Oil prices jump on prospect of widening Mideast war curtailing global supply | Reuters

Oil prices jump on prospect of widening Mideast war curtailing global supply | Reuters

Oil prices jumped by more than 3% on Monday, rising for a fifth consecutive session on expectations of a widening Middle Eastern conflict that could tighten global crude oil supplies.

Brent crude futures settled higher at $82.30 a barrel, gaining $2.64, or 3.3%. U.S. West Texas Intermediate crude futures settled at $80.06 a barrel, up $3.22, or 4.2%.

The U.S. Defense Department said over the weekend announced that it will send a guided missile submarine to the Middle East as the region braces for possible attacks on Israel by Iran and allies.

Adnoc Gas Sees LNG Usage Rising as First-Timers Enter Market - Bloomberg

Adnoc Gas Sees LNG Usage Rising as First-Timers Enter Market - Bloomberg

Global liquefied natural gas demand is expected to increase further as more countries turn to imports for the first time, Adnoc Gas’ Chief Financial Officer Peter Van Driel said.

To tap some of these new consumers, parent company Abu Dhabi National Oil Co. is building a new plant at Ruwais that will more than double the UAE’s LNG export capacity when it starts operating in 2028. Oman and Qatar are also expanding their LNG production facilities.

“We see growth in the United Arab Emirates economy, but equally if we look in particular at LNG, we see huge demand,” Van Driel said in an interview with Bloomberg Television on Monday. “There are many markets that are upcoming and really start to convert to LNG import markets,” he said, without naming individual countries.

The UAE firm expects global gas demand to grow 14% in the next decade, according to the company’s second-quarter financial results. That’s more bullish than other forecasts. For example, the International Energy Agency sees usage peaking by the end of this decade already.

“When we took our decision to build Ruwais LNG, we were confident of three things — we were confident that we had enough gas, we understood how much it would cost to build and we had to know we could sell all of the LNG,” Van Driel said in a roundtable with reporters.

Adnoc Gas shares gained as much as 4.3% on Monday after second-quarter net income rose 21% to $1.2 billion from a year earlier.

Oil Climbs Back Above $80 as Traders Watch for Iran Reprisal - Aug. 12 - Bloomberg

Oil Climbs Back Above $80 as Traders Watch for Iran Reprisal - Aug. 12 - Bloomberg

Oil extended its first weekly gain since early July, with traders continuing to monitor Iran’s response to last month’s assassination of a Hamas leader in Tehran, as well as developments in wider markets.

Brent climbed above $80 a barrel after rising almost 4% last week, while West Texas Intermediate neared $78. Tehran reiterated Sunday its determination to punish Israel for the killing, as Iranian state media reported that a missile unit of the country’s military was conducting exercises near the Iraqi border.

Monday’s gains also came after large reductions in positioning figures across the market last week. Money managers held the smallest net-long position in ICE Brent since the data was first published in 2011, while bullish wagers on gasoline and diesel in the US were also at multiyear lows.

Most Gulf markets gain ahead of US data | Reuters

Most Gulf markets gain ahead of US data | Reuters

Most stock markets in the Gulf closed higher on Monday, in line with global shares, as investors looked ahead to U.S. and Chinese economic data.

Investors were looking ahead to U.S. consumer price index data for July on Wednesday, which is expected to show month-on-month inflation ticked up to 0.2% after a minus 0.1% reading in June. Retail sales data is due on Thursday.

Monetary policy in the six-member Gulf Cooperation Council (GCC) is usually guided by the Fed's decisions, as most regional currencies are pegged to the U.S. dollar.

Dubai's main share index (.DFMGI), opens new tab gained 0.2%, with toll operator Salik Company (SALIK.DU), opens new tab rising 1.5% and blue-chip developer Emaar Properties (EMAR.DU), opens new tab increasing 0.6%.

Among other gainers, Parkin (PARKIN.DU), opens new tab, which oversees public parking operations, advanced 2.5% after reporting a rise in quarterly profit.

The Qatari benchmark (.QSI), opens new tab added 0.2%, helped by a 0.9% increase in the Gulf's biggest lender by assets Qatar National Bank (QNBK.QA), opens new tab.

Saudi Arabia's benchmark index (.TASI), opens new tab eased 0.3%, weighed by a 1.3% slide in aluminium products manufacturer Al Taiseer Group (4143.SE), opens new tab.

The Saudi stock market continued to trade sideways after a rebound. However, the market could remain exposed to the downside if US recession fears return, said Hani Abuagla Senior Market Analyst at XTB MENA.

"A stronger rebound in oil prices could drive the stock market to the upside."

Oil prices - a catalyst for the Gulf's financial markets - inched up, having bounced 3.5% last week as fears of a widening Middle East conflict threatened supplies.
In Abu Dhabi, the index (.FTFADGI), opens new tab declined 1%.

China issues figures on retail sales and industrial production on Thursday, which are expected to show the economy continuing to underperform, potentially exacerbating some investors' fears about global growth.

Outside the Gulf, Egypt's blue-chip index (.EGX30), opens new tab finished 0.6% higher, with Commercial International Bank Egypt (COMI.CA), opens new tab gaining 1.6%.

DMCC accounts for 15% of all FDI to #Dubai

DMCC accounts for 15% of all FDI to Dubai

DMCC—the world’s flagship free zone and Government of Dubai Authority on commodities trade and enterprise—has announced key performance results in H1 2024, recording 1,023 new member companies, bringing its total to almost 25,000 companies.

DMCC now accounts for 15% of all foreign direct investment (FDI) in Dubai, up from 11% last year, and 7% of the emirate’s GDP.

DMCC’s focus for the second half of 2024 remains the consolidation of its major real estate developments in Uptown Dubai and Jumeirah Lakes Towers (JLT) as well as the strategic expansion of its network of ecosystems in high-value sectors such as AI and Web3.

Ahmed bin Sulayem, Executive Chairman and CEO of DMCC, said, “Now accounting for 15% of Dubai’s FDI, our performance in the first half of 2024 demonstrates both the consistently strong investment growth across our district as well as the continued appeal of Dubai as a major global trade hub. As DMCC approaches 25,000 member companies, we will continue to accelerate this growth through a curated services offering and commercial space that matches business needs to reality.”

The overall growth of DMCC’s business district was spearheaded by strong results in a number of sectors. This was particularly the case for technology, where DMCC registered 226 new companies, including 14 gaming and nine AI companies.

#Saudi: Ma’aden’s profits leap to $533mln in H1-24

Saudi: Ma’aden’s profits leap to $533mln in H1-24

Saudi Arabian Mining Company (Ma’aden) posted 160.35% year-on-year (YoY) higher net profits at SAR 2 billion in the first half (H1) of 2024, compared to SAR 770.36 million.

The group generated revenues valued at SAR 14.53 billion in H1-24, down 3.19% from SAR 15.01 billion a year earlier, according to the interim financial results.

Earnings per share (EPS) increased to SAR 0.54 as of 30 June 2024 from SAR 0.21 in H1-23.

Income Results for Q2-24

In the second quarter (Q2) of 2024, Ma’aden logged net profits amounting to SAR 1.02 billion, up 191.79% YoY from SAR 350.94 million.

Revenues witnessed a 3.12% rise to SAR 7.12 billion in the three-month period that ended on 30 June 2024, compared to SAR 6.96 billion in Q2-23.

Quarter-on-quarter (QoQ), the profits in Q2-24 jumped by 4.31% from SAR 981.69 million in Q1-24, while the revenues dropped by 2.23% from SAR 7.34 billion.

ADNOC’s listed companies post combined $24.2bln H1 2024 revenue

ADNOC’s listed companies post combined $24.2bln H1 2024 revenue

ADNOC Group’s listed portfolio companies have reported strong financial results for the second quarter and first half of 2024. The six companies reported AED89 billion in combined revenue, AED28.4 billion of earnings before interest, taxes, depreciation and amortisation (EBITDA) and net profit of more than AED16 billion for the first half of 2024. The solid performance strengthens the foundation for sustained growth for the companies as they continue to execute their individual strategies and pursue multi-faceted initiatives to deliver profitable growth and attractive shareholder returns.

ADNOC Distribution recorded double-digit EBITDA and net profit growth in the second quarter of 2024. The Company reported a 15 percent) increase year-on-year (YoY to AED979 million in Q2 2024 EBITDA and a 12.9 percent YoY rise in net profit to AED623 million, while revenue increased 8 percent YoY to AED8.8 billion.

In H1 2024, ADNOC Distribution demonstrated growth in EBITDA of 16.2 percent YoY to AED1.9 billion, while net profit attributable to equity holders increased by 7.7 percent YoY to AED1.2 billion and revenue for the six-month period grew by 8.7 percent to AED17.5 billion. The H1 2024 dividend of AED1.3 billion is expected to be distributed to shareholders in October 2024, subject to the discretion of the Board of Directors.

Projecting a solid outlook for the full year 2024 and beyond, ADNOC Distribution is pushing ahead with its new five-year growth strategy with a focus on leveraging AI, technology, and innovation to unlock value. The Company is actively pursuing over 20 innovative AI projects and has established partnerships with leading global AI technology firms to maintain its market-leading position.

Turkey- #AbuDhabi joint venture talks for Izmir Port continue, sources say | Reuters

Turkey-Abu Dhabi joint venture talks for Izmir Port continue, sources say | Reuters

Turkey's talks with state-controlled Abu Dhabi Port (ADP) to set up a joint venture for operating rights of the Aegean port of Izmir are continuing, two sources familiar with the matter told Reuters.

In December, Reuters reported that Abu Dhabi was interested in buying a stake to operate Izmir Port, in a possible deal that could be valued at about $500 million.

Changes in regional competition and capacity conditions delayed the closing of the deal, two sources said, adding that negotiations continued to try to finalise it.

"Turkey conducted talks with other potential buyers but decided to advance with ADP. Changing competition and capacity conditions delayed the final agreement. Negotiations continue," the source said.

The second source said Izmir Port, which launched its operations in 1959, had strong logistic connections but needed investment.

Izmir Port, which is in the portfolio of the Turkish Wealth Fund (TWF), is among the largest ports in Turkey in terms of container volume and cargo tonnage.

The TWF said in a written response to Reuters questions that it wanted to create added value for the country and the port.

"As the Turkey Wealth Fund, we continue our work for the potential benefit of our country, in line with our goal of creating the highest added value for our country and Izmir Port and increasing the value of our assets," it said.

ADP was not immediately available for comment.

#Saudi s Reform Investment Law In Bid to Draw In More Foreigners - Bloomberg

Saudis Reform Investment Law In Bid to Draw In More Foreigners - Bloomberg

Saudi Arabia announced new business regulations aimed at boosting transparency and easing the process of investing in the kingdom as it looks to attract more foreign capital to support economic diversification.

The updated investment law enhances investor rights by guaranteeing the rule of law, fair treatment and the freedom to transfer funds without delay, among other things, the Ministry of Investment said on Sunday.

Foreign investor licenses will also be scrapped and replaced with a “simplified” registration process, while dedicated service centers will open to help expedite the process of investing in Saudi Arabia. The reforms are due to take effect in early 2025.

“The law reaffirms Saudi Arabia’s commitment to creating a welcoming and secure environment for investors,” Investment Minister Khalid Al-Falih said in a statement.

Saudi Arabia has taken several steps in recent years to attract foreign investment, including issuing visas specifically for investors, creating special economic zones with lower tax rates, and introducing new laws related to civil transactions and bankruptcy.

The kingdom’s goal is to bring in more than $100 billion in foreign direct investment a year by 2030 as part of an effort to develop new industries that will create jobs and generate fresh sources of revenue outside of the oil industry.

The country, which has little experience beyond the petroleum sector in things like complex manufacturing, also sees FDI as critical to the transfer of knowledge needed to help it scale up in new sectors.

FDI inflows amounted to just over $19 billion in 2023 — above the annual average of $17 billion from 2017-2022 but shy of last year’s target of $22 billion. The kingdom took in $4.5 billion in the first quarter and is targeting flows of $29 billion for 2024.

Saudi Arabia said the updated law takes international practices into account and was developed after soliciting input from global investors and organizations.