Latest News
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Spirit Airlines receives bankruptcy funding of $100 Million
Spirit Aviation announced on Monday that it had secured $100 million in bankruptcy financing as the struggling?carrier worked on a restructuring plan. Spirit Airlines' parent company filed for bankruptcy a second-time in August after struggling to cope with shrinking cash reserves and mounting losses. Spirit Airlines has been cutting jobs, trimming routes, and reducing operations as part of its broader cost-cutting strategy. The company has already withdrawn from 14 airports and refused leases for over 80 aircraft. The ultra-low cost carrier announced on Monday that all operations, including flights and ticket sales, will continue as normal. Spirit can access $50 million right away, and the rest is subject to restructuring discussions or a possible deal. The?carrier didn't disclose the source of?funding. The Aviation-focused publication, The Air Current, reported on Friday rival airlines are preparing to capitalize on Spirit Airlines' routes if it is forced shut down. (Reporting and editing by Sahal Muhammad in Bengaluru, with Nathan Gomes reporting from Bengaluru)
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Airbus delivered 30 jets during the first half of December, according to sources
Sources and analysts in the industry said that Airbus has delivered 30 aircraft during the first half December. This is a lower-than-average rate for the month, as some airlines are waiting for information on fixes for a recent fuselage issue. Airbus has delivered 657 jets between January and November. "If they have to deliver another 104 planes to reach the revised?guidance around 790 aircraft, it seems to be a very difficult challenge at this stage in the month," said analyst Rob Morris. He noted that Cirium data indicated 29 deliveries by last Friday. Airbus declined to comment on the mid-month figures. Airbus has cut its delivery target for the full year by 4%, to 790 jets instead of 820. This is after CEO Guillaume Faury referred to "weak" deliveries in November following the discovery that some A320 family fuselage panels had a problem. Sources in the industry said that several airlines were reluctant to accept delivery of up to 628 aircraft either in production or already in their fleet until they received more?technical information about inspections to be performed on these planes. They said that some carriers have pressed for better warranty terms and compensation for the disruption. This comes after a software recall. Airbus has declined to comment on any commercial discussion. The company said that the panel defect did not affect safety in?flight. However, the emergency software recall addressed a vulnerability to cosmic radiation revealed by a midair loss of altitude on JetBlue flight. Airbus is ahead of Boeing in terms of deliveries, which helps determine revenue. However, last week, it admitted that it would likely lose the race to win orders for the first time since six years. Tim Hepher is the reporter. (Editing by Tomasz Janowski and Mark Potter.)
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Shipping data shows that tankers have made a U-turn after the US seized Venezuelan oil cargo.
At least four supertankers, due to pick up crude in Venezuela, have made U-turns since the U.S. seize a vessel carrying Venezuelan oil. Last week, the U.S. Coast Guard intercepted and seized a very large crude carriers (VLCCs) that were carrying about 1.85 million barrels of Venezuelan heavy oils sold by PDVSA. This is a sign of increased friction between Venezuela and the U.S. which has increased pressure on President Nicolas Maduro. More than 11 million barrels of oil were left on other vessels in Venezuelan water after the seizure. Some tanker owners have ordered u-turns, to avoid problems. An armada U.S. ships are patrolling the Caribbean Sea. According to LSEG'vessel monitoring data, the Benin-flagged Boltaris tanker, which was carrying 300,000 barrels Russian naphtha bound towards Venezuela, did a u turn late last week, and is now headed for Europe without discharge. Monitoring service 'TankerTrackers.com' said that at least four VLCCs scheduled by PDVSA to load crude oil in Venezuelan ports over the next few weeks also reversed course in recent days. Data showed that the U.S. has been exerting pressure on Venezuela to reduce its oil exports. Only tankers chartered by Chevron are sailing with Venezuelan crude to the U.S., under a Washington-issued authorization. PDVSA announced on?Monday that it was hit by a cyberattack. According to sources, the attack forced the shutdown of Monday's administrative, operational, and oil delivery systems. (Reporting and editing by Julia Symmes Cobb and Jan Harvey; Reporting by Marianna Pararaga)
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Airbus delivered 30 jets during the first half of December, according to sources
Airbus delivered 30 aircraft during the first half of December. This is a lower-than-average rate of delivery for a month, as airlines await details on a fix to a recent problem with fuselages, according to industry sources and analysts. Airbus delivered 657 jets from January to November, so more than 100?jets are still needed to meet the revised?target for 2025 of 790 - a new target. "If they have to deliver another 104 planes to reach the restated guidance around?790 at this point in the month, that seems to be a very steep task," said analyst Rob Morris, noting Cirium data which showed 29 deliveries as of last Friday. Airbus, which has a history of increasing its output during the last days of the calendar year, declined to comment on the mid-month figures. (Reporting and editing by Tomaszjanowski)
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Abu Dhabi Ports signs MoU with Kuwait to develop and operate Shuaiba Container Terminal
Kuwait Ports Authority said that it had signed an agreement with Abu Dhabi Ports Group to operate and develop the container terminal in Kuwait's Shuaiba Port under a concession. Kuwait's oldest harbor, Shuaiba, was established in?1960. According to KPA, it covers a total of 2.2 million sqare metres (543.63 acres), has 20 berths and a container terminal with a storage space of 318,000 sqare meters. The port is located 60 km (37 miles) south of the city and handles commercial cargoes, heavy equipment, raw material, and chemicals essential to many industries. KPA stated in a press release that the MoU is "the first preliminary step" towards concluding a contract of concession, but did not disclose the value.
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Phillips 66 increases its 2026 capital expenditure plan to focus on midstream and refining projects
Phillips 66 approved a $2.4billion capital budget for 2026. This is slightly more than its forecasted amount for 'this year'. The company will be shifting growth expenditures to expand?its midstream Natural Gas Liquids (NGLs) network, and high-return refinery?projects. Mark Lashier, CEO of the U.S. refiner, said that the?spending plans, announced on Monday underscores its focus on shareholder return as it invests into assets to improve margins and cash flows across its integrated business. It is expected that the company's crude processing options will be increased by its acquisition in September of WRB Refining from Cenovus Energy, which operates major refining plants in Illinois and Texas. The capital budget of $1.1 billion for each of the midstream and refinery units compares to estimated expenditures of $975 million and $822 million respectively in 2025. Key investments in its midstream ?segment include the Iron Mesa ?gas processing plant, a 300-million-cubic-feet-per-day facility in the Permian Basin that is expected to start up in the first quarter of 2027. The Coastal Bend NGL Pipeline will also be expanded, increasing its capacity to 350,000 barrels a day by the 'fourth quarter of 2026. Phillips 66 plans to build a new fractionator at Corpus Christi, which would increase the fractionation capacity of NGL by 100,000?barrels a day. The final investment decision will be made in early 2026 with completion targeted by 2028. A fractionator separates NGL mixtures into different products, such as ethane and propane, which can be sold, transported or exported separately. (Reporting by Pooja Menon in Bengaluru; Editing by Vijay Kishore and Shilpa Majumdar) The growth capital plan includes the Humber gasoline quality improvement project, which is expected to begin operations in the second quarter 2027. It also includes more than 100 smaller initiatives aimed at improving crude versatility, feedstock optimization, and clean product yields. (Reporting and editing by Vijay Kishore, Shilpa Majumdar, and Pooja Menon from Bengaluru)
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Venezuela's PDVSA claims cyber attacks have not affected its operations and blames the U.S.
The attack comes amid high tensions between the U.S. government and Venezuelan government, including a large-scale U.S. military buildup in the'southern Caribbean,' U.S. strikes on alleged drug trafficking boats that have killed?80 people, and comments from U.S. President Donald Trump that land operations may begin soon?in Venezuela. The attack occurs amid high tensions in relations between the U.S. government and Venezuelan government. This includes a massive U.S. build-up of military forces in the southern Caribbean, U.S. attacks on suspected drug trafficking vessels that have killed '80 people, and comments by U.S. president Donald Trump that he may soon begin land operations?in Venezuela. The U.S. has captured Venezuelan oil cargo for the first time since sanctions were implemented in 2019. This has led to a dramatic drop in Venezuelan exports. It also hit crisis-hit Cuba which faces daily power outages. PDVSA employees fought back against the "foreign interest in complicity" with domestic entities that were "seeking to destroy Venezuela's sovereign energy development," according to the statement. The statement also said the attack was part U.S. efforts aimed at controlling Venezuela's oil through "force and piratery." The statement did not provide any further details about the attack. Venezuela's government blames "problems" like blackouts on the opposition and foreign entities such as the U.S. Central Intelligence Agency without providing evidence. But sources said effects ?were ongoing. One company source stated that "there's no cargo delivery, all systems are down." Sources said that PDVSA had ordered administrative and operations workers to disconnect themselves from the company systems, and limited access to PDVSA facilities for indirect workers. Reporting by
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Data shows that Azerbaijani oil exports through the BTC pipeline fell 7.1% year-on-year between January and November.
Azerbaijani figures show that Azerbaijani oil exports through the Baku, Tbilisi, and Ceyhan pipelines fell by 7.1% between January and November, as a result of contaminated oil. Azerbaijani crude oil cargoes were found to contain organic chloride in July. This caused several days of delays in loadings at the?BTC Ceyhan Terminal in Turkey. The BTC pipeline that runs through Georgia - to Turkey - is used for?exporting oil from BP's Azeri, Chirag, and Guneshli fields. According to Azerbaijan’s statistics committee, the total amount of oil shipped through the BTC in the first 11 months of this year was 33.4 million tonnes, with 74.6% of that being transported via the BTC. Data showed that the volume of transit oil imported from other countries (such as Kazakhstan, Turkmenistan and others) via the BTC dropped to 3.707 millions tons between January-November, from 4.890 in 2024. (Reporting and editing by Kirovan Donovan. Nailia Bagirova)
Maguire: UK's final coal plant shut down bodes well for US Liquefied Natural Gas exports
The United States exporters who are involved in the liquefied gas industry (LNG) will likely be pleased with the closure of the United Kingdom's last coal-fired plant, since this move secures the long-term demand for gas by the world’s sixth largest economy.
The UK has made significant progress in achieving its energy transition and pollution targets by closing the coal-fired plant of 2,000 megawatts (MW) in Nottinghamshire.
The UK will need to increase gas imports in the future, even though power companies continue to deploy renewables and other forms clean power output.
It's great news for LNG exporters from the U.S. They are the largest suppliers in the world of super-chilled fuel, and they are aiming to grow into European markets that are more accessible and less expensive than distant Asian buyers.
GAS DEFICIT
According to the 2024 Energy Institute Statistical Review of World Energy, UK gas consumption is higher than domestic gas production.
The UK will have a gas shortage of just over 29 billion cubic metres in 2023. This is the same as the gas production of Kazakhstan which was the world's 24th largest producer last year.
According to UK government statistics, Norway has historically provided a majority (41%) of UK gas imports via pipeline.
Over the last decade, however, a combination of pipeline capacity limitations and a desire to improve UK energy safety has led to a steady increase in UK LNG imports.
Importing LNG allows power firms to store more gas in the UK and act as a hedge for price and supply volatility caused by a heavy reliance on a small number of pipeline suppliers.
According to the Energy Institute, UK LNG imports will increase by 171% between 2018 and 2023 from 7.2 billion cubic metres (BCM) up to 19.4 BCM.
This growth was greater than that of Europe overall over this period. In volume terms, the United Kingdom ranked second only behind France as an LNG importer in Europe between 2018 and 2023.
US BOOM
The surge in UK LNG demand coincided with the efforts of U.S. exporters to expand their LNG sales outside Asia.
In the period 2008-2018, around 64% (or 63%) of U.S. exports of LNG was shipped to Asian countries such as Japan and China.
These countries are regarded as long-term markets for growth in natural gas and are therefore natural targets for all LNG suppliers.
Due to the longer travel times, U.S. sellers have a serious competitive disadvantage when it comes to serving Asian markets compared to Australia or Qatar.
According to LSEG, a trip from the U.S. East Coast down to Southern China can take up to 35 days.
This is almost four times as long as the route from Australia, and two times longer from Qatar. The U.S. vessels will be stranded on these routes for much longer than their competitors.
On European routes, the freight economics has flipped.
The journey time from Cove Point, on the U.S. East Coast, to Grain LNG's import terminal in the U.K. is approximately 11 days.
This is compared to the nearly 20-day delivery time from Qatar, and the 30-day delivery time from Australia. U.S. LNG ships can therefore offer more rapid schedules for deliveries and lower freight rates than their competitors.
In 2022 and 2023, when Europe's energy markets were booming after Russia's invasion in Ukraine, many buyers were willing to pay top dollar to ensure regular and fast LNG deliveries to avoid power outages.
CAPTIVE
U.S. Exporters have taken full advantage of the surge in European LNG demand in 2022-2023. They more than doubled shipments in 2022, reaching a record-breaking 52.5 million metric tonnes, and increased sales by an additional 8 percent in 2023.
Kpler data show that the pace of sales into Europe in 2024 has decreased by 22%. This is a blow for the short-haul routes from the U.S.
The sales to the United Kingdom have fallen by approximately 60% this year, the lowest level since 2021.
The U.S. LNG industry is fortunate that a 43% increase in LNG imports out of Asia has compensated for the volume lost to Europe and has driven overall LNG exports up to a record high this year.
The increased shipments to Asia are accompanied by longer journeys and longer turnarounds before ships can be reloaded.
The U.S. exporters of LNG will now be looking forward to a recovery in UK LNG demand. This could help avoid any power supply problems following the closure of the coal plant, and also fuel new growth in one the most lucrative U.S. trade routes for LNG.
(source: Reuters)