General Oil and Gas News

Main Update Highlights from entire month of June, 2013

Shell launches inhibited transformer oil based on gas‐to‐liquids technology.

Exxon Mobil breaks new ground with food grade lube last month. ExxonMobil has expanded the
range of its food grade lubricants that have won ISO 22000 accreditation.

Phillips 66 to sell Ireland’s only refinery, another blow to Europe’s ailing oil refining industry.

United Airlines has signed a new deal aimed at advancing the commercial production of aviation
biofuel.

EU tariffs could slow global pace of biodiesel production ‐ The production of biodiesel
throughout the world could reach the slowest pace seen since 2008, according to Oil World. The global
output of biodiesel has been damaged by the decline in Argentine production since the EU imposed
limits on exports. The import tariffs imposed upon Argentina ‐ the third‐largest biodiesel producer in the
world ‐ and Indonesia by the EU’s European Commission came as a result of the countries allegedly
selling biodiesel to cheaply. The EU penalised the two production countries for biofuel ‘dumping’ in the
27‐country bloc, following complaints from other companies in the industry that the low prices were
unfair and couldn’t be matched. As a result biodiesel exports from Argentina declined by 320,000 tonnes
between January and April. The EU could benefit from the export tariffs against Argentina and
Indonesia, with an increase of 1.3 per cent on biodiesel production in 2013, making total production
somewhere in the region of 9.6 million tonnes. The US could see an increase of around 18 per cent to
3.9 million tonnes and Brazil’s production could increase to 2.6 million tonnes ‐ an increase of 8.8 per
cent.

Ultrasound can improve biodiesel production ‐ Researchers at Iowa State University have begun
experimenting with the use of sound waves in the creation of biodiesel. The team involved is exploring
whether high‐frequency sound waves can be used to successfully break down plant matter for the
creation of high grade biofuels.

Oil prices turn higher in Asian trade ‐ Oil prices turned higher in Asian trade Wednesday, as
investors await the outcome of a US Federal Reserve meeting for clues on when it will begin scaling back
its massive stimulus programme.

Africa Oil and Gas Market Update

Main Update Highlights from entire month of June, 2013

Sonatrach awards US$100m gas contract to ABB ‐ Algerian state‐run energy group Sonatrach has
awarded ABB a US$100 million EPC contract for a new liquefied petroleum gas (LPG) pumping station in
Algeria.

BTG Pactual buys 50% stake in Petrobras Africa ‐ Investment bank BTG Pactual has agreed to buy
a 50 per cent stake of Petrobras’ African operations for US$$1.53 billion.

Plan to build mega port in Nigeria ‐ First phase of the project is scheduled to open in 2016. APM
Terminals and its consortium partners have announced plans to develop a new greenfield mega‐port
project and Free Trade Zone at Badagry in Nigeria’s Lagos State, 55 km (34 miles) west of Apapa and the
Port of Lagos on the Benin‐Lagos Expressway. At full build‐out, the deep‐water full‐service port will be
one of the largest in Africa with 7 km of quay and 1,000 hectares (2,470 acres) of dedicated yard, and
will include state‐of the art facilities for container, bulk, liquid bulk, Ro/Ro and general cargo as well as oil and gas operations support and a barge terminal. Plans for the adjoining Badagry Free Trade Zone
will include a power plant, oil refinery, industrial park and warehousing and Inland Container Deport
functions. The first phase of the project is scheduled to open in 2016.

Australia Oil and Gas Market Update

Main Update Highlights from entire month of June, 2013

WOODSIDE Petroleum has agreed to buy controlling stakes in about a dozen deepwater oil and
gas exploration blocks off the coast of Ireland, as the Australian company expands offshore to offset
slow progress on planned developments at home.

CHINA National Offshore Oil Corp, known as CNOOC, and Royal Dutch Shell are among
companies that have committed to spend at least $180 million over the next three years searching for
new oil and gas deposits in Australia.

THE shale oil and gas revolution that has transformed global energy markets is on its way to
Australia. But according to the US Department of Energy, the industry is only likely to develop at a
“moderate pace” in Australia because the nation’s shale oil and gas resources are far away from the sort
of infrastructure that has underpinned the US production boom.

Sri Lanka Oil and Gas Market Update

Main Update Highlights from entire month of June, 2013

Indian Oil Corporation (IOC) and Ceylon Petroleum Corporation (CPC) are set to form a joint
venture (JV) for cooperation in the oil and gas sector. One of the initiatives of the JV could be of supply
of LNG to Sri Lanka by Petronet LNG to feed power plants in that country.

Cairn India Limited said it is currently evaluating the options of converting gas into commercial
use, one and a half years after identifying natural gas in the Sri Lanka’s Mannar Basin.

Petronas is planning to explore for oil and gas off the shores of Sri Lanka, near the Palk Straits
and the Mannar Basin.