Marine Link
Friday, October 19, 2018

Goldman Sachs News

Shipping Tycoon Livanos Tied to New Investment Firm

Former senior Goldman Sachs and HSBC banker Matthew Westerman is launching a private investment firm alongside a former colleague and a Greek shipping tycoon, he said on Friday.Westerman will partner his former Goldman Sachs colleague Julian Metherell and Peter Livanos, who owns Greek shipping company Ceres Hellenic, in a new firm called MW&L Capital Partners.The trio will invest in small-to-medium sized targets based on knowledge built up in their respective careers covering financial services, oil and gas, and shipping, Westerman said."We think there is a gap in the market for long-term capital; ours is not '5 year fund money' so we don't have money burning a hole in our pockets and we can afford to be flexible and supportive of management when we see an opportunity…

ABS Discusses on IMO 2020

Photo: ABS

Shipping industry leaders, joined by Goldman Sachs, discussed IMO 2020 challenges and opportunities at the ABS panel discussion held at the start of SMM 2018. They exchanged their views on compliant fuel availability, fuel pricing spreads and scrubbers shape the conversation at SMM.Christian Lelong, Senior Commodities Analyst, Goldman Sachs; Aaron Bresnahan, Vice President Marine Solutions, Wartsila; Paddy Rodgers, Director and Chief Executive Officer, EURONAV; Wolfgang Hintzsche…

Cerberus to Acquire Subsea Communications Business from TE Connectivity

Image: TE Connectivity

Cerberus Capital Management announced that one of its affiliates has entered into an agreement with TE Connectivity under which Cerberus will acquire TE's Subsea Communications business (SubCom).Headquartered in Eatontown, New Jersey, SubCom is a leading global supplier of subsea communications systems with approximately $700 million in revenue, based on fiscal year 2018 expectations. The business designs, manufactures, deploys, and maintains the subsea fiber optic cable systems that are vital for global communications.To date…

Oil and Trump: Russians Full of Optimism in Davos

What a difference a year makes. Twelve months ago, the mood of the Russian delegation at the World Economic Forum in Davos was distinctly gloomy, with oil prices near 12-year lows below $30 per barrel and Western sanctions depressing their economy and financial markets. Since then, however, Russian stock and bond markets have risen about 50 percent, boosted by rebounding oil and - more recently - expectations the new U.S. presidency of Donald Trump will ease the sanctions imposed over Moscow's actions in Ukraine. Russian officials and company executives at the forum attended by the world's political and business elites in the Swiss Alps this week were far more bullish, with many predicting the markets rally would continue this year.

Mercuria Energy Takes 30% Stake in Aegean Marine

Photo: Aegean Marine Petroleum Network Inc.

Mercuria Energy Group and Aegean Marine Petroleum and  have signed a Memorandum of Understanding (MoU) making Mercuria the only lender to Aegean. Both are working towards landing a billion dollar credit deal and closer collaboration.Mercuria and Aegean have executed a letter agreement detailing the US$30 million of incremental liquidity Mercuria is providing to the Company by way of amendments and waivers to the Trade Finance Facility and other financing arrangements.With this significant step completed, the two parties intend to begin exploring a broader, global strategic partnership.

Harvey Gulf Announces New BoD

Shane Guidry, Harvey Gulf CEO

Harvey Gulf International Marine’s parent, HGIM Corp., has announced the appointment of a new Board of Directors to serve following the company’s emergence from Chapter 11 proceedings.The seven member Board includes two current members remaining on the Board and five new members, each with expertise in individual areas particularly suited to support the company’s operation and development and collectively, creating a leadership platform that will enable Harvey Gulf to adjust and thrive in an ever-changing market. Shane Guidry. Mr.

Kosmos Energy Acquired DGE for $1.23 Bln

(File photo courtesy of Deep Gulf Energy)

Kosmos Energy has agreed to acquire Deep Gulf Energy (DGE) from its private equity owner for $1.23 billion, according to a bourse filing on Monday, expanding the deepwater oil and gas firm's operations into the Gulf of Mexico.Dallas-based Kosmos, which currently operates in Africa and South America, will pay $925 million in cash and $300 million in Kosmos common stock to acquire DGE, with the transaction expected to close towards the end of the third quarter.Acquiring DGE's business will increase Kosmos' production by more than 50 percent to 70,000 barrels of oil equivalent per day (boed) from

Should OPEC Worry About Contango and Backwardation?

"Backwardation is the solution" to OPEC's problem of how to raise output and revenues without sparking another shale boom, according to the influential oil research team at Goldman Sachs. Backwardation would allow low-cost oil producers in OPEC to sell their output at a higher price linked to the spot market while curbing growth from shale firms that sell at prices linked to the forward curve. Goldman's strategy aims to "share growth" between OPEC and shale firms to avoid another repeat of boom and bust in oil prices ("Backwardation is the solution", Goldman Sachs, May 22). The plan exploits differences in pricing behaviour between low-cost producers in OPEC that do not hedge and higher-cost shale drillers that hedge a substantial portion of their output.

DONG Energy Listing to Value Group at up to $16 Bln

Photo: DONG Energy

DONG Energy's has set a potential $16 billion price tag on its stock market debut, giving investors a chance to buy into the growth in offshore wind power, but also into a business heavily reliant on government subsidies. State-controlled DONG Energy on Thursday set a price range for its initial public offering at 200 Danish crowns to 255 crowns per share. This would give the group a market value of 83.5 billion to 106.5 billion Danish crowns ($12.6-16.0 billion), potentially making it the Europe's biggest IPO this year.

CMA CGM Invests in NYSHEX Market

Photo: CMA CGM

CMA CGM, a world leader in container shipping, is pleased to announce its participation in the first ever New York Shipping Exchange (NYSHEX) fundraiser, the first digital marketplace for ocean freight contracts. This investment is made alongside Hapag Lloyd, GE Ventures and Goldman Sachs, for a cumulative investment of $13 million. It is carried out through CMA CGM Ventures, the corporate venture structure recently created by the CMA CGM Group and dedicated to investments in innovative technologies.

Crude Slips, Gasoline Jumps in Storm's Choppy Wake

File Image (CREDIT: AdobeStock / (c) Sharrif Che'Lah)

Goldman Sachs says 23 pct of U.S. refining capacity is shut. Crude oil slid and gasoline futures hit their highest since mid-2015 on Wednesday as flooding and damage from Tropical Storm Harvey shut over a fifth of U.S. refineries, curbing demand for crude while raising the risk of fuel shortages. Refineries with output of 4.1 million barrels per day (bpd) were offline on Tuesday, representing 23 percent of U.S. production, Goldman Sachs said. Restarting plants even under the best conditions can take a week or more. "It will be a while before operations can return to normal and the U.S.

Traders Look to Asia Products for U.S. Options

File Image (CREDIT: AdobeStock / (c) Carabay)

Traders adding U.S. port options to cargoes for flexibility. Traders are scrambling to find oil products in Asia to ship to the United States and Latin America after Hurricane Harvey shut almost a quarter of U.S. refining capacity, several trading and shipping sources told Reuters on Wednesday. Many are also asking for ships to have a U.S. option added to their original destination to allow for flexibility in sending the cargoes across the Pacific, shipbrokers said. At least one oil products tanker…

Asian Traders Mull U.S. Crude Liftings in Harvey's Wake

File Image (CREDIT: AdobeStock / (c) mikesjc)

Harvey closed nearly a quarter of U.S. refining capacity; helping to push WTI-Brent spread to widest in two years. Some oil traders in Asia are looking to snap up crude cargoes from the United States after Hurricane Harvey closed U.S. refineries, denting local demand and pushing out the price spread between U.S and Atlantic Basin crude benchmarks. Hurricane Harvey barrelled into the U.S. Gulf of Mexico coast around 10 days ago, closing nearly a quarter of the nation's refining capacity, although some of that is now coming back online.

Navico Under New Ownership

Leif Ottosson (Photo: Navico)

Navico ‚Äď a provider of marine electronics and parent company to the Lowrance, Simrad, B&G and GoFree brands ‚Äď announced that Goldman Sachs Merchant Banking Division and Altor Fund IV have partnered and signed an agreement to acquire Navico from the Altor 2003 Fund. Navico is an innovative force within the recreational and commercial marine electronics market and has a rich history of investment in research and development. In the last two years, the company developed such technologies as the HALOTM Pulse Compression Radar technology‚Ķ

Asian Floating Storage Declines as Crude Market Tightens

File Image (CREDIT: AdobeStock / (c) Jose Gill)

Strong demand is tightening the market but rising US output could sap efforts to rebalance market. The amount of oil stored on tankers around Singapore has dropped sharply in the last months, the latest indication that OPEC-led supply cuts are successfully tightening crude markets even as U.S. exports have soared. Shipping data in Thomson Reuters Eikon shows around 15 super-tankers are currently filled with oil in waters off Singapore and western Malaysia, storing around 30 million barrels of crude.

Coal: One of 2016's Hottest Commodities

File photo: Glencore

Less than a year after the coal industry was declared to be in terminal decline, the fossil fuel has staged its steepest price rally in over half a decade, making it one of the hottest major commodities. Cargo prices for Australian thermal coal from its Newcastle terminal, seen as the Asian benchmark, have soared over 35 percent since mid-June to more than one-year highs of almost $70 a tonne, pushed by surprise increases in Chinese imports. "Chinese regulators have assumed the role that markets traditionally play in bringing oversupplied commodities back to balance…

Oil Rises on Record Indian Imports, Hopes of Output Caps

Oil prices edged up on Wednesday, supported by record Indian crude imports and talks between OPEC producers and other oil exporters on curbing output to end a glut in the global market. Global benchmark oil futures, the Brent and U.S. West Texas Intermediate (WTI) contracts, have both risen more than 10 percent since the end of September on prospects major crude producers would freeze or cut production to stem an oversupply in the market. However, doubts remain as to the intentions of major suppliers such as Saudi Arabia and Iran and the effectiveness of any agreement in reining in output from record highs. Brent crude futures were up 26 cents at $52.67 a barrel by 1115 GMT. U.S. West Texas Intermediate (WTI) crude futures rose 23 cents to $51.02 a barrel.

Steel, Aluminum Tariffs a 'Bad Idea' -Morgan Stanley CEO

© David H M Wingate / Adobe Stock

Morgan Stanley's top executive said on Wednesday that potential tariffs on steel and aluminum that U.S. "The biggest issues this country faces are not trade deficits, they're fiscal deficits," Chief Executive Officer James Gorman told CNBC. Gorman said that imposing tariffs on a country or ally that the United States sells a lot of goods to is not the "best way to move forward." He added that there may be retaliation from other countries due to the tariffs. "You can't be unilateral with these things," he added.

Digital Marine Solutions Names Østergaard Executive Chairman

Paul √ėstergaard (Photo: DMS)

Digital Marine Solutions AS (DMS), the parent company of C-Map, has appointed Paul Østergaard as executive chairman. Together with the DMS board of directors and the C-Map leadership team, Østergaard will develop and implement the company‚Äôs strategic plan and lead the company in achieving its growth targets for 2017 and beyond. Østergaard began his career as an officer with the Danish Royal Guards and then spent five years with ship-owner J. Lauritzen in commercial and operational roles in Denmark and Brazil.

GE to Merge Oil & Gas Unit with Baker Hughes

Photo: GE

General Electric Co said on Monday it would merge its oil and gas business with Baker Hughes Inc, creating the world's second-largest oilfield services provider as competition heats up to supply more-efficient products and services to the energy industry after several years of low crude prices. The deal to create a company with $32 billion in annual revenue will combine GE's strengths in making equipment long-prized by oil producers with Baker Hughes's expertise in drilling and fracking new wells.

Macquarie, Goldman Sachs to Buy HES International

Infrastructure funds managed by Macquarie and Goldman Sachs have agreed to buy Dutch port terminals operator HES International from owners Riverstone and The Carlyle Group, they said on Tuesday. Terms were not disclosed. Reuters reported in February that Macquarie and Goldman funds were poised to buy HES for around 2 billion euros ($2.45 billion). HES is one of the largest diversified port terminals businesses in Europe with 18 dry and liquid bulk terminals.   Reporting by Toby Sterling

Share Holders Okay Macquarie, Goldman Sachs to Acquire HES International

Photo: HES International

Riverstone Holdings and The Carlyle Group jointly announce that  they intend to sell HES International to a consortium of Macquarie Infrastructure and Real Assets (MIRA) & Goldman Sachs. Macquarie European Infrastructure Fund 5, which is managed by MIRA, and West Street Infrastructure Partners III (WSIP), which is managed by the Merchant Banking Division of Goldman Sachs, have reached an agreement in principle with Riverstone Holdings and The Carlyle Group to acquire HES International.

Oil Steady, Supply Outlook Unclear

Oil prices were little changed on Monday, with little news to influence a market waiting to see whether U.S. production from shale fields will grow enough to offset planned output cuts by OPEC, Russia and other producers next year. Brent futures for February delivery were down 24 cents, or 0.4 percent, at $54.97 a barrel by 11:43 a.m. EST (1643 GMT). U.S. West Texas Intermediate crude for January rose 6 cents, or 0.1 percent, to $51.96 per barrel on its last day as the front-month. "Implied U.S. output increases...will offset a significant portion of the planned OPEC production cuts especially since we don't anticipate sustained strong compliance," Jim Ritterbusch, president of Chicago-based energy advisory firm Ritterbusch & Associates, said in a note.

Maritime Reporter Magazine Cover Oct 2018 - Marine Design Annual

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