In today’s talking points: Chinese oil as ‘wildcard’ for global oil prices and market dynamics; China’s development plans introduced in energy conference; China cuts subsidies in green energy technology after being largest developer for 8 years; Djibouti’s $4 billion investment based on expected Chinese demand.
Chinese oil as ‘wildcard’ for global oil prices and market dynamics
As the world’s second largest oil consumer, China has been a major importer of oil in recent years, and been taking advantage of low prices and supporting global oil demand growth. Oil experts believe that the PRC has the ability to take advantage of any rise in prices and use its oil stockpiles as exports, which could lead to the disruption of any attempts to balance markets. The problem is the secrecy China has about its stockpiles. Dave Ernsberger, global head of oil content at S&P Global Platts, suggests that China’s strategic petroleum reserve is a challenge for markets. However, the fall in demands for oil in the country also creates an unsettling situation for OPEC and all producers of crude and refined products. As Ersnberger states: “Demand picture is fairly frightening from a producers’ point of view”.
Read more at: CNBC News
China’s development plans introduced in energy conference
International Atomic Energy Agency (IAEA) held its annual conference in Vienna. China’s new reactor was introduced – it is the world’s first Small Modular Reactor, which has the capacity of less than 300 megawatts, can provide heat and power supplies, sea water desalination and other purposes. The Chinese delegation also released in the conference on its nuclear industry development. China-developed Hualong One technology has won the recognition globally for the first time and increasing nuclear power generating units are operating in the country as well. Peaceful use of nuclear power and sustainable development will be emphasised, according to Chinese nuclear officials.
Read more at: CCTV News
Read more at: The Straits Times
Read more at: Oil Price news