2023-11-12 02:25

BEIJING, Nov 12 (Reuters) - Four people were killed when a building collapsed in China's Wenzhou city, state media outlet CCTV reported on Sunday. The collapse occurred on Saturday during renovation of the building, and the casualties were all construction workers, CCTV reported, adding that continuous rain had hampered rescue work. An investigation into the cause is going on, it said. The accident in the eastern city follows several similar incidents recently, including the collapse of a gym in heavy snow in the northeast province of Heilongjiang last week, which killed three. In July, 11 people were killed when the roof of a school gym caved in during intense rain, also in Heilongjiang province, drawing criticism by media. Authorities said construction materials illegally stacked on the roof may have caused the collapse, Xinhua reported. "How come accidents like this always happen?" said a user of the Weibo social media platform. “The hidden danger of buildings’ safety cannot be ignored and needs to be treated seriously.” https://www.reuters.com/world/china/four-killed-building-collapse-chinas-wenzhou-city-2023-11-12/

2023-11-12 01:13

LONDON, Nov 12 (Reuters) - Foreign investors pulled a record amount of money from U.S. equity funds tracking Saudi Arabia in October as the Middle East's worst violence in decades shook the region's business-friendly narrative. The iShares MSCI Saudi Arabia ETF saw record net outflows in October of more than $200 million, LSEG data shows, cutting 20% from what it held at the beginning of the month. Exchange traded funds (ETFs) providing exposure to stocks in Qatar, the UAE and Israel also suffered outflows, with investors worried about instability, and flows have been muted this month. "Capital flight can be quite indiscriminate," said Torbjorn Soltvedt, principal analyst for the Middle East and North Africa with Verisk Maplecroft. "It's not necessarily 100% based on the fundamentals for each country. And so obviously, right now, there's a perception that risks are increasing throughout the region. And we're seeing a negative impact as a result of that," he added. The iShares MSCI Qatar ETF (QAT.O) lost $7.7 million in funds in October, while the iShares MSCI UAE ETF (UAE.O) suffered outflows of $2.75 million. Exchange-traded funds tracking Israel such as the iShares MSCI Israel ETF , ARK Israel Innovative Technology ETF and BlueStar Israel Technology have seen net outflows between $2.5 million and $9.3 million since Oct 7 attack by Hamas militants. The outflows from ETFs tracking Gulf countries far outpace those from most emerging markets in the same period, while outflows from Israel are also above average. Israel's war with Hamas is the second time Israeli markets have faced turmoil this year after the earlier fallout from the government's judicial reforms ramped up pressure on them. Natalia Gurushina, chief economist for emerging markets with VanEck, said the latest turmoil had compounded outflows. "The FDI story – Israel as a destination for tech investment - this took another hit, and a big one," Gurushina said. "From a structural perspective, Israel being a safe and attractive place for these kinds of inflows, that's one of the reasons (ratings agencies) were considering a downgrade before." Those concerns were "not going to get better any time soon," she added. However, ETFs tracking the region have also mostly bounced back from losses incurred just after Hamas launched its attack into Israel on Oct. 7. BROAD RESILIENCE The ETF cash flight points to cracks in investor confidence in what have otherwise been surprisingly resilient markets. Israel has recouped losses in the shekel and its bonds have rebounded. Bonds in most Gulf countries showed little knock at all from the conflict. Sergey Dergachev, a portfolio manager with Union Investment, noted that the turmoil had not slowed new issuance in the Gulf, pointing to a sukuk from Saudi Arabia's Public Investment Fund. "It's very interesting to observe that you don't see any big fear of contagion risk," he said, while noting there had been no corporate debt sales from Israel since the start of the war. Nearly all the region's main economies are strong enough to weather some turmoil, investors say. Israel has nearly $200 billion in reserves and the Gulf states are propped up by surging oil and gas prices. But the equity investor cash flight highlights the still-serious risk to these economies, and their efforts to diversify, as the region falls back into conflict. Soltvedt of Maplecroft said that continued war could undermine Saudi efforts to curb its reliance on oil, while Dergachev and other investors said the length of the conflict – and how badly it damaged Israeli businesses and investment – could wreak further havoc on its economy. "For Israel, the big question is what will happen afterwards? This is not really priced in," Dergachev said. https://www.reuters.com/markets/investors-pull-record-sums-saudi-middle-east-fund-flight-2023-11-12/

2023-11-11 23:02

Nov 11 (Reuters) - Canadian emissions monitoring company GHGSat on Saturday launched a satellite aimed at detecting carbon dioxide emissions from individual facilities like coal plants and steel mills from space for the first time. The satellite, named Vanguard, launched from Vandenberg Space Force Base in California, GHGSat said. Space-age technology is increasingly being used to hold polluting industries accountable for their contributions to climate change. GHGSat's data is available for sale to industrial emitters who want to reduce their emissions, as well as to governments and scientists. Vanguard will build on the growing network of satellites that are already spotting plumes of methane, an invisible greenhouse gas that is difficult to detect because it tends to leak from an array of small sources including pipelines, drill sites and farms. Carbon dioxide accounts for nearly 80% of U.S. greenhouse gas emissions from human activities and tends to enter the atmosphere from large industrial sources like power plants. Satellites monitoring carbon dioxide in the atmosphere currently are not focused on facility-level emissions, GHGSat said. The data collected by Vanguard will help substantiate common practices of monitoring and measuring carbon dioxide emissions, according to Stephane Germain, CEO of Montreal-based GHGSat. "Often what we find is a mix of direct measurements and estimates - therefore having a direct measurement of the entire facility from a satellite will act as a validation," Germain said in an interview. Satellites have already shown that methane emissions are broadly higher than estimated and Germain said he suspected the same is true of carbon dioxide. The information will help bolster the accuracy of government emissions inventories and scientific modeling and will improve the quality of corporate greenhouse gas reporting for investors, GHGSat said. https://www.reuters.com/business/environment/new-satellite-will-detect-share-co2-data-individual-facilities-2023-11-11/

2023-11-11 20:10

Nov 11 (Reuters) - Exxon Mobil (XOM.N) is set to unveil its long-awaited lithium strategy on Monday with an announcement that it aims to start production of the electric vehicle (EV) battery metal in Arkansas by 2026, according to a source with direct knowledge of the oil major's plans. Exxon's expansion into the sector comes as emerging technologies aim to boost global production of the ultralight metal by filtering it from salty brine deposits found across the globe and supplying it to battery makers eager for fresh sources. Exxon, which invented the lithium-ion battery in the 1970s but stepped away from the technology, plans to begin producing at least 10,000 metric tons per year of lithium in Arkansas by 2026 with partner Tetra Technologies (TTI.N) in what has been labeled "Project Evergreen," according to the source. That initial production would be roughly equivalent to the amount needed to produce 100,000 EV batteries. Reuters reported this year that Exxon had agreed to develop more than 6,100 lithium-rich acres in Arkansas with Tetra, which produces chemicals for water treatment and recycling. Exxon has been drilling wells in Arkansas this year to study the vast Smackover Formation, a geological formation stretching from Florida to Texas that teems with lithium- and bromine-rich brine. The company has also been testing unproven direct lithium extraction (DLE) technology that will be crucial for commercial operations, according to the source, who was not authorized to speak publicly. An Exxon spokesperson declined to comment. A representative for Tetra was not immediately available to comment. For Exxon and other oil companies, lithium production offers the prospect of selling a new product with relatively little added cost. Darren Woods, Exxon CEO since 2017, told investors during a call on Oct. 4 that the lithium sector was "fairly promising." He also said: "We see an opportunity to really leverage the things that we're pretty good at." Exxon, like other fossil fuel producers, has faced pressure to reduce carbon emissions from operations. Reuters reported this year that Exxon shareholder Engine No. 1 had pressured the company to deploy DLE. Exxon is not expected to publicly announce which DLE technology it has chosen, according to the source. The company has a long-standing pattern of not disclosing some vendors. Reuters reported this year that Exxon and Chevron (CVX.N) held talks with International Battery Metals (IBAT.CD) and EnergySource Minerals about licensing DLE technology. OTHER ACREAGE Separate from its Tetra partnership, Exxon also controls more than 100,000 acres in Arkansas from which it plans to begin lithium production by 2027, according to the source. Exxon acquired that acreage this year from privately held Galvanic Energy, Reuters reported. It was not clear whether Exxon plans to expand lithium operations outside Arkansas. Like all oil producers, Exxon extracts water containing traces of lithium as part of fossil fuel production. That could help the oil industry morph into the world's largest lithium supplier, if DLE technologies can be commercialized. Exxon, like Albemarle (ALB.N), Standard Lithium (SLI.V) and others aiming to produce the battery metal in Arkansas, face a key regulatory roadblock. The southern U.S. state, just north of Louisiana, has a royalty structure for bromine, which Albemarle has long produced there, but not for lithium, which could delay development in the short term. The Arkansas Oil and Gas Commission, which overseas lithium operations in the state, has said it plans to hold hearings on the matter. Exxon plans to send at least six representatives to the Benchmark Minerals conference next week in Los Angeles, according to an attendance list seen by Reuters. It would mark the company's first attendance at the major critical minerals conference. https://www.reuters.com/markets/commodities/exxon-aims-begin-lithium-production-by-2026-arkansas-source-2023-11-11/

2023-11-11 18:42

HOUSTON, Nov 11 (Reuters) - BP (BP.L), Edison (EDNn.MI) and Shell (SHEL.L) pressed a U.S.-EU energy group to intervene in a dispute with liquefied natural gas exporter Venture Global LNG over the U.S. firm's failure to deliver contract supplies of the fuel. The companies appealed to the U.S.-EU Task Force on Energy Security last month, and a Shell executive urged them to require Venture Global LNG to "immediately begin to perform" under their signed contracts. The three are among at least four customers of the Arlington, Virginia, firm pursuing contract arbitration claims over a lack of gas supplies. Venture Global LNG has said the Louisiana plant is not fully operational due to faulty power equipment that is being repaired. Their appeals sought to get The Hague and Washington to pressure Venture Global LNG on the contracts. In its letter, Shell accused Venture Global LNG of diverting resources into building a second LNG export plant rather than completing repairs to its first plant. The behavior "has shaken confidence in the trustworthiness of American LNG suppliers," BP executive Carol Howle wrote in a separate letter. Whether the plant should be allowed to operate and export under rules governing construction should be explored by officials, she added. NO ACTION BY TASK FORCE Officials from the EU and U.S. indicated they view the dispute as "a contractual matter between commercial parties," a Venture Global LNG spokesperson said on Saturday. No action was taken on Shell's request at an Oct. 30 task force meeting. A Shell spokesman said on Saturday it was not expecting an immediate reaction by the task force, and wanted to bring a potential loss of trust in U.S. LNG to officials' attention. BP declined comment apart from its letter. Utility giant Edison did not immediately reply to a request for comment on the weekend. Venture Global LNG is operating the Calcasieu Pass plant at capacity, it has told U.S. regulators. And it has sold more than 200 cargoes worth about $18.2 billion to date, according to a Reuters tally. Those sales reaped higher prices than would be available under the four firms' long-term contracts. Shell and others claim the firm has profited from the rally in global gas markets while short-changing Europe's energy security. They have been told they will not receive their contracted amounts until late 2024. BP and Shell have bought gas from the plant and sold it outside of Europe while citing Europe's energy security in letters to the U.S.-EU task force, Venture Global LNG said. The company is "diligently working toward full completion." It did not say when full commercial operation would begin. "Shell has purchased 7 commissioning cargoes from Venture Global and 3 of them were traded outside of Europe for higher profits. Similarly, BP has purchased 6 commissioning cargos, and 2 have been traded to destinations outside of Europe," according to a Nov. 10 letter signed by Venture Global Co-Chairman Michael Sabel and Robert Pender. The exporter is in compliance with terms of its contracts and the criticisms by BP and Shell represent an attempt to "litigate this through our regulators and in the media," the letter said. The appeal to the U.S.-EU task force also follows Repsol's bid to have the U.S. energy regulator Federal Energy Regulatory Commission reopen its approval of the Calcasieu plant in view of the startup problems. That request was rejected. https://www.reuters.com/business/energy/bp-edison-shell-ask-us-eu-intervene-venture-global-lng-dispute-2023-11-11/

2023-11-11 14:20

BASRA, Iraq, Nov 11 (Reuters) - Iraq has signed a settlement agreement with U.S. energy giant Exxon Mobil Corp (XOM.N) to finalise its exit from the West Qurna 1 oilfield and allow PetroChina to become the field's lead contractor, a senior Iraqi oil executive said on Saturday. "We studied the settlement agreement and the oil ministry with the Basra Oil Company believe that the best option is for Petrochina to become the lead contractor of West Qurna 1," Hassan Mohammed, deputy Basra Oil Co. manager in charge of oilfields and licensing rounds affairs, told Reuters. PetroChina will hold the largest stake in the field after the departure of Exxon. Iraq has also signed a "sale agreement" arranging the financial issues to finalise the process of acquiring Exxon Mobil Corp's (XOM.N) stake in West Qurna 1 oilfield by Iraq's state-run Basra Oil Co. (BOC), said Mohammed. The sale agreement includes a commitment to resolve in further talks the tax value that Exxon must pay for selling its stake in the field, he said. "Tax issue is not resolved yet and according to the sale agreement we have two options, either to reach a tax settlement or we resort to arbitration," said the BOC executive. Exxon and PetroChina were not immediately available for comment, but two oil managers at the West Qurna 1 field confirmed the details of the settlement and sale agreement signed with Exxon. Last year, Indonesia’s state-owned oil and gas firm Pertamina bought 10% of Exxon Mobil’s stake in Iraq’s West Qurna 1 oilfield, increasing its share to 20%, while BOC bought 22.7% of the field. Basra Oil Company director Khalid Hamza told Reuters in an interview in 2021 that Exxon was seeking to sell the share for $350 million. West Qurna 1, in southern Iraq, is one of the world’s largest oilfields with recoverable reserves estimated at more than 20 billion barrels. It currently produces around 560,000 barrels per day, said the field officials. Following its exit from West Qurna 1, Exxon will have no presence in Iraq's energy sectory, said BOC officials. https://www.reuters.com/business/energy/petrochina-replace-exxon-lead-contractor-iraqs-west-qurna-1-oilfield-oil-2023-11-11/