Day: February 14, 2022

Oil prices increased on Monday over rising tensions in Eastern Europe with Russian forces on the brink of invading Ukraine, triggering fears that the move may lead to sanctions on Russia, the bloc’s top oil supplier.

International benchmark Brent crude was trading at $95.47 per barrel at 0621 GMT with a 1.09% rise after closing the previous session at $94.44 a barrel.

American benchmark West Texas Intermediate (WTI) traded at $94.34 per barrel at the same time for a 1.33% increase after ending the previous session at $93.10 a barrel.

Oil markets are already suffering from a tight supply and demand gap, as the world’s biggest oil producers of the OPEC+ group are experiencing difficulties in meeting their monthly production quotas.

Another fear is the decline in spare capacity since 2020, which the group may have difficulty in realizing within 30 days and sustaining for at least 90 days during an emergency.

Investors fear that should any disruptions in Eastern Europe emerge due to Russia-Ukraine tension, the market will be vulnerable to any supply disruptions because of low spare capacity levels, which would push prices higher.

Of the nearly 11 million barrels per day (bpd) of Russian oil produced in 2021, Europe imported some 4 million, according to the latest data of the International Energy Agency (IEA).

If disruptions occur in Eastern Europe, roughly 250,000 bpd of Russian oil exports transiting Ukraine via the southern branch of the Druzhba pipeline to supply Hungary, Slovakia and the Czech Republic is most immediately at risk. However, some 2.35 million bpd of Russian oil exports arrive in Europe through other pipelines and ports, according to data from the IEA.

If Russian oil supplies via the Druzhba pipeline are interrupted, as was the case in 2019 due to contaminated crude, the EIA said these countries would have to draw on emergency oil stocks and seek alternative supplies.

Source: Anadolu Agency

Turkiye’s chicken meat production rose to 2.2 million tons in 2021, according to the country’s statistical authority on Monday.

The figure posted a 5.1% year-on-year increase last year, TurkStat said in a statement.

The country saw 51,301 tons of turkey meat production in 2021, falling 11.9% from the previous year.

The number of slaughtered chickens also climbed 3.6% to 1.2 billion during the same period.

Last year’s poultry production data also revealed that hen egg production fell by 2.5%, totaling at 19.3 billion units over the same period.

Source: Anadolu Agency

Dialogue and cooperation between Turkiye and the United Arab Emirates (UAE) is important for peace and stability of the entire region, the Turkish president said on Monday.

“We do not consider the security and stability of all brotherly countries in the Gulf region separate from our own,” Recep Tayyip Erdogan told a news conference at Istanbul’s Ataturk Airport before leaving for a two-day visit to the UAE on the invitation of Abu Dhabi Crown Prince Sheikh Mohammed bin Zayed Al Nahyan.

“We aim to improve the momentum to bring back our relations to the level they deserve. During my visit, we will take steps that will shape the next 50 years of our friendship and brotherhood with the UAE,” he said.

Erdogan, who last visited the UAE in 2013, said Turkiye and the UAE started a new era in bilateral relations with the visit of the Abu Dhabi crown prince to Ankara last November.

“The complementary nature of the two economies points to a potential far beyond the current figures. The purpose of our visit is to realize this potential quickly,” Erdogan said, adding that he believes Ankara and Abu Dhabi “will go a long way in this direction.”

With a trade volume nearing $8 billion, the UAE is among Turkiye’s leading trading partners, he said.

“The UAE is the 10th largest market of the overseas contracting sector in Turkiye,” Erdogan said. The Gulf country also makes “significant contributions to the dynamic investment environment” in Turkiye, he added.

“Turkish construction companies in the UAE have so far undertaken 141 projects worth $13 billion,” the Turkish president elaborated.

Steps to improve relations

Erdogan underlined that establishing partnerships in areas of high technology, venture capital, and startup companies stands out especially in terms of future cooperation opportunities.

“On the occasion of the visit, we also aim to take steps that will improve our relations in many fields from transportation to advanced technologies, from the defense industry to health, agriculture, culture, and education,” he said.

Erdogan also strongly condemned the attacks against Abu Dhabi last month, saying that he is against all forms of terrorism and emphasizing the importance of cooperation between the countries in their region against terrorism.

Accompanying Erdogan to Abu Dhabi is a high-level delegation, including Foreign Minister Mevlut Cavusoglu, Interior Minister Suleyman Soylu, Finance Minister Nureddin Nebati, Trade Minister Mehmet Mus, Industry and Technology Minister Mustafa Varank, Transport and Infrastructure Minister Adil Karaismailoglu, Culture and Tourism Minister Mehmet Nuri Ersoy, and Agriculture and Forestry Minister Bekir Pakdemirli.

Justice and Development (AK) Party’s spokesperson Omer Celik, Communications Director Fahrettin Altun, and presidential spokesperson Ibrahim Kalin also joined them.

First Lady Emine Erdogan could not accompany the president as she has not recovered from COVID-19 yet.

On Sunday, Turkiye’s Communications Directorate announced that bilateral relations between Turkiye and the UAE, and steps to deepen cooperation would be discussed during Erdogan’s visit.

The two sides will also exchange views on regional and international developments with an understanding of establishing and maintaining peace and stability in the region.

The two leaders will attend the signing ceremony of a dozen of agreements after meetings to be held one-on-one and with delegations.

The agreements will cover various areas, including investment, defense, transportation, agriculture, health, and media.

Erdogan will also visit the Expo 2020 Dubai on Tuesday, where Turkiye’s national day will be celebrated.

Ties between Turkiye and the Arab world are experiencing a major thaw after years of tense relations.

The Abu Dhabi crown prince’s visit led to the announcement of a $10 billion fund for investments in Turkiye. Both countries also signed several agreements on energy, environment, finance, and trade.

Source: Anadolu Agency

Studies have shown that only 3% of white-collar employees are willing to return to full-time office hours.

According to Bloomberg, Advanced Workplace Associates surveyed nearly 10,000 people working in the finance, technology and energy sectors around the world.

The survey revealed that 86% of office workers want to work from home at least two days a week.

While all age groups made the same demands, employees preferred to go to work on Tuesday, Wednesday and Thursday.

Many companies that have allowed to work from home for the past two years during the COVID-19 restrictions are expected to switch to a half-home half-office model called “hybrid” in the future.

Source: Anadolu Agency

European banks are providing billions of dollars in funding to expand oil and gas production despite the International Energy Agency’s (IEA) warnings on global warming, according to a report released by non-profit ShareAction on Monday.

Led by HSBC, Barclays and BNP Paribas, European banks are continuing to pump money into companies expanding oil and gas production, in clear contravention of climate science, ShareAction said.

The IEA warned last year of the necessity to avoid investments in new oil and gas fields if the world is to have a 50% chance of limiting warming to 1.5 degrees Celsius. However, 25 of the largest European banks have provided over $400 billion in finance to 50 companies with large oil and gas expansion plans, including ExxonMobil, Saudi Aramco, Shell and BP since 2016.

ShareAction claims that HSBC tops the table with $59 billion, followed by Barclays with $48 billion and BNP Paribas with $46 billion.

The report found that except for DZ Bank, 24 of the banks in ShareAction’s study are members of the UN-convened Net Zero Banking Alliance, the coalition that brings together banks worldwide representing over 40% of global banking assets, which are committed to aligning their lending and investment portfolios with net zero emissions by 2050.

Just since joining the alliance last year, these 24 banks have provided $33 billion to oil and gas expanders, $19 billion of which came from four of the founding members – HSBC, Barclays, BNP Paribas and Deutsche Bank.

Source: Anadolu Agency