 75
Saudi Arabia’s Prince Saud al-Faisal, who was the world’s longest-serving foreign minister with 40 years in the post until his retirement, has died at the age of 75. The tall, stately Prince Saud was a fixture of Middle East diplomacy, representing the oil-rich Gulf powerhouse as it wielded its influence in crisis after crisis shaking the region - from Lebanon’s civil war in the 1970s and 1980s, through multiple rounds of Arab-Israeli peace efforts, the 1990 Iraqi invasion of neighbouring Kuwait and the subsequent Gulf War, al Qaida’s September 11 2001 attacks in the United States, the 2003 US-led invasion of Iraq to the current day’s tensions between the Arab Gulf bloc and Iran, Arab Spring uprisings, Syria’s civil war and the spread of Islamic State extremists. The country’s government-owned media announced his death just after midnight. The official announcement, carried by state television, did not state the cause of death.
MPS back fuel pricing campaign
More than 30 MPs are backing a campaign for the competition watchdog to fully investigate vehicle fuel pricing amid growing anger around the “rip-off” cost of diesel. FairFuelUK said 32 MPs from across all parties had pledged their support this week to its campaign for the Competition and Markets Authority (CMA) to look at retail price changes in relation to oil cost fluctuations, commodity speculation, wholesale prices and distribution costs “to stop further blatant, opportunistic and unfair profiteering taking place at the pumps”. The support comes as the RAC called on supermarket fuel retailers to make further cuts to the price of diesel, saying a reduction in wholesale costs leaves scope for at least another 3p cut.
Iran nuclear talks approach new deadline
Negotiations over Iran’s nuclear programme are lurching towards another deadline with diplomats reconvening amid uncertainty and vague pronouncements from participants. As the talks entered a 13th day in Vienna, Iranian President Hassan Rouhani said his nation is preparing for a “post-sanctions” era, suggesting that a deal may be in sight to curb the country’s nuclear programme in exchange for the removal of economic sanctions. His foreign minister, meanwhile, said on Twitter that “with mutual respect, anything possible”. “We’re always making progress. We’re going to resolve the last issues - if we can,” US energy secretary Earnest Moniz told reporters while meeting his Iranian counterpart Ali Akhbar Salehi, who responded more optimistically. “Hopefully, today is the last day,” Mr Salehi said.
Ithaca sells Norwegian exploration business
Ithaca Energy has sold its Norwegian exploration business for $60million. MOL Plc bought Ithaca Petroleum Norge for an initial $60million price tag. However, depending on how successful the discoveries drilled on Ithaca Norge's existing licence portfolio between 2015 and 2017 are, MOL could pay future “bonus payments” of up to $30million to Ithaca.
Campaigners attack Ewing over wind subsidy summit
The SNP Government is obsessed with lining the pockets of foreign windfarm developers, according to campaigners who have condemned a summit to be hosted by Energy Minister Fergus Ewing tomorrow. He will meet representatives of the renewable energy sector in Glasgow where they are expected to vent their anger over the UK Government’s decision to end subsidies to the industry. Mr Ewing’s opponents say the main beneficiaries of the turbines built across Scotland are overseas companies.
Premier Oil cuts operating costs by 30%, closes in on Solan and Catcher first oil
Premier Oil has cut its operating costs by 30% as a challenging marketplace sees its turnover slide. The firm reported total revenues for the first half of the year topped out at $580million – down from last year’s $885million. The dip triggered Premier to cut its operating costs by 30% - down to $150million. The company credited the sale of the “high cost Scott area in the UK” for the part of the savings.
Kerry subpoenaed over Keystone XL documents
US Secretary of State John Kerry has been told to hand over documents relating to the $8billion Keystone XL pipeline plans.
Chancellor ‘tinkered’ around edges to halt North Sea oil slump
George Osborne was under fire last night after failing to offer any new Budget incentives to address the slump in North Sea exploration.
Opinion: Conservatives’ sentiment confirmed for UK oil and gas sector
Yesterday’s Summer Budget – the first wholly Conservative Budget in almost two decades - had no surprise announcements for the oil and gas sector, however the Chancellor highlighted that measures announced in March would be going ahead. This included a new “simple and generous” tax allowance for investment and a rate cut for both Petroleum Revenue Tax and the Supplementary Charge.
Summit debates end of wind subsidy
Scottish Energy Minister Fergus Ewing is to chair an emergency summit with the green energy sector today amid concerns about the impact of the UK Government’s decision to end a subsidy scheme for onshore wind farms.
Budget 2015: UK ‘out of step’ on environment
The UK is “out of step” with the times, environmental campaigners warned after a Budget that was lacking in measures to tackle climate change. In the run up to crucial international talks in Paris, at which it is hoped a new climate treaty can be agreed, the only mention of the issue in George Osborne’s speech was on removing the climate change levy exemption for renewable power. The Treasury said the removal of the exemption, which allows businesses not to pay the environmental tax levied on energy if it has come from renewable power, would prevent tax-payers’ money benefiting clean electricity generated abroad.
Budget 2015: Poll – How low should Osborne go?
Budget 2015: Industry reacts
Chancellor George Osborne insisted the government would deliver on its promise to reduce the North Sea's supplementary tax charge from 30% to 20%. He also announced a move to open up the remit for industry investments to qualify for allowances - a move aimed a fueling production.
North Sea focused IOG closes in on funding deal
Independent Oil and Gas (IOG) has scrapped together enough funding to see it through to the end of the September. The North Sea focused firm also confirmed its bid to secure a long term financing deal was closing in on completion. Earlier this year, IOG set out on a fundraising drive to bring the company's main assets Skipper, Cronx, Elgood and Blythe into production.
Budget ‘to secure Britain’s future’
George Osborne is to sweeten the pill of dramatic welfare curbs with tax cuts as he promises reforms to “secure Britain’s future” in his first Tory-only Budget. The Chancellor will point to the plight of Greece to justify painful changes, warning that the “greatest mistake” would be to “think that all our problems are solved”. He is expected to wield the axe on tax credits and housing benefit, reduce the overall benefits cap and announce that student grants are being scrapped.
Pope urges youth to save the planet
Pope Francis has challenged Latin America’s youth to take up his environmental protection campaign, saying the defence of God’s creation is not just a recommendation but a requirement. Francis’ appeal, delivered at Quito’s Catholic University, is particularly relevant for Ecuador, a Pacific nation that is home to one of the world’s most species-diverse ecosystems in the Galapagos Islands and Amazon rainforest, but is also an Opec country heavily dependent on oil extraction. The pontiff told students and professors that God gave humanity the Earth to not only cultivate, but to care for - a message he framed earlier this month in his headline-grabbing encyclical on the environment.
Noreco production slides
Noreco has seen production slide on last year’s output. The Norwegian operator reported an average daily production of 4,329 barrels of oil equivalents per day (boepd) last month. The number is a significant drop from last year’s 7,350 for the same time period.
Millions ‘overpaying for energy’
Millions of people are overpaying for their energy, a year-long inquiry will reportedly say today. The Competition and Markets Authority (CMA) probe into the energy market, launched in the wake of a pledge by Labour in 2013 to freeze prices if it won this year’s general election, is expected to outline moves to encourage customers to switch to lower-cost energy providers. The Financial Times quoted an industry executive as saying: “There are three themes to this report. The first is people are paying more than is necessary; the second is that green levies and network costs are driving bills up; the third is regulation of the sector is not joined up and transparent.” It is believed the report will announce that the so-called Big Six energy firms should not be dismantled to separate power generation and supply, and will find that the large companies have not been colluding to increase profits.