TOP STORY: What does US energy independence mean for Asia?
ASEAN
What does US energy independence mean for Asia? Eco-Business 30 Jul 2013
Dr. Fatih Birol is the chief economist at the International Energy Agency in Paris. He is responsible for the IEA’s flagship World Energy Outlook publication, which is recognised as an authoritative source of strategic analysis of global energy markets. He is also the founder and chair of the IEA Energy Business Council, which provides a forum to enhance cooperation between the energy industry and energy policymakers. Dr Birol will be speaking at the Singapore International Energy Week 2013 from October 28 to November 1, where he will also present a report on energy in Asean.
Biden Says U.S. to Push China for South China Sea Code Bloomberg 28 Jul 2013
Vice President Joe Biden said the U.S. is pushing China to negotiate quickly with Southeast Asian nations on a code of conduct for the South China Sea, an area that’s a “major, major, major highway of commerce.” China agreed during an Association of Southeast Asian Nations-hosted forum in Brunei late last month to meet with the 10-member group in September to develop rules to avoid conflict in the waters. Nguyen Tan Dung, prime minister of ASEAN member Vietnam, warned in May that miscalculations over territorial disputes could disrupt commerce, with two-thirds of all maritime trade moving through the area.
Brunei
Brunei Darussalam: Growing expectations Oxford Business Group 1 Aug 2013
An increase in oil and gas production is expected to boost Brunei Darussalam’s economy over the next few years, but international experts disagree on the magnitude and timing of this growth. In a statement issued in late June, the IMF said the Sultanate’s GDP would increase on average by 5.6% per year over the next five years, as new petrochemical and refinery projects come on-line. The developments are expected to contribute both directly to the economy as well as generate spill-over for related sectors, including transportation, retail and services.
Cambodia
Climate Change Will Adversely Affect Economy The Cambodia Daily 25 Jul 2013
Cambodia’s manufacturing and tourism sectors will face adverse effects from climate change due to the country’s focus on hydropower, according to a report produced jointly by British and Cambodian think tanks. Speaking Wednesday in Phnom Penh, researchers from U.K.-based Overseas Development Institute (ODI) and the Cambodia Development Research Institute said that high energy prices already negatively affect Cambodia’s manufacturing and tourism and prices are not likely to drop as the country increases its reliance on hydropower, which will eventually be affected by climate change.
Indonesia
Oil spill in Indonesia after tanker crash Channel News Asia 1 Aug 2013
An oil tanker carrying millions of litres of fuel has crashed in eastern Indonesia, spilling some of its cargo into an area of rich marine biodiversity, energy company Pertamina said on Thursday. Workers had been transferring petrol and diesel from the MT Patriot Andalan to a tugboat in port at the island of Ternate in the Maluku chain when strong waves pushed the vessel onto a jetty head and other port structures. The boat, which was carrying seven million litres of fuel, was damaged in several places and diesel was leaking into the sea from a broken compartment, said state-run Pertamina in a statement.
Indonesia Oil Revenue Surpasses H1 Target: SKKMigas The Jakarta Globe 31 Jul 2013
Indonesia’s oil and gas industry met 99 percent of its oil production target for the first half of this year and netted $300 million more in revenue than it originally hoped for, the country’s oil and gas regulator said on Wednesday. SKKMigas said the industry produced an average of 831,118 barrels of oil per day, only 1 percent less than the 840,000-barrel target set in the revised 2013 state budget. Revenue, meanwhile, reached $18.7 billion, which represents a slight increase from its $18.4 billion goal.
Indonesia's energy needs could spell good news for tanker owners Hellenic Shipping News Worldwide 29 Jul 2013
Despite abundant energy resources, Indonesia has still failed meet its own demand, which led to a rising import of crude. According to the latest weekly report from London-based ship-broker Gibson, "it wasn't that long ago that Indonesia was described as the under-performing gem of the Far-East, having an abundance of natural resources: oil, gas, coal, timber etc. Economic growth has been in the region of 5-6% p.a. over the past several years, but could have achieved growth similar to that of China or India, given the right conditions. However, recent statistics indicate that this same nation is very much in energy decline, with reserves of crude oil and coal depleting rapidly. The BP Statistical Review of World Energy 2013, shows that Indonesian oil reserves have fallen to 3.7 billion barrels and are forcing the government to import more crude and product to meet rising oil demand. Ageing fields and the lack on new discoveries continues to be a major headache for a nation which was still a member of the OPEC family less than 5 years ago" it said.
Freeport Indonesia to offer 5 percent stake to public, in smelter talks Reuters 26 Jul 2013
Freeport McMoRan Copper & Gold Inc's (FCX.N) Indonesian subsidiary will offer a 5 percent stake to the public and is in talks with three local smelters on copper concentrate supply deals, company and government officials said on Friday. The moves could help pave the way for a deal in long-running contract talks with the Indonesian government, which is pushing miners, especially foreign-owned operations like Freeport's unit, to add more value within the country. Freeport's current contract to operate Grasberg in Papua province, the world's second biggest copper mine, expires in 2021. The Arizon-based company wants a new contract completed before it makes investments of around $15 billion to extend the life of the complex after open-pit mining ends.
Indonesian push for geothermal energy faces bureaucratic hurdles Thomson Reuters Foundation 25 Jul 2013
In a country heavily dependent on coal and other fossil fuels for energy, accessing new clean geothermal power could both curb climate-changing emissions and provide much-needed new energy. But officials say an effort to transform Indonesia’s energy generation, by providing access to international loans to develop the country’s rich geothermal potential, has potential but is running up against bureaucratic barriers that could slow progress toward reducing greenhouse gas emissions and creating additional power.
Laos
Philippines, Laos ready to plug into electric vehicles The Japan News 31 Jul 2013
The Philippines and Laos are keen to introduce electric vehicles and make EV production key industries in the future, a development that may benefit Japanese automakers. Japanese carmakers, world leaders in EV technology, see potentially profitable business opportunities in the Southeast Asian EV market. The Philippines is about to embark on a major program to replace its conventional gasoline-driven tricycle taxis with EVs. Tricycle taxis are widely used for share-rides by ordinary people for transportation over short distance. With loans from the Asian Development Bank, the Philippines will invest $500 million (about 49 billion yen) by 2017 to replace about 100,000 of the 3.5 million gasoline-powered tricycles in the country with electricity-powered tricycles.
Malaysia
MIDA seeks alternative energy source investments Borneo Post 27 Jul 2013
Malaysian Investment Development Authority (MIDA) is currently in talks with potential investors in alternative energy, oil and gas and advanced electronics. Its chief executive officer, Datuk Noharuddin Nordin, said apart from that, some of these foreign companies are also interested in setting up their operational headquarters or regional service centres in Malaysia. Speaking to Bernama in Bangkok recently, he said, these companies are not only looking at Malaysia but also considering other countries in the region.
Ranhill Energy & Resources Scraps Malaysia IPO WSJ 26 Jul 2013
Ranhill Energy & Resources Bhd. (5240.KU) said Friday it is scrapping a planned listing on the Malaysian stock exchange, after a unit's license remained partially suspended by state oil and gas firm Petroliam Nasional Bhd. or Petronas. Ranhill had raised $237 million in its initial public offering and had planned to start trading July 31. On Wednesday, Ranhill said it was deferring its listing after Petronas suspended unit Perunding Ranhill Worley Sdn. Bhd.'s license for an "indefinite period" following a review of engineering, procurement and construction work for a liquefied natural gas regasification project in Malacca state.
Malaysia, France To Venture Into New Areas Of Renewable Energy, Transportation And Biotech Bernama 29 Jul 2013
Malaysia and France are looking forward to venture into new areas of cooperation, particularly in renewable energy, transportation and biotech. Prime Minister Datuk Seri Najib Tun Razak said the cooperation was discussed with his French counterpart, Jean-Marc Ayrault in their meeting here today. He said apart from that, Malaysia and France were also keen to deepen and strengthen current economic relations, particularly in trade and investment, defense and education. "There are two significant investments. Firstly, the Prime Minister is visiting this afternoon to Sendayan, set to become the base for aircraft brakes for the entire Asian market worth US$125 million," he told the media at a joint press conference, here today.
Myanmar
MOGE Begins Long Process to Pick Burma’s Oil, Gas Investors Irrawaddy 1 Aug 2013
Negotiations have finally begun to select foreign investors to explore for oil and gas in the seas off Burma’s coast, but it could be another eight months before any licenses are awarded. The Myanmar Oil & Gas Enterprise (MOGE) and the Energy Planning Department (EPD) will hold talks with 61 companies that have been “shortlisted” as suitable candidates to bid. The bidders include major international oil firms such as Shell, ConocoPhillips, ExxonMobil, Total and Statoil of Norway.
CNPC announces China-Myanmar gas pipeline open Energy Global 31 Jul 2013
China, the world’s largest energy consumer has begun importing natural gas from Myanmar. CNPC, the Chinese state-owned company, recently stated that a natural gas pipeline that connects China, Myanmar and the Indian Ocean has formally begun operations. A parallel crude oil pipeline is expected to start next year. While the pipelines are only expected to provide a small proportion of China’s energy needs, they are strategically important. The gas pipeline that began operating last week offers Beijing a nearby source of gas.
Philippines
Power restored in Philippine province plunged into darkness over $93M unpaid electricity bill The Washington Post 30 Jul 2013
Electricity was restored Wednesday to most of a Philippine province that was entirely cut off for more than 24 hours when the national power grid operator stopped its supply due to $93 million in unpaid bills, officials said. Shops had been closed and hospitals had been running on generators since Tuesday morning in Albay, a province of 1.2 million people southeast of Manila. Even the provincial governor’s office was not spared from the power outage.
Philippines plans to shift to 100% renewables in 10 years REneweconomy 26 Jul 2013
The Philippines has joined the ranks of a growing number of countries, independent territories and states looking to shift their electricity supply to 100 per cent renewable energy, in an effort to cut emissions, enhance energy security and keep power costs down. And it wants to do so within a decade. Representatives of the Philippines’ Climate Change Commission (CCC) and federal and provincial governments met with Worldwatch Institute’s Climate and Energy Director Alexander Ochs late last month to lay groundwork for a Sustainable Energy Roadmap for the archipelago nation over the next 10 years.
Geothermal Energy – Energy for the Future Tempo Philippines 20 Jul 2013
The National Geothermal Association of the Philippines’ (NGAP) held its 10th annual forum to tackle the resurgence of geothermal energy production in the country. NGAP president and Philippine Geothermal Production Company’s (PGPC) Benjie Aquino along with Energy Secretary Jericho Petilla (5th and 6th from left), push for geothermal as a clean, renewable, sustainable energy source that can help supply power to the country and help mitigate the effects of climate change.
Singapore
Sembcorp Industries to build its largest waste-to-energy plant in Singapore for $250m The Straits Times 1 Aug 2013
Sembcorp Industries (SCI) said it will invest over $250 million to build, own and operate a facility capable of producing 140 tonnes per hour of steam using industrial and commercial waste collected by Sembcorp's solid waste management operations. The development of this plant is in line with the company's drive to offer the best and most competitive solutions to its customers, while helping them reduce their carbon footprint.
Singapore prepares for shale impact Business Times Singapore 24 Jul 2013
The shale revolution is transforming the US economy, and it could soon make its impact felt in Singapore. A stronger US economy and lower energy costs would benefit Singapore, and a future hike in shale exports may tie in well with the Republic's ambitions to be a liquefied natural gas (LNG) trading hub. But the petrochemical, logistics and other industries serving oil and gas players will be keeping a close watch on how shale-driven tectonic shifts in the world's energy supply would alter their global competitiveness.
Thailand
Alstom supplies Hongsa coal-fired power plant in Thailand Penn Energy 31 Jul 2013
Alstom Grid Turkey will support national energy projects in Thailand and Laos with the supply of 3-phase shunt reactors1 for the Hongsa lignite coal-fired power plant. The contract, worth around €10 million, was awarded by Electricity Generation Authority of Thailand (EGAT). Hongsa will be the highest capacity power plant in Laos, providing 1,878 MW of energy. Upon completion in 2016, it will deliver electricity across Laos and Thailand. The project will be an important energy source for both countries over the next 25 years.
Popular island beach closed by oil slick Bangkok Post 29 Jul 2013
Ao Phrao was closed and tourists moved away from the popular island beach on Khao Laem Ya-Mu Koh Samet National Park after an oil slick washed ashore on Sunday night, coating the area with gooey muck. Work crews were on Monday still trying to clean the crude oil from the sandy beach and the waters of the usually picturesque sandy beach and bay on the western part of the island. Samet park chief Sumet Saithongsaid on Monday confirmed the beach was temporarily closed and tourists had been evacuated.
Vietnam
U.S. won’t fund a massive coal plant in Vietnam Grist 19 Jul 2013
On Thursday, the board of the U.S. Export-Import Bank voted against backing a new coal-fired power plant in Vietnam. The 1,200-megawatt Thai Binh Two plant was the first test of one of the policy changes President Barack Obama laid out in his big climate speech last month. Reuters reports that Ex-Im said the decision came after “careful environmental review.” In his speech, Obama called for an end to public funding for new coal plants “unless they deploy carbon-capture technologies, or there’s no other viable way for the poorest countries to generate electricity.”