India would gain from low oil prices globally since it imports more than 80% of its crude oil needs.

Amid China’s slowdown, India’s to be the key market for oil and gas: Report

According to an HSBC analysis, as the Chinese economy slows, India is predicted to become the primary market for global oil and gas products as it builds its refinery, petrochem, LNG regasification, and pipeline capacity. According to the analysis, the price of oil is expected to stay low globally. India would gain from this since it imports more than 80% of its crude oil needs, and a drop in the price of oil globally results in significant savings on import costs. The report also emphasised that the nation’s energy transformation will accelerate and anticipated that early-stage green hydrogen blending, green hydrogen investment preparation, and renewable energy-led energy transformation investment by India’s oil and gas businesses will begin.  

Coal-based steelmaking a threat to India’s net-zero target, global steelmaking still fossil fuel reliant: Reports

India’s aim of achieving net-zero by 2070 is at risk due to its continuing investments in new coal-based steelmaking, according to a recent assessment. India has a young fleet of emissions-intensive blast furnaces that are scheduled to have their operations and the country could end up with stranded assets worth up to $187 billion as a result of this, the report said. Approximately 12% of India’s total carbon emissions, or more than 240 million tonnes of CO2 emissions per year, are currently attributed to the steel sector, and by 2030, that amount is predicted to double. India now has the second-largest operating steelmaking capacity in the world, behind China, with ambitions to expand by 2030.  


Another report found that the largest steelmakers in the world are lagging behind in the transition to low-carbon production, according to a survey of 18 top companies globally. Some of the largest brands in the sector continued to rely on fossil fuels for 99% of their energy in 2022–2023. There are other options, such as electric arc furnaces (EAFs) that run on renewable energy, and there are initiatives to make iron using “green hydrogen” instead of coal. The report said that since certain businesses have invested in fossil fuel infrastructure, such as pipelines and import terminals, they have a stake in keeping things as they are. 

Amendments to India’s exploration policy along with removal of windfall tax likely to invite global oil companies

India’s decision to remove a windfall tax on domestically produced crude oil and, more recently, expand its exploration policy beyond petroleum and natural gas is expected to attract both foreign and private companies to the upstream sector, said a report by S&P Global. The government decided to remove the windfall tax on locally produced crude that had been in place since July 2022. The Rajya Sabha, the upper house of Parliament, passed a bill earlier this month on December 3 that would alter the Oil Fields (Regulation and Development) Act of 1948 to include coal bed methane, shale gas, and shale oil in addition to oil and gas. To become law, the amendment must still be approved by the Lok Sabha, the lower house of Parliament. According to experts, the amendments will provide India’s exploration and production activities a much-needed boost. It would also increase the confidence of both domestic and foreign oil corporations to participate in the industry and seek out joint venture opportunities.

Indian govt quotes Putin saying Russia’s Rosneft invested $20 bln in India

Russian oil company Rosneft just invested $20 billion in India, based on a statement by the Indian government, Reuters reported. The Indian government has quoted  Russian President Vladimir Putin as saying that “We are also ready to set up our manufacturing operations in India,” at the 15th VTB Russia Calling Investment Forum. Putin had stated earlier in January that Rosneft intended to increase its presence in India, and in July, Indian government officials stated that India could aim to enter into agreements with Rosneft and other oil companies in order to deepen its energy relations with Russia. In 2017, Rosneft successfully acquired Indian private refiner Essar Oil for $12.9 billion, giving it access to the country’s retail petroleum market. Since the war in Ukraine, India’s top oil supplier is now Russia, as Indian refiners snatched up Russian crude that the West had rejected. Due in large part to India’s oil purchases, Russia’s commerce with India nearly doubled to $65 billion in 2023. By 2030, the two nations hope to increase bilateral trade by more than half to $100 billion. 

“Climate bomb” warning due to a $200 billion surge in new gas projects

A $200 billion surge in new gas projects may release a “climate bomb” equal to the yearly emissions of all coal-fired power plants in operation worldwide, the Guardian reported. The newspaper cited a report by the climate group Reclaim Finance, which stated that due to Russia’s war on Ukraine, which caused pipeline imports into Europe to stop, and developing countries’ shift from coal to gas, big banks have invested $213 billion in plans to build terminals that import and export chilled gas that is transported on ocean tankers. According to the research, 99 import terminal projects and 8 LNG export terminal projects were finished in the last two years, increasing worldwide import capacity by 19% and export capacity by 7%, respectively. Furthermore, 156 new LNG terminal projects are anticipated to be built globally by 2030. The report cautioned that by the end of the decade, methane leakage from these terminals could generate an estimated 10 gigatonnes of greenhouse gas emissions, which is nearly equal to the yearly emissions of all coal plants operating globally. 

Trump selects a fracking executive to head the Energy Department

Chris Wright, the CEO of fracking services provider Liberty Energy,was selected Energy Secretary by US President-elect Donald Trump. The executive in charge of oil and gas is an ardent supporter of fossil fuels, frequently highlighting the advantages of having access to energy while downplaying the risks associated with climate change. In the oil and gas industry, Wright is hailed by executives who hope he will pave the path for increased U.S. liquefied natural gas exports. Although the nation’s LNG exports have already increased dramatically in recent years, earlier this year the Department of Energy halted the issuance of new permits in order to evaluate the economic and climate effects of the boom. While Wright would have limited authority to regulate fossil fuels if approved as the head of the Department of Energy, he would have the power to decide whether to allow or prohibit LNG exports—which environmentalists argue poses a serious risk to the rise in global temperatures. 

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