Bloomberg: Europe Energy Day Ahead: Crude Oil Rises Above $93 Due to Storm

By Katherine Espina

Oct. 29 (Bloomberg) — Crude oil climbed above $93 a barrel for the first time, extending this month’s gain to 16 percent, after Mexico shut down a fifth of its production because of a storm and the dollar fell to a record low.

Chevron Corp., the second-largest U.S. energy company, will keep its stake in a natural gas project in Myanmar, defying calls to leave following a crackdown on protesters by the country’s ruling junta.

EXCLUSIVE

Chevron to Keep `Commitment’ to Myanmar Project, O’Reilly Says

Chevron Corp., the second-largest U.S. energy company, will keep its stake in a natural gas project in Myanmar, defying calls to leave following a crackdown on protesters by the country’s ruling junta.

Chevron Wins 10-Year Extension to Operate Thailand Gas Fields

Chevron Corp. won a 10-year extension to produce natural gas in the Gulf of Thailand, maintaining its position as the country’s largest supplier of the fuel, Chief Executive Officer David O’Reilly said.

MOST READ MARKETS STORIES

Crude Oil Rises to Record Above $93 as Mexico Shuts Production

Crude oil climbed above $93 a barrel for the first time, extending this month’s gain to 16 percent, after Mexico shut down a fifth of its production because of a storm and the dollar fell to a record low.

Mexico Pemex Halts One-Fifth of Daily Crude Output on Storm

Mexico shut down about a fifth of its daily crude oil production, or 600,000 barrels, because of a storm in the Gulf of Mexico. State oil monopoly Petroleos Mexicanos, the third-largest supplier to the U.S., shut down output of 200,000 barrels at noon New York time yesterday and was planning to idle wells that produce a further 400,000 barrels by midnight in Mexico, said Carlos Ramirez, a company spokesman in Mexico City.

Shell, Cnooc Parent Chemical Venture Operating at 94% Capacity

Royal Dutch Shell Plc, Europe’s largest oil company, said its petrochemical venture with China National Offshore Oil Corp. is operating at 94 percent of capacity.

Newcastle Coal Price Reaches Record on Limited Supply

Energy coal prices at Australia’s Newcastle port, the world’s biggest export harbor for the fuel, rose 1.3 percent to a record on expectations of supply shortages in Asia and a disruption to deliveries from a Queensland mine.

Coal for immediate delivery at Newcastle rose 96 cents to $76.95 a metric ton in the week ended Oct. 26, according to the globalCOAL NEWC Index. The previous all-time high was $76.16 reached two weeks ago.

ONGC Videsh Sells 700,000 Barrels of Sokol Crude to Vitol Group

ONGC Videsh Ltd., the overseas unit of India’s state-run explorer, sold 700,000 barrels of Sokol crude oil from the Sakhalin-1 project to Vitol Group for loading in January, said a trader involved in the transaction.

TOP ENERGY COMPANY STORIES

Tokyo Gas Profit Falls on Higher Fuel Procurement Costs

Tokyo Gas Co., Japan’s biggest natural gas distributor, said first-half profit fell 45 percent on higher fuel procurement costs. Net income fell to 19.8 billion yen ($173 million) for the six months ended Sept. 30, from 36.1 billion yen a year earlier, the Tokyo-based company said in a statement. Sales rose to 637 billion yen from 604 billion yen.

Shell Says East of Suez to Boost Refining Capacity by 22%

Royal Dutch Shell Plc, Europe’s largest oil company, said the east of Suez region will increase refining capacity by 22 percent between 2007 and 2010.

Bukit Asam’s Nine-Month Profit Rises 41% on Coal Prices

PT Tambang Batubara Bukit Asam, a state-controlled Indonesian coal miner, said profit in the first nine months of the year rose 41 percent as prices of the fuel used to generate electricity climbed.

Origin Energy Invests in Geothermal Venture With Geodynamics

Origin Energy Ltd., Australia’s second-biggest energy retailer, agreed to take a 30 percent stake in a joint venture with Geodynamics Ltd., which is seeking to develop a geothermal power project fueled by buried hot rocks. Origin expects to spend about A$150 million ($138 million) on the venture in the next two to three years, the Sydney-based company said.

Tokyo Electric to Pay Record Price for Fuel Oil From Nippon Oil

Tokyo Electric Power Co., Oji Paper Co. and other Japanese fuel oil users will pay Nippon Oil Corp. record prices in the three months to December.

Shell Signs Contract to Store Butadiene in Singapore With Vopak

Shell Eastern Petroleum Ltd., a unit of Royal Dutch Shell Plc, signed an agreement with Vopak Terminals Singapore Pte Ltd. for the storage and handling of butadiene, a chemical use in the making of rubber.

Sinopec Completes $713 Million Ethylene Expansion at Qilu Unit

China Petroleum & Chemical Corp., the nation’s largest refiner, completed a 5.33 billion yuan ($713 million) ethylene capacity expansion at its Qilu plant in the eastern city of Zibo as demand for chemicals increases.

PTT Exploration Says 4th-Quarter Profit May Exceed 3rd Quarter

PTT Exploration & Production Pcl, Thailand’s second-biggest publicly traded company, said fourth-quarter profit may exceed that in the third quarter on rising production of natural gas and other petroleum products.

HIGHLIGHTS FROM NEWSPAPERS

PetroChina Draws Record Share Orders, Securities Journal Says

PetroChina Co. attracted 3.3 trillion yuan ($441 billion) of orders, a record for a Chinese share sale, for its stock offer before starting to trade in Shanghai, China Securities Journal said, citing people it didn’t name.

China Diesel Wholesale Prices Rise, Oriental Morning Post Says

China’s oil companies increased diesel wholesale prices after crude costs soared, Oriental Morning Post said, citing information from an industry Web site.

Recapital Offers $400 Million for Apexindo Stake, Kontan Says

PT Recapital Investment Bank bid about $400 million for a 52 percent stake owned by PT Medco Energi Internasional in an oil drilling service company, Kontan reported, citing Rosan Roeslani, president director of Recapital.

To contact the reporter on this story: Katherine Espina in Singapore at [email protected]

Last Updated: October 29, 2007 02:19 EDT

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