Latest News
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Sisi estimates that Egypt Suez Canal monthly revenues are lost at $800 Million.
Abdel Fattah Al-Sisi, Egypt's president, said that monthly revenue losses from the Suez Canal reached $800 million because of "the regional situation", as Yemen Houthis are attacking vessels in Red Sea. Since November 2023, the Houthis, backed by Iran, have been attacking vessels in the Red Sea region in support of Palestinians living in Gaza, during the conflict with Israel. This has disrupted global shipping, forcing ships to bypass the Suez Canal, and reroute their trade around Africa. Sisi, the Egyptian president at the time, said that the Houthis were not mentioned in the statement but the disruption to Egypt's Suez Canal revenue in 2024 would cost it around $7 billion. In response to the deadly U.S. airstrikes on Yemen, which killed at least 53 civilians on Saturday in the largest U.S. military campaign in the Middle East ever since President Donald Trump assumed office in January, the Yemeni group has recently pledged to resume attacks on U.S. ships in the Red Sea. Last week, they said that if Israel didn't lift its blockade on aid entering Gaza, they would begin attacking Israeli ships as soon as the Red Sea.
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One tank of jet fuel was damaged by a ship wreckage off the coast of Britain
Crowley, a U.S. logistics company, said that only one tank of jet fuel was damaged when a U.S. military tanker transporting a shipment off England's north-east coast was hit by a cargo vessel. Stena Immaculate was anchored off Humberside on 10 March when the smaller Solong struck it. The explosions and fires started. Crowley, the company that manages the tanker said in a Sunday statement the third-party salvage crew had confirmed the damage was "limited to one cargo tank which contained Jet-A1 Fuel and one ballast container containing seawater". Stena Bulk, the owner of the vessel, confirmed Monday that it has 18 fuel tanks on board. This is contrary to Crowley's previous statement that there are 16. Crowley stated that out of the 220,000 barrels jet fuel carried by the Stena Immaculate, 17,515 barrels were lost as a result of the impact and the three-day fire. The logistics company also commended crew members for activating a firefighting device before abandoning ship. Erik Hanell (CEO of Stena Bulk owner Stena Immaculate) previously stated that two out of 18 fuel tanks leaked and 10% of the cargo was affected. The coastguard reported on Monday that on Sunday small pellets of resin, known as nurdles, used in the production of plastics, were found in the sea near the British coastline. Some also washed up on the shore. Although they are not toxic, ingested nudles can cause harm to wildlife. The Coastguard announced that cleanup efforts have begun. The authorities updated their statement to say that both vessels remained stable, and salvage operations continued. The authorities added that there were only periodic small pockets of fires on the Portuguese flagged Solong which did not cause undue alarm. The Russian captain of Solong Vladimir Motin appeared at Hull Magistrates' Court on Saturday after being charged with gross negligent manslaughter in relation to the death of Filipino crew member Mark Angelo Pernia. Motin failed to request bail and he was remanded into custody until he appeared in court on April 14 in London. (Reporting and additional reporting by Jonathan Saul, editing by Angus MacSwan).
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Red Sea Insurance Rates Stay Firm as US Airstrikes Raise Fears for Ships
Industry sources say that the cost of shipping goods across the Red Sea will remain stable after the United States conducted further airstrikes in Yemen on Monday. This has heightened fears about new attacks by Iran-aligned Houthis, who are targeted by Washington. The U.S. conducted airstrikes Saturday in response to threats by the Houthi Movement to threaten international shipping. Al Masirah TV, a Houthi-run TV station, said that the Houthis targeted the Red Sea port of Hodeidah on Monday and the Al Jawf Governorate, north of Sanaa, according to the Houthis. In January, Houthis announced that they would cease attacks on U.S.-UK linked shipping along with a truce between Israel and Palestinian Islamist Group Hamas. After the announcement in January, war risk premiums dropped to about 0.5% of a ship's value from more than 0.7% in December. They then rose to 0.7% of a vessel's value in February for certain voyage rates. In recent weeks, some U.S.-UK linked ships were quoted rates up to 2% for those willing to still sail through the waterway. Even though there are discounts, the cost of a seven-day trip would still be hundreds of thousands more dollars. Industry sources stated on Monday that rates are likely to remain firm and could rise in the coming days. Munro Anderson of Vessel Protect, a marine war-risk and insurance specialist part of Pen Underwriting, said that following the U.S. action there had been a "significant increase in the threat profile" against commercial maritime traffic in the Red Sea. The threat profile is critical for all vessels operated and owned by Israel, as well as by U.S. entities." Since November 2023, the Houthis has carried out over 100 attacks against ships. They have sunk or seized two vessels and killed four seafarers. They claim they were acting out of solidarity with Gazan Palestinians following Israel's war against Hamas that began late in 2023. Houthi leader Abdul Malik al-Houthi stated on Sunday that his militants will target U.S. vessels in the Red Sea so long as the U.S. attacks Yemen. Another insurance market source stated that "as soon as the missile is fired at a passing vessel, I will be pushing to increase rates." Last week, the Houthis who control most of Yemen in the last decade said they would resume their attacks on Israeli ships that pass through the Red Sea, if Israel didn't lift its blockade on aid entering Gaza. A maritime security source stated that "this intermediate period is risky for us because we do not have a clear picture of what to expect". (Reporting and editing by Ed Osmond, Yannis Souliotis, Additional reporting in Athens by Jonathan Saul)
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Cuba struggles to restore electricity to millions of Cubans as the night falls
Cuba's capital Havana was plunged into darkness on Saturday for the second time as attempts to restore power continued in fits and start. Setbacks slowed progress, and several millions still remain without electricity throughout the island. Cuba's grid collapsed Friday evening, after a transmission cable at a Havana substation shorted. This caused a chain reaction, which shut down all power generation on the island. Early efforts were focused on providing electricity to vital services such as hospitals, water supplies and food production centres. By early Saturday evening, however, neither of Cuba’s two largest electricity plants, Felton in Holguin Province, nor Antonio Guiteras in Matanzas, was producing electricity. This left the majority of homes on the island in the dark. Lazaro Guerra said that the top official of the country in charge of electricity hoped to see both power plants come online over night, but cautioned that progress will be slow so as not to cause further setbacks. During the day Saturday, the grid operator had to start over in both the island's largest cities: Havana in the west and Santiago de Cuba in the east. The latest islandwide power grid collapse in Cuba comes after a series of nationwide blackouts that occurred late last year, which threw the fragile power generation system into near total disarray. Fuel shortages, natural catastrophes and economic crises all contributed to this. Since months, most Cubans living outside Havana are experiencing rolling blackouts. These have peaked to 20 hours per day in the last few weeks. A few hotels in Havana used generators on Saturday night to keep lights on for tourists. The street lights and stop signs on major boulevards, as well as residential areas and many bars and restaurants were all blacked out. According to the transportation ministry, flights into and out of airports in the country, as well bus travel, were not affected by the grid failure. Cubans are suffering from severe shortages in food, medicine and fuel, as well as daily blackouts that last for hours. It's difficult to keep food cool without electricity," Lazaro Hernandez said, a Havana cafeteria employee who was searching his neighborhood for ice in order to keep ham and cheese chilled overnight. We don't know for how long we will be without power. Cuba's economic problems are attributed to a Cold War U.S. embargo on trade, as well as a complex web of laws and regulations which complicate financial transactions. It also blames the difficulty in acquiring essentials such fuel and spare parts. Donald Trump, the U.S. president, tightened sanctions against the communist-run island government and promised to restore "tough" policies toward this longtime U.S. enemy. Cuba has, with China's help, invested heavily over the last year to develop large, state run solar farms. It says this will reduce the country's dependence on expensive and difficult-to-source fuels. Many Cubans like Victor Raul Bracho a Havana-based musician who was practicing for a Saturday recording session, continued to live their lives as usual despite the blackout. It's not as if we are getting used to the problems. We have to move on. Reporting by Dave Sherwood, with additional reporting from Nelson Acosta; Mario Fuentes, Anett Rios, Alien Fernandez; Susan Fenton, and Lincoln Feast.
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Cuba is still without electricity in large parts of the country after the nationwide grid collapse
Cuba was largely left without electricity on Saturday morning, after the grid of the island collapsed overnight. This knocked out power for ten million people. It also raised new questions about the viability and age of the antiquated generation system. At sunrise, island grid operator UNE reported that it was generating just a trickle - about 225 MW or less than 10% total demand. This is enough to cover vital services such as hospitals, water supply, and food production centres. Officials have begun the process to restart the generation plants that are decades old, but they did not give a timeline for the restoration of service. Cuba's grid collapsed Friday night around 8:15 p.m. (00:00 GMT), after an aging transmission line component at a Havana substation shorted. This triggered a chain of events that shut down all power generation on the island. The grid collapse comes after a series of nationwide blackouts that occurred late last year, which plunged Cuba's fragile power generation system into near total disarray. Fuel shortages, natural catastrophes and economic crisis were all factors contributing to the breakdown. Since months, most Cubans living outside of Havana are experiencing rolling blackouts. These have peaked to 20 hours per day in the last few weeks. Havana was still without electricity in large parts on Saturday morning. There was light traffic at intersections without stoplights, and the cellular internet in some places was either weak or nonexistent. Abel Bonne enjoyed the sea breeze with his friends early on Saturday morning, after a humid night without electricity. He said, "No one knows right now when the electricity will be restored." This is the first time it has happened this year. Last year, this happened three times. Cubans have fled the island in record numbers in recent years due to severe shortages of water, food and medicine. Cuba's economic problems are attributed to a Cold War U.S. embargo on trade, as well as a complex web of laws and regulations which complicate financial transactions. It also blames the difficulty in acquiring essentials such fuel and spare parts. On Saturday morning, a grid official said that Cuba was unable to upgrade antiquated transmission components and generation equipment due to the restrictions. Donald Trump, the U.S. president, tightened sanctions against the communist-run island government and promised to restore "tough" policies toward this longtime U.S. enemy. Yunior Reyes was a Havana bike taxi driver who returned to work Saturday morning, despite the blackout. He worried that his food supplies might spoil due to the heat of the day. He said, "We are all in the exact same situation." "It is a lot to do." (Reporting and editing by Susan Fenton; Additional reporting by Nelson Acosta, Anett Rios, and Dave Sherwood)
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The Russian captain who was involved in the US tanker crash appeared in UK court
The captain of the container ship that collided with a U.S. oil tanker off Britain's East Coast earlier this week appeared before an English court Saturday and was charged with gross negligence. Vladimir Motin was the captain of the Portuguese flagged Solong, which hit the Stena Immaculate tanker carrying military jet fuel on Monday morning. Motin appeared in Hull Magistrates' Court Saturday, after being charged on Friday night, over the death Mark Angelo Pernia (38), a Filipino national who was a member of the Solong crew. Amelia Katz, the prosecutor, said that the Solong had been travelling at over 15 knots (27.2 kilometres per minute) when it collided with the Stena Immaculate. The Stena Immaculate was anchored in this position since Sunday evening "over 15 hours prior to the collision occurring". She stated that Motin, who had taken over the Solong about three hours prior to the incident, was the sole person responsible for the vehicle at the time of collision. Katz stated that "for a period of more than 40 minutes prior to the collision, Solong was directly on the path for impact with Stena Immaculate which was anchored, stationary." The prosecutor said: "There was no attempt to communicate from the Solong in order to warn of an impending collision, and the Solong didn't adjust its course or pace at any point." The Stena Immaculate crew of 23 and the Solong crew of 13 were all rescued. Katz stated that some crew members tried to find Mr Pernia but were unsuccessful. Motin failed to request bail and was placed in custody. The collision resulted in a large explosion, and jet fuel was spilled into the ocean. The initial fears of an environmental catastrophe subsided when assessments revealed that the jet fuel was mostly burnt off and no other leaks were detected from either ship.
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Cuba's electric grid collapses leaving millions without power
Cuba's Energy and Mines Ministry said that the national electrical grid collapsed on Friday late at night, causing widespread blackouts across the Caribbean island nation, including the capital Havana. Officials from the Energy Ministry said that an electrical substation failed in Havana around 8:15 pm (0015 GMT), knocking power out to a large area of western Cuba including the capital. A witness reported that the lights were off across Havana’s waterfront skyline. Only a few tourist hotels operated on generators powered by fuel. Social media reports from provinces east and west, as well as outlying areas of the capital city, suggested that a large part of the 10 million-person country was without electricity. Grid failures are a result of a series of blackouts that occurred across the country in late 2018. Fuel shortages, natural catastrophes and economic crises exacerbated Cuba's fragile and outdated power generation system, which was already in shambles. Since months, rolling blackouts lasting several hours have become the norm. Cubans have been forced to flee the island as a result of severe shortages in food, medicine, and water. (Reporting and editing by William Mallard, Jacqueline Wong and Dave Sherwood)
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Brazil, the host state of COP30, denies a new road connected to climate summit
The Brazilian state that is hosting a United Nations Climate Summit this year denied any link between a road that cuts through a Brazilian rainforest protected area and the COP30 conference in November, which will bring world leaders together. Para's government said that construction of the Avenida Liberdade divided-four-lane highway began in 2020 before the state capital Belem is chosen to host this summit. According to state and federal government officials, the project, which follows an existing powerline through a conservation zone south of the City, did not receive federal funds as part of Brazil's preparations for COP30. Some locals attribute the recent progress made on the highway, which has been long discussed, to the upcoming UN summit. Tens of thousands of delegates will be expected to flood the Amazonian city, home to over 1.3 million people. "That project has been discussed for more than 20 years. But there was much resistance." Ana Claudia Cardoso is a professor of Urban Studies at the Federal University of Para. She said that the need to prepare a city for such a large event was the only justification. BBC reported last week that the state secretary of infrastructure had listed the road as one of 30 projects to prepare the city for the COP30. The state government stated that the report was not accurate. The official quoted in the report could not be reached. Reporting by Lisandra paraguassu, Brasilia; Marx Vasconcelos, Belem. Editing by Brad Haynes & Diane Craft
Asia area rates acquire amidst Russia-Ukraine gas transit concerns
Asian area liquefied gas (LNG) costs gained today, the very first increase after 3 weekly declines, as the imminent expiry of a transit offer for Russian gas through Ukraine to Europe provided support to costs.
The average LNG price for February shipment into north-east Asia << LNG-AS > was $14.10 per million British thermal units ( mmBtu), up 6% from $13.30/ mmBtu last week, industry sources estimated.
Asian LNG costs have gotten 20% this year and averaged $ 11.97/ mmBtu in 2024.
The most significant thing individuals are keeping an eye on is TTF's. upward motion, said Masanori Odaka, senior analyst at Rystad. Energy, referring to the Dutch Title Transfer Center (TTF). hub.
He included that some industry participants were taking the. expiry of a Russia-Ukraine gas transit agreement at the end of. this year as bullish news.
Russian gas supply into Europe might impact rates on the. TTF, which also has an influence on Asia LNG rates.
Russian President Vladimir Putin said on Thursday there was. no time at all left this year to sign a new Ukrainian gas transit offer,. and blamed Ukraine for refusing to extend the contract that. also brings gas to Slovakia, the Czech Republic and Austria.
The other thing is a cold front capacity in the U.S. which. might end in a deep freeze like it performed in 2021, Rystad's Odaka. added.
Asia seems relatively well equipped, so second-rate to. typical winter season will not likely trigger China, Korea or Japan to purchase. considerable volumes in the area market.
In Europe, delivered costs turned higher this week, mainly. on ongoing uncertainty about the contract to continue gas. transit to Europe through Ukraine after the existing deal. expires, stated Martin Senior, head of LNG rates at product. pricing company Argus.
Weak wind generation projections in northwest Europe throughout. the Christmas break and into the weekend also supported. gas-fired generation demand, he included.
S&P Global Commodity Insights examined its everyday North West. Europe LNG Marker (NWM) cost criteria for cargoes delivered in. February on an ex-ship (DES) basis at $13.76/ mmBtu on Dec. 24, a. $ 0.20/ mmBtu discount rate to the February gas cost at the Dutch TTF. hub.
Argus evaluated the rate at $13.745/ mmBtu, while Spark. Products examined the price for January shipment at. $ 13.753/ mmBtu.
The U.S. arbitrage to Northeast Asia by means of the Cape of Good. Hope for January is still currently closed due to the recent TTF. rally, providing more incentive for U.S. cargos to provide to. Northwest Europe instead, said Glow Commodities expert Qasim. Afghan.
In LNG freight, Atlantic rates held constant at $23,500/ day,. while Pacific rates fell to $21,500/ day, added Afghan.
(source: Reuters)