Saudi Arabia's oil a huge question

From the Saudi Arabian sands pour more than 9 million barrels of crude oil each day, more than 10% of the world's production. The Saudis say they are still committed to affordable, stable petroleum. But prices have roughly tripled in four years despite periodic Saudi announcements of plans to pump up production.

So when the Saudis a few weeks ago suddenly reversed field and announced a production cut, some analysts wondered if, at long last, Saudi Arabian oil production has peaked. Author Matthew Simmons says the Saudis may have reached "peak oil," the halfway point at which a nation's production crests and then inexorably starts to slip. If it has, the effect is potentially huge on oil markets and the price of gasoline at the pump.

(2006-07-24 19:23:15 SGT) [Energy] Permalink

Airbus wins $7.5 billion order from Singapore Airlines

bloomberg.com :

Airbus, which is trailing Boeing Co. in orders this year, won a contract for 20 A350 XWB-900s and 9 A380s from Singapore Airlines worth an estimated $7.5 billion, as Asia's most profitable carrier aims to expand routes. Singapore Airlines, which is the first customer for the all-new A350, has options to buy 20 more A350 XWB-900s and 6 A380s.

Airbus's new A350 XWB aircraft may give the European planemaker a better chance against Boeing in the 250-to-300-seat plane market category, which will be worth about $450 billion over 20 years, according to a Teal Group estimate. Singapore Airlines' latest order comes after the carrier in June said it's buying 20 787-9 planes from Boeing valued at an estimated $4.52 billion.

(2006-07-24 19:04:38 SGT) [Biz] Permalink

Chartered profit misses estimates

bloomberg.com :

Chartered Semiconductor, a supplier of chips for the Xbox, reported a profit that missed analysts' estimates and forecast a drop in earnings because of falling game-player sales. Net income was $12.3 million in the second quarter ended June 30, compared with a $67.1 million loss a year earlier.

Chartered's stock posted its biggest drop in 19 months after the company said profit for this quarter may be as low as $6 million because of slowing industry growth and higher oil prices. Chief Executive Officer Chia Song Hwee is cutting factory use as the company tries to get rid of excess inventories.

(2006-07-24 19:01:01 SGT) [Biz] Permalink

Malaysia, Indonesia to set aside palm oil for biodiesel

peakoil.com -> planetark.org :

The world's top palm-oil producers, Malaysia and Indonesia, have decided to set aside nearly 40% of their crude palm oil output [six million tonnes annually] for biodiesel production. Industry analysts said the move could further boost edible-oil prices, making it expensive for both food and energy users to buy vegetable oils. Traders said companies setting up biodiesel plants had worked out the cost of palm oil at 1,500 to 1,600 ringgit a tonne to be viable for making biofuel.

As countries from Europe to Asia seek ways to cut dependence on imported oil, curb greenhouse gas emissions and boost local agriculture, biofuel plants are sprouting at a dizzying pace. Such is the demand for palm oil-based biofuel that Malaysia has stopped licensing new producers while industry works out how to divide the raw material between the food and energy sectors.

(2006-07-24 18:54:51 SGT) [Energy] Permalink

UN agency predicts sharp decline in world cereal stocks

peakoil.com -> newsblaze.com :

World cereal stocks are expected to decline sharply in 2006, due to a slight decrease in global cereal output and significant growth in utilization, according to the latest forecast by the United Nations Food and Agriculture Organization (FAO), which predicted that food emergencies will continue in a number of countries - these include Somalia, South Africa, Angola and Zimbabwe.

Increased demand is expected to be driven by a recovery in feed use due to a rebound in poultry consumption, FAO said. In addition, the growing demand for ethanol is likely to boost industrial use of coarse grains, particularly maize, the report said.

(2006-07-24 18:43:47 SGT) [Env] Permalink

China to spend $175 billion on the environment

peakoil.com -> news.mongabay.com :

China plans to spend about $175 billion protecting its environment over the next five years according to a report from BBC News. The money will be used to reduce pollution, improve water quality, and cut soil erosion.

China has some of the world's most polluted cities and waterways. A December 2005 report from the Chinese government said some 300 million Chinese drink unsafe water tainted by chemicals and other contaminants, while a nationwide survey found that about 90% of China's cities have polluted ground water. Meanwhile, a 2005 study by the World Health Organization (WHO), reported that seven of the world's ten most polluted cities are in China and almost two thirds of the country's largest cities fail to meet the organization's air quality standards. The World Bank estimates that pollution is costing the country 8-12% of its $1.4 trillion GDP in direct losses.

(2006-07-24 12:35:07 SGT) [Env] Permalink

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