Connect with us

Markets

Canadian Stocks Advance For a Fifth Day

Published

on

Canadian Market TSX

Canadian stocks advanced for a fifth day, as gains in banks and consumer companies offset declines by oil producers in a holiday-shortened trading session.

Royal Bank of Canada and Bank of Nova Scotia increased as financial services companies rose 0.5 percent as a group. Pop and bottled water maker Cott Corp., the fourth best-performing stock in the Standard & Poor’s/TSX Composite Index this year, added 1.7 percent.

The S&P/TSX added 0.3 percent, or 33.67 points, to 13,318.58 at 10:44 a.m. in Toronto, rising for the fifth consecutive day, its longest wining streak since Oct. 8. Volume in the gauge was 45 percent lower than the 30-day average at this time of the day.
The equity benchmark has rallied 2.3 percent this week. The S&P/TSX will close at 1 p.m. today for the Christmas holiday and will re-open on Dec. 29.

Goldcorp Inc. and Barrick Gold Corp. rose at least 1.2 percent as the metal climbed after two days of losses. The Bloomberg Dollar Spot Index fell a fifth day, the longest run of declines since April, making commodities including gold more attractive.

Energy producers slipped 0.8 percent as a group to halt a two-day rally. The industry remains the worst-performing among 10 in the S&P/TSX this year, down 24 percent as slowing economic growth in China and Europe and a supply glut in crude battered commodities prices around the world.

Dominion Diamond Corp. added 0.7 percent after two directors resigned for personal reasons, the company said. The diamond mining company has jumped 17 percent this week after coming under pressure for change from a group of investors led by Toronto-based hedge fund K2 & Associates Investment Management.

Equity valuations in the S&P/TSX have declined 9.5 percent to about 20.5 times earnings from a 2015 high of 22.7 on April 15, according to data compiled by Bloomberg. The S&P/TSX is among the worst-performing developed equity markets this year, ahead of only Singapore and Greece. The benchmark is down 1.1 percent for December and 9 percent for the year, headed for the worst annual retreat since 2011.

CEO/Founder Investors King Ltd, a foreign exchange research analyst, contributing author on New York-based Talk Markets and Investing.com, with over a decade experience in the global financial markets.

Continue Reading
Comments

Crude Oil

NNPC Plans Divestment Pathway For Joint Ventures Partnership

Published

on

NNPC Nigeria

The Nigerian National Petroleum Corporation (NNPC) has said it would outline policies to guide its joint venture partners (JVC) that wish to divest from joint ventures or the Nigerian oil and gas industry.

NNPC Group Managing Director, Mele Kyari on Monday said that Nigeria, as a key player in global energy security, was addressing its challenges, mainly fiscal, security and cost competitiveness, to stimulate investments in the oil and gas industry.

Kyari, who spoke in Lagos while delivering an address at the opening ceremony of the Nigeria Annual International Conference and Exhibition said, “NNPC, as a national oil company, is leading multiple initiatives to address this and other issues.

“As we celebrate the passage of the PIB, we have moved our focus to improve security architecture through collaboration with major stakeholders.”

According to him, the Nigerian Upstream Cost Optimisation Programme is working with operators and service contractors to challenge the cost of operations and increase profitability and growth in the industry.

“On the other hand, we are seeing a wave of divestment by oil majors operating in Nigeria. NNPC as a national oil company cannot stop partners from divesting their interest, even though it creates challenges for us in ensuring that we get the right and competent investors to take a position and add value to the assets.

“The NNPC will ensure that Nigeria’s national strategic interest is safeguarded by developing a comprehensive divestment policy that will provide clear guidelines and criteria for divestment of partners’ interest,” Kyari said.

He said the corporation would make clear distinctions between divestment of shares and operatorship agreements under various joint operating agreements while leveraging its rights of pre-emption and evaluating the operational competence and tract records of new partners.

Kyari said in order to sustain a prosperous business environment, particular attention would be paid to abandonment and relinquishment costs, severance of operator staff, third party contract liabilities, competency of the buyer, and post purchased technical, operational and financial capabilities.

He said the NNPC would declare its first dividend to Nigerians as it prepares to release its 2020 financial statements in the third quarter of this year.

The local unit of the Royal Dutch Shell had in May said that its onshore oil portfolio in Nigeria was ‘no longer compatible with its strategic ambitions.

“We have reduced the total number of licenses in onshore Nigeria by half. But unfortunately, our remaining onshore operations continue to be subject to sabotage and theft,” Chief Executive Officer, Ben van Beurden, told investors at the company’s AGM.

Early this year, Shell Petroleum Development Company of Nigeria Limited, Total E&P Nigeria Limited and Nigerian Agip Oil Company Limited concluded the sale of their combined 45 percent interest in Oil Mining Lease 17 and related assets in the Eastern Niger Delta to TNOG Oil and Gas Limited.

Continue Reading

Crude Oil

Petrol Subsidy Likely to Gulp N2T This Year –Rainoil GMD

Published

on

petrol scarcity Nigeria

Nigeria may end up spending N2 trillion on petrol subsidy this year if the current situation persists, the Group Managing Director, Rainoil Limited, Dr Gabriel Ogbechie, has said.

Ogbechie said this on Sunday at the Nigeria History Series of the Centre for Values in Leadership, themed ‘Indigenous participation in the downstream oil and gas sector’ moderated by Prof. Pat Utomi.

While lamenting the lack of deregulation in the downstream sector, he said the government was spending about N8m daily on petrol subsidy.

He described the sector as highly regulated, saying, “I wonder if there is any other sector of the economy that is as regulated as the downstream.”

He said, “The biggest elephant in the room today as far as the downstream is concerned is the failure, so to speak, of the government to deregulate the downstream – fixing the price at which petroleum products are sold, I believe, is very seriously harmful to this economy.”

According to him, the landing cost of the petrol imported into the country is about N300 per litre, based on the current naira-dollar exchange rate.

Continue Reading

Crude Oil

Sirius Petroleum and Baker Hughes Collaborate on OML 65 Drilling in Nigeria

Published

on

sirius petroleum- Investors King

Sirius Petroleum, the Africa-focused oil and gas production and development company, has signed a memorandum of understanding with Baker Hughes. The MoU names Baker Hughes as the approved service provider for Phase 1 of the Approved Work Program (AWP) of the OML 65 permit, a large onshore block in the western Niger Delta, Nigeria. Baker Hughes will provide a range of drilling and related services at a mutually agreed upon pricing structure to deliver the initial nine-well program.

Sirius has signed various legal agreements with COPDC, a Nigerian joint venture, to implement this program. COPDC has signed a Financial and Technical Services Agreement (FTSA) with the Nigerian Petroleum Development Company (NPDC) for the development and production of petroleum reserves and resources on OML 65. The FTSA includes an AWP which provides for development in three phases of the block. and Sirius has entered into an agreement with the joint venture to provide financing and technical services for the execution of the PTA.

The joint venture will initially focus on the redevelopment of the Abura field, involving the drilling and completion of up to nine development wells, intended to produce the remaining 2P reserves of 16.2 Mbbl, as certified by Gaffney Cline and Associates (GCA) in a CPR dated June 2021.

Commenting, Toks Azeez, Sales & Commercial Executive of Baker Hughes, said: “We are extremely happy to have been selected for this project with Sirius and their JV partners. This project represents an important step towards providing our world-class integrated well-service solutions in one of the most prolific fields in the Niger Delta. Baker Hughes’ technological efficiency and execution excellence will help Sirius improve its profitability and competitiveness in the energy market.”

Bobo Kuti, CEO of Sirius, commented: “We are delighted to have secured the services of one of the world’s leading energy technology companies to work with our joint venture team to deliver the approved work program on the block. OML 65. We look forward to building a long and mutually beneficial partnership with Baker Hughes.”

Continue Reading




Advertisement
Advertisement
Advertisement

Trending