new base special 11 february 2014

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Copyright © 2014 NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced, redistributed, or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained in this publication. However, no warranty is given to the accuracy of its content . Page 1 NewBase 11 February 2014 Khaled Al Awadi NewBase For discussion or further details on the news below you may contact us on +971504822502 , Dubai , UAE Kuwait awards $12b clean fuel project AFP , Published: 18:57 February 10, 2014 Project awarded to British, US and Japanese-led consortia to boost capacity at oil refineries and make production environmentally friendly . Kuwait National Petroleum Co said on Monday it has awarded a $12-billion project to British, US and Japanese-led consortia to boost capacity at oil refineries and make production more environmentally friendly. Work on the three-part project for KNPC to upgrade refineries while reducing sulphur and carbon pollutants is expected to start in April and be completed in five years. The Mina Abdullah I project was awarded to a consortium led by Britain’s Petrofac at $3.8 billion, Mina Abdullah II to US Fluor-led consortium for $3.4 billion, while Mina Al Ahmadi went to Japan’s JGC Corp-led consortium for $4.8 billion, KNPC spokesman Khaled Al Assousi told AFP. Assousi said he expected the contracts to be signed within the next six weeks and work to commence in April. The current production capacity of the two refineries of Mina Al Ahmadi and Mina Abdullah is around 730,000 barrels per day, while the capacity of Kuwait’s third refinery at Shuaiba is 200,000 bpd. At the end of the projects, the capacity of the two refineries will be raised to 800,000 bpd, while Kuwait plans to shut the third refinery. Kuwait is soon also expected to award contracts for a state-of-the-art refinery with a capacity of 615,000bpd expected to come onstream after five years. Kuwait’s refining capacity will reach over 1.4 million bpd from the existing capacity of 930,000 bpd, when all the projects are completed. The plans have been repeatedly delayed because of political disputes between parliament and the government. The project to build a new refinery was scrapped by the government around five years ago, months after five Japanese and South Korean companies were awarded contracts. MPs had opposed the plan complaining of a lack of transparency in the tendering process. Mina Al-Ahmadi Refinery (KNPC), 470,000 bbl/d (75,000 m 3 /d) Shuaiba Refinery (KNPC), 200,000 bbl/d (32,000 m 3 /d) Mina Abdullah Refinery (KNPC), 270,000 bbl/d (43,000 m 3 /d)

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Copyright © 2014 NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced,

redistributed, or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained

in this publication. However, no warranty is given to the accuracy of its content . Page 1

NewBase 11 February 2014 Khaled Al Awadi

NewBase For discussion or further details on the news below you may contact us on +971504822502 , Dubai , UAE

Kuwait awards $12b clean fuel project AFP , Published: 18:57 February 10, 2014

Project awarded to British, US and Japanese-led consortia to boost capacity at oil refineries and make

production environmentally friendly .

Kuwait National Petroleum Co said on Monday it has awarded a $12-billion project to British, US and Japanese-led consortia to boost capacity at oil refineries and make production more environmentally friendly.

Work on the three-part project for KNPC to upgrade refineries while reducing sulphur and carbon pollutants is expected to start in April and be completed in five years. The Mina Abdullah I project was awarded to a consortium led by Britain’s Petrofac at $3.8 billion, Mina Abdullah II to US Fluor-led consortium for

$3.4 billion, while Mina Al Ahmadi went to Japan’s JGC Corp-led consortium for $4.8 billion, KNPC spokesman Khaled Al Assousi told AFP.

Assousi said he expected the contracts to be signed within the next six weeks and work to commence in April. The current production capacity of the two refineries of Mina Al Ahmadi and Mina Abdullah is around 730,000 barrels per day, while the capacity of Kuwait’s third refinery at Shuaiba is 200,000 bpd.

At the end of the projects, the capacity of the two refineries will be raised to 800,000 bpd, while Kuwait plans to shut the third refinery. Kuwait is soon also expected to award contracts for a state-of-the-art refinery with a capacity of 615,000bpd expected to come onstream after five years. Kuwait’s refining capacity will reach over 1.4 million bpd from the existing capacity of 930,000 bpd, when all the projects are completed.

The plans have been repeatedly delayed because of political disputes between parliament and the government. The project to build a new refinery was scrapped by the government around five years ago, months after five Japanese and South Korean companies were awarded contracts. MPs had opposed the plan complaining of a lack of transparency in the tendering process.

• Mina Al-Ahmadi Refinery (KNPC), 470,000 bbl/d (75,000 m3/d)

• Shuaiba Refinery (KNPC), 200,000 bbl/d (32,000 m3/d)

• Mina Abdullah Refinery (KNPC), 270,000 bbl/d (43,000 m3/d)

Copyright © 2014 NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced,

redistributed, or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained

in this publication. However, no warranty is given to the accuracy of its content . Page 2

UAE-led group set to close $2bn India power deals By Reuters

Abu Dhabi National Energy Co (TAQA), leading a consortium that plans to invest around $2 billion to acquire hydropower assets in India, expects to close the deal this quarter, three sources familiar with the matter told Reuters.

TAQA, majority-owned by the Abu Dhabi government, is buying two hydropower plants owned by Jaiprakash Power Ventures in the northern Indian state of Himachal Pradesh. The plants have a total capacity of 1,300 megawatts. TAQA plans to take a majority stake in the plants while India's IDFC Alternatives and PSP Investments, a Canadian pension fund manager, will hold minority stakes, the sources said.

"They are working to finalise it before the end of this quarter, reinforcing TAQA's confidence in the Indian market to complement its existing power generation business there," an Abu Dhabi source familiar with the matter said. "The deal value is estimated to be slightly over $2 billion. The consortium is likely to take over the debts of the seller," a second source said.

The sources declined to be named as the deal is yet to be signed. Spokesmen for TAQA and Jaiprakash Power declined to comment. The deal would be TAQA's second investment in north India. Early last year, it acquired a minority interest in a 100 megawatt hydroelectric plant, Himachal Sorang Power, in a joint venture with Jyoti Structures..

TAQA also operates a 250 megawatt lignite power station in the Neyveli region of southern India. Last month TAQA appointed five banks to arrange a potential international bond offer that is expected to launch this quarter, sources told Reuters. The state-owned utility has investments in the energy and power sector from India and the Middle East to Africa, Britain and North America.

Copyright © 2014 NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced,

redistributed, or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained

in this publication. However, no warranty is given to the accuracy of its content . Page 3

Topaz Sends Two PSVs to West Africa on $50M Contract http://www.offshoreenergytoday.com

Topaz Energy and Marine is expanding its West African operations by securing two PSV

contracts worth $50 million.

The UAE-based company did not disclose the identity of the client but said that the contracts will supply “one of the world’s leading

international oil companies” with two 3, 300 DWT Platform Supply Vessels that will support their offshore production operations. The value of these two contracts is $50 million and including these two Topaz’s total contract backlog amounts to $1.2 billion.

The vessels, placed into service last year, are equipped with dynamic positioning DP2.

Topaz’s fleet consists of 93 vessels, of an average age of 7 years, not including 4 vessels that are under construction.

René Kofod-Olsen, CEO, Topaz Energy and Marine, said: “As part of our strategy, Topaz is pursuing

growth outside of our home markets of the Middle East and the Caspian, with West Africa being one of our

key target regions. These are important contracts for Topaz because of West Africa’s strategic significance.

We believe we have the right fleet and the management expertise to create a long-term sustainable business

in West Africa, always in partnership with local businesses. The region is forecast to see above market

growth in industry activity and OSV demand which we hope to capitalize upon.”

About Topaz Energy and Marine ( www.topazworld.com)

Topaz Energy and Marine is a leading oilfield services

company providing marine solutions to the global energy

industry with primary focus on the Middle East and the

Caspian Sea. Headquartered in Dubai with 40 years of

experience in the Middle East, Topaz operates a fleet of

more than 90 offshore support vessels of an average age

of 7 years, well below the global average of 12 years.

Topaz is a wholly owned subsidiary of Renaissance

Services SAOG, a publicly traded company on the Muscat

Securities Market, Oman.

Copyright © 2014 NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced,

redistributed, or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained

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Cepsa lands Kenyan acreage http://www.upstreamonline.com/live/article1351767.ece

Spain’s Cepsa has completed a farm-in deal with US player ERHC Energy, giving it operatorship of an

onshore block in East Africa.

The former has taken a 55% stake in Block 11A in the north-west of Kenya following a previously-announced deal between the two parties.

ERHC, which will continue to hold a 35% stake, said Cepsa will press ahead with a 2D seismic, which is expected to begin this spring.

Block 11A covers 2.95 million acres and sits on the borders of South Sudan and Lake Turkana, and close to the border with Uganda.

About Cepsa Shareholding

As of August 2011, CEPSA is

owned by a single shareholder, International Petroleum Investment Company (IPIC).

International Petroleum Investment Company, IPIC, was formed by the Abu Dhabi government in 1984. The company was tasked with making investments in the energy sector and has stakes in more than 15 companies in 10 countries on all five continents, with the following portfolio:

• 60,000 million dollars in consolidated assets. • The companies in which it has holdings include: EDP, Nova, Chemicals, Borealis, Cosmo Oil,

Aabar, OMV and Ferrostaal.

H.E. Khadem Al Qubaisi, is Chairman of CEPSA and Board Member & Managing Director of IPIC.

IPIC acquired a stake in CEPSA in 1988, and since then both firms have maintained close links and have worked in cooperation. For CEPSA, having IPIC as its sole shareholder has presented it with a magnificent opportunity for growth as well as a significant business challenge.

For more information about IPIC: www.ipic.ae

Copyright © 2014 NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced,

redistributed, or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained

in this publication. However, no warranty is given to the accuracy of its content . Page 5

Drydocks, OIM to Finalize Rig Construction Contract in March http://www.offshoreenergytoday.com

Drydocks World, the UAE-based provider of maritime and offshore services to the shipping, oil, gas

and energy sectors, held its first joint workshop on January 21-22, 2014, which was organized

following the recent signing of Letter of Intent (LOI) with Offshore Innovation Management Ltd., to

build a series of AJ 62-X135 series of multi-purpose (accommodation & construction) Jack-Up rigs.

Senior delegates from Offshore Innovation Management (Owners), GustoMSC (Designer and supplier of Jacking & Fixation system) Markhus AS (Accommodation specialist) DNV (Classification Society) and Drydocks World (Construction yard) attended the workshop. The attendees included Oddgeir Indrestrand, CEO, and Sturla Fjoran, COO, Offshore Innovation Management; John Inge Markhus, MD, Markhus Asia, Rene’ van Rossum, Project Manager, Gusto MSC, Rajesh Panicker, DNV GL, Gerben Roks, Products & Sales Manager – Cranes and Jan Thore Lygren, Business Development Manager – Cranes with Huisman.

Eng. Ali AlSuwaidi, VP – Commercial, Business Development & Project Management at Drydocks World said, “We have continued to build on our successful strategy of taking on a leadership role in providing

value addition to the offshore sector. Drydocks World is joining with partners in putting the specifications

and final details of the rig. The shipyard is contributing its construction experience and engineering

capabilities to the owners and other rig’s main designers and seeks to overcome the construction challenges

and come up with a building philosophy that suits the owner and its usage environment. This workshop is

the start and there will be several more in line with achieving the milestones for delivering this project.”

“We have taken heed of the fact that there has been a surge in recent demand for higher specification jack-ups for

operation in deepwater and there has been additional growth in areas such as those adjoining the United Kingdom and

Norway. We are well-equipped to handle projects that involve a high level of sophistication such as the AJ 62-X135 type

rigs, which are one of the largest, and are in touch with industry needs,” he added.

Related: Drydocks to Build Jack-Up Unit for Offshore Innovation Management Ltd.

The discussions points at the workshop included the standards to be followed based on the stringent requirement of operating the accommodation rig in North Sea and UK waters, the construction methodology of the rig, detailed schedule considering the time for production engineering and long lead items in the yard, the involvement and responsibility of the various parties. Various technical issues related the platform engineering, procurement and construction, design and outfitting of the living quarters fit for 490 persons and the 3000-tonne crane were also discussed and agreements reached. The forum also discussed the requirement to provide an absolutely dust free environment for the outfitting works on the living quarters in order to meet the requirements of Norsok standards.

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Delivery in 2016

As a result of the joint workshop a clear way forward with key dates for all major milestones was agreed between the parties. Drydocks World Engineering Department is now developing the final Technical specification of the platform in conjunction with the owners and designers and is planning to conclude the

Rig Building Contract with OIM by March 2014 followed by an immediate Contract award to its major Subcontractors.

The projects will start in 2014 and the first rig is expected to be delivered in 2016. With the availability of adequate capacities and capabilities in the form of approximately 10,000 own and 3000 sub-contracted manpower, large panel line workshop, panel assembly & grand assembly areas, covered and temperature controlled blasting and painting facility, a unique launching facility with 8000-tonne skidding capacity, and a 2000-tonne lifting capacity shear leg

floating crane, the yard is fully geared up to commence this challenging project .

Copyright © 2014 NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced,

redistributed, or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained

in this publication. However, no warranty is given to the accuracy of its content . Page 7

Yemen's fuel bill exceeds oil export earnings Reuters

Yemen's rising fuel import bill surged past its declining revenues from oil exports in 2013, central bank data showed on Monday, putting increasing pressure on government finances. Yemen, one of the Arab world's poorest countries, relies on oil exports to finance up to 70 per cent of its budget.

But frequent attacks on its oil infrastructure over the past two years has slashed exports and led to a rise in fuel imports for the domestic market. Yemen's oil product imports more than doubled to 18.4 million barrels in 2013 at a cost of $2.93 billion, while the government's oil revenues slumped by $833 million to $2.66 billion, according to a report published by Yemen's central bank.

Its oil pipelines have been blown up many times by tribesmen or Islamist militants since long-serving President Ali Abdullah Saleh was forced to step down in 2011. This has piled unprecedented pressure on Yemen's already shaky public finances and made it more difficult for the cash-strapped government to restore order.

The report said the government's share of oil output was 24 million barrels in 2013, down from 31 million in 2012. Yemen's average oil export price was $114.59 a barrel last year, up from $111 in 2012, the bank said.

Copyright © 2014 NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced,

redistributed, or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained

in this publication. However, no warranty is given to the accuracy of its content . Page 8

PetroChina Parent Finds Gas Aibing Guo (Bloomberg)

China National Petroleum Corp., the nation’s biggest oil and gas producer, discovered a natural gas reserve big enough to supply China’s needs for almost two years.

The find in Anyue county in the southeastern province of Sichuan has a reserve of 440 billion cubic meters, of which 308 billion cubic meters are technically recoverable, CNPC said in a statement posted on its website yesterday.

China consumed 169 billion cubic meters of gas in 2013, according to the National Development and Reform Commission. The nation is seeking to boost the use of the cleaner-burning fuel to replace coal and tackle air pollution in its biggest cities including Beijing and Tianjin.

The Anyue gas field belongs to Southwest Oil & Gasfield Co., a unit CNPC’s listed arm, PetroChina Co., according to an Aug. 28 statement posted on Suining city’s Environmental Protection Bureau’s website. Suining has jurisdiction over the area where most of the gas

reserves were found.

The find is the single biggest gas discovery in China, and could boost PetroChina’s total proven gas reserves by as much as 10 percent, according to CLSA Ltd.’s energy analysts Simon Powell and Nelson Wang in an e-mailed research note today. The analysts said developing the field could take 3 to 5 years.

PetroChina shares rose 1.8 percent to HK$7.81 as of 10:21 a.m. in Hong Kong, the most since Nov. 19. The city’s benchmark Hang Seng Index

gained 1 percent, while China Petroleum & Chemical Corp., the country’s no. 2 oil and gas producer, and Cnooc Ltd., its biggest offshore explorer, both rose 3 percent.

‘Big Boost’

CLP Holdings Ltd., Hong Kong’s biggest power supplier, gained 2.9 percent to HK$59.75. CLP and PetroChina agreed in May to establish a joint venture to manage natural gas imports to Hong Kong, with PetroChina owning 60 percent.

The find is “a big boost to CNPC and PetroChina, as a new discovery of this scale can bring huge profits, once commercial production starts,” said Shi Yan, an analyst with UOB-Kay Hian Ltd. in Shanghai. “It will help strengthen China’s energy security as high output means less dependence

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on imports.” China imported 53 billion cubic meters of natural gas in 2013, or 32 percent of its total consumption, according to CNPC’s research institute.

A testing well at the site has produced as much as 1.1 million cubic meters of natural gas a day, CNPC said in the statement. Production facilities being built at the site will help raise output to as much as 10 billion cubic meters of gas a year.

PetroChina produced 58 billion cubic meters of natural gas in the first nine months of 2013, according to its third-quarter earnings statement on Oct. 29. PetroChina spokesman Mao Zefeng couldn’t be reached for comment. China had 3.1 trillion cubic meters of gas reserves at the end of 2012, enough for 28.9 years, according to BP Plc’s Statistical Review of World Energy released in June 2013.

Additions by : NewBase : China alone wants to more than double the share of gas in the next decade and to massively reduce especially the

combustion of coal, which is very harmful to the climate. Coal currently accounts for 80% of energy demand, whereas gas makes up only 1%. Beijing has come to realise that both CO2 and sulphuric emissions would have to be reduced drastically and local gas production would have to be supported. Unconventional gas is supposed to play an important part in this scenario and to cover 30% of Chinese gas demand by 2020 . PetroChina has recently announced that it wanted to step up the production of CBM by a factor of 12 to a total of 4mn cubic metres by 2015. The overall CBM resources of China are estimated at 37bn cubic metres.

The technology transfer for this development has already started. CNOOC and PetroChina have acquired numerous CBM and shale projects in the USA and Australia and established joint ventures. This highlights the fact that an agreement was entered into last year with the US government within whose framework China would be assisted in developing shale gas resources. On top of this PetroChina also invested USD 5.4bn in Encana, the leading Canadian gas producer. In this transaction, PetroChina has taken over 50% in the Cutbank-Ridge Shale project in British Columbia. The deal makes sense for both

parties, given that the Canadians depend strongly on the US market and can thus diversify, and PetroChina benefits from the technology transfer. The fact that an LNG plant was being built in Kitimat seems to have put the seal on the cooperation.

Wood Mackenzie expects natural gas consumption in China to soar from 9

bcf/day today to 43 bcf/day in 2030, i.e. to increase by a factor of almost 5x. This is to be achieved on the one hand by substantially higher domestic production, and on the other hand by higher pipeline capacities from Central Asia and increased LNG imports. This was also a main issue in the recently published five-year plan. According to the latter, China should follow the example of the USA and turn into an essential producer of unconventional gas. Official Chinese statements have set the goal of defining 50 to 80 shale projects and exploring and developing close to 30 projects by 2020.

Copyright © 2014 NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced,

redistributed, or otherwise copied without the written permission of the authors. This includes internal distribution. All reasonable endeavours have been used to ensure the accuracy of the information contained

in this publication. However, no warranty is given to the accuracy of its content . Page 10

Egypt scrambling to meet summer energy needs: oil minister (Reuters) –

Egypt will need to import an additional $1 billion worth of petroleum products and secure significant natural gas supplies as it scrambles to meet energy needs for the summer, Oil Minister Sherif Ismail has told Reuters.

One government after another has struggled to cope with energy crunches, and Ismail said this coming season would be no exception. Failure to find a solution could frustrate Egyptians, who rioted in the past over long lines at gas pumps just before the army toppled Islamist President Mohamed Mursi.

Political turmoil since a popular uprising ousted autocrat Hosni Mubarak in 2011 has paralysed decision making. Disarray in the energy sector will take time to fix, even after a new government replaces the army-backed interim administration. "Of course there are needs," said Ismail, adding that efforts to import badly needed natural gas may not succeed.

"The intention is to (make available) liquefied natural gas (LNG) and (to get) LNG facilities in operation before the summer ...It is our prime concern and intention to solve this problem if not for this year by 100 percent then at least for the years yet to come." Egypt in October tendered for a floating terminal needed to import LNG. An official said at the time that the government wanted the terminal in place by April, before temperatures rise and consumption spikes. The tender has

not yet been awarded, and experts say that time has run out for a terminal to be delivered and installed before the summer. Ismail said the alternatives to importing LNG include shifting to using more expensive fuel oil and encouraging Egyptians to conserve energy during peak hours.

These steps may not suffice. Analysts say about 75 percent of electricity production in Egypt is dependent on gas, not fuel oil. Saudi Arabia, Kuwait and the United Arab Emirates extended an economic lifeline to Egypt after the army ousted Mursi after mass protests against his rule.

Deeply mistrustful of Mursi's Muslim Brotherhood movement, these Gulf Arab states pledged billions of dollars to the army-backed government, including petroleum products. Egypt has said it has received $4 billion in fuel products from Gulf nations since Mursi's ouster. Ismail said Egypt would require more imports for the summer.

"The first estimate...is that we will need to import petroleum products of around $250 million per month during the four summer months," Ismail said in an interview. Not all Gulf countries were generous with the government after Mursi's ouster. Qatar, which backed the Brotherhood, sent Egypt LNG shipments last summer but negotiations for further supplies stalled over political tensions.

The growing population of 85 million has kept energy demand steadily rising so that it now outstrips the production of oil and gas from fields in the Western Desert, Nile Delta and offshore. Compounding the problems, the government fell into heavy debt to foreign energy firms which Egypt needs to help it exploit gas reserves that could enable the country to end power cuts and bolster export income.

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Instead, surging demand has caused Egypt to divert high levels of gas produced by foreign companies such as BG Group and promised to them for export. Ismail said that "the gap between production and consumption" is caused mainly by the fact that Egypt has not developed its available reserves.

SUBSIDY BURDEN

Egypt's energy troubles weigh heavily on the economy. Talk of cutting fuel subsidies costing $15 billion a year has produced limited results. Successive governments have feared that raising energy prices could trigger unrest in a country where street protests have helped remove two presidents in three years.

Ismail, an engineer who held senior posts at several state-run energy firms before his appointment as minister last July, says the interim government will take the first steps in a reform programme that would

see subsidies cut by 25 to 30 percent in five to six years.

A smart card system for fuel purchases by drivers launched during Mursi's year in office should be operational within three months, he said. The government hopes the initiative will allow it to analyse fuel consumption data before enacting reforms.

Ismail acknowledged that subsidy spending in 2014 could exceed the targeted 140 billion Egyptian pounds ($20.11 billion), saying that industrial needs may increase in the second half of the financial year which ends in June. "The subsidy issue is crucial," he said, adding that increasing energy consumption and the government's target of seven

percent economic growth requires subsidy reform and efforts to diversify the energy mix. "Ninety-five percent of energy consumed depends on crude oil and natural gas. The current energy mix doesn't really work for Egypt, it is not secured, it is not economical, and it is not sustainable," he said. For now, Egypt is aiming to increase its natural gas output even as the companies that produce it warn that political and economic turmoil will lower their output.

Ismail said that Egypt aims to increase its natural gas output by 1,800 million cubic feet this year, up by 35 percent from the current production level of 5,100 million cubic feet. His ministry forecast last week that gas production in the next fiscal year, which begins in July, would fail to meet surging domestic demand.

Ismail said that the government was in talks with BG Group to speed up the process of getting Phase 9A of its West Delta Deep Marine offshore natural gas project on-stream. The latest drilling phase of that project fell behind schedule last year.

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in this publication. However, no warranty is given to the accuracy of its content . Page 12

ExxonMobil finds itself behind Google http://www.upstreamonline.com/live/article1351777.ece

US supermajor ExxonMobil has taken third chair on the list of the country's most valuable publicly traded

companies after losing ground to tech giant Google

in market capitalisation.

As of market close on Friday, Google had a market

cap of $395.42 billion compared with ExxonMobil's

$392.66 billion valuation.

The oil and gas behemoth's New York-listed shares

have been on the decline in recent weeks and have

lost around 10% of their value since the first of the

year. A lacklustre quarterly earnings report that showed profits were down 16% - and down 27% on the

year - did not help the stock.

Google shares, meanwhile, have been rising steadily and are up around 5% since the start of the year and

66% since the beginning of last year.

The internet-search company is the second tech

mammoth to surpass ExxonMobil in recent years.

Apple passed up ExxonMobil in 2011, but the Rex

Tillerson-led company regained the throne in

2013.

ExxonMobil's flagging stock price has since

allowed Apple to take the lead, and the gadget

builder remains the leading US company by market

cap at $463.55 billion, as of Friday.

Both Apple and Google increased their leads over ExxonMobil in morning trade on Monday, with market

caps of $473.83 billion and $395.26 billion, respectively, at 12:30 pm in New York. Both tech stocks are

listed on the Nasdaq.

ExxonMobil's shares, listed on the New York Stock Exchange, were down just over 1% on Monday

morning at $89.63 apiece for a market cap of $391.68 billion.

The stock is down from where it was trading in mid-November when ace investor Warren Buffett revealed

that his company Berkshire Hathaway had acquired an approximate $3.44 billion stake in the Texas oil

company, a move seen as a vote of confidence for the supermajor.

That announcement, made public on 15 November when ExxonMobil's shares were trading around the $94

mark, gave a short-term boost to ExxonMobil's stock. Shares in the company traded above $100 as

recently as 17 January.

Copyright © 2014 NewBase www.hawkenergy.net Edited by Khaled Al Awadi – Energy Consultant All rights reserved. No part of this publication may be reproduced,

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in this publication. However, no warranty is given to the accuracy of its content . Page 13

NewBase For discussion or further details on the news below you may contact us on +971504822502 , Dubai , UAE

Your partner in Energy Services

Khaled Malallah Al Awadi, MSc. & BSc. Mechanical Engineering (HON), USA ASME member since 1995 Emarat member since 1990

Energy Services & Consultants Mobile : +97150-4822502

[email protected]

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Khaled Al Awadi is a UAE National with a total of 24 yearsKhaled Al Awadi is a UAE National with a total of 24 yearsKhaled Al Awadi is a UAE National with a total of 24 yearsKhaled Al Awadi is a UAE National with a total of 24 years of experience in theof experience in theof experience in theof experience in the Oil & Gas sector. CurrentlOil & Gas sector. CurrentlOil & Gas sector. CurrentlOil & Gas sector. Currently working as Technical Affairs y working as Technical Affairs y working as Technical Affairs y working as Technical Affairs

Specialist for Emirates General Petroleum Corp. “Emarat“ with external voluntary Energy consultation for the GCC area via HSpecialist for Emirates General Petroleum Corp. “Emarat“ with external voluntary Energy consultation for the GCC area via HSpecialist for Emirates General Petroleum Corp. “Emarat“ with external voluntary Energy consultation for the GCC area via HSpecialist for Emirates General Petroleum Corp. “Emarat“ with external voluntary Energy consultation for the GCC area via Hawk Energy awk Energy awk Energy awk Energy

Service as a UAE operations base , Most of the experience were spent as the Gas OperaService as a UAE operations base , Most of the experience were spent as the Gas OperaService as a UAE operations base , Most of the experience were spent as the Gas OperaService as a UAE operations base , Most of the experience were spent as the Gas Operations Manager in Emarat , responsible for Emarat Gas tions Manager in Emarat , responsible for Emarat Gas tions Manager in Emarat , responsible for Emarat Gas tions Manager in Emarat , responsible for Emarat Gas

Pipeline Network Facility & gas compressor stations . Through the years , he has developed great experiences in the designinPipeline Network Facility & gas compressor stations . Through the years , he has developed great experiences in the designinPipeline Network Facility & gas compressor stations . Through the years , he has developed great experiences in the designinPipeline Network Facility & gas compressor stations . Through the years , he has developed great experiences in the designing & constructingg & constructingg & constructingg & constructing of gas pipelines, of gas pipelines, of gas pipelines, of gas pipelines,

gas metering & regulating stations and ingas metering & regulating stations and ingas metering & regulating stations and ingas metering & regulating stations and in the engineering of supply routes. Many years were spent drafting, & compiling gas transportation , operation & the engineering of supply routes. Many years were spent drafting, & compiling gas transportation , operation & the engineering of supply routes. Many years were spent drafting, & compiling gas transportation , operation & the engineering of supply routes. Many years were spent drafting, & compiling gas transportation , operation &

maintenance agreements along with many MOUs for the local authorities. He has become a reference for many of the Oil & Gas Cmaintenance agreements along with many MOUs for the local authorities. He has become a reference for many of the Oil & Gas Cmaintenance agreements along with many MOUs for the local authorities. He has become a reference for many of the Oil & Gas Cmaintenance agreements along with many MOUs for the local authorities. He has become a reference for many of the Oil & Gas Conferences held in onferences held in onferences held in onferences held in the UAE the UAE the UAE the UAE

andandandand Energy program broadcasted internationally , via GCC leading satelliteEnergy program broadcasted internationally , via GCC leading satelliteEnergy program broadcasted internationally , via GCC leading satelliteEnergy program broadcasted internationally , via GCC leading satellite ChannelsChannelsChannelsChannels . . . .

NewBase : For discussion or further details on the news above you may contact us on +971504822502 , Dubai , UAE

NewBase 11 February 2014 K. Al Awadi