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ENERGY TECH
China agency sued over oil production in spill-hit bay
by Staff Writers
Beijing, China (AFP) Aug 05, 2013


Oil prices edge higher on upbeat Chinese economic data
Singapore (AFP) Aug 05, 2013 - Oil prices turned higher in Asian trade Monday on upbeat economic data from China but concerns about weak jobs growth in the United States capped gains, analysts said.

New York's main contract, West Texas Intermediate for delivery in September, gained 30 cents to $107.24 a barrel in afternoon trade, and Brent North Sea crude for September rose 25 cents to $109.20.

Banking giant HSBC said Monday its purchasing managers' index (PMI) for the services industry in China stood at 51.3 in July, unchanged from June.

A reading above 50 indicates growth, while anything below signals contraction.

China's official non-manufacturing PMI, released over the weekend, came in at 54.1 in July, from 53.9 in the previous month.

"The HSBC purchasing managers' index for the services industry in China remains in an expansionary region, and this has provided support for crude prices," Lee Chen Hoay, investment analyst at Phillip Futures in Singapore, told AFP.

Prices however remained under pressure over concerns about demand in the United States after a lacklustre US jobs report last week.

The Labor Department on Friday said the United States added 162,000 jobs in July, well below the 175,000 expected on average by analysts. The unemployment rate fell to 7.4 percent from 7.6 percent in June.

"The mixed US jobs report came in weaker than expected and that has created a somewhat bearish sentiment about demand for crude," Desmond Chua, market analyst at CMC Markets in Singapore, told AFP.

Oil prices had rallied last week on the back of strong manufacturing data from oil guzzlers the US and China, with Brent crude reaching a near four-month high above $110 a barrel before giving way in the wake of Friday's US employment data.

China's State Oceanic Administration (SOA) is being sued for allowing US oil major ConocoPhillips to resume production after spills off northern China in 2011, state media reported Monday.

The Global Times newspaper, affiliated with the ruling Communist Party, said the SOA confirmed it was being pursued for administrative misconduct.

The action is being mounted by the All-China Environment Federation, which describes itself on its website as a non-profit civil society organisation supported by the government.

It is rare for a Chinese official agency to face court action from another government-backed entity.

The spills in June 2011 at the offshore Penglai field, jointly developed by ConocoPhillips and state-owned China National Offshore Oil Corporation, allowed more than 3,000 barrels of oil and oil-based mud -- used as a lubricant in drilling -- to vent into Bohai Bay.

ConocoPhillips was ordered to cease production in September 2011 following the spills, which the SOA classified as "severe accidents", the Global Times said.

It approved the resumption of production in February this year although no public hearings or feasibility studies were held, the paper quoted Xu Hongliang, the Federation's lawyer, as saying.

The suit comes amid vows by the Party to crack down on official corruption and pressure officials to be more accountable for their actions as it seeks to keep public anger in check and maintain its more than six-decade rule.

Xu said the No. 1 Intermediate People's Court in Beijing should say within seven days whether it will accept or reject the case, the paper added.

It quoted Li Mousheng, director of the SOA press office, as saying: "We will give the public an explanation soon."

The SOA has responsibility for a wide range of oceanic and maritime laws and policies, including safeguarding maritime rights and interests, according to its website.

A media spokesperson at ConocoPhillips' Beijing office could not immediately be reached for comment.

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ENERGY TECH
Oil prices rise on US, China data
London (AFP) Aug 01, 2013
Oil prices rose on Thursday following positive US and Chinese economic indicators that may lead to a boost in demand for crude, according to analysts. Brent North Sea crude for delivery in September jumped $1.01 to stand at $108.71 a barrel approaching midday in London. New York's main contract, West Texas Intermediate for September, climbed $1.20 to $106.23 a barrel. "Oil prices rem ... read more


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