CMA CGM switches methanol containership order to LNG fuel

Energy News Beat

French shipping giant CMA CGM has decided to switch a recent order for eight methanol-powered containerships in China to LNG fuel, according to shipbuilding sources.

China’s Shanghai Waigaoqiao Shipbuilding, part of CSSC, announced on September 27 that it has signed a contract with an European owner to build eight containerships with a capacity of 9,200 teu.

The shipbuilder did not mention CMA CGM in the statement.

SWS claimed this is the world’s largest order for methanol-powered vessels.

It said that these medium-sized containerships with a length of 299.9 meters and a width of 45.6 meters will feature methanol dual-fuel propulsion, the first time for SWS to enter the methanol dual-fuel market.

CSSC Holdings said in a separate stock exchange filling that the order is worth about $1 billion with the deliveries starting in 2027.

However, it seems that CMA CGM changed its mind regarding the order and has opted to use LNG fuel instead of methanol for these vessels, shipbuilding sources told LNG Prime on Wednesday.

It remains unclear whether CMA CGM and SWS have already amended the order or the new deal will be signed soon.

The sources said that one of the main reasons behind this decision could be that there is no availability of “green methanol” and a high price of the fuel produced either from biomass or captured carbon and hydrogen from renewable power.

CMA CGM instead decided to proceed with LNG fuel for these vessels, such is the case with the majority of its newbuild containerships.

The firm, one of the world’s largest backers of LNG as fuel, previously said that LNG is the “best solution” currently available to reduce the environmental impact of shipping.

In addition, the group’s large fleet of LNG-powered ships can already run on biomethane and synthetic methane (e-methane), thereby reducing greenhouse gas emissions even more, it said.

CMA CGM said in its recent third-quarter report it has already invested more than $17 billion in a fleet of nearly 120 LNG- and methanol-powered ships scheduled for delivery by 2027.

Besides this move, CMA CGM’s ropax unit La Meridionale unveiled the desing of two LNG-powered vessels which will be able to accommodate 1,000 passengers.

Earlier this year, CMA CGM finalized its acquisition of compatriot La Meridionale saying that it plans to order two LNG-powered vessels to work between Corsica and Marseille.

The French-flagged vessels will be 180 meters long, 30.8 meters wide, and will have 264 cabins.

La Meridionale said it will take delivery of these two LNG-powered vessels in the first quarter of 2027.

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HAM expands fleet of LNG-powered trucks

Energy News Beat

Spain’s HAM Group is expanding its fleet of LNG-powered trucks with 50 new Volvo tractor units.

HAM and its unit Transportes HAM already took delivery of 25 trucks and expect to receive the rest in 2024.

According to a statement by HAM, this is the Volvo FH model with 460 HP and 500 HP with the latest driving assistance safety features.

These LNG-powered trucks offer the same performance and drivability as their diesel models, it said.

They can be used in regional and long-haul heavy transport operations.

With the new 225 Kg tank and the new 500 HP engine, autonomy is increased by between 10-14 percent, the firm said.

HAM has a network of more than 129 LNG and CNG service stations, located on the main transport routes in Spain and the rest of Europe.

The firm plans to build a network of LNG fueling stations for vehicles in Peru as well.

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Yen May Have Touched Bottom As Rate Gaps Narrow

Energy News Beat

By Sebastian Boyd, Bloomberg markets live reporter and strategist

There’s a possibility the yen may have touched bottom for the current cycle, at least against the dollar, with measures of interest-rate differentials between the two currencies starting to narrow.

Colleague George Lei warns the yen is unlikely to outperform, though once-deeply negative six-month and 12-month yen forward points seem to have begun to turn a corner.

Traders in the US are now looking ahead for possible cuts, while those in Japan are thinking yields may be allowed to rise eventually.

That means that those two measures of interest-rate differential may start to rise and eventually start pulling the three-month points up with them. There’s a very strong correlation between six-month forward points and USD/JPY over the past five years, and it gets even better if with a lag.

Meanwhile, the gap between one-year rate swaps in dollars and yen fell to the narrowest since June. A big hawkish data surprise in the US would turn that around, but as long as we continue to see the labor market soften, the rate gap will continue to narrow.

It’s not obvious how long the yen’s recovery will last, but US consumer price data did Japanese authorities a huge favor on Tuesday. The yen had bumped up against 151.95 per dollar on Monday, the level that provoked intervention in October 2022. But when US CPI came in softer than expected a day later, yields tumbled and the dollar plunged.

The scale of the move was exaggerated and there’s obviously a likelihood it gets unwound. But fed funds rates are now pricing in no more hikes and brought the likelihood of a rate cut forward to May from June, pushing USD/JPY right back below 151 again.

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US Beef Prices Hit Record High As Nation’s Cattle Herd Expected To Shrink Through 2025

Energy News Beat

Brazilian processor Marfrig Global Foods SA warned the US cattle herd will continue shrinking through the midpoint of the decade. Less supplies will pressure meatpackers and keep the prices of steak and hamburgers at elevated levels.

During a conference call, Tim Klein, the head of Marfrig’s North American operation, explained the availability of fattened animals for meatpackers to slaughter and process should trough between 2025 and 2026. He said this is because ranchers have not yet started keeping cows for breeding.

As we’ve noted, years of drought and high feed costs forced ranchers across the Midwest to send the cows to slaughterhouses, leading to a sharp reduction in the nation’s overall herd size. In January, the beef cow herd size was the smallest since 1962.

Tight supplies of cattle have hurt the profits of meatpackers, including Tyson Foods Inc. and JBS SA: 

National Beef Inc., Marfrig’s US unit, saw adjusted earnings before items such as taxes and interest more than halve in the third quarter from a year ago to $150 million, according to a statement from the company on Monday. Tyson Foods Inc. and JBS SA posted results earlier that were largely affected by lower profits in their US beef operations. -Bloomberg 

Declining cattle numbers also sent US beef prices at the supermarket to record highs.

Also, US beef exports are forecasted to slide 14% this year from 2022 to 3 billion pounds, the lowest since the early days of the Covid pandemic when plant closures crushed meatpackers. The USDA warned US beef production is expected to decline further next year.

Last week, Pete Bonds, a Texas-based cattle producer, told Reuters, “The future of this industry is not here in the United States.”

Food inflation remains sticky. And soon, beef will be a luxury only the rich can afford. As for the working poor, Tyson plans to build a new insect plant in 2025.

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Why are Gaza’s hospitals under relentless Israeli attack?

Energy News Beat

Premature babies are in danger of dying as Israeli attacks cripple most hospitals in Gaza.

The World Health Organization says Gaza’s largest health complex – al-Shifa Hospital – resembles a cemetery.

How can this happen to places protected by international law?

And what impact is it having on Palestinians?

Presenter: Tom McRae

Guests:

Dr Omar Abdel-Mannan – Co-founder of Gaza Medic Voices

Bushra Khalidi – Policy lead in the occupied Palestinian Territory and Israel at Oxfam

Dr Mads Gilbert – Medical head and professor at the Clinic of Emergency Medicine at the University Hospital of North Norway; is also the author of the book Night in Gaza and has worked with medical teams there

Premature babies among patients in danger of dying as siege, firing cripple healthcare system.

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Rains increase suffering of those living in makeshift tents in south Gaza

Energy News Beat

A heavy downpour in Gaza that followed six weeks of war has brought with it new concerns and challenges for thousands of Palestinians who have lost their homes, those forced to live in flimsy tents and others fleeing south to escape the Israeli military bombardment.

The start of the rainy season and the possibility of flooding has increased fears that the enclave’s damaged sewage system will be overwhelmed and will spread disease.

“We’re very concerned. We’ve already got outbreaks of diarrhoeal diseases. We’ve already recorded well over 30,000 cases when we would normally expect 2,000 cases in the same period,” said Margaret Harris, World Health Organization (WHO) spokesperson.

The Norwegian Refugee Council said the start of the rainy season could mark “the most difficult week in Gaza” since the conflict began.

Other aid agencies said trying to meet the daily needs of Palestinians has meant they’ve been unable to plan ahead for potential flooding.

Possibility of flooding raises fears of overwhelmed sewage system and spread of disease.

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Finland accuses Russia of leading asylum seekers to its border

Energy News Beat

Finland has accused Russia of funnelling asylum seekers to its border and says it will take action against what it says is a jump in the number of arrivals.

The Finnish Border Guard said on Tuesday that the number of arrivals from Russia has soared this week with about 60 asylum seekers coming since early on Monday. That compares with a total of 91 people arriving without required documents from August 1 to November 12.

Interior Minister Mari Rantanen said the number of crossings at Finland’s southeastern border has risen substantially since August due to what the government suspects is a change in Russia’s border policy and enforcement.

Finnish and Russian border authorities have for years cooperated in stopping people without the necessary visas or passports before they can try to enter either of the two countries.

But Russia has started allowing undocumented travellers to access the border zone and enter crossing stations where they can request asylum in Finland, Rantanen said.

Prime Minister Petteri Orpo said at a press conference that the asylum seekers were being “helped and they are also being escorted or transported to the border by border guards”.

There was no immediate comment from Moscow.

Finland last year adopted legislation that allows its Border Guard to stop receiving asylum applications at certain crossing points if the Nordic nation became a target of mass immigration orchestrated by another country.

Finland shares a 1,340km (833-mile) border with Russia, which also serves as the European Union’s external border.

Rantanen said she was unable to explain why Moscow’s border policy suddenly changed.

“Maybe [Russian officials] are annoyed by something in Finland`s activities. You have to ask the Russian authorities about that,” she said. “We do hope that Russia changes its policy back as it was before.”

After Russia invaded Ukraine last year, Finland ended its longtime neutrality, applied to join NATO and became the military alliance’s 31st member in April.

Finnish Defence Minister Antti Hakkanen accused Russia of deliberately ushering migrants towards the border zone as a type of “hybrid warfare”. Officials in Latvia, Lithuania and Poland have made similar allegations against Russia’s ally Belarus in recent years.

Hakkanen said he would inform NATO Secretary-General Jens Stoltenberg and the European Union about the situation.

Thousands of migrants, mainly from the Middle East, tried to cross into Finland through its northernmost border crossing with Russia in 2015 and 2016.

Finnish authorities record a sharp rise this week in number of asylum seekers arriving over its border with Russia.

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Yemen’s Houthis say they fired ballistic missiles towards Israel

Energy News Beat

Yemen’s Houthi rebels have launched ballistic missiles on various Israel targets, including in the Red Sea city of Eilat, the group’s military spokesperson has said.

The launch came “after 24 hours of another military operation by drones on the same Israeli targets,” the spokesperson said on Tuesday.

The Israeli military said that it intercepted a missile near the Red Sea.

Israel said it used its “Arrow” aerial defence system to shoot down a missile on Tuesday after sirens sounded in the port city of Eilat. Israel says that the projectile did not enter its territory, and did not say who shot it.

Earlier, the leader of Yemen’s Houthis said that his group would continue to launch attacks against Israel.

“Our eyes are open to constantly monitor and search for any Israeli ship in the Red Sea, especially in Bab al-Mandab, and near Yemeni regional waters,” Abdul-Malik al-Houthi, leader of the Iran-backed group, said.

The Houthis have launched several missile and drone attacks against Israel since October 7, when Hamas fighters from the besieged Gaza Strip carried out an attack on southern Israel, killing around 1,200 people, according to Israeli authorities.

Since the Hamas attack, Israel has bombarded Gaza and launched a ground invasion of the territory. More than 11,200 people have been killed in the Israeli assault, including more than 4,600 children, according to Palestinian authorities.

The war in Gaza has sent tensions soaring throughout the region, with international organisations and political leaders warning of a potential wider war across the region.

The Iran-backed Lebanese armed group Hezbollah has exchanged fire with Israeli forces across the Lebanon-Israel border, and Iran-backed armed groups have targeted US forces in Syria and Iraq. The United States has carried out strikes in Syria in response.

The Houthis have emerged as a major player in the Arabian Peninsula, withstanding efforts to dislodge them by a Saudi-led intervention in Yemen that began in 2015 with the support of the US.

The Saudi bombardment was criticised for contributing to a humanitarian catastrophe in the country and inflicting many civilian casualties, while the Houthis eventually expanded their control over areas of northern Yemen.

The war in Yemen has reached an uneasy stalemate, with fighting at a standstill even as both sides failed to renew a United Natiions-backed truce that expired in October.

Israeli authorities say missile intercepted near Eilat after Houthi leader earlier promised to continue attacks.

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Tesla Vs. BYD 2023: TSLA Rebounds As Archrival Flashes Buy Signal

Energy News Beat

Tesla stock has rebounded back to a key level. BYD, set to seize the BEV crown from Tesla, has topped an aggressive buy point.
The post Tesla Vs. BYD 2023: TSLA Rebounds As Archrival Flashes Buy Signal appeared first on Investor’s Business Daily. 

The post Tesla Vs. BYD 2023: TSLA Rebounds As Archrival Flashes Buy Signal appeared first on Energy News Beat.

 

Tesla Vs. BYD 2023: TSLA Rebounds As Archrival Flashes Buy Signal

Energy News Beat

Tesla stock has rebounded back to a key level. BYD, set to seize the BEV crown from Tesla, has topped an aggressive buy point.
The post Tesla Vs. BYD 2023: TSLA Rebounds As Archrival Flashes Buy Signal appeared first on Investor’s Business Daily. 

The post Tesla Vs. BYD 2023: TSLA Rebounds As Archrival Flashes Buy Signal appeared first on Energy News Beat.