The following is a selection of the most important news affecting the oil market.
Oil Trades Near One-Week Low on U.S. Supplies, Seaway Pipeline
Oil traded near the lowest level in a week in New York after U.S. crude stockpiles gained and capacity on the Seaway pipeline was reduced.
TOP OIL MARKET NEWS
LNG Imports Rise to Record in 2012 as Japan Idles Reactors (1)
Japan’s liquefied natural gas imports rose to a record in 2012 as the country relied on fossil fuels to generate electricity to make up the shortfall from nuclear plants idled after the Fukushima disaster.
Reduced Capacity on Seaway Pipeline Boosts Brent Premium to WTI
Enterprise Products Partners LP told shippers that capacity was limited on its expanded Seaway Pipeline, widening the spread between domestic benchmark West Texas Intermediate crude and Brent.
Hawaii Refinery Stop Set to Lure Asia Jet Fuel: Energy Markets
Asian jet fuel shipments to Hawaii are poised to triple as Tesoro Corp. shuts the islands’ biggest crude-processing plant, helping lift refining margins from the weakest level in almost five years.
China Tracks Errol Flynn to Tasmania in Quest for Wind: Energy
The Roaring Forties gales off Tasmania, where Hollywood swashbuckler Errol Flynn was first smitten with sailing, are luring Chinese investors with a different passion -- harnessing wind to generate electricity.
Oil and Distillate Inventories Advanced Last Week, API Reports
Oil supplies increased 3.17 million barrels to 364 million last week, the American Petroleum Institute said.
European Naphtha Cargoes to Asia Rise by One From Week Earlier
European naphtha shipments loading in January for transport to Asia rose to 12 cargoes from 11 a week earlier, shipping data showed.
Asia Naphtha Crack Spread Gains; Jet Fuel Rebounds: Oil Products
Asia’s naphtha crack spread extends gains, signaling increased profit for refiners making the petrochemical and gasoline feedstock. Jet fuel’s regrade rebounds.
Mangalore Refinery Said to Sell Jet Fuel for 50-Cent Discount
Mangalore Refinery & Petrochemicals Ltd. sold a cargo of jet fuel for loading in February for about 50 cents a barrel below Singapore prices, said two traders who asked not to be identified because the information is confidential.
Dow Chemical Fights Ally Exxon’s Push to Export U.S. Natural Gas
Exxon Mobil Corp. and Dow Chemical Co., big-dollar lobbying allies on many issues in Washington, are on opposite sides of a high-stakes fight over how much of rising U.S. natural gas supplies should be sold overseas.
Natural Gas Supplies Declined Less Than Average, Forecasts Show
Natural gas inventories dropped by less than average last week as mild weather curtailed demand for the heating fuel, analyst forecasts compiled by Bloomberg show.
Natural Gas Slips a Second Day on Milder U.S. Weather Next Week
Natural gas futures slipped for a second day in New York as forecasts for mild weather next week after a cold snap signaled reduced heating-fuel demand.
Clinton Deputy Nides Said Planning to Leave State Department
Deputy Secretary of State Tom Nides, a former chief operating officer at Morgan Stanley, plans to leave the Obama administration next month and may return to the financial services industry, according to a person familiar with the matter.
API Snapshot: U.S. Crude-Oil Inventories Rose 3.17 Mln Barrels
The following table is a summary of the latest Weekly Statistical Bulletin from the American Petroleum Institute. *T
REFINERIES Map global refinery outages
Phillips 66 Wood River Said to Plan Crude Unit Work in February
Phillips 66’s Wood River refinery in Illinois plans to shut two crude distillation units, a hydrocracker, a diesel hydrotreater and a coker for work beginning in late February, a person familiar with the turnaround schedule said.
Tesoro Reported Major Unit Startup at Golden Eagle Yesterday
Co. reported major unit startup in two separate notices to Contra Costa County regulators yesterday.
Phillips 66 Reported Unit Shutdown at Rodeo Refinery Yesterday
Refinery in Northern California reported shutdown at 740am local time yesterday, notice to Contra Costa County regulators shows.
Oil Slides on Seaway Limit, Sugar Rises: Commodities at Close
The Standard & Poor’s GSCI gauge of 24 commodities fell 0.3 percent to 661.98. The UBS Bloomberg CMCI index of 26 raw materials slipped 0.1 percent to 1,596.11.
Valero at 4-Year High After Seaway Reduces Flows: Houston Mover
Valero Energy Corp. reached the highest price since July 2008 as the U.S. benchmark crude fell after Enterprise Product Partners LP reduced flows on its Seaway pipeline.
California Gasoline Strengthens on February Trading, Fuel Switch
Spot gasoline in California strengthened against futures after the prompt-month contract rolled into February and before a Kinder Morgan Energy Partners pipeline switches to more stringent fuel requirements.
Husky Lima Reported Small Transformer Fire Jan. 19
Husky Energy Inc. incident at Ohio refinery was “nothing major,” state regulator said.
Delek Tyler Refinery Performing Maintenance on Precipitator
Delek US Holdings Inc. reported excess emissions from fluid catalytic cracker and No. 9 boiler.
OTHER OIL MARKET NEWS
Clean Fuels for Vehicles, Ships to Get EU Regulatory Push
Clean fuels for cars, trucks and ships in the European Union would get a boost under draft legislation to be presented today by EU regulators.
Socar Said to Buy Fuel Oil From Hindustan Petroleum for February
The State Oil Co. of Azerbaijan, known as Socar, bought as much as 30,000 metric tons of fuel oil for loading in February from Hindustan Petroleum Corp., India’s third-largest state refiner, said two traders who asked not to be identified because the information is confidential.
Oil Product Shipping Costs to Japan Fall 2.5 %
The cost of shipping a gallon of gasoline, jet fuel or other so-called clean petroleum products from the Middle East to Japan fell 2.5 percent to 8.63 U.S. cents yesterday, according to data compiled by Bloomberg. The cost is based on a cargo of 55,000 metric tons.
TOP ENERGY STORIES
Algeria Attack No Outlier as Oil Targeted 3 Times a Week: Energy
While the attack in Algeria that killed at least 38 hostages was the deadliest raid on the oil industry in five years, it’s far from unprecedented.
Tracking the Effects of Weather, Storage on U.K. Gas Prices
U.K. National Balancing Point day-ahead gas prices have gained 33 percent in the past five months. Bloomberg functions show how colder weather and availability of gas storage contributed to the gains.
Medvedev Rules Out Competing Against Putin for Presidency (2)
Russian Prime Minister Dmitry Medvedev said he won’t run against President Vladimir Putin in the next presidential election, two months after describing how he struggled to relinquish the Kremlin.
Obama Seen Skirting Congress to Set Climate-Change Policies (2)
President Barack Obama, whose inaugural address made climate change a second-term priority, could bypass Congress and implement much of his environmental agenda unilaterally through regulations and executive action.
China May Raise Natural Gas Prices This Year, Barclays Says
China may increase natural gas prices this year as the government takes a more “market-based approach” to meeting demand for the cleaner-burning fuel, according to Barclays Plc.
Indonesia to Move to Spot, Short-Term LNG Contracts: SKKMigas
SKKMigas deputy chairman for planning, Widhyawan Prawiraatmadja, says Indonesia will move away from long-term LNG supply contracts to more spot and short- term supply.
Korea Gas Falls to 4-Month Low on Share Sale Report: Seoul Mover
Korea Gas Corp., the world’s biggest liquefied natural gas importer, slumped to the lowest level in four months in Seoul trading after the Korea Economic Daily reported the company may sell new shares.
Rothschild’s Proposed Bumi Chairman King Expects to Oust Tan
Wallace King, proposed by Nathaniel Rothschild as the new Bumi Plc chairman, expects to win enough backing from shareholders next month to oust incumbent Samin Tan amid a battle for control of the Indonesian coal venture.
SandRidge Has Paid $9.5 Million to CEO’s Companies (1)
SandRidge Energy Inc. has paid $9.5 million since 2008 to companies controlled by Chief Executive Officer Tom Ward and his relatives and needs to disclose more about its dealings with the family, according to shareholder TPG-Axon Capital Management LP.
Yen Snaps Three-Day Climb as U.S. Index Futures Drop on Apple
The yen fell for the first time in four days as Japan’s deputy economy minister said a correction from strong levels “isn’t over yet.” Exporters led Japanese stocks higher, while U.S. stock-index futures sank after Apple Inc. posted the weakest sales growth in 14 quarters.
Yen Drops on Chinese PMI Gain, Nishimura Call for More Weakness
The yen weakened, snapping a three- day advance, as signs of strengthening manufacturing in China damped demand for refuge assets and a Japanese official endorsed the currency’s drop to 100 per dollar.
Central Banks Carry Traders to Best Start Since 2007: Currencies
The $4 trillion foreign-exchange market is showing more confidence in the global economy than at any time in the past five years as central banks show few signs of pulling back on their largess anytime soon.
Asian Stocks Swing Between Gains, Losses as Japan Shares Rally
Asian stocks swung between gains and losses as Japanese shares rallied on a weaker yen, China’s manufacturing beat estimates and North Korea threatened a nuclear test. Apple Inc. suppliers fell after the company reported its weakest sales since 2009.
U.S. Equity Futures Drop as Apple Posts Slowest Sales Since ’09
U.S. equity futures fell, signaling the Standard & Poor’s 500 Index may retreat from a five-year high, after Apple Inc. reported no profit growth and the slowest increase in sales in 14 quarters.
Gold Seen Extending Rally as Fed Sticks With QE3 for Years (1)
Gold will rally this year and into 2014 as U.S. Federal Reserve policy makers will probably maintain asset purchases for two more years to buttress the recovery of the largest economy, according to Morgan Stanley.
Sugar Rush Leaves U.S. With Biggest Glut in Decade: Commodities
Record U.S. sugar output is creating the biggest domestic glut in a decade, reducing costs for Hershey Co. and making it more likely the government will need to stockpile supply to support farmers.
North Korea Threatens to Conduct Nuclear Test Targeting U.S. (1)
North Korea threatened to conduct a nuclear weapons test “targeted” at the U.S. after the Obama administration pushed through new United Nations sanctions against the totalitarian state for last month’s rocket launch.
Obama-Netanyahu Odd Couple Tests U.S.-Israel Alliance Resilience
President Barack Obama and Israeli Prime Minister Benjamin Netanyahu emerge from their re-election campaigns confronting the same disputes that divided them last year: peace talks with the Palestinians, settlements and, above all, Iran’s suspected nuclear weapons program.
Real Madrid Sets Sales Record as Manchester City Ranking Rises
Real Madrid is the first sports club to make more than 500 million euros ($665 million) in annual revenue, according to accountant Deloitte LLP.
Phil Mickelson Likens Tax Comments to His 2006 U.S. Open Blunder
Phil Mickelson said his public complaints about income taxes were insensitive and amounted to a “dumb mistake” similar to his final-hole play at the 2006 U.S. Open, where he blew a chance to win the tournament with a double-bogey.
Arsenal Beats West Ham 5-1 in English Soccer’s Premier League
Arsenal scored four goals in a 10- minute span of the second half to beat West Ham 5-1 in English soccer’s Premier League.
Energy Prices: Last Chg %Chg Exch Contract ---- ---- ---- ---- -------- WTI Crude ($/Bbl) 95.56 +0.33 +0.3 Nymex March Brent Crude ($/Bbl) 112.78 -0.02 0.0 Ice March Gasoil ($/Ton) 963.75 +1.00 +0.1 Ice March Gasoline (c/Gal) 284.22 +0.84 +0.3 Nymex Feb. Natural gas ($/MMBtu) 3.59 +0.03 +0.9 Nymex Feb. Dated Brent ($/Bbl) 114.35 +0.24 +0.2 OTC 21 Days Heating Oil 308.27 +0.46 +0.1 Nymex Feb. Other markets: Last %Chg ----- ----- Dollar Index 79.93 -- Gold ($/Oz) 1,686.70 -0.4 MSCI World Index 1,394.29 +0.1 Prices as of 6 a.m. GMT
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