World Stocks Tumble as Britain Votes for EU Exit
Global capital markets reeled on Friday after Britain voted to leave the European Union, with $2 trillion in value wiped from equity bourses worldwide, while money poured into safe-haven gold and government bonds. Sterling suffered a record plunge. The blow to investor confidence and the uncertainty the vote has sparked could keep the Federal Reserve from raising interest rates as planned this year, and even spark a new round of emergency policy easing from major central banks. The traditional safe-harbor assets of top-rated government debt, the Japanese yen and gold all jumped. Spot gold rose more than 5 percent and the yield on the benchmark 10-year U.S. Treasury note fell to lows last seen in 2012 at 1.5445 percent. Stocks tumbled in Europe.
First US Shale Gas Exports to Sail into Oversupplied Market
When Cheniere Energy opened a new liquefied natural gas import terminal in Louisiana in 2008, a U.S. shale drilling boom quickly made it obsolete. Seven years on, with the Houston-based firm about to open a landmark export plant on the same site, the timing, again, is far from ideal. A Reuters analysis shows that a slump in oil prices and global abundance of LNG threaten to undercut the economics of U.S. gas exports, crimp shippers' profits and possibly reduce demand for facilities such as Cheniere's $12 billion Sabine Pass plant, the first to send U.S. shale gas worldwide. New supply across the globe, faltering demand and a steep drop in oil-linked LNG prices will make short-term, or spot, deliveries of U.S.
Oceanex Named One of Canada’s Best Managed Companies
Oceanex Inc. was named one of Canada’s Best Managed Companies Gold Standard Members in 2014. This national award is sponsored by Deloitte, CIBC, National Post, Queen’s School of Business and MacKay CEO Forums, and recognizes Canadian owned and managed companies with revenues over $10 million for sustained growth, financial performance, management practices and efforts of the entire organization. “I would like to congratulate Oceanex Inc. and its entire workforce. Achieving this standard of excellence takes a united effort from a dedicated team…
Oceanex Is Building Innovation
Seated at his desk with a view of St. John’s harbour, Oceanex Executive Chairman Captain Sid Hynes is highlighting the innovation in the Oceanex Connaigra, Oceanex Inc.,’s 210-m custom-designed container/roll on roll off (Con/Ro) ice class 1A ship that is presently coming to life in the Flensburger Schiffbau-Gesellschaft mbH & Co. (FSG) shipyard in Flensburg, Germany. Following four years of study and research, the design stage was completed. First steel was cut in October 2012, and the keel was laid on February 11, 2013.
A Second Look: Defense
The Associated Press reported that the Street gave a motley review of defense titans Lockheed Martin Corp.'s and Northrop Grumman Corp.'s outlook for the year, a day after both companies posted higher fourth-quarter earnings. Market observers warned that despite solid growth by Lockheed and Northrop in 2006, performance expectations for 2007 appear to be uncertain due to ambiguous budget requests. The Defense Department submits its fiscal 2008 budget request to Congress for approval next month. Initial estimates suggest the defense budget could reach more than $600 billion for 2008 in addition to the $100 billion supplemental request for war spending for the remainder of 2007. CIBC World Markets Corp. research analysts noted that Los Angeles-based Northrop, considered to be one of the U.S.
NASSCO, U.S. Shipping Partners Finalize Contract
General Dynamics NASSCO has finalized a $1b contract with U.S. Shipping Partners L.P. (USS) to build nine product carrier tankers. The contract includes options for five additional ships. Construction of the first tanker is scheduled to begin in the third quarter of 2007, with delivery to occur by the second quarter of 2009. The product carrier tankers or “PCs” will be 183 m in length and 32.2 m in beam, with a design draft of 11.8 m. The ships are to be double hulled, weighing 49,000 dead weight tons (DWT) and will have a cargo capacity of 331,000 barrels. USS operates a fleet of 10 deep sea vessels that carry refined petroleum and chemical products among customer facilities along the U.S. coast and has 5 double-hulled, articulated tug barges on order or under construction.
McGuigan Appointed to Prince Rupert Port Authority Board
The City of Prince Rupert and district of Port Edward, Canada, have selected David McGuigan as the new Municipal Representative on the Board of Directors of the Prince Rupert Authority. McGuigan’s selection fills the vacant position left from the resignation of Mike Tarr earlier this year. McGuigan is the principal D.K. McGuigan and Associates, a business management consulting firm with a focus on economic development in the Prince Rupert area. McGuigan was formerly a senior account manager in the commercial lending division of CIBC before forming the consulting company in 2001. He is the cofounder and current chair of the North Coast Oil and Gas Task Force and has served on a number of boards throughout his tenure in Prince Rupert.
Is More Drilling on the Way?
There has been a steady stream of bad news recently in the marine press regarding the health of the oil and gas industry in the Gulf of Mexico. Much of this bad "press" is fueled by boat operators who are trying to do a "Rope-a-dope" on their competitors. That is by "talking the industry down" they are trying to convince competition that "better days" may be years out, hoping they may not be ready when the turnaround comes. All indications are that the industry will indeed drill itself out of the current malaise - sooner than later. And the indicators for such a turnaround are right in front of your face if you know where to look. In general, people who follow intensely the oil and gas industry all agree that a significant rebound is on the way.
As Gas Prices Fly Ever Higher, Why Do Energy Stocks Stay Grounded?
Energy shares drew little comfort Feb. 4 from rising oil prices lifted first by red hot heating oil, then gasoline soaring to nine-year highs. U.S. light crude for March delivery settled 79 cents higher at $28.82 a barrel on the New York Mercantile Exchange, about $1 away from post Gulf War highs reached in late January. Prompt heat oil barges delivered to the New York Harbor soared to a $1.00 premium to the futures, which closed up 0.88 cent at 78.78 cents gallon. This put the cash wholesale price for a gallon of the fuel over $1.73, their highest ever level. Gasoline futures shot up to a fresh nine-year high of 80.15 cents a gallon amid fears that current tight supplies may even get tighter as the summer driving season looms.
