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Possible Canadian rail strike start delayed again

  • Spanish Market: Agriculture, Biofuels, Chemicals, Coal, Coking coal, Crude oil, Fertilizers, Freight, LPG, Metals, Oil products, Petrochemicals, Petroleum coke
  • 31/05/24

The start of a threatened strike by some union workers at Canadian National (CN) and Canadian Pacific Kansas City (CPKC) has been pushed back again as concerns about fuel and food supplies rise.

If it goes forward, the strike would begin sometime after 17 June at the earliest. The Canada Industrial Relations Board (CIRB), which is investigating federal government concerns, has postponed reply comments to 14 June from 31 May. Original comments were due by 21 May.

If CIRB ruled on 15 June, the Teamsters Canada Rail Conference (TCRC) would have to provide three days' notice to CN and CPKC before workers could strike.

But a strike may still may not occur for another 60 days. If CIRB issues any orders, the parties would likely not be in a position for a strike or lockout to begin for two months, CPKC said on 16 May. TCRC members had authorized a strike to start as early as 22 May.

The railroads and union met with CIRB on Monday and discussed the comments filed by groups that could be affected by a strike. Canadian minister of labour Seamus O'Regan asked CIRB earlier this month to consider requiring some rail service to continue in the event of a strike to help avoid health and safety issues related to propane supply.

A number of concerns arising from the comments have been identified, with many focused on the impact to commercial and economic interests, CIRB said.

The theme of certain comments concerned delivery of supplies of propane and diesel to critical areas, including and remote communities in northern British Columbia. Transportation also is important to the province of Manitoba which has been using rail to deliver fuel because of a Winnipeg products pipeline.

Other comments focused on domestic and global food security. They noted some sectors are dependent on rail for transportation, such as fertilizer, potash and canola products, CIRB said.

The potential, immediate impact on the supply of water treatment materials for several municipalities also was highlighted.

Other commentators sought advance warning of strike, asking CIRB to provide notice of when a decision would be made or that there be an extension of the notice required before a strike or lockout.

Negotiations between the railroads and TCRC continue. CN and the union will meet next week from 4-6 June. CPKC declined to comment on talks but met most recently with TCRC leadership between 15-21 May.


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17/07/24

Japanese firms start truck-to-ship ammonia bunkering

Japanese firms start truck-to-ship ammonia bunkering

Osaka, 17 July (Argus) — A Japanese cross-industry group has started trial supplies of fuel ammonia to a tugboat from a tanker truck, ahead of an official commissioning scheduled for late August. The group comprises shipping firm NYK Line and its subsidiary Shin-Nippon Kaiyosha, power producer Jera and ammonia producer Resonac. The companies have jointly studied the possible setting up ammonia bunkering for tugboats since December 2023. Jera supplied the marine ammonia to NYK on 17 July to fuel the NYK-owned tugboat A-Tug at Yokohama port. The ammonia was transported by a tanker truck and fuelled by truck-to-ship operations, which the group said is the world's first attempt. A-Tug is expected to begin normal operations in late August, behind an initial target of June because of technical delays. Jera after the commissioning will supply the marine ammonia to Shin-Nippon Kaiyosha, which will be in charge of operating the tugboat at Yokoyama and Kawasaki ports in Tokyo bay. Jera is buying from Resonac an unspecified volume of low-carbon ammonia, which is partly derived from waste plastics. Ammonia consumption of the tugboat was undisclosed. But bunkering is scheduled to be done twice a month by an 8-10t tanker truck, Jera said. By Motoko Hasegawa Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

BHP posts higher nickel output after disruptions


17/07/24
17/07/24

BHP posts higher nickel output after disruptions

Singapore, 17 July (Argus) — Australian resources group BHP lifted its nickel production during April-June as it recovered from planned maintenance and wet weather disruptions in the previous quarter. BHP's refined nickel production for April-June rose by 22pc against the previous quarter and by 4.5pc from a year earlier to 23,000t. The increased output was a result of a low base in the previous quarter with planned maintenance at the Kwinana refinery in Western Australia (WA) and poor weather conditions in March, the firm said. Total refined nickel output for the 2023-24 fiscal ending 30 June was 81,600t, up by 2pc from the same period last year. BHP on 11 July announced that it will temporarily suspend operations at its WA nickel businesses from October, on the back of nickel oversupply and an anticipated nickel price downtrend. BHP has also decided to halt operations at its Kambalda concentrator earlier in February, placing it into a care and maintenance phase from June. Mining and processing operations at the Kwinana refinery, Kalgoorlie smelter and Mount Keith and Leinster mines will be suspended, while development of the West Musgrave project will be put on hold. BHP will implement a care and maintenance programme to ensure the safety and integrity of its mines and infrastructure. It will invest around $300mn/yr following the transition period to support a potential restart of the facility. The transition period will start from July, with operations to be halted in October and completely stopped by December. BHP intends to review the closure by February 2027. BHP expects to record negative earnings before interest, taxes, depreciation and amortisation of around $300mn for 2023-24 and sustain a further $300mn pre-tax non-cash impairment charge following the temporary suspension decision. Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

Aumentan importaciones de combustible en México


16/07/24
16/07/24

Aumentan importaciones de combustible en México

Mexico City, 16 July (Argus) — Las importaciones de combustible en México aumentaron en julio de cara a la temporada de viajes de verano e impulsadas por una disminución de la producción nacional en las refinerías de la estatal Pemex. Las importaciones marítimas a México de gasolina, diésel y turbosina, incluidas las importaciones de Pemex y privados, aumentaron un 18pc a aproximadamente 780,000 b/d del 1 al 10 de julio, frente a 663,000 b/d en el mismo periodo de 2023, según datos de Vortexa. Esto se debió principalmente a un aumento del 66pc en los cargamentos de diésel hasta alcanzar 268,000 b/d, ya que la disponibilidad de este combustible en el mercado ilegal probablemente disminuyó, según fuentes del mercado. Los cargamentos de turbosina se cuadriplicaron hasta los 43,000 b/d en el mismo periodo, ya que Pemex reabastece sus inventarios antes de la temporada de viajes aéreos de verano. Las importaciones de combustible a México habían disminuido a principios de este año, después de que la campaña del gobierno para aumentar la producción de refinerías y reducir su dependencia de las importaciones de EE. UU. comenzara a dar sus frutos, aumentando la producción de gasolina y diésel de Pemex en un 32pc y reduciendo sus importaciones hasta un 25pc en marzo. Pero en abril y mayo, el sistema de refinación de Pemex enfrentó varios problemas, desde un incendio en la refinería de Minatitlán hasta un corte de energía importante en la refinería de Tula, lo que llevó los niveles de procesamiento de crudo de Pemex a un mínimo de cinco meses en mayo. Las tasas de operación de las refinerías en junio se publicarán el 26 de julio. Es probable que el procesamiento de crudo haya caído durante el mes pasado debido a operaciones de mantenimiento en dos refinerías, dijo una fuente familiarizada con las operaciones de refinación de Pemex. El mercado tiene sus dudas sobre la posibilidad una fuerte caída en las importaciones de combustible a México, y algunos refinadores de la costa del Golfo de EE. UU. esperan una fuerte y creciente demanda. Además, incluso si la refinería Olmeca de 340,000 b/d iniciara operaciones comerciales este año, es probable que las otras seis refinerías reduzcan sus tasas de utilización, según fuentes del mercado. Recientemente, Pemex comenzó a vender diésel desde la terminal de distribución de la refinería de Olmeca, pero la cantidad es limitada y el combustible se produjo utilizando materia prima destilada en otra planta. La tendencia a la baja en las operaciones de refinado de México podría continuar en julio a pesar de los esfuerzos del gobierno saliente para aumentar la producción nacional. México ha exportado alrededor de 1 millón de b/d de crudo hasta la fecha en julio, un aumento del 20pc frente a los 847,500 b/d en todo junio, según los datos de Vortexa. Esto indica que es probable que las refinerías de Pemex estén operando a tasas más bajas. Las importaciones de combustible de México podrían continuar su tendencia al alza en los próximos meses, pues los gasolineros esperan una mayor demanda de gasolina durante las vacaciones de verano. Los inventarios de gasolina y diésel de Pemex descendieron un 24pc en junio a 6.2 millones de bl, frente a 8.1 millones de bl en junio de 2023, según una respuesta de transparencia de Pemex a una solicitud de Argus . La empresa deberá aumentar sus importaciones si las refinerías no siguen el ritmo de la demanda. Además, las importaciones suelen aumentar en la segunda mitad del año, impulsadas por la demanda de diciembre y la mezcla de gasolina de invierno de menor precio. México importó más gasolina en el segundo semestre del año en 11 de los últimos 12 años y más diésel en ocho de esos mismos años. Juego de unos pocos El mercado de importación de combustible de México se ha limitado a Pemex y a algunas empresas del sector privado durante los últimos tres años del mandato del presidente Andrés Manuel López Obrador, y no hay señales de cambio después de las elecciones presidenciales de junio. Se espera que la presidenta electa Claudia Sheinbaum, que tomará el cargo el 1 de octubre, continúe con las políticas nacionalistas de energía de López Obrador, y tendrá aún menos contrapeso que su predecesor tras la contundente victoria de su partido Morena en las elecciones legislativas. Las importaciones de combustible a México se abrieron a empresas del sector privado después de la reforma energética de 2014, pero la secretaría de energía canceló decenas de permisos de importación de combustible en los últimos años. Por Antonio Gozain Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

Tanker owner denies Houthi attack in Med


16/07/24
16/07/24

Tanker owner denies Houthi attack in Med

London, 16 July (Argus) — The owner of a tanker reported attacked today in the Mediterranean Sea has said there was no such incident. Petronav Ship Management said its tanker, Olvia , was not targeted as claimed by Yemen's Houthi militants. An attack in the Mediterranean would be a big step outside the Houthi's region of operations, which is limited to the area in and around the Bab el-Mandeb strait at the southern end of the Red Sea. The Houthis claimed two other attacks today in the Red Sea, on crude tanker Chios Lion and oil product tanker Bentley I . By Ben Winkley and Bob Wigin Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

New Libyan firm starts exporting crude


16/07/24
16/07/24

New Libyan firm starts exporting crude

London, 16 July (Argus) — A little known Libyan upstream company has begun exporting crude with its first shipment heading to China, according to sources, official documents and ship-tracking data seen by Argus . Arkenu Oil Company, which describes itself as a private oil and gas development and production firm, exported 1mn bl of Sarir/Mesla blend crude from Libya's Marsa El Hariga oil terminal on 10 July on Suezmax-class tanker Zeus . Shipping agent and port reports list Chinese trading firm Unipec as the vessel's charterer. The tanker's bill of lading lists Libyan state-owned NOC as the sender of the consignment on behalf of Arkenu. Libyan crude sales have historically been the reserve of NOC and a handful of international oil companies that hold equity stakes in production assets in the country, including Italy's Eni, TotalEnergies and Austria's OMV. Turkey-based commodities trader BGN, which does not have any upstream production in Libya, also regularly appears on loading programmes as a seller of the country's crude. A document dated 10 July showed NOC had allocated to Arkenu an unspecified share of production from its subsidiary Agoco's Sarir and Mesla fields, in return for carrying out upstream development work on the fields. The arrangement implies Agoco is paying for Arkenu's services in the form of crude. Arkenu's 1mn bl cargo is worth around $84mn at current market rates, Argus estimates. Arkenu, set up in early 2023 in the eastern city of Benghazi, says it owns modern drilling rigs and has a team of experts "who have held high positions in major oil production and development companies". It is unclear what work Arkenu has carried out for Agoco. Sarir and Mesla accounted for most of Agoco's 279,000 b/d of output in 2023. Libya is politically divided between an internationally recognised administration in the west, which has historically controlled oil revenues, and a rival administration in the east, which is home to around three-quarters of the country's oil production capacity. Agoco is based in the east, and NOC in the west. Libya produces just over 1.2mn b/d of crude. Its oil export revenues were $30.7bn in 2023, according to Opec. Arkenu, NOC and Unipec have been contacted for comment. By Aydin Calik Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.

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