Latest News
-
BP's 400 mile Olympic Pipeline system is still closed after a leak near Everett in Washington
BP announced that its Olympic Pipeline remained closed on Thursday, following a leak in the pipeline earlier this month near Everett Washington. "Response Crews have started 24-hour excavation operations, and are continuing with excavation of pipelines for visual inspection," BP stated in an emailed message. The company has not provided a timetable for restarting its pipeline, and the amount of recovered and released product is still being evaluated. Washington Governor Bob Ferguson declared an emergency on Wednesday as a result a shutdown of the Olympic Pipeline, which disrupted jet-fuel supply to Seattle Tacoma International Airport. The Olympic Pipeline System, a 400-mile (644-km) long pipeline that runs from Washington state to Oregon, transports fuel. The pipeline transports refined petroleum, including jet fuel, gasoline and diesel. The first report of the fuel leak occurred on 11 November. On Monday, the company reopened one of two pipelines that were shut down to investigate the source of a product discharge east of Everett in Washington. Shortly after the restored line, it was shut down once again to stop product deliveries.
-
China's REITs provide new financing options for real estate firms
China's private REIT market, which is still in its infancy, has emerged as an oasis of hope for developers who are strapped for cash. This year, the pipeline for fundraising reached a record $12 billion, driven by investor demand for higher returns. The private REIT market has experienced rapid growth since its launch in 2023. This market is restricted to professionals only. Developers are attracted to the faster and more relaxed approval processes compared to public REITs, and its potential for revitalising income generating assets in spite of the property sector's slump. Analysts said that while public REITs tend to focus on properties with high consumption, such as shopping malls, the scope of private REITs has expanded to include hotels and office towers. This is attracting investors and issuers alike. Currently, standalone offices and hotels cannot be included in public REITs that are listed on exchanges. The private REIT market offers an alternative to public capital markets for developers. It helps commercial asset owners unlock their value and reduce liquidity pressures. John Lam, UBS's head of Greater China Property Research, said that private REITs can reshape the business models and valuations of property companies. The new platform is a "game changer" for real estate companies, said Lam. Analysts say that it will be difficult to restore the financial health to distressed homebuilders. Many of them do not possess high-quality assets which can generate a stable cash flow. In China, the property market has been experiencing a severe liquidity crunch since 2021. This has led to numerous defaults by developers and a dramatic drop in housing demand. China's private REITs, classified as asset-backed Securities backed by income-generating property, are sold to institutional investors through non-public channels. These vehicles bundle commercial assets like industrial parks, data centres and retail malls to offer periodic rental income. Private Reits Gain Momentum Shanghai Stock Exchange (the main bourse in China for these listings) has approved 17 private REITs, raising an estimated total of $5.9 billion. This is a dramatic increase from the three approvals last year. The number of applications has also increased, with more than 40 filed so far this fiscal year, which could raise approximately 105 billion Yuan. In 2024, there were only seven applications, totaling 13 billion Yuan. Market participants say that fundraising via private REITs is expected to pick up pace. Some potential issuers are preparing roadshow plans, while others are exploring the possibility of tapping into the platform. If you sell now directly, the prices are too low and there are few buyers. John Lim, cofounder of ARA Asset Management, Singapore, said REITs can solve this problem. Private REITs are also seen in China as a smart method to monetise your assets. UBS's Lam estimates that private REITs offer an average yield of 5% in China, compared to 3%-4% for publicly listed ones. This compensates investors for the lower liquidity and the longer lock-in periods. Seazen Group, an independent private developer, became the first to be approved for a private REIT in August. The REIT was backed by Wuyue Plaza - a shopping center on Shanghai's outer suburbs. It raised 1.06 billion yuan (149 million dollars). According to sources familiar with the deal, the REIT's implied return is higher than 6%. This yield exceeds the 2.1% on 30-year government bond yields. Morgan Stanley upgraded Seazen's stock to overweight status in November citing the potential for multiple REIT led divestments that could unlock value from Seazen’s large mall portfolio. The private REIT list is not yet populated with distressed developers, but companies like CapitaLand in Singapore and Gaw Capital in Hong Kong have submitted applications this year. UBS's Lam stated that some private developers are turned away from the REITs public market due to strict regulatory requirements regarding asset quality and restrictions in use of proceeds. In spite of these headwinds insurers and Chinese brokerage assets management units are major investors in REITs. They are attracted by the stable income and yields that come with a low interest rate environment. STABLISHED CASH FLOW Xiao'ou Chen of Shanghai's Fields of Gold Capital said that private REITs could be approved in a matter of months as opposed to at least a full year for public REITs. The focus has now shifted from building new homes to revitalising the existing stock, which is a source of income and long-term value. China's REITs are private, and complement the public REITs. The value of these REITs has risen to over 200 billion yuan a year in only four years. Analysts believe the private market has a lot of potential, influenced by mature economies. UBS data shows that the U.S. REIT ratio is 1.25:1 based on the gross asset value. In the U.S., REITs account for about 90% of the total market capitalisation of the Australian and U.S. property sectors. Morgan Stanley analysts stated in a report that REITs only account for 1.4% of the total market capitalisation in China. Access to income-producing assets of high quality remains a challenge, despite the growth prospects for the market. "Prime offices and logistic assets are facing high vacancies in their Tier-One cities, with landlords being pressured to reduce rents to maintain occupancy," said Sigrid ZIALCITA, CEO of Asia Pacific Real Assets Association. The demand-supply imbalance will not be reversed before 2027. $1 = 7.1159 Chinese Yuan (Reporting and editing by Sumeet Chaterjee, Jacquee Wong, and Li Gu, in Shanghai; Clare Jim, in Hong Kong and Yantoultra, in Singapore)
-
Joby Aviation suedes Archer for trade secrets
According to a public complaint filed on Thursday, electric air-taxi firm Joby Aviation sued Archer Aviation for allegedly stealing their trade secrets. Joby claimed in a lawsuit filed Wednesday in Santa Cruz state court that Archer had hired a Joby worker who gave Archer confidential information about Joby's business strategies, partnership conditions and aircraft specifications. Archer's spokespeople and George Kivork the employee did not respond immediately to comments. Joby's spokesperson refused to provide any additional information beyond the complaint. Joby and Archer, two electric vertical takeoff and land aircraft manufacturers, are racing to get their vehicles on the market to meet the demand for more efficient and sustainable urban transportation. Santa Cruz-based Joby, backed by Toyota, announced in September it planned to add helicopter and seaplane service to Uber's ridesharing app next year. Joby's lawsuit claimed that Kivork, the leader of its State and Local Policy Team, left for San Jose-based Archer, after his last day at work in July. Joby claimed that Archer had misused the company's trade secrets to undermine Joby’s contract with an estate developer in August. According to the complaint, the developer informed Joby that Archer was aware of confidential details about the contract and that Kivork had shared them with Kivork's new employer. Joby said he learned through a forensic analysis that Kivork sent Joby's documents to a personal account and altered security permissions on hundreds more so he could still access them even after he had left. Joby sought an unspecified monetary amount and a court injunction to prevent Archer from misusing their trade secrets. Archer settled with Boeing's Wisk Air-Taxi subsidiary separate claims of trade secrets in 2023. (Blake Brittain, Washington; Bill Berkrot, editing)
-
BETA Technologies uses Near Earth to accelerate the development of autonomous aircraft
BETA Technologies, a maker of electric aircraft, announced on Thursday that it has partnered with Near Earth Autonomy in order to develop unmanned aircraft for the military. Flight testing is expected to start during the first half 2026. BETA CEO Kyle Clark said that the development and full demonstration could take up to one year, and it would be possible to deploy in 18 to 36 month. He said that the process of defense procurement could alter this. BETA, a company that designs and manufactures electric airplanes and propulsion systems said Near Earth brings expertise and experience in autonomous systems. Near Earth has developed these systems for the U.S. Military and major aerospace companies. Companies in the industry are exploring defense and logistic markets to diversify their revenue streams. This is pushing developers to improve autonomous capabilities to gain a competitive edge. Clark stated that there is a demand for "hundreds" of aircrafts per year, but only at the lower end. Clark said that the ongoing Russian war in Ukraine shows how important aerial logistics is. Vermont-based company, Near Earth, plans to use the work it has done with military users and commercial carriers such as its current partners UPS and Bristow to expand their products. The company has been developing its own autonomy systems since several years, and raised $1 billion through an IPO at the New York Stock Exchange in early October. Shawn Hall said that recent signals from U.S. Defense and Transportation agencies indicate a faster deployment of autonomous aircraft. BETA's collaboration with Near Earth complements the work it has done with GE Aerospace on a turbo-generator, as well as its own expertise in developing electric aircraft. Clark stated that its propulsion work with GE would give it vehicles a greater range, payload and speed. "And then you add the autonomy to that, you get an aircraft which further increases its capabilities, removes the weight of the system and the pilot, so that the payload goes higher," and can operate in contested space, reducing the risk for people. He said, "We have all the pieces to meet a very important need of the United States Military." Reporting by Shivansh Tiwary and Dan Catchpole, Seattle; editing by Vijay Kishore
-
A probe has shown that in October, United pilots were pelted with glass after a weather balloon strike.
National Transportation Safety Board reported on Thursday that the pilots of a United Airlines aircraft, which was struck by a weather balloon on an October 16 flight near Moab in Utah, were pelted with glass before landing on an emergency basis. WindBorne Systems said last month that it believed one of its weather balloons had cracked the windshield on United Flight 1093. This Boeing 737 MAX. The NTSB stated that the radar trace of the balloon was in line with the United aircraft that was hit. The NTSB stated that "both pilots were showered with glass pieces as a result of the impact." The captain suffered multiple superficial lacerations on his right arm, and the first officer did not suffer any injuries. The NTSB stated that the radar track of the WindBorne high-altitude long-duration weather balloon was in line with the flight path of the United jet. The balloon left Spokane in Washington, then flew through Oregon and Nevada to Utah. The captain noticed an object far away on the horizon, but before he was able to mention it to the first officer, he heard a loud and significant bang. Jennifer Homendy, Chair of the NTSB, said last month that "the wrong situation could have really been devastating for the aircraft as well as those on board." The incident raised concern that damage may have been caused by debris from space. Previous government studies suggested that the risk of debris hitting jets while in flight was very low. The multi-layered structure of the aircraft windshields prevents cabin pressure loss in case it is damaged during flight. NTSB reported that the flight left Denver with 112 passengers, including crew. The captain declared an urgent situation and safely diverted to Salt Lake City. The passengers were transferred to Los Angeles on another plane later that same day. WindBorne has reported that it has launched more than 4,000 balloons and filed notices for each launch with the Federal Aviation Administration. (Reporting and editing by Diane Craft, David Gregorio and David Shepardson)
-
BETA Technologies uses Near Earth to accelerate the development of autonomous aircraft
BETA Technologies, a maker of electric aircraft, announced on Thursday that it has partnered with Near Earth Autonomy in order to develop unmanned aircraft for the military. Flight testing is expected to start during the first half 2026. BETA CEO Kyle Clark said that the development and full demonstration should take up to one year, and could be implemented within 18-36 months. He said that the process of defense procurement could alter this. BETA, a company that designs and manufactures electric airplanes and propulsion systems said Near Earth brings expertise and experience in autonomous systems. Near Earth has developed these systems for the U.S. Military and major aerospace companies. Companies in the industry are exploring defense and logistic markets to diversify their revenue streams. This is pushing developers to improve autonomous capabilities to gain a competitive edge. Clark stated that there is a demand for "hundreds" of aircraft a year, but only at the lower end. Clark said that the ongoing Russian war in Ukraine shows how important aerial logistics is. Near Earth, a Vermont-based company, plans to expand its product line for military users as well as commercial cargo carriers including UPS and Bristow. Since several years, the company has been developing its own autonomy systems. Shawn Hall said that recent signals from U.S. Defense and Transportation agencies indicate a faster deployment of autonomous aircraft. BETA's collaboration with Near Earth complements the work it has done with GE Aerospace on a turbo-generator, as well as its own expertise in developing electric aircraft. (Reporting from Shivansh Tiwary, Bengaluru; Dan Catchpole, Seattle; Editing and production by Vijay Kishore).
-
Bosnia, US eye pipeline to cut Russian gas dependency
The U.S. Embassy Sarajevo released a statement Thursday on X that said U.S. officials and Bosnian officials had discussed ways to accelerate a long-delayed plan to build a gas pipeline to Croatia, which is seen as a possible alternative to Russian natural gas. In the statement, it was also stated that the officials agreed in principle to have U.S.-based partners lead the project. The lower house of the Bosniak and Croat Federation Parliament approved the project for the South Interconnection Gas Pipeline, which would bring natural gas from the liquefied gas terminal located on the Croatian Island of Krk to Bosnia, three years ago. However, the upper house has blocked the project due to a Croat Caucus. Bosnia and Herzegovina post-war is made up of two autonomous regions, the Federation being one. The other region is called the Serb Republic. The Croats in the upper house of parliament, also known as the House of Peoples (House of Peoples), have made their approval of the project contingent on the creation of a new operator of transmission systems based in the Croat dominated part of Bosnia, despite there already being a similar operator in Sarajevo, the BH gas company. The embassy reported that on Thursday the leaders of the five largest political parties, including those from the Federation, unanimously agreed on the necessity to move forward with the project as quickly as possible in a meeting with U.S. Ambassador Charge d'Affaires John Ginkel. Ginkel offered them the possibility of an American company developing, building, and managing the pipeline. Participants agreed to the proposal in principle and committed to more detailed discussion. The embassy stated that "American private sector investors can ensure construction of the Southern Interconnection moves quickly and will help BiH secure affordable and reliable U.S. natural gas in order to strengthen its energy security." Chris Wright, the U.S. Energy Secretary, said on X on Wednesday that continuing investment in modern infrastructure is crucial to long-term security of energy, delivering U.S. LNG to Bosnia from Croatia and ending dependency on Russian gas. Bosnia does not have any gas reserves, but it uses up to 8% natural gas in its energy consumption. Sarajevo is the biggest consumer. It is solely dependent on Russian gas, which it receives via Serbia's TurkStream pipeline.
-
Lithuania's Vilnius Airport briefly closed due to balloons
Lithuania's Vilnius Airport resumed operations Thursday evening after being closed for over an hour because smugglers balloons appeared again on radar. This was according to the Lithuanian National Crisis Management Centre. The Baltic Republic closed its border crossings to Belarus last month in response to disruptions in airspace caused by weather balloons from Belarus. They reopened the crossings earlier on Thursday. In a press release, Inga Ruginiene's spokesperson said that if hybrid attacks continue to occur, border checkpoints could be closed. Lithuania said that smugglers were responsible for the balloons which caused airport closures in Lithuania. They blamed Belarus President Alexander Lukashenko, who did not stop the practice. Lukashenko called the border closure "crazy scam", accusing Russia and Belarus of fighting a hybrid warfare, ushering a new age of barbed wire division. Prior to the closure of Vilnius Airport on Thursday, air traffic accident reports had declined in recent weeks. Anne Kauranen, Helsinki, wrote the article and Andrius Sytas reported from Vilnius. Topra Chopra edited it.
FAA wants to overhaul air traffic control system with new data system
Federal Aviation Administration announced on Thursday that it is looking to implement a new, comprehensive system for air traffic controllers to receive flight data.
Congress approved in July a plan worth $12.5 billion to upgrade the nation's outdated air traffic control system and increase controller hiring, following years of complaints about airport congestion and delays. Sean Duffy, Transportation Secretary, has stated that he would like an additional $19 million from Congress to reform air traffic control.
Duffy said that the FAA was forced to use eBay at times in order to obtain spare parts, and technical problems have repeatedly slowed traffic this summer.
In a government report published last year, 51 out of 138 air traffic controls telecommunications system were unsustainable.
The FAA wants proposals for a new platform that would replace both the existing en route systems and the terminal systems. This platform, called the Common Automation Platform, is a state-of-the art system of air traffic control.
To track and control airplanes, the FAA uses two systems – En Route Automation Modernization System (ERAM) & Standard Terminal Automation Replacement System(STARS).
ERAM provides data to aircraft for navigation between airports. STARS tracks flight near airports using Terminal Radar Approach control, or TRACON facilities, and air traffic towers.
STARS is used to sequence planes, issue conflict alerts and provide weather updates for arriving or departing aircraft.
The FAA is looking to combine the platforms to create a modern, single system. It has also sought feedback on a new system of runway safety lighting to modernize air traffic flow.
The FAA announced in September that it had two candidates competing to be the project manager for the multibillion dollar air traffic control overhaul known as "prime integrator."
Peraton, owned by Veritas Capital and a company in the national security market, as well as Parsons, an IT provider for national security markets and global infrastructure, which is partnered with IBM, both bid on the position.
Duffy said that he and FAA Administrator Bryan Bedford must meet President Donald Trump within the next few weeks before any selection can be made. (Reporting and editing by Chris Reese, Jamie Freed and David Shepardson)
(source: Reuters)