BP Forms BP Alternative Energy

bp.com, peakoil.com -> companyannouncements.net :

BP today announced that it plans to double its investment in alternative and renewable energies to create a new low-carbon power business with the growth potential to deliver revenues of around $6 billion a year within the next decade.

Building on the success of BP Solar - which expects to hit revenues of $1 billion in 2008 - BP Alternative Energy will manage an investment programme in solar, wind, hydrogen and combined-cycle-gas-turbine (CCGT) power generation, which could amount to $8 billion over the next ten years.

BP CEO John Browne : 'We are focusing our investment in alternatives and renewables on power generation because it accounts for over 40 per cent of man-made greenhouse gas emissions, the biggest single source. It is also the area where technology can be applied most cost-effectively to reduce emissions. As the pricing of carbon develops through trading schemes and other initiatives, the market will grow rapidly as low-emission technologies displace less clean forms of power generation.'

Shell starts production at massive new Nigerian field

channelnewsasia.com, peakoil.com -> businessworld.ie :

The Anglo-Dutch giant Shell has begun pumping oil from a massive new field off the coast of Nigeria which will produce 225,000 barrels per day. Development of the Bonga field was hit by long delays and cost overruns, but Shell now hopes to rapidly reach peak capacity and boost the west African country's total oil production by ten percent.

Nigeria is already Africa's biggest oil exporter and produces more than 2.5 million barrels per day. The government hopes to increase production to four million barrels per day by 2010.

Production in Bonga will focus on a floating oil rig and storage ship known as a floating production, storage and offloading vessel or FPSO. Anchored to the ocean floor 120 kilometres (70 miles) off the delta coast, the giant tanker is at the centre of a network of 12 oil wells on the sea floor 1,000 metres below. Oil and gas is pumped to the surface and stored on board the FPSO, from where it is transferred directly to tankers for export to Europe and the Americas.

(2005-11-28 23:20:44 SGT) [Energy] Permalink

Merck to cut 7000 jobs

channelnewsasia.com :

US pharmaceutical giant Merck announced plans to cut some 7,000 jobs by the end of 2008 and close or sell five of its 31 manufacturing plants.

The company said the restructuring would cost between 1.8 billion dollars and 2.2 billion dollars, but would lead to total savings of between 3.5 billion dollars and four billion dollars from 2006 through 2010. Merck employs some 63,000 people around the world.

- So much for biotech & pharmaceuticals being the Next Big Thing?

Google Base :
mass layoffs

(2005-11-28 23:13:03 SGT) [Biz] Permalink

Thanks a billion

timesonline.co.uk :

Is America going to save the world again? Judging by what happened in the US on Friday - the day after Thanksgiving - they are making a damn good fist of it. Either that or the consumer is determined to go down fighting.

The earlier impression was that the consumer had been knocked out by higher petrol prices, heating bills, a cooling housing market and rising interest rates. But on Black Friday - so named because this day after Thanksgiving generates gallons of black ink for retailers - some 130m to 150m Americans turned out and spent more than the GDP of three-quarters of the world's countries.

Wal-Mart alone expected to ring up $2 billion (?1.2 billion) in sales. Parking lots at malls from Birmingham, Alabama, to Portland, Maine, were filled by the time the stores opened at 1 am ...

news.yahoo.com :

Reports of strong Black Friday weekend spending outnumbered scattered downcast reviews by Sunday afternoon, as U.S. shoppers crowded stores on a hunt for electronics and big discounts. A report issued on Sunday by the National Retail Federation, the nation's largest retail trade group, said the average shopper spent $302.81 this weekend, bumping total weekend spending to $27.8 billion - a dramatic 22 percent increase over last year's $22.8 billion.

(2005-11-28 14:52:37 SGT) [Biz] Permalink

Malaysia to setup biodiesel plant

btimes.com.my :

Johor Corp Bhd (JCorp) is at an advanced stage of negotiation with some parties linked to interests in Europe for the setting-up of a biodiesel plant in Johor, said chief executive officer Tan Sri Muhammad Ali Hashim. Muhammad Ali said the plant is most likely to be built in Pasir Gudang or Tanjung Langsat.

The company estimates an initial investment of US$20 million (US$1 = RM3.78) for the biodiesel venture. The planned plant may have a capacity of 100,000 tonnes [733,000 barrels annually. Muhammad Ali said JCorp is looking at biodiesel with a view of attracting the industry to Johor as it has strong advantages in terms of palm oil and downstream oleochemical activities. There is still ample land in Johor and the state offers highly developed infrastructure for industrial port concept, he added.

More Indian outsourcing news

Once in a while, I drop by indiadaily.com and see how the outsourcing thing's going along over there :

1. Outsourcing targets smaller cities but finds lack of talent there

India has now lack of talent to fulfill the low priced outsourcing jobs knocking the door of India from the West. The talent pool of high quality is fully employed. The wage inflation is rampant in India. The BPO companies in India are now targeting smaller cities. However, they are finding that the talent pool in smaller cities lack the quality that made the Western companies interested in India. According international think tanks, India may have topped out in its boom in outsourcing.

2. A problem that can kill the concepts of offshore outsourcing from India and China

... here is a problem that can kill outsourcing from India and China. The cost and availability of energy sources will determine the price of outsourcing in the future. The salaries in these countries will have to go higher as these economies are well dependent on crude oil prices and availability. India and China may experience hyperinflation because of higher energy prices. China and India will have to eventually compete with the West in obtaining energy in the form of crude oil and natural gas. It can become real expensive.

- As discussed before, inflation is the thing to watch for, especially wage inflation with the 10-20% annual increases being demanded over *there*. The difference between deflating developed-country wages and inflating developing-country wages is narrowing. And it looks like they have thrown so many warm bodies at this outsourcing industry that they're starting to run out of warm bodies to throw. See, nothing grows forever. There *are* limits to growth. Peak Outsourcing? Another date for the community to ponder over, perhaps.