TOP Oil Market News: WTI Crude Climbs; Libyan Production Drops

The following is a selection of the most important news affecting the oil market.

WTI Crude Rises a Third Day as U.S. Chill Erodes Fuel Stockpiles

West Texas Intermediate crude advanced for a third day after a U.S. government report showed distillate stockpiles shrank as freezing weather boosted demand for heating fuels.

Oman’s $3 Billion Railroad Plan to Blunt Iran Oil Risk: Freight

Oman, which faces Iran across the Strait of Hormuz, said it’s poised to start raising cash for a $3 billion rail line offering an alternative route for oil and freight shipments that funnel through the 21 mile-wide channel.

Libya Oil Output Declines as Protesters Tamper With Pipeline (1)

Crude production in Libya, holder of Africa’s largest reserves, declined from last week as protesters tampered with a pipeline, according to National Oil Corp. Chairman Nuri Berruien.

As Northeast Digs Out, U.S. Forecasters Watch for Next Storm (2)

As much of the U.S. Northeast shovels snow, chips ice and tries to overcome power outages and airline cancellations, forecasters are gauging the possibility of another storm arriving this weekend.

Norway Plans to Tame Statoil Domination as Output Shrinks (1)

Norway, which has watched its crude output fall every year since 2000, wants to attract large producers to compete with Statoil ASA as the state-controlled company cancels and delays key projects.

Singapore Supplies Rise to Highest Since 2011: Asia Distillates

Singapore’s onshore inventories of middle distillates rise 1.73 mln, or 17%, to 11.6 mln bbl in week to yesterday, according to trade ministry unit.

India’s HPCL Said to Cancel Sale of Cargo for Feb.: Asia Naphtha

Hindustan Petroleum, known as HPCL, cancels tender to sell 20,000-25,000 mt of naphtha for Feb. 18-20 loading from Mumbai, two traders say.

Iran to Halve Exports; Singapore Stockpiles Rise: Asia Fuel Oil

Iran may cut fuel oil exports by 50% next month as maintenance at Abadan refinery reduces output, says official with National Iranian Oil.

Fisker’s Remains Spur Chinese Duel With Patents as Prize: Cars

Two Chinese-backed companies are locked in a bidding war, culminating next week, to take over bankrupt U.S. carmaker Fisker Automotive Holdings Inc.

U.S. DOE Weekly Petroleum Status Report for Jan. 31 (Text)

Following is the text of the weekly Petroleum Status Report from the U.S. Department of Energy:

REFINERIES Map global refinery outages

Enterprise to Flare at Mont Belvieu on Unit Restart: Filing

Mont Belvieu, Texas, facility to flare at noon today local time because of restart of “BEF unit after completing maintenance activities,” according to filing with Texas Commission on Environmental Quality.

Phillips 66 Has Emissions at Lake Charles Refinery : NRC Filing

Refinery in Westlake, Louisiana, had unspecified emissions due to an upset, according to report taken Feb. 5 by National Response Center.

Iran May Halve March Fuel Oil Exports on Abadan Maintenance (1)

Iran may reduce fuel oil exports by 50 percent next month as maintenance work at the Persian Gulf state’s Abadan refinery cuts output, according to an official at National Iranian Oil Co.

Valero McKee Refinery Has Process Malfunction and Emissions

Co.’s McKee refinery in Texas reported process malfunction began today, according to notice with Texas Commission on Environmental Quality.

San Francisco Spot Gasoline Gains as Golden Eagle Finishes Work

Carbob in San Francisco up 4.5c to premium of 3c/gal. vs Nymex futures at 402pm N.Y. time, data compiled by Bloomberg show

Citgo Says Lemont Vacuum Unit Restarted Yesterday

Co. says vacuum distillation unit at Lemont refinery in Illinois restarted yesterday and is at full capacity for first time since it was closed for repairs in October.

Canadian Crudes Fall With Refineries Shut for Maintenance

Downtime at Citgo’s Lemont refinery in Illinois and Federated Co-operative’s Regina plant in Saskatchewan is cause of weakening, Martin King, analyst for FirstEnergy Capital Corp. in Calgary, says by phone.

Shell Deer Park Refinery Returned to Normal Operations

Shell’s Deer Park, Texas, refinery had upset in a unit on Feb. 1, according to Destin Singleton, a Co. spokeswoman

Delta Trainer Refinery Said to Plan Crude Unit Restart on Feb. 8

Delta Air Lines Inc.’s Monroe Energy LLC subsidiary plans to restart a crude unit at the Trainer, Pennsylvania, refinery on Feb. 8 following planned repairs, a person with knowledge of the plant’s operations said.

OTHER OIL MARKET NEWS

Oil Product Shipping Costs to Japan Are Unchanged

The cost of shipping a gallon of gasoline, jet fuel or other so-called clean petroleum products from the Middle East to Japan was unchanged at 7.49 U.S. cents yesterday, according to data compiled by Bloomberg. The cost is based on a cargo of 55,000 metric tons.

Saudi Aramco Keeps March U.S. Crude Differentials Unchanged

Saudi Arabian Oil Co., the world’s largest crude exporter, kept the differentials used in determining its official selling prices for all four crude grades unchanged for customers in the U.S. for March.

TOP ENERGY STORIES

Mexico Credit Rating Raised After Oil Industry Opened (1)

Mexico’s credit rating was raised one level to A3 by Moody’s Investors Service, which cited moves to open up the energy industry to foreign investment and broaden sources of tax revenue.

Fast-Track EU Carbon Fix Gets Approval From European Parliament

The European Parliament agreed to speed up the approval of a carbon-market rescue plan, enabling an intervention aimed at bolstering prices to begin as soon as this quarter.

U.S. Natural Gas Rises as Inventories Seen Declining on Weather

Natural gas rose before a government report expected to show U.S. inventories of the heating fuel dropped last week by almost twice the five-year average amid winter storms.

Ex-Barclays Carbon Chief Redshaw Trades From Home as Prices Jump

Louis Redshaw, the former head of carbon trading at Barclays Plc, returned to the market amid a jump in permit prices since he left the bank in April.

Marijuana Swap for Gas Marks Path for Australia Aborigines: Jobs

Leaning on the wheel of his patrol boat, Myti Wood points to the multibillion-dollar natural gas plant emerging on the shores of Darwin’s harbor in the far north of Australia.

Duke Energy Battles to Halt Leak Amid Coal-Ash Regulatory Review

Duke Energy Corp. is still battling to halt a leak from a coal-ash pond into the Dan River in North Carolina, in the latest incident to draw attention to how power- plant waste is regulated.

OTHER MARKETS

European Stocks Advance Before ECB Meeting as Natural Gas Gains

European stocks climbed and the euro approached an 11-week low versus the dollar as the region’s central bank prepared to meet. German bonds fell while natural gas led commodities higher for a third day.

Euro Approaches 11-Week Low Before ECB Sets Rates; Aussie Rises

The euro was 0.4 percent from an 11- week low versus the dollar on bets that slowing inflation will prompt the European Central Bank to reinforce its accommodative stance when announcing an interest-rate decision today.

Hedge Funds Rework Positions in Emerging-Market Drop: Currencies

Traders who anticipated a year when riskier bets would pay off are overhauling their foreign- exchange positions after an emerging-markets rout led to the worst start to the year for currency funds since 2004.

Europe Stocks Rise as Investors Await ECB, Daimler Earnings Beat

European stocks rose for a second day as investors awaited the European Central Bank’s rate decision and companies including Daimler AG and Volvo AB beat earnings forecasts. U.S. stock-index futures and Asian shares advanced.

Global Pensions Reduce Bond Holdings in 2013, Towers Watson Says

Global pension fund managers cut their exposure to bonds in favor of equities in 2013, a survey showed, underscoring a shift away from fixed-income securities as investors expect rising interest rates to curb returns.

Australian Cotton Output Seen Dropping as Drought Hurts Crop (3)

Cotton production in Australia, the world’s third-biggest exporter, may decline to the lowest level in at least three years as drought curbs crops and water availability, according to a growers’ group. Prices advanced.

Virus Killing 5 Million Pigs Spurs Hog-Price Rally: Commodities

Almost every piglet born on Craig Rowles’ hog farms near Carroll, Iowa, died from the virus that swept through his herds in November, causing $462,000 of lost revenue in the first month of the outbreak. By the end of February, he expects to lose 15,000 animals, or 10 percent of annual sales.

U.S. Said to Warn of Toothpaste-Bomb Peril on Russia Flights (1)

Airlines flying to Winter Olympics host Russia are being warned to watch for toothpaste tubes containing materials that could used by terrorists to make a bomb, according to a U.S. law enforcement official.

Rouhani Spars With Iran’s State TV as Address to Nation Delayed

Iran’s President Hassan Rouhani in an unprecedented move accused the state television company of attempting to block his address to the nation, which delayed the broadcast by almost an hour.

SPORTS

Togolese Cross-Country Skier’s Olympic Journey Began on Facebook

Mathilde-Amivi Petitjean can thank social media for her spot on Togo’s first Winter Olympic team.

Bode Miller Fastest on First Downhill Training Run at Olympics

Bode Miller got off to a good start at his fifth Winter Olympics, racing to the fastest time today on the first training run for the men’s downhill.

World Series-Winning Boston Pitcher Schilling Says He Has Cancer

Curt Schilling, who pitched for the Boston Red Sox teams that won the World Series in 2004 and 2007, has been diagnosed with cancer.

CBS Network Wins Right to Carry NFL Games on Thursday Nights (3)

CBS Corp., owner of the most-watched television network, won rights to televise eight National Football League games on Thursday nights, bolstering a prime- time schedule that already leads the industry.

ENERGY PRICES

Energy Prices:

Last Chg %Chg Exch Contract

---- ---- ---- ---- -------- WTI Crude ($/Bbl) 98.17 +0.79 +0.8 Nymex March Brent Crude ($/Bbl) 106.94 +0.69 +0.6 ICE March Gasoil ($/Ton) 906.00 +10.00 +1.1 ICE March Gasoline (c/Gal) 266.35 +2.22 +0.8 Nymex March Natural gas ($/MMBtu) 5.36 +0.33 +6.5 Nymex March Dated Brent ($/Bbl) 106.72 +0.64 +0.6 OTC 21 Days Heating Oil 301.03 +1.35 +0.5 Nymex March Other markets:

Last %Chg

----- ----- Dollar Index 1,026.69 -- Gold ($/Oz) 1,261.69 +0.3 MSCI World Index 386.78 +0.4 Prices as of 12 p.m. London time

To contact the editor responsible for this story: Steve Voss in London at sev@bloomberg.net

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