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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.
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Urals differentials reduced amid lower prices in Asia
Calculations and traders reported that the differentials between Russian Urals crude and other grades in Indian ports eased as a result of recent U.S. sanctions against Rosneft, Lukoil and Rosneft. The traders reported that spot discounts for Urals crude have widened from $4 per barrel on a DES-basis last week to $5 to $6 per barrel on an average to Brent dated on a DES-basis. Reliance Industries, India's largest refiner of crude oil, has ceased importing Russian crude into its Jamnagar complex in western Gujarat from November 20, its spokesperson announced on Thursday. PLATTS WINDOW There were no bids or offers reported on the Platts Window for Urals, CPC Blend, or Azeri BTC on Wednesday. The Ukrainian military announced on Thursday that it had attacked Russia's Ryazan & Ilsky oil refineries. (Reporting from ;)
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Trump's team wants to reduce legal obstacles to closing down government offices
According to a proposal that was seen by, the Trump administration is looking at ways to improve its ability to shut down government offices and stop programs it doesn't want. Documents indicate that the administration is working on a rule for a more efficient way to manage the legal implications of layoffs. The proposal would allow agencies to dismiss staff without taking into account performance or service length when closing government programs or offices. Since January, the Trump administration has shut down government programs, including teams that enforce laws relating to civil rights. Federal employees have complained that the administration has not followed the necessary rankings when firing their employees. This proposal will help officials in the Trump administration address this issue and align government layoff regulations more closely with those of the private sector. Keir Bickerstame, federal employment lawyer, explained that the law codifies what agencies in the United States have been doing. They would be able "to handpick and eliminate" offices and programs that they disagree with. An official in the Trump administration said that closing offices should not be based on employee performance or service length. This does not make any sense. Reporting by Courtney Rozen in Washington and Sarah N. Lynch; Editing and proofreading by Rod Nickel and Diane Craft
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US agency finds evidence that fatigue cracks were present in the fatal UPS cargo plane crash
The National Transportation Safety Board announced on Thursday that it had found fatigue cracks on a critical part of the UPS MD-11 cargo plane that crashed in Louisville, Kentucky on November 4, killing 14 people. When the left engine separated from the wing, the bulk of the left pylon, which is a structural component that connects the engine to the fuselage or wing, was still attached. The NTSB found fatigue cracks on the left pylon's aft mounting lug. UPS and FedEx grounded their MD-11 fleets in this month, as a precautionary measure and on the recommendation of U.S. aircraft manufacturer Boeing. The Federal Aviation Administration issued directives to temporarily ground the MD-11 and DC-10 because of their similar designs. The preliminary report referred to the crash of a DC-10 jet by American Airlines in May 1979. It listed it under "similar incidents." On takeoff, Flight 191 at Chicago O'Hare Airport saw the left engine, pylon assembly and approximately three feet of leading edge of the right wing separate from the plane and fall onto the runway. U.S. safety officials have confirmed that they are investigating the maintenance history for the 34-year old UPS cargo plane, which was in Texas for repair weeks before it crashed in flames shortly after takeoff. Jennifer Homendy, Chair of the NTSB, said this week that Boeing was doing additional modeling and tests as part of its investigation. Since its 1997 merger, Boeing has been the owner of the MD-11 program. FedEx and UPS operate about 50 MD-11 cargo planes worldwide.
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Hungary's MOL and refiner Slovnaft accuse Croatian JANAF JANAF of breaching contract
Hungarian and Slovak oil groups MOL and Slovnaft, respectively, accused Croatian pipeline operator JANAF of unilaterally changing their contract on Thursday and putting non-Russian fuel supply at risk. MOL and Slovnaft wrote to the European Commission that JANAF will only deliver the crude oil it has already purchased, and is scheduled to deliver, if both companies agree to buy additional volumes to be injected into JANAF’s system. MOL claimed that the contract did not include this requirement. MOL issued a statement saying that "JANAF uses its infrastructure position to unilaterally change the contract that governs access to non Russian crude oil transport". The Adriatic Pipeline from Croatia provides alternative supplies to Hungary and Slovakia which, for many years, have relied on Russian crude through the Druzhba Pipeline. JANAF previously denied Slovnaft's allegations that it had breached contract. JANAF issued a statement that said: "The transport of oil via the JANAF System is done according to the calendar. All in accordance with the agreed upon agreement, technical conditions to access Janaf Transport Capacity and normal business practices." The MOL Group said that the use of the pipeline was far below what is customary and contracted in the oil pipeline transportation sector. The statement stated that "we expect the MOL group to increase the utilization of the oil pipe's capacity according to the existing contract." MOL stated that the issue would affect its ability to obtain enough non-Russian crude to comply with regulatory requirements and to ensure uninterrupted operation at Slovnaft’s Slovak refining facility. The letter was sent to the Directorate-General for Competition of the EU executive after Slovnaft made accusations earlier in the month that JANAF reduced deliveries of non-Russian oil and failed to deliver a contract shipment. Slovnaft still has not received the shipment, said a Slovnaft representative on Thursday. MOL stated that "this is of great significance in terms of feasibility of phasing-out Russian oil as proposed by the European Union." Hungarian officials and Slovakian officials expressed concern about the capacity and cost of the Adriatic Pipeline. JANAF delivered 2.1 million tons of crude to MOL's MOL refineries in Hungary, Slovakia and Hungary this year as part of an existing agreement. Both countries disagree with the EU on how to deal with Russia's conflict in Ukraine.
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Qatar's wealth fund has shaken up London HSBC Tower plans, say sources
Qatar's sovereign fund has revised plans to renovate its HSBC tower in London's Canary Wharf in order to retain more space for offices. This is due to a global demand rebound as companies are relocating to the office. Sources with knowledge of this matter claim that the Qatar Investment Authority (QIA), which bought the HSBC tower for 1.1 billion pounds ($1.4 billion) in 2014, is considering keeping up to 80% as offices when HSBC leaves the building in 2027. The QIA bought the HSBC Tower for 1.1 billion pounds (1.4 billion dollars) in 2014. Last year, it announced more radical plans to attract a variety of alternative uses including entertainment, education, and possibly a theater. The sources stated that QIA made changes primarily due to shifting demand. However, keeping more offices may reduce the cost of the project. One source said that cost control was a major factor in the revisions. Sources added that the plans could change depending on what prospective clients want. Sources said that George Iacobescu, a property veteran and former Canary Wharf Group Chairman, has been hired by QIA to advise on its UK assets including the HSBC Tower and improving its sustainability credentials. According to the sources, the revised plans for HSBC's skyscraper are expected to retain the exterior design outlined in July. The QIA declined comment. Canary Wharf Group which is part of the larger financial district, and co-owned by QIA, Canada's Brookfield and QIA, declined to comment. A TOWER CAN BE USED AS A TEMPLATE IN SKYSCRAPER RENOVATIONS Property industry professionals are closely watching the HSBC Tower renovation to see how they can refresh old office buildings. The QIA's changes to the planning application for next year reflect the new reality of office demand. Canary Wharf has been hit by a fall in demand for offices caused by pandemic. Now that companies are returning, there is less demand for skyscrapers with a single tenant, such as HSBC, which forces rethinking. Upgrades to nearby towers, occupied by Citi Barclays, and Morgan Stanley, are planned or already underway in order to meet the higher expectations of staff for their work environment. East London's financial district has seen a rise in leasing of office space as companies struggle to locate affordable space in central London. Companies like the Spanish bank BBVA, and Britain's Serious Fraud Office have taken space in Canary Wharf. HSBC also took more space in Canary Wharf after facing a lack of space at the smaller HQ it planned in the City of London. According to CoStar, a real estate data company, the vacancy rate for the Docklands area (which includes Canary Wharf) has dropped to 15%. This is down from an 18.6% high in March after the pandemic. The vacancy rate in London is 10.4%. The QIA signed a financing agreement in December last year to borrow 610 millions pounds from the U.S. investment firm Apollo to pay bonds due over a two-year period. This increased its funding costs, but removed near-term refinancing risk. Hotels that offer more conventional office space may be discarded Sources said that QIA planned to reduce the office space in the HSBC Tower, but it did not have a specific figure in mind. Sources say that improved office demand may mean QIA abandons plans to build an 80-room hotel, which would reduce office space in the tower to 60%. The final decision is based on the requirements of prospective clients. First source said that the HSBC tower renovation is expected to cost hundreds millions of pounds. However, they are confident it will cost less than Citi's $1.5billion upgrade of the nearby Canary Wharf Tower. First source: The tower's temporary office space, which was planned to be rented out, is likely to be replaced by conventional offices. Terraces that were to be built higher up, by removing chunks of the tower, may need to be enclosed because of Britain's poor weather.
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US FCC votes for wireless spectrum auction to avoid aviation standoff
The Federal Communications Commission (FCC) voted unanimously on Thursday in favor of plans to auction off key wireless spectrum that is crucial for advanced technologies. This vote aims to avoid another conflict between airlines and telecoms companies. The FCC announced that it would consider whether proceeds from the C-Band auction should be used by airlines to replace radio altimeters which could suffer interference during flight due to spectrum usage. Concerns that 5G could interfere with plane altimeters - which give data about a plane's elevation above the ground and are vital for landing in bad weather - led to some airports in 2022 cancelling some international flights. A voluntary agreement between Verizon, AT&T, and major airlines resolved the issue. However, there were other issues as air carriers worked to upgrade their altimeters. FCC: The Federal Aviation Administration will adopt new standards for radio altimeters before the auction. A standoff over the Pentagon's spectrum led to the FCC losing its authority to auction wireless frequencies for two years. The FCC is required by legislation passed this summer to auction 100 megahertz of Upper C-Band spectrum before July 2027. Brendan Carr, FCC chair, said that the auction would allow for new 5G and 6G innovations to be developed as well as affordable broadband services. Carr stated that it was crucial to avoid a clash with airlines "by completing a generations upgrade of radio altimeters by new standards which are fully resilient to the 5G services in years to come." Reporting by David Shepardson Editing Rod Nickel
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China signs agreement with Zambia to upgrade TAZARA Railway
China signed an agreement worth $1.4 billion with Tanzania and Zambia on Thursday for the modernisation of the TAZARA rail linking landlocked Zambia to Indian Ocean. China financed the railway in the 1970s for copper exports and fuel imported through Tanzania. It remains a vital trade route, and is widely viewed as a counter to the U.S.-EU-backed Lobito Corridor – a route that runs from Angola to Zambia and the Democratic Republic of Congo. The agreement was signed by Chinese Premier Li Qiang during his first visit to Zambia in 28 years. At a time when Africa’s second largest producer of copper is recovering from a financial crises, this visit marked the first visit since then. Li told President Hakainde Hichilema that he wanted to work with Zambia on modernisation during their talks before the signing. China Railway Corporation representative said that the work on the 1,860 km (1.155 miles) rail line would include rehabilitation of the stations, track, tunnels, and bridges as well as construction of other infrastructure. The new line is expected to increase freight volume on the line from 100,000 tonnes to 2.4 millions tonnes per year. Li's trip is part of an effort to increase China's presence within the copper-rich nation, as Europe and the U.S. compete to be alternative beneficiaries now that Zambia has a debt repayment plan more sustainable. Hichilema thanked China for its role in the debt restructuring process of Zambia. China, Zambia's biggest official creditor owing $5.7 billion is keen to highlight countries who are model members of President Xi Jinping’s flagship Belt and Road Infrastructure initiative. Zambia granted a license to a joint-venture with China's Fujian Xiang Xin Corporation to build a crude oil refinery complex and energy complex worth $1.1 billion. This shows China's increasing economic presence in Zambia. Data from the American Enterprise Institute show that Chinese companies invested $6 billion in Zambia in the past 20 years, with almost all of it in the metals industry. (Editing by Olivia Kumwenda Mtambo and William Maclean).
Mexico's Esentia offers shares for 45 pesos each in its IPO
Esentia announced on Thursday that it had priced its shares at 45 pesos (2.45 USD) for the initial public offering. This was below the previously indicated range of between $2.70 and $3.90. Esentia announced that the offering consisted of 224 million shares. Of these, 72.25 millions were offered on the Mexican domestic market, and 151.75 in an international offer. Esentia, a company that focuses on transporting and commercializing natural gas, said the funds raised would be used to fund its expansion plans as well as partially repay some of its debt.
The company sold 186,000,000 new shares via the primary placement, and an anonymous shareholder sold another 38,000,000 shares in the secondary placement.
BBVA Mexico, a global coordinator for the offering, reported that the IPO raised approximately 11.59 billion Pesos (631 million dollars) after full exercise of over-allotment.
The bank stated that the demand for shares was approximately 1.5 times larger than the initial deal. Approximately 41% were allocated to Mexico, and 59% abroad.
Esentia runs more than 2,000 km (1,243 mi) of pipelines known as the Waha System or Wahalajara, that transports natural gas at low cost from Waha in Texas to major industrial centres in central-western Mexico.
At midday, the Mexican Stock Exchange had not changed its price for Esentia.
(source: Reuters)