Singapore Petroleum buys RI firm
Singapore Petroleum buys RI firm
SINGAPORE: Oil producer and refiner Singapore Petroleum Co. has bought an Indonesian subsidiary of U.S.-based gas and oil giant El Paso Corp. for US$23.2 million, SPC said on Saturday.
Coastal Indonesian Sampang owns a 40 percent working interest in oil and gas fields off the East Java coast.
The move "will provide a more stable earnings stream in the long run," SPC chief executive officer Koh Ban Heng told The Straits Times.
Since 2000, SPC has moved from its role as a refining and trading operation with the purchase of a 15 per cent stake in a production-sharing contract involving a 654km gas pipeline from the West Natuna sea off Indonesia to Singapore.
SPC acquired a 40 per cent share in another gas pipeline project from Singapore to Sumatra last year. --DPA
;AFP; ANPAf..r.. Corporate-Germany-auto VW cautious about Chinese market JP/14/Brief
VW cautious about Chinese market
FRANKFURT: Volkswagen, Europe's biggest car maker and the market leader in China, said on day it was cautious about the Chinese market after reporting its first half-year sales decline there.
"We remain very cautious about the growth outlook, even more so because the forecasts for this market are difficult," said management board chairman Bernd Pischetsrieder.
VW earlier reported net profit in the first six months fell 35.7 percent from a year earlier to 383 million euros (US$.4 million) and issued a profit warning for the full year.
For the first time, sales in China fell by 4.2 percent to 310,657 units.
The company attributed the decline in China to increasing competition, notably from VW's arch-rival General Motors, and the sharp increase in sales incentives from rivals. -- AFP
;AFP; ANPAf..r. Corporate-Britain-banking Spanish banking bidding for Abbey JP/14/Brief
Spanish banking bidding for Abbey
MADRID: The board of SCH, Spain's largest bank, was to meet on Sunday to decide whether to launch a multi-billion euro takeover offer for Britain's Abbey National.
A deal between the two institutions would create Europe's fourth-largest bank by market capitalization, behind HSBC, the Royal Bank of Scotland and UBS, and the eight-biggest worldwide.
The meeting, which SCH said on Friday would be "evaluating opportunities related to Abbey National" was to take place on Sunday afternoon, while a bank spokesman could not confirm if a statement would be made later.
Analysts expect SCH would offer its own shares and a cash top- up for Abbey National shareholders in an eventual bid, and predict that it would be worth between 12-13 billion euros (US$14.5-$15.7 billion). -- AFP
;AFP; ANPAf..r.. Corporate-SKorea-banking S. Korean banks post record profit JP/14/Brief
S. Korean banks post record profit
SEOUL: South Korean banks posted record earnings in the first half of this year thanks to a surge in interest income, a financial watchdog said on Sunday.
The Financial Supervisory Service said 19 banks posted a combined net profit of 3.58 trillion won (US$3.1 billion) in the first six months to June, compared to 733 billion won a year ago.
Their first-half operating profit rose to 3.98 trillion won from 1.19 trillion won a year ago, it said.
The watchdog said South Korean banks reported bigger interest income and a drop in loan loss reserves.--AFP
AFP; ANPAf..r.. Corporate-China-auto Ford to build plant in China JP/14/Brief
Ford to build plant in China
SHANGHAI: Ford Motor Co.'s plan to build a third auto plant in China with the cooperation of Japan's Mazda Motor reflects foreign carmakers continued ambitions in the world's fastest growing market.
The deal signed on Thursday means that Ford is moving ahead with its previously announced US$1billion expansion in China as it seeks to catch U.S. rival General Motors Corp and Germany's Volkswagen AG.
The three-way agreement, which includes China's Chongqing Changan Automobile, is further evidence that China is the most important battleground for the world's auto giants despite mounting evidence of slowdown. -- AFP