2025-01-09 12:59
Norway gas exports rose 6.9% in 2024 Volume at 124 billion cubic metres vs previous record 122.8 bcm Norway meets 30% of Europe's gas demand More investment needed to maintain production, officials say OSLO, Jan 9 (Reuters) - Norway exported a record amount of natural gas in 2024 and volumes are expected to stay near this level in the coming years, official data and forecasts showed on Thursday. Norway became Europe's largest supplier of natural gas following Russia's invasion of Ukraine in 2022, providing about 30% of all gas imports to the European Union. The country's overall gas output, which includes volumes pumped via pipelines as well as liquefied LNG exported on ships, rose by 6.9% last year to a record high of 124 billion cubic metres (bcm), the Norwegian Offshore Directorate (NOD) said. Out of the total, the amount of Norway's gas that was exported via pipelines rose by 7.8% in 2024 to 117.6 bcm, just exceeding the previous record of 117.4 bcm reached in 2017, export system operator Gassco said. Gassco operates an 8,800-km (5,468-mile) pipeline network connecting Norwegian gas fields to Germany, Belgium, France, Britain and Denmark. "Since the transport of gas from Russia through Ukraine ended at the turn of this year, gas from Norway has become even more important," NOD Director General Torgeir Stordal said in a statement. Norway's overall gas output of 124 bcm was up from 116 bcm in 2023, a year that was heavily impacted by maintenance outages, and also beat a record set in 2022 of 122.8 bcm, NOD data published on Thursday showed. The Equinor-operated (EQNR.OL) , opens new tab North Sea Troll field produced a record 42.5 bcm of gas last year, accounting for more than 10% of Europe's demand alone, the company said earlier this week. The NOD forecast that Norway will produce 120.4 bcm of gas in 2025, down 2.9% year-on-year, and will remain near this level until 2027 before a further dip to 110.8 bcm in 2029. Norway's crude oil output is expected to remain broadly unchanged at 102.2 million cubic meters (mcm) in 2025 compared with 2024, equivalent to about 1.8 million barrels per day, the forecasts showed. By 2029, crude oil output is expected to fall to 81.2 mcm. The NOD said more exploration as well as investments in the existing discoveries and fields was needed to arrest the expected decline. "Failure to invest will lead to rapid dismantling of the petroleum activities," it added. Environmental campaigners, however, have said policies aimed at continuing exploration and new developments contradict Norway's international commitment to reduce its greenhouse gas emissions from its most polluting sector. Sign up here. https://www.reuters.com/business/energy/norway-gas-output-hit-record-2024-seen-slightly-lower-2025-2025-01-09/
2025-01-09 12:15
ACCRA, Jan 9 (Reuters) - Ghana's new President John Dramani Mahama has named chartered accountant and leader of Parliament Cassiel Ato Forson as finance minister, the presidency said in a statement on Thursday. Mahama, who was sworn in on Tuesday after winning an election in December, is seeking to assemble a team quickly to address growing discontent by boosting the economy and creating jobs. He named John Abdulai Jinapor as energy minister and Dominic Akuritinga Ayine as attorney general and justice minister, the statement said. The new government has inherited an economy emerging from its worst crisis in a generation. Mahama, who served a first term in office from 2012 to 2017, has pledged to prioritise economic recovery and stability. Sign up here. https://www.reuters.com/world/africa/ghana-president-names-cassiel-ato-forson-finance-minister-2025-01-09/
2025-01-09 11:56
TORONTO, Jan 9 (Reuters) - The Canadian dollar is set to recoup only a small part of its recent losses in the coming year as expected U.S. trade tariffs cloud the economic outlook, offsetting investor optimism around a likely change in government, a Reuters poll found. The median forecast of 37 foreign exchange analysts in the Jan. 3-8 poll predicted the loonie would edge 0.5% higher to 1.43 per U.S. dollar, or 69.93 U.S. cents, in three months, compared to the 1.4034 level expected in a poll last month. In a year, the currency was forecast to be up 3% at 1.3950, versus 1.4020 seen previously. The currency fell 7.9% in 2024, its biggest yearly decline since 2015, as Canadian bond yields fell below their U.S. counterparts by the most in over two decades. U.S. President-elect Donald Trump has suggested he might use "economic force" to make Canada the 51st U.S. state, which follows a threat to impose a 25% tariff on imports from the nation. Canada sends about 75% of its exports to the United States, including oil and cars. "We are assuming that Trump hits Canada with tariffs this year which is likely to weigh on the loonie," said Stephen Brown, deputy chief North America economist at Capital Economics. "If anything, I'm concerned that the risks to our forecast still lie to the downside." The Bank of Canada has cut its benchmark interest rate by 1.75 percentage points since June to support the Canadian economy, lowering borrowing costs to 3.25%, and has said the possibility of tariffs represented a major new uncertainty. Canadian Prime Minister Justin Trudeau announced on Monday he would step down in the coming months, bowing to pressure from lawmakers alarmed by his Liberal Party's unpopularity. The next election must be held by Oct. 20 and polls predict a crushing win for the official opposition Conservatives, which analysts see as a positive outcome for the loonie. The Canadian dollar could strengthen in the second half of 2025 as lower borrowing costs begin to support the domestic economy, greater clarity around tariffs emerges, and as investors welcome an expected change in government, said George Davis, chief technical strategist at RBC Capital Markets. Policy initiatives point to "potential tax cuts, a more business-friendly environment and a more tolerant view of fossil fuels," Davis said. (Other stories from the January Reuters foreign exchange poll) Sign up here. https://www.reuters.com/markets/currencies/canadian-dollar-seen-higher-upside-limited-by-us-tariff-threat-2025-01-09/
2025-01-09 11:47
Jan 9 (Reuters) - Canadian Natural Resources (CNQ.TO) , opens new tab said on Thursday it expects production to increase 12% and capital spending to rise 13.5% in 2025, as it bets on higher demand amid tight oil supplies. Canadian oil producers have projected higher production for 2025, betting on resilient demand for Canadian crude in the United States and international markets. Fuel demand in the United States, the biggest destination for Canadian crude, is expected to rise in 2025 as industrial activity is likely to benefit from a cut in borrowing rates, according to the U.S. Energy Information Administration. Canadian producers are also benefiting from the start-up of the Trans Mountain pipeline expansion earlier last year, which has nearly tripled the flow of oil to Canada's Pacific Coast from landlocked Alberta, boosted the price of Canadian crude and opened up market access to refineries in Asia and the U.S. West Coast. Canadian Natural Resources said it was aiming to drill 361 net wells across its crude oil and liquids-rich natural gas assets, with a capital budget of C$6.15 billion ($4.28 billion) for the year, higher than the 2024 forecast , opens new tab of C$5.42 billion. The company aims for annual average production of between 1.510 million and 1.555 million barrels of oil equivalent per day (boepd) in 2025, resulting in production growth of approximately 170,000 boepd or 12% over 2024 levels, based on the mid-point of the forecast. ($1 = 1.4384 Canadian dollars) Sign up here. https://www.reuters.com/business/energy/canadian-natural-resources-forecasts-higher-production-2025-2025-01-09/
2025-01-09 11:34
Hong Kong dollar pegged in tight band versus US unit Recent rally has brought it close to testing upper end of band Hong Kong's monetary authority chief says can defend the system HONG KONG/SHANGHAI, Jan 9 (Reuters) - Hong Kong has no intention and sees no need to change the system that pegs the city's currency in a tight band to the U.S. dollar and has the ability to defend it, the chief executive of Hong Kong's de facto central bank said on Thursday. Eddie Yue made the remarks amid recent strength in the Hong Kong dollar , which surged to a 3-1/2 year high against the U.S. currency last week, not far from testing the strong end of the system's trading band. Under Hong Kong's Linked Exchange Rate System (LERS), the financial hub's currency is confined to a range between 7.75 and 7.85 to the greenback, and the Hong Kong Monetary Authority (HKMA) is committed to intervening to maintain the band. "Despite the recent interest in LERS and even speculation regarding potential geopolitical shocks, the Hong Kong dollar market has continued to operate smoothly in accordance with the design of the LERS," Yue said in a statement posted on HKMA's website. "And let me reiterate, we have no intention and we see no need to change the LERS." The financial hub has sizeable foreign reserves of over $420 billion, equivalent to about 1.7 times its monetary base, which Yue said meant "ensuring the smooth functioning of the LERS at all times". A string of factors, including seasonal funding shortages, buying by mainland Chinese investors and listed companies' increasing dividend payments contributed to the tight liquidity in Hong Kong and underpinned the currency, traders and analysts said. Yue said the HKMA was paying close attention to discussions about the exchange rate system, which has weathered numerous economic cycles and multiple financial crises. "As a small, open economy and major international financial centre, exchange rate stability is crucial for Hong Kong," Yue said, dismissing the view that a strengthening Hong Kong dollar alongside the greenback would hinder the city's economic recovery. Analysts at Barclays expect the Hong Kong dollar to stay close to 7.75 per dollar in January, but look for it to weaken subsequently. "We think global factors are likely to keep sentiment subdued and support USD/HKD, especially after the positive impulse from dividend payouts by HK-listed firms and (as) IPO activity fades," they said in a note published this week. "The onshore buying of Hong Kong stocks may continue due to lack of better investment alternatives, but it would need more foreign participants to buy Hong Kong stocks for HKD demand to be lifted more durably." Sign up here. https://www.reuters.com/markets/currencies/hong-kong-sees-no-need-change-us-dollar-pegged-currency-system-2025-01-09/
2025-01-09 11:28
NEW DELHI, Jan 9 (Reuters) - India sharply revised lower its April-November 2024 gold import estimate by $11.7 billion in data released on Thursday after figures were miscalculated due to some double counting. The government has revised its gold import estimate to $37.38 billion from $49.06 billion, trade statistics department data showed. The downward revision in gold imports is likely to also shrink the nation's trade gap by at least $11.7 billion but India's trade department is yet to finalise the revisions, said an official with knowledge of the matter. The government is yet to make an official statement on what caused the miscalculation in gold imports and neither has it ruled out errors in other categories of imports. As per current estimates, India's April-November trade deficit stood at $202.42 billion. New Delhi said last month its gold imports hit a record high of $14.8 billion in November, a figure that has now been revised down by $5 billion. The spike widened the country's merchandise trade deficit (INTRD=ECI) , opens new tab to a record level and spooked the South Asian nation's currency. India is the world's second-largest consumer of gold and relies on imports to meet most of its demand, which typically increases during the festival and wedding season in the December quarter. Sign up here. https://www.reuters.com/markets/commodities/india-cuts-april-november-gold-import-estimate-by-117-billion-2025-01-09/
