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As oil prices dip, OPEC cuts production

Vienna, Sept 10: The Organisation of the Petroleum Exporting Countries (OPEC) has cut its production quotas amid the sharp drop in oil prices in recent weeks, Algerian Energy Minister Chakib Khelil told reporters early Wednesday.

Production quotas will be returned to the levels of September 2007. Excluding OPEC members Angola, Iraq and Indonesia, the new production target will be 28.8 million barrels a day, trimming about 520,000 barrels from the current daily production levels.

OPEC ministers met in Vienna to discuss oil production levels.

Earlier, Iranian Oil Minister Gholam Hossein Nozari called on the fellow cartel members Monday to limit oversupply and stick to their allocated output.

Khelil, conference president, in his opening address said oil ministers should not only address production levels but the causes of price volatility seen over the last year.

One barrel of crude produced by OPEC stood at USD101.08 Monday, down from the record USD140.73 July 3.

High fuel prices and an economic slump have dampened oil consumption in the US, with demand also slowing in other industrialised countries.

Earlier Tuesday, both Saudi and Venezuelan oil ministers had indicated that production levels should stay the same.

OPEC produces more than 37 percent of the world's oil supply. The organisation calculates an average basket price based on 13 brands produced by its members.

Punj Lloyd arm bags Rs 167 cr order from Singapore co

Mumbai, Sept 09: Engineering, procurement and construction firm Punj Lloyd on Tuesday said it has bagged a contract worth 54 million Singapore dollars (about Rs 167 crore) from a Singapore-based joint venture firm.

The company's Singapore subsidiary, Punj Lloyd Pte, has received the contract to carry out select utilities mechanical works in Jurong Island in that country, Punj Lloyd said in a regulatory filing to the Bombay Stock Exchange.

The contract has been awarded by Singapore's FWP Joint Venture, a joint venture firm between Foster Wheeler Asia Pacific Pte Ltd and Worley Parsons Pte Ltd, the filing added.

Shares of the company were trading at Rs 309.60, up by 0.29 percent in the afternoon trade on the BSE.

Now, Railways will book air ticket for you
10 Sep, 2008, 1115 hrs IST,R R Goswami, ET Bureau



AHMEDABAD: After handling rail and roads package tours, the state-owned Indian Railways Catering & Tourism Corporation (IRCTC) now plans to diversify into air package tours and has already tied up with Jet Airways for the same.

The new ‘exclusive flyaway packages’ are aimed at luring higher income groups and are expected to attract government officials who are entitled to avail ‘leave travel concessions’.

IRCTC, in association with Jet Airways, will offer air packages for those who can afford ‘costly air affairs.’ The destinations for these packages include Leh-Ladakh, Srinagar-Pahalgaon, Gulmarg-Sonmarg (ex-Delhi) and Andaman Nicobar Islands Andaman-Nicobar Islands (ex-Kolkata and ex- Chennai).

IRCTC had launched rail package tours and road package tours (which include lodging and boarding) for different income groups. According to IRCTC, its ‘chartered coach booking’ service has received many takers after reducing the tariff by 65%.

The detention charges were reduced from Rs 900 per hour to Rs 300 per hour says Pravin Parmar, chief regional manager, IRCTC, Ahmedabad.

IRCTC also plans to introduce ‘rail package tours’ ‘Shirdi Saibaba darshan’ and ‘Mata Vaishnodevi’ from Ahmedabad. This will be aimed at the middle-income group. These would be in addition to the already operating rail package tour to Vaishnodevi and Goa from Mumbai and Bangalore.

IRCTC also plans to introduce a ‘Thirupathi Special’ package tour from Ahmedabad. These package tours are likely to be introduced on or before the end of October this year, said Mr Parmar.

BEML bags contract for supply of rakes to Railways
9 Sep, 2008, 2207 hrs IST,


NEW DELHI: Defence public sector undertaking BEML Limited has bagged a contract from the Railway Board for design, manufacturing, supply, testing and commissioning of rakes of some stainless steel AC Electrical Multiple Unit (EMU) coaches worth Rs 31 crore.

"BEML Limited with its experience in supply of Metro coaches to Delhi metro rail corporation will be manufacturing these corrosion resistant coaches with superior passenger friendly interiors and inbuilt safety features. These coaches will also have increased life cycle," an official said today adding that coaches are planned to be delivered within two years.

On completion of the supply of two rakes, he said, "there is also a provision to enhance the quantity upto six rakes of stainless steel AC EMU coaches taking the total contract value to the tune of Rs 92 crore." The official claimed it was the first time in India that BEML designed and developed stainless steel AC EMU coaches and proposed to supply them to "one of their valued customers" Indian Railways.

"Once these EMUs are developed and pressed into service, BEML Limited will be addressing the huge demand of Indian Railways for about 3000 EMU coaches worth around Rs 5000 crore in the coming years," he added.

Rupee falls to 21-month low at 45.05/dollar

Mumbai, Sept 10: The Indian currency on Wednesday depreciated to touch a 21-month low of 45.05 against the US dollar in early morning trade on the back of heavy demand for the greenback amid easing crude oil prices.

At the Interbank Foreign Exchange (forex) market, the Indian Rupee fell by half a per cent to 45.05 against the US dollar.

The domestic currency yesterday closed at 44.83/84, weaker by 23 paise, amid a fall in oil prices in global markets

BHEL bags Rs 2,200 cr Tripura contract

New Delhi, Sept 09: State-run Bharat Heavy Electricals has outbid French equipment maker Alstom by winning a Rs 2,200 crore turnkey contract for setting up a Combined Cycle Power Plant in Tripura.

"Outbidding Alstom India in International Competitive Bidding (ICB), BHEL has bagged a Rs 2,200 crore turnkey contract to set up a Combined Cycle Power Plant (CCPP) in Tripura," a company release said here on Tuesday.

CCPP utilises both steam and gas turbines for power generation.

The order for supply and commissioning of two fuel efficient gas turbines has been placed by ONGC Tripura Power Company Ltd (OTPCL), a joint venture of ONGC, IL&FS and the Government of Tripura.

"On commissioning, the project is expected to transform the power scenario of the entire northeastern region of the country and act as a catalyst for rapid economic development in the region," it said.

The order comprises two Combined Cycle Modules (363.3 MW each) with a combined plant output of 726.6 MW. While the first block will be completed in 42 months, the second block will be finished in 45 months.

BHEL's scope of work includes design, engineering, manufacture, supply, erection and commissioning of two fuel efficient gas turbine generator sets, two steam turbine generator sets and two heat recovery steam generators.

The company has enhanced its manufacturing capacity to 10,000 MW per annum, which is being further enhanced to 15,000 MW per annum in the next two years at a total investment of Rs 4,200 crore.

RBI raises limit for advance remittance to USD 500,000

New Delhi, Sept 08: Liberalising the norms for payment to overseas companies, the Reserve Bank on Monday raised the limit for advance remittance for import of services from USD 100,000 to USD 500,000 without bank guarantee.

"It has been decided to raise the limit of USD 100,000 for advance remittance for all admissible current account transactions for import of services without bank guarantee to USD 5,00,000," RBI said in a statement.

In case of remittances beyond USD 5, 00,000, the companies would have to obtain guarantee from an international banks of repute before the release of the funds by the authorised dealer banks, the RBI said.

Liberalisation will help the domestic companies to import services from overseas entities.

Banks, RBI added, would also be required to ensure that the beneficiary of the advance remittance fulfils his obligation under the contract or agreement with the remitter in India.

In case the obligations are not fulfilled, it said, the amount would have to be repatriated to the country.

We apologise and seek forgiveness: Amitabh Bachchan
10 Sep 2008, 1343 hrs IST,

MUMBAI: Megastar Amitabh Bachchan on Wednesday said the casual off-the-cuff remarks about speaking in Hindi by his wife Jaya had hurt many people's sentiments and was glad that she has apologised for it.

"My first reaction in this matter is that the sentiments have been hurt. I'm not going into what has been said under what circumstances...even if one person is disturbed...that disturbance be addressed. All else can come later," Big B said.

However, he made it clear in a text message that the remarks made at a music launch function were without malice or deliberate intent.

But, if it has caused hurt to the sentiments of Maharashtra, Maharashtrians and indeed the city and citizens of Mumbai, then she must seek regret and offer apology.

Bachchan wrote in his blog that Jaya's remarks did not in any manner sound "anti-Marathi" and that there is no denigration, but words have a funny way of being mutilated to suit a particular copy or expression in its interpretation.

The actress and Samajwadi Party MP, who had attended a function on Saturday to promote the film Drona starring her son Abhishek Bachchan had said, "Hum UP ke log hai, hume Hindi mein baat karni chahiye" (we are from Uttar Pradesh and should speak in Hindi).

"Everything that we possess today is what came to us from this great state and city. We never have and never can look at Maharashtra with disrespect. If inadvertently this is what has been construed, then we apologise and are sorry and seek forgiveness for any sentiments that have been hurt," he said.

Big B has further written in his blog, "Driving to the airport in London early morning, I rummage through the detailed bunch of faxed cuttings of the press in Mumbai of date and am pleased and satisfied to read in the Mumbai Mirror that Jaya has on her own spoken to the media on the very same lines, regretted the hurt caused and apologised. I feel grateful and happy."

"And I am not even going into the vast monetary contributions that we as a family have made to Hospitals Hinduja in Mahim, Mumbai, the Breach Candy in South Mumbai and several other institutions for the blind and the needy."

"We have signed on for the education of children. Every year two or three children get educated in Mumbai through our funding because they do not have the means," he said.

"All our unused and old personal clothing goes to a 'Home' that cares for the poor."

"Abhishek and Aishwarya take personal care and concern on the welfare of AIDS affected children in another special 'Home' in the city," Bachchan wrote.

"Does all this reflect disrespect for Maharashtra, Maharashtrians and Mumbai??"

"I say all this with great humility. I had never ever wanted to justify our deeds and acts. I am not comfortable with it," he added.

'House of Pearl eyeing more JVs in Europe'
10 Sep, 2008, 1351 hrs IST,

MUMBAI: Apparel firm House of Pearl Fashions Ltd said it was looking at more joint ventures in Europe to expand in that market, a senior official told television channel NDTV Profit. "We are in talks with a few companies..and it should materialize over the next quarter or so," Chief Financial Officer Rishi Vig said.

The company owns 60 percent in a retail joint venture with European brand Lerros and plans to open 15 stores locally under the brand in FY09, he said.

But it would take a couple of years for Lerros to contribute to the bottomline, Vig added. House of Pearl is also looking to double capacity in Indonesia and expand capacity in Bangladesh, Vig said. Shares were up 7.44 percent at 117.70 rupees in a weak Mumbai market.

Commodity bull market still has legs: Investor Jim Rogers
10 Sep 2008 2:28 pm

Singapore - The commodity bull market still has legs, despite the recent downturn in prices, renowned investor Jim Rogers told a palm oil conference in Singapore Wednesday.

"I am not making a prediction. But if history is any guide, this bull market can last until 2020," Rogers said.

"Today, Wall Street traders are driving Maseratis. Tomorrow, cotton farmers will be driving them," said Rogers, who said a stocks-and-bonds bull run is over.

"Forget the why. It's a historical fact that when commodities rise, stocks fall and vice versa," Rogers said.

Rogers has been bullish on commodities for at least a decade; his Rogers International Commodities Index has gained 382.7% over the last 10 years.

He said behind the irresistible rise of commodities is cold market logic: Demand is rising at a time of declining supplies.

"No major crude oil discovery has happened in the last 40 years. Agricultural stocks are at 60-year lows. And at the same time, 3 billion people in Asia are raising their incomes and lifestyles and consuming more every day," he said.

Rogers said that if India or China doubled per-capita gasoline consumption, it would still be much lower than Japan's. "As India and China improve lifestyles, oil consumption will rise too."

He said that within the basket of commodities, agricultural products stand out. "Agricultural hectares are dropping; there's a shortage of farmers. In the next decade, farming is the place to be."

Rogers exhorted listeners who want their children to make a lot of money to get their children interested in agricultural sciences instead of pushing them to pursue business degrees.