Sabic posts first Q4 loss in 10 years
DUBAI: Saudi Basic Industries Corp (Sabic) posted a fourth-quarter net loss, the first quarterly loss in over a decade, due to lower average selling prices and a writedown at an affiliate.
Sabic swung to the loss of SR720 million ($192 million), compared to a profit of 3.22 billion riyals during the same quarter a year earlier, the company said in a bourse filing on Wednesday.
'Despite an uptick in Brent oil prices in the fourth quarter, the results were negatively impacted by a further decline in petrochemical prices driven by oversupply in the key products and slowing global growth coupled with seasonal impacts,' Sabic said.
Yousef Husseini, an analyst at EFG Hermes, said the last time Sabic suffered a quarterly loss was in the first quarter of 2009, and he predicted 2020 will be a tough year.
Virus fears leaves Opec divided over cuts
LONDON-MOSCOW: A committee of the Organisation of the Petroleum Exporting Countries (Opec) and its allies Opec+ extended its meeting in Vienna into a third day after failing to reach a consensus on recommendations to deal with the coronavirus' impact on energy demand and global economic growth.
A source said Russia was not supporting a deeper oil output cut and was suggesting an extension of the current pact.
Oil has fallen more than $11 a barrel this year to $55, below the level many Opec countries need to balance their budgets. Producers are weighing further output cuts and moving a planned policy meeting from March to February. Opec+ members were considering cutting oil output by a further 500,000 barrels per day (bpd) due to the impact on oil demand from the coronavirus.
Sharjah announces big gas find
SHARJAH: The Sharjah National Oil Corporation (SNOC) and its Italian partner ENI have announced new discovery of natural gas and condensate onshore at the Mahani field in the northern emirate of Sharjah.
The discovery at Mahani-1 exploration well with flow rates of up to 50 million standard cu ft per day comes within the first year of the partnership and represents the first onshore discovery of gas in the Emirate since the early 1980s.Mahani-1 well was drilled at a total depth of 14,597 ft, which resulted in the discovery of gas with the associated capacitors in the formation of the Thumama. The size of the discovery will be estimated in time in light of expectations for further evaluation and development.