Africa > North Africa > Petroleum / Mining

Petroleum / Mining in North Africa

  • Egypt announces new sharp increase in fuel prices

    EGYPT, 2017/08/28 Egypt announced a new sharp increase in fuel prices on Thursday, as it slashes government subsidies in a tough IMF-backed reform programme. The cabinet said that 82 octane petrol would sell for 3.65 pounds a litre (0.80 pounds a gallon) up from 2.35 (0.52), with the same increase for diesel, while 92 octane petrol rose from 3.5 (0.77) to 5.0 (1.1) pounds. Egyptian government slashes fuel subsidies in IMF-backed reform as country’s inflation hovers around 30 percent.
  • OPEC raises forecasts for global oil demand

    IRAQ, 2017/08/21 OPEC boosted estimates of request for its crude this year and next amid stronger-than-expected fuel consumption and a weaker outlook for rival supply. The Organization of Petroleum Exporting Nations raised forecasts for the all it needs to supply in 2017 and 2018 by about 200,000 barrels a day for each year, according to a statement from its secretariat in Vienna. Still, a rebound in Libyan production pushed the group’s output last month to the highest this year, undermining its plan to rebalance oversupplied world markets.
  • Geopolitics To Drive Oil Prices Once Again

    WORLD, 2017/07/09 I have picked up three news items from Oil & Energy Insider that supports my hypothesis that US Shale output will continue to rise. However, some of the oil producing nations may become victim of commotion, anarchy and proxy wars. This will automatically reduce the supplies from these nations. OPEC may as well opt not to extend cut anymore. Energy sector analysts are desperately awaits the outcome of OPEC’ conference in Vienna scheduled for 25th May. While the overwhelming expectation is that the cartel will acknowledge on a six-month extension of the production cuts. However, presently top OPEC officials are wondering if it will be enough. OPEC’s monthly statement revised expected US shale increase sharply upwards, predicting output to increase 64 % additional than originally expected. That equates to projected increase from US shale of 950,000 bpd this year. OPEC fears that an extension will boost prices just enough to allow shale companies to lock in hedges once again, ensuring an extra wave of supply.
  • Africa rejects Europe's 'dirty diesel'

    BOTSWANA, 2017/05/04 Ghana and Nigeria are the first countries to respond to reports of European companies exploiting weak fuel standards in Africa. Stricter limits on the sulfur content of diesel will come into force on July 1. Governments in West Africa are taking action to stop the import of fuel with dangerously high levels of sulfur and other toxins. Much of the so-called "dirty diesel" originates in Europe, according to a report published by Public Eye, a Swiss NGO, last year. The report exposed what Public Eye calls the "illegitimate business" of European oil companies and commodities traders selling low quality fuel to Africa. While European standards prohibit the use of diesel with a sulfur content higher than 10 parts per million (ppm), diesel with as much as 3,000 ppm is regularly exported to Africa.
  • Algeria aims to consolidate its position in industry

    INDONESIA, 2016/08/31 Algeria and an Indonesian group Monday signed three accords to invest $4.5 billion in phos' ;&,"vIE' ;&," African national aims to consolidate its position in the industry, officials said. The industry and mining ministry said the deals were signed by Algerian public companies Asmidal and Manal and Indonesia's Indorama Corporation.
  • How revenues from oil and gas in Africa can be made to work for ordinary people

    AFRICA, 2016/07/27 Critics point out that ordinary people have not benefited from oil and gas exploitation in a lot of African states. Billions of dollars in revenue have had little positive impact on the lives of most people in nations like Angola and Nigeria. Local content policies have been expanding across Africa and are currently being drafted in Uganda, Tanzania, Kenya and Mozambique. In a new book, The Petro-Developmental National in Africa, Jesse Salah Ovadia argues that this needn’t be the case and that a different approach focused on local content is possible. This involves regulations that encourage employment and nurture local companies to increase domestic participation in the industry. I asked him whether his proposed approach could be a game changer for economic development in Africa’s oil producing states.
  • Egyptian investment firm Qalaa Holdings is confident its new refinery

    EGYPT, 2016/05/27 Egyptian investment firm Qalaa Holdings is confident its new refinery will cut the country's dependence on crucial oil product imports, particularly as a weaker currency and rising crude prices force the government to reduce its energy bills. The $3.7 billion Egyptian Refining Co (ERC) will have the capacity to produce 4.2 million tonnes of refined products annually, which ERC will sell to national-controlled Egyptian General Petroleum Corporation (EGPC) at international prices under a 25-year agreement.
  • Beyond Commodities: How African Multinationals Are Transforming

    BOTSWANA, 2016/05/11 Oil, gold, diamonds, palm oil, cocoa, timber: raw materials have long been linked to Africa in a lot of businesspeople’s minds. And in fact the continent is highly dependent on commodities: they constitute as much as 95% of some nations’ export revenues, according to the United Nations Conference on Trade and Development. But propping a country’s entire economy on commodities is risky business, like building a mountainside home on stilts. You can’t be sure about the weather, or in this case the commodities market. The current free-fall of oil prices to less than $40 a barrel is a glaring example. “The commodities cycle has tanked out,” says Austin Okere, founder of Computer Warehouse Group (CWG), a Nigerian emerging multinational financial services company. “And this time it looks additional structural than cyclical, so it’s not a matter of waiting it out. Something has to give.”
  • Africa’s Resource Economy: Same Old Boom and Bust

    AFRICA, 2016/03/14 There are winners and losers whenever markets move significantly, whether they are currency markets, metal markets or other commodities such as oil or agriculture. The last two years have seen a massive shift between winners and losers across the globe depending on whether nations are net importers or exporters of a range of commodities, most of which have plunged in price.Some regions, though, have suffered additional than others and while one can say the OPEC leaders — such as Saudi Arabia, the United Arab Emirates and other Persian Gulf states — are feeling self-inflicted wounds, other producer-states at no time supported the idea of taking on US shale drillers in the initial place, from presently on they have been hit harder than the Gulf states by the plunging oil price.
  • EGPC denies report it is negotiating to delay dollar repayments

    EGYPT, 2015/12/09 Egyptian General Petroleum Corp (EGPC) denied on Tuesday that it was negotiating with banks to delay dollar payments owed to them next failing to receive its full dollar needs from the central bank in November. Egypt is facing a dollar shortage and mounting pressure to devalue the pound. Foreign reserves have tumbled from $36 billion in 2011 to $16.42 billion in November and the country has focused on directing its dollars to strategic commodities. An EGPC official who asked not to be named told Reuters before on Tuesday the company was in negotiations to postpone dollar instalments owed to banks next not being supplied its total dollar requirements by the central bank last month.