October 24, 2011
Volume: 15
Issue: 40
Feature
Volvo Ready to Launch Diesel PHEV; EU Electricity Becoming ‘Greener’
Regulation & Legislation
Petroleum Marketers Fret over CFTC Energy Futures Rules; CME Sees Flaws
CARB Adopts Pioneering GHG Cap-and-Trade Regulation
NRDC, Neighbors Sue UP, BNSF over Locomotive Diesel Pollution
EPA Grants US$50 Million for Diesel-Emissions Cleanups
CARB’s Final Low-Carbon Fuel Standard Advisory Group Meets October 27
U.K. Slaps Shell over Gasoline, Diesel Fuel Economy Claims
Technology
‘Bisabolane’ Could Emerge as Bio-Based Diesel Blendstock - U.S. DOE Researchers
Virgin, LanzaTech Ink Novel ‘Low-Carbon,’ Low-Cost Jet Fuel Deal
Uhde Commissions Europe’s Largest Urea Plant; ‘AdBlue’ for Diesels
Distillate Markets
IEA Cuts Oil Demand Forecast, Again
Siemens, Shenhua Ningxia Team Up on Big CTL Diesel Project in China
India State Refiners Lost US$4.3 Billion in FY 2Q 2011
Baard Drops Ohio CTL Project; GTL Emerges in Settlement with Greens
Showa Shell to Boost Sales of GTL Kerosene in Japan
Uhde Inks Mozambique CTL Deal with SGC Energia
Switch from Heating Oil to Natural Gas Continues in U.S. Northeast
Light-Duty Diesel Demand Growth Outstripping Gasoline Growth in India
Euro-5 Fuels Production Expanding at Bosnian Refinery
Market Report: ULSD Futures, Spot Prices Mostly Rise
Distillate Watch
Transport News
Peugeot Touts ‘World’s-First’ Diesel Electric Hybrid at Commercial Launch
VW to Launch ‘New Beetle’ Including Diesel Version for U.S. 2012 Market
New MHI Bulk-Carrier Diesel Ship Cuts CO2 by 25%
MAN Unveils €400-Million Truck Production-Expansion Scheme for Latin America
Cat Wins European Commission OK for MWM Buyout
Tognum Unveils Irregularities in Agent Sales Contracts Involving MTU-Asia
Rotterdam Moving Toward Massive ‘Cold Ironing’ for EU Diesel Barges
Daimler to Offer DDC Powertrains under ‘Detroit’ Brand
MAN Wins Euro-5 Diesel, Natural Gas Engine Deal in Russia
NHTSA Orders Recall of U.S. Mercedes Diesel Cars for Fuel-Filter Leak
Chrysler Seen Expanding Diesel Engines in U.S. Vehicles

Regulation & Legislation

Petroleum Marketers Fret over CFTC Energy Futures Rules; CME Sees Flaws

The New England Fuel Institute (NEFI) and the Petroleum Marketers Association of America (PMAA) expressed “guarded optimism” over two new commodity trading rules approved October 18 by the U.S. Commodity Futures Trading Commission (CFTC).

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CARB Adopts Pioneering GHG Cap-and-Trade Regulation

The pioneering California Air Resources Board (CARB) on October 20 voted to adopt a final greenhouse gas (GHG) cap-and-trade regulation, once again running far ahead of the U.S. government on carbon legislation or regulation.

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NRDC, Neighbors Sue UP, BNSF over Locomotive Diesel Pollution

The Natural Resources Defense Council, (NRDC), East Yard Communities for Environmental Justice and the Center for Community Action and Environmental Justice (CCAEJ) announced October 19 that they are suing the Union Pacific (UP) and BNSF railroad companies, claiming that locomotive diesel exhaust is a “hazardous waste” harming residents near rail yards.

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EPA Grants US$50 Million for Diesel-Emissions Cleanups

The U.S. Environmental Protection Agency (EPA) announced October 20 that it has awarded US$50 million for clean diesel projects around the U.S.

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CARB’s Final Low-Carbon Fuel Standard Advisory Group Meets October 27

The California Air Resources Board (CARB) announced October 19 that its fifth and final low-carbon fuel standard (LCFS) advisory panel meeting will be Thursday, Oct. 27, at Cal-EPA headquarters in Sacramento.

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U.K. Slaps Shell over Gasoline, Diesel Fuel Economy Claims

The U.K. Advertising Standards Authority (ASA) on October 19 ordered Royal Dutch Shell plc to stop using “misleading” claims of “up to 10%” fuel economy gains for its “FuelSave” unleaded gasoline and diesel fuels.

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Technology

‘Bisabolane’ Could Emerge as Bio-Based Diesel Blendstock - U.S. DOE Researchers

Researchers at the U.S Department of Energy (DOE)’s Joint BioEnergy Institute (JBEI) announced late last month that they’ve identified a potential advanced bio-based diesel fuel called “bisabolane,” which would involve enzymatic processing of sugars.

Full Story >>

Virgin, LanzaTech Ink Novel ‘Low-Carbon,’ Low-Cost Jet Fuel Deal

Virgin Atlantic airlines announced October 11 that it signed a development deal with LanzaTech to create a “low carbon” jet fuel that involves converting waste-gas-derived ethanol to all-hydrocarbon jet fuel molecules virtually identical to conventional petroleum jet fuel.

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Uhde Commissions Europe’s Largest Urea Plant; ‘AdBlue’ for Diesels

ThyssenKrupp Uhde announced October 13 what it termed as the successful commissioning of Europe’s biggest urea plant – 3,500 tonnes per day – built for Yara at Sluiskil, Netherlands, at a cost of €400 million (US$551 million).

Full Story >>

Feature

Volvo Ready to Launch Diesel PHEV; EU Electricity Becoming ‘Greener’

Volvo announced October 17 that it will launch retail sales of its “V60” diesel plug-in hybrid electric vehicle (PHEV) in 2012 in Europe, in cooperation with Swedish electricity supplier Vattenfall.
Full Story >>

Transport News

Peugeot Touts ‘World’s-First’ Diesel Electric Hybrid at Commercial Launch

Peugeot announced October 19 the commercial launch of sales of the “world’s first” diesel-electric hybrid passenger vehicle (the “3008 Hybrid4”) in Europe.

Full Story >>

VW to Launch ‘New Beetle’ Including Diesel Version for U.S. 2012 Market

Volkswagen on October 21 announced the launch of the “third generation” of the iconic “New Beetle” car for Europe and North America, including a 2.0-liter TDI (diesel) version for the North American market starting in mid-2012.

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New MHI Bulk-Carrier Diesel Ship Cuts CO2 by 25%

Mitsubishi Heavy Industries (MHI) announced October 14 that it has developed a new diesel-powered bulk carrier ship that enables a reduction in carbon-dioxide (CO2) emissions by about 25% compared with conventional bulk carriers.

Full Story >>

MAN Unveils €400-Million Truck Production-Expansion Scheme for Latin America

MAN announced October 21 that it is planning the largest investment program in its 30-year history, with more than €400 million (US$ million) going into expanding Latin America truck production capacity, as well as in research and development between 2012 and 2016.

Full Story >>

Cat Wins European Commission OK for MWM Buyout

Caterpillar announced October 19 that the European Commission (EC) has approved Cat’s €580-million (US$800-million) acquisition of MWM Holding from 3i and funds managed by 3i.

Full Story >>

Tognum Unveils Irregularities in Agent Sales Contracts Involving MTU-Asia

Tognum announced October 17 that an internal investigation of agent contracts with Asian sales partners of its MTU Asia division has turned up irregularities.

Full Story >>

Rotterdam Moving Toward Massive ‘Cold Ironing’ for EU Diesel Barges

GE Energy announced October 11 that it has now installed 120 shore-power (“cold ironing”) connections for giant inland waterway barges (typically diesel-powered) at the giant Port of Rotterdam.

Full Story >>

Daimler to Offer DDC Powertrains under ‘Detroit’ Brand

Daimler Trucks North American (DTNA) announced October 17 that it is renaming its Detroit Diesel Corp. (DDC) subsidiary engines and powertrain components to the “Detroit” brand.

Full Story >>

MAN Wins Euro-5 Diesel, Natural Gas Engine Deal in Russia

MAN Truck & Bus announced October 20 that it won a contract to deliver 2,188 engines to the Russian bus manufacturer LIAZ (Likinski Awtobusny Zawod), a subsidiary of the GAZ Group, Russia’s biggest automobile company.

Full Story >>

NHTSA Orders Recall of U.S. Mercedes Diesel Cars for Fuel-Filter Leak

The U.S. National Highway Traffic Safety Administration (NHTSA) on October 17 announced a recall of 2011 model-year Mercedes-Benz diesel cars because of a faulty fuel filter that could leak and potentially cause fires.

Full Story >>

Chrysler Seen Expanding Diesel Engines in U.S. Vehicles

According to an October 18 report from AutoGuide.com Chrysler plans to expand diesel engine offerings to “most” of its large vehicles starting with the 2013 Jeep Grand Cherokee.

Full Story >>

Distillate Markets

IEA Cuts Oil Demand Forecast, Again

The International Energy Agency’s latest Oil Market Report (released October 12) once again trims its forecast for global oil demand in 2011 thanks to economic trouble signs and “significant downside risks.”

Full Story >>

Siemens, Shenhua Ningxia Team Up on Big CTL Diesel Project in China

San Francisco – Siemens is teaming up with Shenhua Ningxia Coal Group (SNCG) on a large coal-to-liquids (CTL) Fischer-Tropsch (FT) diesel plant in China – assuming that the government’s National Development and Reform Commission (NDRC) gives final approval.

Full Story >>

India State Refiners Lost US$4.3 Billion in FY 2Q 2011

India’s state-owned refiner-retailers – Indian Oil Corp, Bharat Petroleum Corp. and Hindustan Petroleum Corp. – racked up losses totaling US$4.36 billion on sales of government price-controlled diesel, kerosene and liquefied petroleum gas (LPG) in fiscal second-quarter 2011 ended September 30.

Full Story >>

Baard Drops Ohio CTL Project; GTL Emerges in Settlement with Greens

Baard Energy announced October 14 that it will abandon its proposed “Ohio River Clean Fuels” coal/biomass to liquids (CBTL) project, with the result that lead financier Planck Trading Solutions instead will convert the former CBTL project to a much-lower-cost gas-to-liquids (GTL) scheme.

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Showa Shell to Boost Sales of GTL Kerosene in Japan

Showa Shell announced October 18 that it will boost sales of its gas-to-liquids (GTL) kerosene fuel in Japan, touting lower odor emissions than conventional crude-based kerosene.

Full Story >>

Uhde Inks Mozambique CTL Deal with SGC Energia

ThyssenKrupp Uhde announced October 10 that it signed a license agreement allowing Portugal-based SGC Energia (SGCE) to employ Uhde’s “Prenflo PDQ” coal-gasification technology for multiple coal-to-liquids (CTL) projects, starting initially in Mozambique.

Full Story >>

Switch from Heating Oil to Natural Gas Continues in U.S. Northeast

The U.S. Energy Information Administration (EIA) on October 12 released a report showing that homeowners in the U.S. Northeast are accelerating conversions from heating oil (gasoil) to natural gas, thanks to a huge and growing price difference between the two fuels.

Full Story >>

Light-Duty Diesel Demand Growth Outstripping Gasoline Growth in India

Total demand for diesel fuel in India has for many years exceeded that of gasoline. But strong growth in the diesel private car fleet in recent years has now resulted in the demand growth curve for diesel outstripping that of gasoline for the first time in 15 years.

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Euro-5 Fuels Production Expanding at Bosnian Refinery

The first phase of a just-completed upgrade and expansion project at the Brod refinery in Republika Srpska (Bosnia) will enable the production of Euro-5 (10 parts-per-million sulfur) gasoline starting next year.

Full Story >>

Market Report: ULSD Futures, Spot Prices Mostly Rise

Ultra-low sulfur diesel (ULSD) spot and futures prices in major markets mostly rose week-over-week by late Friday on stronger demand in the U.S. and slipping gasoil supplies in Europe.

Full Story >>

Distillate Watch

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