WASHINGTON: The United Arab Emirates said on Tuesday that countries should agree to phase out fuel emissions — not the production of oil, gas and coal — at the upcoming UN climate change negotiations that it will host this December.
The comments reflect deep divisions between nations over how to combat global warming ahead of the talks at the upcoming UN climate change conference in the UAE, also referred to as COP28. Some wealthy Western governments and climate-afflicted island nations have been pushing for a phase out of fossil fuels, while resource-rich countries have campaigned to keep drilling.
UAE Minister of Climate Change and Environment Mariam Almheiri told Reuters in an interview that phasing out fossil fuels would hurt countries that depend on them for revenue or cannot easily replace them with renewable sources.
She favored phasing out fossil fuel emissions using capture and storage technologies while ramping up renewable energy, saying this strategy lets countries fight warming while continuing to produce oil, gas and coal.
“The renewable space is advancing and accelerating extremely fast but we are nowhere near to be able to say that we can switch off fossil fuels and solely depend on clean and renewable energy,” Almheiri said on the sidelines of the Agriculture Innovation Mission (AIM) for Climate conference in Washington.
“We are now in a transition and this transition needs to be just and pragmatic because not all countries have the resources,” she added.
The UAE is co-hosting the AIM conference with the United States.
At last year’s climate summit in Egypt, over 80 countries including the EU and small island nations agreed to include language in the final outcome calling for a phase down of all fossil fuels. Countries including Saudi Arabia and China urged Egypt not to include that language in the final text.
This month, G7 countries agreed to hasten their phaseout of fossil fuel consumption, although they did not set a firm date.
Almheiri pointed to the UAE’s example of relying on new carbon capture technology and renewables to decrease the emissions intensity of the OPEC member’s oil and gas operations.
The UAE has a goal to get 50 percent of its electricity from renewables by 2050 from the current level of 25 percent and could strengthen that goal, she said.
Almheiri added that alongside energy, global food supply will be a major focus of COP28 because it accounts for nearly a third of global emissions.
As with energy, technology and innovation can solve food security problems, Almheiri said, noting that it has helped the UAE, with its parched desert landscape, devise a food security strategy.
Tackling inefficiencies of the global food system can also help address problems like malnutrition, food waste and climate change all at once, she said.
“We are making sure that the food systems dialogue is on center stage along with the energy dialogue at COP28,” she said.
World not ready yet to ‘switch off’ fossil fuels, COP28 host UAE says
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World not ready yet to ‘switch off’ fossil fuels, COP28 host UAE says
Saudi Exchange launches framework for fixed income market making
- Market makers are required to be members of the Saudi Exchange
- Decision comes after the successful onboarding of market makers in the equities and derivatives divisions in 2023
RIYADH: Saudi Arabia’s stock exchange has announced the launch of its Fixed Income Market Making Framework to ensure the availability of secondary market liquidity.
The launch of this system will also increase price formation efficiency in the Kingdom’s capital market, according to a press statement.
The move aligns with the Capital Market Authority’s objective of transforming Saudi Arabia’s stock market into a key pillar of the nation’s economy under the directives of Vision 2030’s Financial Sector Development Program.
Introducing the Fixed Income Market Making Framework is a significant step in further developing the Saudi capital market, cementing its position as a leading regional financial hub, the statement added.
“As the Saudi capital market continues to evolve, we have seen an increase in debt issuances in recent years. In response to this growing demand, we have introduced a new Fixed Income Market Making Framework demonstrating our continued efforts to support the development and depth of the debt market and position the Saudi Exchange as a global destination in this field,” said Mohammed Al-Rumaih, CEO of the Saudi Exchange.
According to the statement, the framework is a strategic initiative to stimulate secondary market activity in the fixed-income sector.
The Saudi Exchange’s decision comes after the successful onboarding of market makers in the equities and derivatives divisions in 2023.
Commonly known as the debt securities or bond market, the fixed-income sector is where companies can issue new debt — the primary market — or buy and sell existing debt securities, known as the secondary market, usually in the form of bonds.
Saudi Exchange said the new framework aims to enhance liquidity and facilitate more frequent transactions, making the Kingdom more attractive to domestic and international investors.
“We aim to enhance the experience of investing in fixed-income instruments and attract a broader range of investors both regionally and internationally,” added Al-Rumaih.
Under the Market Making Regulations, market makers are required to be members of the Saudi Exchange. They can conduct activities as principals on their accounts or as agents on behalf of clients.
Market makers could continuously buy and sell orders for the relevant listed debt security during official trading hours to ensure the availability of liquidity for that listed debt security following the provisions of the Market Making procedures and the agreement, the statement added.
“Saudi Exchange will publish on its website a list of market makers and the securities on which they are performing this activity, and will provide incentives after the obligations are met,” said the exchange in the statement.
Al-Habtoor Group plans Lebanon comeback, pending security guarantees
- AHG chairman emphasizes the importance of stability for future growth
RIYADH: Al-Habtoor Group is moving forward with plans to reopen its five-story mall in Beirut and relaunch the Habtoorland amusement park in Jamhour, contingent on Lebanon’s government delivering the promised security and stability measures.
In an interview with Arab News, AHG Chairman Khalaf Al-Habtoor emphasized that restoring the mall and amusement park remains a key priority for the group. However, these initiatives depend entirely on the assurances of safety and governance from Lebanon’s new leadership.
“We have a different management now overseeing the mall. They are waiting only for the implementation of plans by the president and the prime minister. I fully believe in the president, even though we haven’t met, and I believe in the prime minister,” Al-Habtoor stated.
On Jan. 9, Lebanon elected former army commander Joseph Aoun president, and on Jan. 13, appointed Nawaf Salam, the chief judge of the International Court of Justice, prime minister.
Al-Habtoor expressed his belief that the newly installed leaders possess the potential to unite the country and initiate the critical reforms needed for Lebanon’s economic revival.
Despite Lebanon’s long-standing political instability, including the devastating Beirut Port explosion, AHG has kept its facilities operational, ensuring that its employees retained their jobs throughout turbulent times.
“We don’t close our hotels. Even when we closed (temporarily), we didn’t terminate anyone. During the war, even after the port explosion, we did not release any of our employees. We paid them their salaries because they are part of us, like a family, like partners with us,” Al-Habtoor explained.
He further highlighted the group’s long-standing commitment to Lebanon, emphasizing its role in creating jobs and fostering local development. “We have been working for a very long time in Lebanon, and we created a lot of projects to create jobs for our people there, for our families—I call them. The Lebanese are part of us.”
While acknowledging the political challenges facing the country, the AHG chairman expressed optimism about Lebanon’s future under its new leadership, stressing the importance of public support for the government’s agenda.
“If the Lebanese people want Lebanon to compete with successful countries, they have to support the president and the prime minister. Lebanon needs a lot of work, renovation, and fixing,” he noted.
Al-Habtoor pointed to security as the linchpin for any future investments in Lebanon. “Nobody will invest a penny unless there is 100 percent safety and security in the country,” he asserted.
The AHG chairman said if the new president and prime minister manage to establish their authority within the next three months, he will personally return to Lebanon to oversee the group’s projects.
Although AHG has explored new ventures, including the establishment of a production studio, political instability had previously delayed such plans.
Al-Habtoor reaffirmed his commitment to reconsidering these opportunities once Lebanon’s security situation stabilizes: “I will definitely reconsider, but the country’s shift to safety and security remains priority No. 1.”
The UAE-based businessman also stressed the necessity of clean, well-vetted leadership for Lebanon’s Cabinet. “They should not let any person from another country be involved,” he emphasized.
Despite these challenges, Al-Habtoor expressed hope for Lebanon’s revival under its new leadership, reflecting confidence in their sincerity and commitment to reform.
“I have hope from these people. I believe in these genuine leaders and their honesty. If they deliver what they promised, I will be there, with my feet on the ground,” he said.
Reflecting on his personal connection to Lebanon, Al-Habtoor shared fond memories of time spent in the country. “My family and I spent a lot of time in Lebanon. We have our house in Jamhour, and we invested in many things. I have a lot of friends there. I miss them, and they miss me,” he said.
Looking ahead, AHG is also set to expand internationally, with the upcoming launch of the 200-key Al-Habtoor Palace luxury hotel in Budapest, scheduled for Feb. 3. The company is also pursuing ongoing projects in Dubai, which Al-Habtoor referred to as “the jewel of the world.”
He added that in Dubai, everyone can sleep and relax, fully assured of their safety and security. “This is what we need in Lebanon,” Al-Habtoor concluded.
Oil Updates — crude rises as US inventory decline heightens supply concerns
SINGAPORE: Oil prices gained for a second session on Thursday, supported by worries over supply amid US sanctions on Russia, a larger-than-forecast fall in US crude oil stocks, and an improving global demand outlook.
Brent crude futures rose 25 cents, or 0.3 percent, to $82.28 per barrel by 7:46 a.m. Saudi time, after rising 2.6 percent in the previous session to their highest since July 26 last year.
US West Texas Intermediate crude futures rose 28 cents, or 0.4 percent, to $80.32 a barrel, after gaining 3.3 percent on Wednesday to their highest since July 19.
US crude oil stocks fell last week to their lowest since April 2022 as exports rose and imports fell, the Energy Information Administration said on Wednesday.
The 2 million-barrel draw was more than the 992,000-barrel fall analysts had expected in a Reuters poll.
The drop added to a tightened global supply outlook after the US imposed broader sanctions on Russian oil producers and tankers. The new US sanction measures have sent Moscow’s top customers scouring the globe for replacement barrels, while shipping rates have surged too.
The Biden administration on Wednesday imposed hundreds of additional sanctions targeting Russia’s military industrial base and evasion schemes.
Meanwhile, the Organization of the Petroleum Exporting Countries and its allies, which have been curtailing output collectively over the past two years, are likely to be cautious about increasing supply despite the recent price rally, said Commodity Context founder Rory Johnston.
“The producer group has had its optimism dashed so frequently over the past year that it is likely to err on the side of caution before beginning the cut-easing process,” Johnston said.
Limiting oil’s gains, Israel and Hamas agreed to a deal to halt fighting in Gaza and exchange Israeli hostages for Palestinian prisoners, according to an official.
On the demand front, global oil expanded by 1.2 million barrels per day in the first two weeks in 2025 from the same period a year earlier, slightly below expectations, JPMorgan analysts wrote in a note.
The analysts expect oil demand to grow by 1.4 million bpd year-on-year in coming weeks, driven by heightened travel activities in India, where a huge festival gathering is taking place, as well as by travel for Lunar New Year celebrations in China at the end of January.
Some investors are also eying potential interest rate cuts by the US Federal Reserve before the end of the year following data on an easing in core US inflation — which could lend support to economic activities and energy consumption.
OPEC forecasts 2026 oil demand growth of 1.43m barrels a day
LONDON: OPEC on Wednesday predicted that global oil demand in 2026 will increase at a rate similar to this year’s growth.
However, the organization lowered its 2024 demand projection for the sixth time, citing ongoing economic weakness in China, the world’s largest oil importer.
The 2026 forecast aligns with OPEC’s long-term view that global oil consumption will continue to rise over the next two decades. This contrasts with the International Energy Agency, which expects oil demand to peak within this decade as the world transitions to cleaner energy sources.
In its latest monthly report, OPEC projected that oil demand will increase by 1.43 million barrels per day in 2026, a growth rate nearly identical to the 1.45 million bpd expected for this year. The 2026 forecast marks the first time OPEC has provided a projection for that year in its monthly update.
OPEC noted that transportation fuels will be the primary driver of oil demand growth in 2026, with air travel expected to continue expanding. Both international and domestic flights are expected to see steady increases, according to the report.
The report also revised its 2024 demand growth forecast down to 1.5 million bpd, compared to the 1.61 million bpd forecast in the previous month. This marks the sixth consecutive reduction for 2024, following an initial forecast of 2.25 million bpd in July 2024.
OPEC’s demand outlook remains at the higher end of industry expectations.
Earlier on Wednesday, the IEA forecasted a slower pace of global oil demand growth in 2025, predicting an increase of 1.05 million bpd.
Hexagon invests in future mining talent through partnership with King Saud University
RIYADH: Industrial technology company Hexagon has made a significant investment in King Saud University to help train the next generation of mining talent in the Middle East, according to a top official.
Speaking to Arab News on the second day of the Future Minerals Forum, which is being held in Riyadh from Jan. 14 to 16, Dave Goddard, executive vice president of mining at Hexagon, explained that the training would utilize advanced digital tools and software.
The agreement, finalized during the forum, builds on Hexagon’s ongoing collaboration with mining ventures in the region. This follows a landmark deal in 2024 with Saudi Arabian Mining Co. to launch the region’s first-of-its-kind digital mine.
The initiative also aligns with the Kingdom’s broader efforts to position mining as the third pillar of its industrial economy.
“One of the things that’s important for us is to give back to the mining community and ensure the long-term viability of the mining industry,” Goddard said. “And the only way that happens is people retire every year, and college students come into the environment as well.”
He continued: “So, what we’ve done is we’ve made a partnership with the universities in order to provide them some digital tools that the mining companies use, so that when they graduate, and they go into industry, they are already digital natives. They already have the skills and attributes necessary to enter into the digital mining realm. And so that’s what we’re really doing: investing in the future of mining by investing in the future leaders of mining.”
Goddard also elaborated on the firm’s partnership with Ma’aden.
“We have a partnership agreement with Ma’aden, our primary customer here in Saudi Arabia. And we have a partnership with them to build a digital mine, where we’re providing the tools, materials, and software to digitalize their mining operations in order for them to be an optimal miner and a world-class miner, which they currently are,” he said.
Regarding the mining process, Goddard described it as breaking down large rocks into smaller pieces to extract valuable minerals or compounds.
“You have a mine plan that has a digital representation of what that ore looks like inside the ground, and then you have a digital representation of the truck that is carrying that mineral around, and you have a digital representation of the drill that is drilling through the material,” Goddard explained.
“When you take that software and those digitalization parameters, what you’re really doing is reflecting the real world in a digital model and allowing yourself to model an optimal process to extract that real-world material in a digital manner,” he added.
He also mentioned the company’s drill assist product, which helps equipment drill 30 percent faster than a human.
“In terms of a fleet management system, we can provide the same material flow rate using 20% fewer trucks if you use our fleet management system. So, if you think about it, there’s not only the cost savings, but there’s also an energy savings because you’re using less material,” Goddard said.
“And that energy savings correlates to less impact on the environment, a lower carbon emission, and a smaller carbon footprint. So, we help our mining customers address not only their operational challenges but also their sustainability challenges as well,” he added.
Goddard further highlighted how mining influences global wealth and standards of living.
“Knowing that the world around us would not exist without mining and the natural materials that mining provides, as the wealth of the world grows and people enjoy richer lifestyles, demand for mineral resources will increase. And we want to be in the middle of that, providing the tools necessary to optimize the extraction of those resources,” he said.
He also discussed Hexagon's approach to providing digital solutions for mining operations.
“What we have are two different portfolios,” Goddard explained. “One is a planning portfolio that allows mining companies to optimize the extraction sequence in order to maximize the material that comes out of the mine. The second portfolio is our operations portfolio, which helps them optimize equipment and material movement during the actual mining operations and extraction activities.”
