QatarEnergy to Double Annual Urea Production 

QatarEnergy CEO Saad Al-Kaabi speaks at the press conference on Sunday. (QatarEnergy)
QatarEnergy CEO Saad Al-Kaabi speaks at the press conference on Sunday. (QatarEnergy)
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QatarEnergy to Double Annual Urea Production 

QatarEnergy CEO Saad Al-Kaabi speaks at the press conference on Sunday. (QatarEnergy)
QatarEnergy CEO Saad Al-Kaabi speaks at the press conference on Sunday. (QatarEnergy)

State-owned QatarEnergy will boost its production of urea to more than 12.4 million tons annually from 6 million tons currently, its CEO said in a press conference on Sunday, without giving a timeframe.

Saad Al-Kaabi, also Qatar's minister of state for energy affairs, said the construction of four new production lines for urea, a key ingredient in fertilizers, would boost output by 106%. He said the first production line would begin before 2030.

"When we looked at the market for urea in the future, with the growth of humanity today, with 1.5 to 2 billion people that will be joining us in the next 20-30 years, the urea requirement for food production will be exponentially increasing," Kaabi said.

He also said construction on a project to expand gas production from the North Field was on schedule.

The massive expansion is set to boost QatarEnergy's overall liquefied natural gas (LNG) production by 85% over current levels. North Field is part of the world's largest natural gas field that Qatar shares with Iran, which calls it South Pars.

Kaabi also announced construction of a third new solar power station in Qatar's eastern Dukhan region to more than double Qatar's overall solar energy production to 4,000 megawatts by 2030.



Oil Extends Climb on Supply Fears, Trade War Concerns Cap Gains

FILE - Pump jacks extract oil from beneath the ground in North Dakota, May 19, 2021. (AP Photo/Matthew Brown, File)
FILE - Pump jacks extract oil from beneath the ground in North Dakota, May 19, 2021. (AP Photo/Matthew Brown, File)
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Oil Extends Climb on Supply Fears, Trade War Concerns Cap Gains

FILE - Pump jacks extract oil from beneath the ground in North Dakota, May 19, 2021. (AP Photo/Matthew Brown, File)
FILE - Pump jacks extract oil from beneath the ground in North Dakota, May 19, 2021. (AP Photo/Matthew Brown, File)

Oil prices inched higher on Tuesday after threats by US President Donald Trump to impose secondary tariffs on Russian crude and attack Iran, though worries about the impact of a trade war on global growth capped gains.

Brent futures rose 21 cents, or 0.3%, to $74.98 a barrel at 0645 GMT, while US West Texas Intermediate crude futures climbed 22 cents, or 0.3%, to $71.70.

The contracts settled at five-week highs a day earlier.

"Near-term risks are skewed to the upside, with US threats of secondary tariffs on Russian and Iranian oil leading market participants to price for the risks of tighter oil supplies," said Yeap Jun Rong, market strategist at IG, Reuters reported.

However, broader themes still revolve around concerns of upcoming tariffs weighing on global demand, along with prospects of increased supply from OPEC+ and the US, said Yeap.

A Reuters poll of 49 economists and analysts in March projected that oil prices would remain under pressure this year from US tariffs and economic slowdowns in India and China, while OPEC+ increases supply.

Slower global growth would dent fuel demand, which might offset any reduction in supply due to Trump's threats.

After news of Trump's threats initially boosted prices on Monday, traders told Reuters they viewed the president's warnings to Russia, at least, as a bluff.

Trump, on Sunday, told NBC News that he was very angry with Russian President Vladimir Putin and would impose secondary tariffs of 25% to 50% on Russian oil buyers if Moscow tries to block efforts to end the war in Ukraine.

Tariffs on buyers of oil from Russia, the world's second largest oil exporter, would disrupt global supply and hurt Moscow's biggest customers, China and India.

Trump also threatened Iran with similar tariffs and bombings if Tehran did not reach an agreement with the White House over its nuclear program.

"For now, it appears to be just a threat to Russia and Iran. However, if it becomes a reality, it creates plenty of upside risk to the market given the significant oil export volumes from both countries," said ING commodities strategists on Tuesday.

The market will be watching for weekly inventory data from US industry group the American Petroleum Institute later on Tuesday, ahead of official statistics from the Energy Information Administration on Wednesday.

Five analysts surveyed by Reuters estimated on average that US crude inventories fell by about 2.1 million barrels in the week to March 28.