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A cut in the import duty by the world's second-biggest consumer could lift retail sales by making gold cheaper ahead of peak demand season and support global prices . The effective duty is now 18.45%, which includes the 12.5% import duty, 2.5% agriculture infrastructure development cess and other taxes. The finance ministry declined to comment while the trade ministry did not immediately respond to a request for comment. "Smuggling is going up," said the commerce ministry official, adding that the duty could be cut in an upcoming budget. Indian gold prices jumped to a record 56,850 rupees per 10 grams last week.

☆ Saudi Arabia stays top crude supplier to China in 2022, Russian barrels surge
▼ + stars: | 2023-01-20 | by ( ) www.reuters.com time to read: +3 min

China, which refused to condemn the attack, cranked up procurement of Russian barrels and has largely ignored the sanctions imposed by Western nations on seaborne Russian crude from Dec. 5. In December, it brought in 6.47 million tonnes of crude oil from Russia, or 1.52 million bpd, compared to 1.7 million bpd in the same period in 2021. Saudi Arabia shipped a total of 87.49 million tonnes of crude to China in 2022, equivalent to 1.75 million bpd, customs data showed, on par with the level in 2021. No Venezuelan crude imports were recorded by Chinese customs throughout 2022 and a total of 780,392 tonnes of crude oil from Iran arrived in China. (tonne = 7.3 barrels for crude oil conversion)Reporting by Andrew Hayley and Muyu Xu; Editing by Janane VenkatramanOur Standards: The Thomson Reuters Trust Principles.

At least 15 U.S. oil refineries plan maintenance ranging from two to 11 weeks through May, tallies by Reuters and refining intelligence firm IIR Energy show. By mid-February, U.S. refiners will drop some 1.4 million barrels per day of processing capacity, double the five-year average, according to IIR. PBF Energy's (PBF.N) Toledo, Ohio, refinery remains largely offline from December, according to two people familiar with the matter. Heating oil margins are $58 per barrel, more than double the year-ago level. U.S. gasoline inventories are 226.8 million barrels, compared to 240.7 million at this time last year, while refinery capacity is 8% lower than before storm Elliott.

☆ India's Russian oil binge drags down OPEC's share to lowest in 2022
▼ + stars: | 2023-01-17 | by ( Nidhi Verma | ) www.reuters.com time to read: +3 min

[1/2] A model of oil barrels is seen in front of Russian and Indian flags in this illustration taken, December 9, 2022. Refiners in India, the world's third-biggest oil consumer and importer, have been gorging on Russian oil sold at a discount after some Western companies shunned buying from Moscow following its invasion of Ukraine last February. Russia remained the top oil supplier to India in December followed by Iraq and Saudi Arabia. Higher intake of Russian oil reduced India's appetite for African grades, whose share in 2022 imports declined to a 17-year low while that of Latin America plunged to the lowest in 15 years, the data show. Imports from Russia, about a fifth of India's oil imports in April-December, led to OPEC's share falling to about 61.5%, according to Reuters calculations.

Russian crude export volumes have held up since Moscow's Feb. 24 invasion of Ukraine, but only because China and India have stepped in to buy steeply discounted Russian oil. But while China's crude imports have been rising, a greater share appears to have been captured by Russia. If imports from Russia are excluded, it shows that June imports were 6.97 million bpd and November's were 9.52 million bpd. The increase for imports from all sources in November over June was 2.67 million bpd, but the total ex-Russia was 2.55 million bpd. This raises the possibility that Russia's share of China's crude imports will rise even higher.

☆ China's oil refinery runs fall for first year since 2001
▼ + stars: | 2023-01-17 | by ( Chen Aizhu | ) www.reuters.com time to read: +3 min

Refiners processed 675.9 million tonnes of crude oil last year, data from the National Bureau of Statistics (NBS) showed on Tuesday, or about 13.5 million barrels per day (bpd). This is just down from 14.5 million bpd in November and the record of 14.8 million bpd in June 2021. Fourth-quarter refined fuel exports, including diesel, gasoline, aviation fuel and marine fuel oil, surged 61% over a year-ago period to 18.3 million tonnes. Crude oil production remained firmly above the 4 million bpd mark, a level regarded by the state-dominated sector as strategic to ensure domestic supply security, as companies stepped up developing more challenging reservoirs. Last year's output was up 2.9% from 2021 at 204.67 million tonnes, or 4.1 million bpd, with December output up 2.5% on the year at 16.87 million tonnes.

☆ Guyana expects proposal from India for long-term crude purchases
▼ + stars: | 2023-01-17 | by ( Neil Marks | ) www.reuters.com time to read: +1 min

[1/2] Vessels carrying supplies for an offshore oil platform operated by Exxon Mobil are seen at the Guyana Shore Base Inc wharf on the Demerara River, south of Georgetown, Guyana January 23, 2020. REUTERS/Luc CohenGEORGETOWN, Jan 17 (Reuters) - Guyana expects to soon receive a proposal from India for long-term purchases of the South American country's oil, President Irfaan Ali said on Tuesday, a new attempt to reach a government-to-government deal potentially leading to better sale terms for Guyana. Guyana's government is entitled to a share of crude produced off the nation's coast by a consortium led by Exxon Mobil Corp (XOM.N). In 2022, Ali's government received a total of 13 cargoes of crude, and it expects to receive and export 17 cargoes this year, the finance minister said earlier this week. Guyana and India in 2021 failed to reach an agreement for direct sales of Guyana's sweet crude to Indian state refiners.

HOUSTON, Jan 17 (Reuters) - The new head Venezuela's state oil company PDVSA has suspended most oil export contracts while his team reviews them, according to an internal document seen by Reuters and two people familiar with the matter. The freeze is leading to port delays, as vessels that were loading have been sent away and are waiting for new directions, the people said. Cargoes chartered by U.S. oil firm Chevron Corp (CVX.N) and Cuba's Cubametales have not been affected by the contract revision, according to separate documents and the sources. As of Jan. 17, most berths at Venezuela's main oil terminal, Jose port, were empty after vessels were moved away while awaiting further directions. Venezuela's oil exports last year declined 2.5% to 616,540 barrels per day due to infrastructure outages, U.S. sanctions and rising competition in its key Asia market despite assistance from ally Iran, according to shipping data and documents.

The question now is whether 2023 will see China reassert its dominance as the main driver of commodity markets. There were differences in China's 2022 commodities imports, and the trends established may persist for a while yet. However, the trend for crude oil imports and product exports shifted in the last quarter of 2022. Crude oil imports rose 4% in December from the same month a year earlier, reaching 11.3 million bpd. It's likely that they will want to ramp up purchases in 2023 to meet rising domestic demand from the re-opening economy and ongoing fuel export quotas.

Tehran's oil exports have been limited since former U.S. President Donald Trump in 2018 exited a 2015 nuclear accord and reimposed sanctions aimed at curbing oil exports and the associated revenue to Iran's government. "In comparison to the Trump administration, there hasn't been any serious crackdown or action against Iran's oil exports," said Sara Vakhshouri of SVB. The Iranian oil ministry did not respond to a request for comment on exports. MORE TO CHINAThere is no definitive figure for Iranian oil exports and estimates often fall into a wide range. According to another analyst, Vortexa, China's December imports of Iranian oil hit a new record of 1.2 million bpd, up 130% from a year earlier.

Indonesia, producer of more than half of global palm oil supplies, also tightened trade rules this year, allowing exporters to ship just six times their domestic palm oil sales volume, less than a fourth-quarter 2022 ratio of eight times. "Indonesian palm oil export definitely will drop, as output will decline, domestic consumption will increase," Fadhil Hasan, an Indonesian Palm Oil Association (GAPKI) official, told Reuters. Indonesia produced 51.3 million tonnes of palm oil in 2022 and exported 33.7 million tonnes, GAPKI estimated. In 2023, palm oil output is expected at 50.82 million tonnes and exports at 26.42 million tonnes, it said. "But India's strong demand for palm oil will continue as it is still the cheapest edible oil."

The government's $1.1 billion share of oil revenue was up sharply from a combined $409 million in profit and royalties in 2021. Guyana is producing about 360,000 barrels per day (bpd) of oil and aims to raise output to 1.64 million bpd by end of the decade. Guyana's exports averaged 265,693 bpd last year, more than double the 100,645 bpd in 2021, according to shipping data from Refinitiv Eikon. Crude exports from Latin America's newest oil producer almost tripled in 2022, encouraged by rising production and solid demand in Europe in the aftermath of the Ukraine invasion. Total exports represented over $8 billion in gross oil revenue, based on Reuters calculations.

☆ China 2022 crude oil imports fall for second year despite Q4 pickup
▼ + stars: | 2023-01-13 | by ( Chen Aizhu | ) www.reuters.com time to read: +3 min

With the government focused on reviving economic growth this year after dropping its tough COVID control measures, some analysts are expecting China's crude oil imports to rebound strongly in 2023. Friday's data also showed fuel exports - including gasoline, diesel, aviation fuel and marine fuel oil - reached 7.7 million tonnes in December, the highest since April 2020 and up from 6.14 million tonnes in November. Annual fuel exports, however, remained 11% below 2021 at 53.69 million tonnes, due to steep reductions in overseas shipments earlier in 2022 as the government sought then to curb excessive domestic processing. Natural gas imports last month via pipelines and as liquefied natural gas (LNG) reached 10.28 million tonnes, down 12% on the year. Annual imports fell 9.9% at 109.25 million tonnes, data showed.

China, the world's top oil importer, has continued buying Russian oil despite Western sanctions, after Russian President Vladimir Putin and Chinese leader Xi Jinping launched what they called a no-limit partnership before the war in Ukraine. The sources said a fifth supertanker, or very large crude carrier (VLCC), was shipping crude to India, which like China has continued buying Russian oil sold at a discount as many Western buyers turn to other suppliers. All five shipments were scheduled between Dec. 22 and Jan. 23, according to the sources and Eikon ship tracking data. The G7 price cap introduced in December allows countries outside the European Union to import seaborne Russian oil but it prohibits shipping, insurance and re-insurance companies from handling Russian crude cargoes unless sold for below the $60 cap. Industry sources say Indian refiners are securing a discount of $15-$20 per barrel on Russian oil on a delivered basis compared to Brent.

☆ Exclusive: Exxon prepares to start up $1.2 bln Texas oil refinery expansion - sources
▼ + stars: | 2023-01-13 | by ( Erwin Seba | ) www.reuters.com time to read: +4 min

Initial startup of a 250,000 barrels per day (bpd) crude distillation unit (CDU) at the 369,000 bpd refinery is expected by Jan. 31, the sources said, making the Beaumont refinery the second largest in the United States. SHALE OIL TO DIESELExxon had no immediate comment on the start up of the new processing unit, called the Beaumont Light Atmospheric Distillation Expansion (BLADE) project. BLADE, considered as early as 2014 and formally approved in 2019, was planned to process Exxon's crude oil pumped from the Permian shale field in West Texas and New Mexico. Operators at the Beaumont refinery this week were purging the new CDU of air in preparation to introduce its first crude, the people familiar with the matter said. POST-PANDEMIC MILESTONEExxon's Beaumont expansion marks a return to an era of steady refining capacity gains through processing tweaks and adding new equipment to existing plants.

☆ Gold firms as dollar eases ahead of U.S. inflation data
▼ + stars: | 2023-01-12 | by ( Ashitha Shivaprasad | ) www.reuters.com time to read: +2 min

SummarySummary Companies U.S. CPI due at 1330 GMT(.DXY) down 0.1%Jan 12 (Reuters) - Gold prices ticked higher on Thursday, aided by a softer dollar, while market participants awaited key U.S. inflation data that could influence the Federal Reserve's policy path. "Gold prices are very well supported as the dollar has weakened. If the inflation report is supportive for gold, then prices could move up to $1,900 level, but there might be some profit booking after that, Kedia added. Although gold is seen as an inflation hedge, rising rates increase the opportunity cost of holding bullion. On the physical front, Indian gold refiners have nearly stopped imports of gold dore, a semi-pure alloy, as grey market operators offer hefty discounts, industry officials said.

Lower imports by the world's second-biggest consumer of the precious metal could limit gains in global prices trading near their highest in eight months. The drop in imports could help in bringing down India's trade deficit and support the rupee . In value terms, December imports plunged to $1.18 billion from $4.73 billion a year ago, he said. The country's gold imports in 2022 dropped to 706 tonnes from 1,068 tonnes a year ago, another government official said. Local gold prices hit a high of 55,365 rupees ($677.72) per 10 grams in December, not far from the all-time peak of 56,191 rupees hit in August 2020.

U.S. West Texas Intermediate (WTI) crude rose $2.29, or 3.1%, to settle at $77.41. Global equities were up on hopes that U.S. inflation and earnings figures due on Thursday will indicate a resilient economy and result in a slower pace of interest rate hikes. Oil demand is coming back and expectations are high that China’s demand is about to skyrocket," said Edward Moya, senior market analyst at data and analytics firm OANDA. Analysts polled by Reuters had forecast a 2.2 million-barrel decline in crude stocks, and industry data from the American Petroleum Institute (API) showing a 14.9 million-barrel build. ,EIA this week forecast U.S. crude production will reach all-time highs in 2023 and 2024.

The answer is while any increase in China's crude oil imports may drive crude oil prices higher, a corresponding increase in fuel exports may weaken regional refining margins. In other words, there are many moving parts to the overall balance between China's crude import demand and regional fuel markets. Another point is that so far there is little evidence that China's crude oil imports are recovering. China doesn't disclose its stockpiles, but it likely added to inventories in 2022 even as total crude oil imports declined. China's crude oil demand isn't necessarily a one-way bullish street, even if the re-opening from COVID-19 is a success.

☆ Column: China's power sector emissions set to jump as economy reboots
▼ + stars: | 2023-01-10 | by ( Gavin Maguire | Thomson Reuters | Gavin Maguire Is The Global Energy Transition Columnist. He Was Previously Asia Commodities | ) www.reuters.com time to read: +5 min

LITTLETON, Colo., Jan 9 (Reuters) - Pollution levels from China's mammoth power sector are set to climb to new highs in 2023 as Beijing's efforts to spur growth across the economy result in increased burning of fossil fuels. The energy sector accounts for roughly 90% of emissions in the country, the world's top polluter, according to the International Energy Agency (IEA). SOFT PATCHThe 1.6% rise in China's power sector emissions through November was the smallest increase during that period on record aside from 2020, when China first tackled COVID outbreaks, Ember data shows. China power sector emissionsA more than 10% rise in electricity generated from clean sources such as solar and wind - compared with a 1.5% rise in fossil fuel electricity generation - helped curb overall power sector emissions, according to the Ember data. Diminished energy demand from shuttered factories and several key industries also capped overall power sector pollution, with China's industrial output through most of 2022 holding at suppressed levels.

[1/2] An aerial view shows a storage facility owned by Lukoil company at the Arctic port of Varandei October 22, 2013. Arctic crude exports to India have steadily increased since May, with a record 6.67 million barrels loaded in November and 4.1 million barrels in December, Refinitiv data showed. At least three oil tankers that loaded Arctic crude in Murmansk port are now heading to China, Refinitiv data showed. Refinitiv listed the grades carried by these ships as Arco crude although one Chinese trader said there could be Varandey crude onboard. Oil tankers, carrying Russian Arctic crude, are passing Europe and the Middle East to head to China and IndiaReporting by Nidhi Verma in New Delhi, Muyu Xu and Florence Tan in Singapore; Editing by Jacqueline WongOur Standards: The Thomson Reuters Trust Principles.

☆ India raises windfall tax on crude, diesel, aviation fuel
▼ + stars: | 2023-01-02 | by ( ) www.reuters.com time to read: +1 min

Jan 2 (Reuters) - India has raised windfall tax on petroleum, crude oil and aviation turbine fuel, according to a government order dated Jan. 2. It raised windfall tax on crude oil to 2,100 rupees ($25.38) per tonne from 1,700 rupees ($20.55), effective on Tuesday, the order said. The federal government also raised export tax on diesel to 7.5 rupees per litre from 5 rupees, while raising the windfall tax on ATF to 4.5 rupees per litre from 1.5 rupees, the document showed. India, the world's largest consumer and importer of oil, has been buying Russian crude barrels at well below a $60 price cap agreed by the West. The country in July imposed the windfall tax on crude oil producers and levies on exports of gasoline, diesel and aviation fuel after private refiners sought overseas markets to gain from robust refining margins, instead of selling at lower-than-market rates in the country.

☆ Keystone Pipeline to Fully Restart After Oil Spill, Repairs
▼ + stars: | 2022-12-30 | by ( Benoît Morenne | ) www.wsj.com time to read: 1 min

The operator of the Keystone oil pipeline said it was moving to fully reactivate the system, ending a weekslong outage that pressured U.S. oil prices and complicated some Gulf Coast refiners’ operations. TC Energy Corp. said Thursday that it had completed repairs, inspection and testing on the pipeline and that the system was now operational to all delivery points. It had said last week that it had received approval from the U.S. Pipeline and Hazardous Materials Safety Administration to restart a 300-mile branch linking Steele City, Neb., to the main U.S. oil storage hub in Cushing, Okla.

SINGAPORE, Dec 29 (Reuters) - Oil prices dipped on Thursday as surging COVID-19 cases in China dimmed hopes of a recovery in fuel demand for the world's largest crude oil importer. Brent futures for February fell 26 cents, or 0.3%, to $83.00 a barrel by 0430 GMT, while U.S. crude fell 26 cents, or 0.3%, to $78.70 a barrel. U.S. crude oil inventories fell less than expected, by about 1.3 million barrels, in the week ended Dec. 23, according to market sources citing American Petroleum Institute figures. However, that comes as an Arctic freeze has forced some oil refining facilities offline, backing up crude supplies. Markets, however, drew some support from Russian President Vladimir Putin's ban on exports of crude oil and oil products from Feb. 1 for five months to nations that abide by a Western price cap.

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