ROSNEFT BUYS TOTAL
Total S.A. and Rosneft signed at the St. Petersburg International Economic Forum an agreement, confirming the execution of a sale and purchase agreement with regard to the 16.67% share in PCK Raffinerie GmbH. The document was signed by Rosneft Chairman of the Management Board Igor Sechin and Chief Executive Officer of Total Patrick Pouyanné.
The deal represents a natural element of the Rosneft strategy aimed at strengthening - its positions as an integrated player in Europe's energy market. Along with the planned reorganization of Ruhr Oel GmbH, the deal with Total will allow Rosneft to shore up its position in the German market for refined oil products.
The closing of the deal is subject to the fulfillment of conditions precedent, which includes regulatory approval.
Commenting on the deal Igor Sechin said: "The execution of this sale and purchase agreement reflects the high level of trust and mutual understanding between Rosneft and Total, two leaders of the global oil and gas industry. Long-term and mutually beneficial interests form the basis of the partnership between the two companies. The deal means the strengthening of Rosneft's positions in a key region – Western Europe – and confirms the Company's reputation as a reliable energy supplier to the European market".
"The execution of the term sheet, originally agreed by Rosneft and Total in November 2014 reflects the mutual commitment of both companies to creating and expanding a long-term partnership," commented Patrick Pouyanné, Chief Executive Officer of Total. "As for Total, the sale of our minority interest in the Schwedt Refinery is in line with our 2017 target to reduce Total's European refining and petrochemical capacity by 20%."
PCK Raffinerie GmbH refinery is located in the city of Schwedt/Oder in Brandenburg, Germany. Primary distillation capacity is 11.5 mln/t. Nelson Complexity index – 9.2. Shareholders: 37.5% ROG, 37.5% Shell, 16.67% Total, 8.33% Eni.
In 2014 the overall Rosneft crude oil supplies to Germany accounted to ~20.3 mln tones, which is almost a quarter of all crude oil import of Germany.
In May 2011 Rosneft acquired a 50% share in Ruhr Oel GmbH (ROG) in Germany. ROG holds a share in 4 refineries in Germany (Gelsenkirchen – 100%, Bayernoil – 25%; MiRO – 24%; PCK– 37.5%). Moreover the joint venture holds stakes in 5 pipeline and sea crude oil terminals in the North, Baltic, Mediterranean and Adriatic Seas. Rosneft partner in the JV on a parity basis is BP Europa SE. ROG is the leader of German market in terms of crude oil refining volumes – 21 mln tones in 2014.
|June, 18, 14:30:00|
|June, 18, 14:25:00|
|June, 18, 14:20:00|
|June, 18, 14:15:00|
|June, 18, 14:10:00|
|June, 18, 14:05:00|
IMF - Within the next few years, the U.S. economy is expected to enter its longest expansion in recorded history. The Tax Cuts and Jobs Act and the approved increase in spending are providing a significant boost to the economy. We forecast growth of close to 3 percent this year but falling from that level over the medium-term. In my discussions with Secretary Mnuchin he was clear that he regards our medium-term outlook as too pessimistic. Frankly, I hope he is right. That would be good for both the U.S. and the world economy.
IMF - The near-term outlook for the U.S. economy is one of strong growth and job creation. Unemployment is already near levels not seen since the late 1960s and growth is set to accelerate, aided by a near-term fiscal stimulus, a welcome recovery of private investment, and supportive financial conditions. These positive outturns have supported, and been reinforced by, a favorable external environment with a broad-based pick up in global activity. Next year, the U.S. economy is expected to mark the longest expansion in its recorded history. The balance of evidence suggests that the U.S. economy is beyond full employment.
U.S. FRB - Industrial production edged down 0.1 percent in May after rising 0.9 percent in April. Manufacturing production fell 0.7 percent in May, largely because truck assemblies were disrupted by a major fire at a parts supplier. Excluding motor vehicles and parts, factory output moved down 0.2 percent. The index for mining rose 1.8 percent, its fourth consecutive month of growth; the output of utilities moved up 1.1 percent. At 107.3 percent of its 2012 average, total industrial production was 3.5 percent higher in May than it was a year earlier. Capacity utilization for the industrial sector decreased 0.2 percentage point in May to 77.9 percent, a rate that is 1.9 percentage points below its long-run (1972–2017) average.
IMF - South Africa’s potential is significant, yet growth over the past five years has not benefitted from the global recovery. The economy is globally positioned, sophisticated, and diversified, and several sectors—agribusiness, mining, manufacturing, and services—have capacity for expansion. Combined with strong institutions and a young workforce, opportunities are vast. However, several constraints have held growth back. Policy uncertainty and a regulatory environment not conducive to private investment have resulted in GDP growth rates that have not kept up with those of population growth, reducing income per capita, and hurting disproportionately the poor.