Falklands : Hydrocarbons Daily Record (29/05/07)
Submitted by Falkland Islands News Network (Juanita Brock) 30.05.2007 (Article Archived on 13.06.2007)
Nigeria's new President has asked for national unity and thus helped the price of crude to decline today.
HYDROCARBONS DAILY RECORD: TUESDAY, 29 MAY 2007
By J. Brock (FINN)
At 1800LMT on Monday, 29 May 2007 Light Sweet Crude was trading at $63.15 down $2.03 on the New York Mercantile Exchange and Brent Crude was trading at $68.13 down $1.58 on London’s Ice Futures Market.
ANALYSIS:
Leading the factors causing crude prices to decline today are remarks made by Nigeria’s new president regarding national unity and wanting peace and a resolution of the conflict in the Niger Delta. Also helping crude prices to decline today are the talks between the US and Iran. Though focused on Iraq there is hope that Iran and the US will begin dialogue about Iran’s producing enriched nuclear fuel for energy generation. Nonetheless, the easing of tensions the talks has created also eased crude prices.
FTSE100: 6,606.50 up 39.95
FTSE250: 12,106.70 up 49.14
SmallCap: 4,148.70 up 10.66
DJI: 13,521.34 up 14.06
NASDAQ: 2,572.06 up 14.87
S&P500: 1,518.11 up 2.38
INTERNATIONAL DEVELOPMENTS:
(Libya and the United Kingdom)
BP is to return to Libya and invest $900 Million for exploration but it is said to include maintaining and upgrading infrastructure as well.
(Nigeria)
Mr. Umaru Yar’Adua, 56, has been sworn in as president of Nigeria. He has asked for National Unity and presumably wants to help bring peace to the niger Delta. His remarks helped to ease tensions in the region and to lower the price of Brent Crude by over $2.00 today.
(Iran and the United States)
Iran and United States ambassadors to Iraq, held a meeting on Monday in Baghdad to
discuss the Iraqi crisis.
Agreed:
- respect the will of the Iraqi people and its democratic choices
- work together to fight the takfiri terrorism
- support security and stability in Iraq
Views were diverged on the following issues:
- the attacks against the US forces
- the arms smuggling from Iran to Iraq
- Iran’s support for Iraqi Shiite militias
- Washington’s support for armed Iranian groups including Mujahideen
REGIONAL DEVELOPMENTS:
(Peru)
According to Peru's General Director of Hydrocarbons, Gustavo Navarro, a second price hike within the past month will take affect in Peru during the next few days. The price increase is due to higher international oil prices. Peru imports the majority of its fuel.
(Venezuela)
Venezuela's Deputy Hydrocarbons Minister, Bernard Mommer, says it is hoped that a settlement between Venezuela and Italian Eni could end an ongoing dispute over the country's confiscation of the Dacion oil field. Both parties want to resolve their differences before a World Bank arbitration committee hands down a ruling on the issue.
RELEVANT SHARE PRICES:
TLW: 384.00 down 2.75
DES: 25.75 down 0.25
FOGL: 77.00 down 1.00
RKH: 41.00 Unchanged
BOR: 23.50 up 2.50
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