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The FT reports that Centrica is the frontrunner in the $2 billion deal to purchase National Grid's Liquefied Natural Gas terminal.
The Financial Times reported that British Gas owner Centrica, and Energy Capital Partners were in negotiations to purchase the Isle of Grain LNG Terminal from National Grid for a price of about 1.5 billion pounds (2.03 billion dollars). National Grid, Energy Capital and Centrica have not responded to requests for comment. National Grid, the company that owns and operates Britain’s high-voltage transmission network of electricity, announced last year that it was looking to sell its assets. Grain LNG terminal As part of its efforts for a more efficient operation,, Europe's biggest such facility. FT reported that a deal may be announced soon. Centrica reported in July that it had signed a deal to purchase a 15% stake in Britain's newest nuclear project, Sizewell C. Drop in the first-half profits. Bloomberg News reported that Hong Kong's CK Infrastructure Holdings had been among those interested in the terminal. However, it has reportedly withdrawn its interest, Bloomberg News said earlier this month. The LNG is a major source of gas in Europe, particularly after the conflict between Russia and Ukraine. Also, the sanctions imposed by the West on Russia have disrupted the energy markets. The resultant price hike continues to impact British consumers.
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Leak reported on Texas Seaway pipeline, Enterprise. Crude oil flow falls
Four sources reported that crude oil flowed down the Seaway pipeline, in Texas, on Wednesday. The pipeline operator had reported a leak to the state regulators. The 950,000-barrel-per-day Seaway pipeline runs between Cushing, Oklahoma, and the Freeport, Texas, area and connects to the Enterprise Crude Houston (ECHO) terminal, a storage facility in southeast Houston. According to a report filed with the Texas Commission on Environmental Quality, Enterprise Pipeline said that a crude leak occurred on a part of the Seaway system in Houston on Tuesday. Three sources reported on Wednesday that a portion of the pipeline was down on Tuesday evening. Three sources said that the secondary pipeline, which runs into ECHO's terminal, was down on Tuesday night. On Tuesday night, crude oil flows on the Seaway mainline as well as the portion that runs into ECHO terminal were lower. Enbridge and Enterprise Products Partners jointly own the Seaway pipeline. Enbridge and Enterprise Products didn't immediately respond to inquiries about the Seaway operations. U.S. West Texas Intermediate crude oil at East Houston MEH (also known as MEH) traded at a 95 cent premium per barrel to U.S. Crude Futures, which is the highest since April. MEH traded up to 130 cents a barrel higher than U.S. crude oil futures, said a trader. Two sources have said that operations on the pipeline should be restored by Wednesday evening.
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The US container imports could have peaked at the end of July, according to the chief of the busiest seaport
The top executive of the busiest U.S. port said that ocean imports may have peaked during July, as retailers raced to import goods from China to avoid tariffs. Containerized imports into the Port of Los Angeles - the main entry point for many U.S. imports - jumped by 8% in July to 544,000 20 foot equivalent units (TEUs). Gene Seroka said that importers were rushing to get cargo in before possible tariff increases later this month or beyond. Zachary Rogers is the lead author of the Logistics Managers' Index. This index serves as an early indicator of economic activity in the United States. The tariff policies of President Donald Trump, especially the short-lived 145% tariffs on Chinese goods, have caused havoc with U.S. Imports. Buyers either overate or underate goods in order to avoid paying higher import duties. This week, the United States and China extended their 90-day tariff truce. The extension eases the uncertainty surrounding the holiday season when retailers are stocking up on goods. In response, Walmart, Target, and Home Depot seem to have broken the tradition of holiday-related imports, which tended to peak between August and October.
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Canadian governments have recently intervened to resolve labor disputes
Air Canada has asked the federal government for intervention in the contract negotiations with its union of flight attendants after declaring an impasse during the negotiations to reach a new wage deal. This strike would affect nearly 130,000 people per day and could impact some of the most lucrative routes that the carrier offers between Canada, Europe, and Asia, as well as the United States. This move is part of a trend where companies are increasingly turning to Ottawa for the resolution of high-stakes labour disputes. Ottawa may impose binding arbitral proceedings in federally regulated industries if a lockout or strike threatens the public's safety or economy. This will force both parties to agree to a settlement. The unions claim that the new law strips them of power and encourages employers to offer low pay in certain sectors, as they know the government will step in if there are any strikes. Former Liberal Prime Minster Justin Trudeau has referred several major labor disputes before the independent Canada Industrial Relations Board. This board is empowered to resolve standoffs between employers and unions. This is the major first dispute under Liberal Premier Mark Carney. CANADA POST The CIRB, in December 2024 ordered the end of a one-month strike by 55,000 employees at Canada Post. This was the second strike in six years. The existing contract was extended to May 22, 2025. The union imposed an overtime ban after talks on a new agreement failed. MAJOR PORTS Ottawa requested the CIRB in November 2024 to end the prolonged work stops at Canada's biggest ports, which it said were affecting the daily movement of more than C$1.3billion ($944.63m) worth goods. The dispute already caused delays in the shipment of forest products, canola oil and other commodities. Business groups welcomed the arbitration. CANADIAN NATIONAL RAILWAY & CANADIAN PACIFIC KANSAS CITY After contract negotiations failed in August 2024, Canadian National Railway (CNR) and Canadian Pacific Kansas City (CPKC), Canada's top two rail companies, locked out over 9,300 Teamsters Canada employees, threatening disruptions for a country heavily dependent on rail freight. The Federal Government turned to the CIRB who, within three days, directed that operations resume. WESTJET MAINTENANCE ENGINEERS Ottawa requested the CIRB intervene in June 2024 to prevent a WestJet Airlines strike of maintenance engineers, Canada's second largest carrier. This was to avoid large flight cancellations before a busy holiday.
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Sources say Trafigura has withdrawn zinc from LME storages and is preparing to ship some of it to the US.
Five sources with knowledge of the matter claim that Trafigura, a commodity trader, is shipping large quantities of zinc from Singapore to the United States. The zinc was stored in London Metal Exchange-approved warehouses. Trafigura is yet to reveal how much zinc it has taken or will take from the LME warehouses located in Singapore or why they are taking the metal to the United States. Concerns about the LME market's supply have helped to push benchmark zinc prices up 5% this month, to $2,850 per metric ton, while the discount to the cash contract is now near zero. . Sources in the industry said that Trafigura's zinc shipment to the United States was likely to be used by Nyrstar to meet its contractual obligations to U.S. clients when its Clarksville Smelter closes this year for maintenance. Nyrstar responded to a comment request by saying that there will be an annual planned maintenance shutdown at Nyrstar Clarksville from mid-October through November. Nyrstar confirmed Clarksville has a capacity of 125,000 metric tonnes of zinc metal per year. However, it declined to answer whether it would import metal to meet its customers' needs. Trafigura has declined to comment. Two sources claimed that Trafigura also used some of the zinc to "rent-deals", i.e. lucrative agreements whereby warehouses share their rental income with companies who deliver metals for as long it remains in storage. Metal for Rent deals don't require the companies to own the metal. However, they do get a portion of the rent paid by the new owner as long as it remains in the warehouse. As of August 12, zinc stocks in LME storage facilities 0#MZNSTX–LOC> totalled 78.475 metric tonnes, of which 78.375 tons were stored in Singapore. Stocks of metals have dropped by over 30% since July 25, Metal marked for delivery or cancelled warrants, which are title documents that confer ownership, show that another 33,000 tonnes is expected to leave LME's Singapore warehouses. Two sources claimed Trafigura may be moving zinc from Europe to the U.S., in anticipation of tariffs being imposed on imports of zinc once the trade investigation started in April has been concluded. The investigation is similar to the copper probe, and covers a wide range of minerals, including zinc. In anticipation of tariffs, traders and producers shipped copper to the U.S. for most of the year. The U.S. Geological Survey has defined zinc as a critical mineral. (Reporting and editing by Barbara Lewis, Lewis Jackson, and Pratima Deai)
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EIA: Puerto Rico's customers experience 27 hours of power outages per year, even in the absence of hurricanes
The U.S. Energy Information Administration reported on Wednesday that customers in Puerto Rico had an average of 27 power grid outages per year between 2021-2024. This excludes major events such as hurricanes. The EIA stated in a report that mainland U.S. consumers typically experience around two hours per year of outages, excluding major event. The EIA reported that Puerto Rico customers had an average of 19 service disruptions per year. Of these, 14 were not caused by major events, and five were. According to the agency, in addition to severe weather, power outages in Puerto Rico are also linked with issues related transmission, distribution and generating capacities. Puerto Rico has been plagued by frequent and widespread power outages for years due to the island’s crumbling infrastructure and the bankruptcy of Puerto Rico Electric Power Authority in 2017. (Reporting and editing by Tomasz Jánowski in Bengaluru)
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As Western sanctions target Russian oil, the shadow tanker fleet is growing more slowly.
Shipping sources reported that dozens of tankers joined the shadow fleet in 2014, compared to hundreds the year before. The harshest sanctions ever imposed by the West on Russia's oil exports have made it more difficult to find suitable vessels. Last month, the European Union and Britain imposed new sanctions against Russia for its involvement in Ukraine. In addition to the U.S. restrictions they also mean that more than 440 tankers of the shadow fleet are now subject to sanctions. This includes tankers Moscow uses to transport oil to China and India, its two biggest customers. Venezuela, Iran and Russia all use shadow fleets of vessels to avoid Western sanctions. The vessels are usually old, have opaque ownership, and sail without the best insurance to meet international standards. The shadow fleet is a weapon that Russia has used since the Ukraine War began in 2022. It has relied heavily on oil revenue to finance its war effort. The Group of Seven has also imposed a price cap on the level at which Russian oil may be sold, further complicating trade. According to industry sources, such as Lloyd's List Intelligence, and shipbroker Gibson, the size of this fleet is estimated between 1,200 and 1,600 tanks. The estimated global tanker fleet is approximately a fifth of this size. Sources say that compared to the few hundred vessels in operation before the Ukraine War, the growth of the fleet has slowed down year on year as the list sanctions has increased and the sales of used ships are being scrutinized by authorities and legal compliance teams. The shadow fleet estimate does not include the hundreds of smaller coastal oil tankers that are not ocean going but have transported oil primarily for Russia. Anna Giacomello said, "Regulators have closed the net," in a report published by Dryad Global (a British maritime cyber-defence and risk intelligence company). Profit potential is still a draw for many despite the risks. Leigh Hansson is a partner in the Reed Smith sanctions team, which advises shipping companies and traders on oil sanctions compliance. She said that the established players will stay away, and only those with little or no experience in the shipping market would be willing to take on risky operations with older vessels which major ship insurers won't cover. (Reporting and editing by Barbara Lewis; Jonathan Saul)
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Airline says that plane imports are being discussed in the context of the Swiss-US tariff impasse
Swiss International Air Lines announced on Wednesday that discussions on how to lower Switzerland’s tariff burden against the United States included importing aircraft. The country is seeking to reduce its surplus trade with the U.S. To the dismay and frustration of the Swiss government, Swiss officials and leaders of business are trying to create a plan to persuade America to lower the 39% tariffs imposed by the Trump Administration on Switzerland last week. U.S. President Donald Trump cited the country’s trade deficit with Switzerland as the reason for the tariffs. According to U.S. statistics, the number is more than $38 Billion in 2024. Jens Fehlinger was the CEO of Swiss International Air Lines - a subsidiary of Lufthansa based in Germany - who joined top Swiss officials last week to try and avoid the tariffs. The Swiss newspaper Tages-Anzeiger reported on the fact that Fehlinger pitched to Swiss officials the idea of Lufthansa processing future Boeing aircraft purchases through Switzerland to reduce the U.S. Trade Deficit. Swiss International responded to a question about the report by saying that the trade talks included discussions on "framework conditions and possible options for aircraft imports - for the Lufthansa group, SWISS and the United States and U.S. Companies". It added: "Any substantive statement on these considerations or the negotiations themselves remains the responsibility of relevant government agencies." Sources familiar with Switzerland's commercial discussions say that the idea of importing planes has been discussed, but is not yet concrete. Lufthansa stated that it was concerned about the success of the Swiss unit as well as the Swiss economy. The group added that "Fleet acquisition at Lufthansa Group takes place in close collaboration with the airlines." The Swiss economy minister did not reply to a comment request on this story. (Reporting and editing by Kirby Donovan; Additional reporting by Ilona wissenbach)
Serbian police intervenes to end the standoff between supporters of the ruling party and anti-government demonstrators
On Wednesday night, supporters of the ruling Serbian Progressive Party threw flares, firecrackers, and other explosives at antigovernment protesters. This prompted police to intervene in order to end the standoff. It was a major escalation in the nine-month long protests that have been taking place in Serbia.
The daily protests in Serbia following the death of 16 people in November last year when the roof of a renovated train station in Novi Sad collapsed have shaken the popularity of President Aleksandar Vucic, a populist, and the SNS.
Vucic said, at a late-night news conference, that 16 police officers, and about 60 supporters of the SNS, were injured in Novi Sad. He was flanked by Ivica Daci, Interior Minister. He also accused unknown foreign powers of orchestrating the riots, and promised arrests.
He said: "Persons who broke the law will face prosecution... Tonight we have prevented a catastrophe planned by someone abroad."
Could not independently verify Vucic’s claims.
Private N1 TV filmed flares and fireworks being hurled at Novi Sad protesters from the direction SNS offices. The footage also showed some anti-government demonstrators with bloody faces who claimed that Vucic's supporters used sticks and truncheons against them.
The Move-Change opposition movement claimed that Vucic's supporters were responsible for the clashes.
In a press release, it stated that "pyrotechnic attacks on people violate their rights to protest and life."
Police in full riot-gear in Belgrade's capital, Belgrade, blocked protesters in the park next to the parliament where Vucic supporters have camped since March.
In Belgrade's other parts, protesters against the government clashed violently with police officers who stopped them from approaching SNS local offices.
The protesters blamed corruption for Novi Sad Railway Roof Collapse and demanded early elections that they hope will remove Vucic from power after thirteen years.
Students, the opposition and anti-corruption monitors have accused Vucic of having ties with organised crime, violence towards rivals, and limiting media freedoms. They deny these accusations.
After clashes between protesters and SNS officials in Vrbas, Serbia on Tuesday night, the students leading the protests called for supporters to demonstrate in front of SNS offices throughout Serbia. This included Belgrade, Novi Sad, Kragujevac, Cacak, Nis, as well as Belgrade. Ivana Sekularac, Aleksandar Vaovic and Diane Craft contributed to the reporting.
(source: Reuters)