Latest Fuel News

BP has hit the headlines again today with the confirmation that it will sell two of its’ Malaysian businesses.

Many reports speculate that this is to finance the costs associated with Gulf of Mexico oil spill, however, BP has outwardly denied that the sale is to finance such costs and is adamant the sale had been in the pipeline long before the Gulf of Mexico tragedy.  

Although the actual figures of the sale remain unpublished at this moment it time, some reports suggest that the sale of the two Malaysian plants could raise over £230million, this deal is expected to finalised by the end of 2010.

BP has been under considerable pressure since the disaster which began in April 2010. The Fuel giant has pledged to take full responsibility for cleaning up the spill and to keep people fully informed of the latest developments.

A page on the BP website is dedicated to communicating all the developments, showing pictures and videos documenting all the efforts made by the company to ‘make things right’.

In April 2010 the tragic events of the BP oil spill in the Gulf of Mexico began. The catastrophe resulted in the tragic death of eleven men and gallons of oil seeping into the sea. The situation was rapidly highlighted as a state of emergency because of the risk to the environment and nature, commercial fishing quickly stopped and local fisherman became concerned for their livelihood.

This terrible event has brought major concerns to the industry, emphasising the need for increased safety regulations and strict guidelines surrounding deep sea drilling.

The future of the oil industry is now under scrutiny. The importance of regulations and the ability to work co-operatively is under fire, many believe sloppy regulations may have been a major contributor to the cause of the disaster.

On the other hand many believe that the Gulf of Mexico was a freak accident; the oil industry has been drilling in deep sea waters for over 60 years without any previous incidents on this scale. None the less the reputation of BP and other major oil companies’ most certainly need restoring.

The future of the oil companies remain positive, general suggestions state that a few key players will continue to dominant the market, and smaller companies will reap the benefits of larger investments than ever before.

As for the future of oil production; Asia, Africa and the Middle East are all expected to grow in volume, while South American countries are forecasted to use major reserves to satisfy a large percentage of the world’s crude oil demand, subsequently making South America one of the chief investment opportunities for the future.

It seems that Greenland isn’t the only oil site to be discovered this week. Wintershall a German company has revealed that they have discovered a new location in the North Sea (just off the coast of Aberdeen) which is rich with oil.

Wintershall have said that this find could help attain targets to increase the gas and oil output levels for the North Sea area. They remain positive about the opportunity in this area and believe there could be significant potential in this area even compared to major sites like Brazil.

Wintershall made a considerable discovery in July with oil finds off the coast of Norway worth billions of barrels of oil; however reports suggest that future projects will see the German company move from the North Sea to developing countries.

RMI is the Independent Petrol Retailers Association, a body which represents thousands of forecourts in UK. RMI recently made headlines when they contacted David Cameron about the governments’ lack of action surrounding UK fuel prices.

RMI have hit the headlines again by warning that the mass exit of companies from the UK refinery market may lead to major oil brands leaving the dealer sector. This warning is supported by the recent news that Murphy oil has confirmed the sale of its UK sites.

UK refineries generally produce more petrol and import diesel from other countries such as Russia. The world economic state has caused a decrease in demand for oil resulting in the refineries being underutilised. This has made the UK refineries a poor investment opportunity and as a result; four out of eight UK refineries are currently up for sale.

 The recession coupled with tough legislation has impacted the demand for oil and because of this the prospects look bleak for many UK refineries. Many suggest that the work of UK refineries will move east.

Earlier this week reports confirmed that oil and gas had been found off the coast of Greenland, a huge advance for the oil industry.

This opportunity was expected to gain the interest of all major oil companies, however, BP has decided against perusing work on the new Greenland site. News articles claim that BP was involved in the initial stages however has decided against bidding for the contract.

The Greenland site is considered a breakthrough for oil companies and fuel providers alike however; there are environmental concerns with this area due to its unpredictability, stemming from its cold temperatures.

A BP spokes person is reported to have said that the Mexican disaster has impacted the company’s reputation and therefore did not want to compromise their safety record further.

The tragic event experienced in the Gulf of Mexico has fuelled environmental campaigns in opposition to the Greenland plans. Greenpeace has already made its presence known with the Esperanza ship circling the area.

BP is thought to be approaching future opportunities with caution and although has backed down in this case- future bids are not expected to be impacted.

With news headlines stating that fuel prices are set to increase in the forth coming months, a study affirms that business fleets are applying for fuel cards as a method to prepare for increasing fuel prices.

The research reveals that many businesses are predicting that fleet costs could increase up to ten percent as of January 2011. The investigation tells that an increased number of businesses are now using or applying for fuel cards to curb this cost and manage the fuel purchasing process.

Respondents echoed not only had they saved on the price of fuel through using a fuel card, but the administration surrounding the process reduced too.

If you want to apply for a fuel card but are not too sure which one, our team can help!

If you are not sure how fuel cards would fit into your driver’s routine there is no need to worry, our fuel cards work in a similar way to a credit card. Your drivers purchase the fuel at the forecourt and you pay the invoices on an agreed basis.

A fuel card will help you manage your fuel expenditure and supply you with the extra administrative information, saving you valuable time. The data we capture during the fuel purchasing process will provide you with driver behavior patterns and performance, enabling you to identify any inefficiency.

We can talk you through the benefits of using one of our fuel cards and help you find the right one for your business requirements. We are certain that we can find a card that will meet your needs whether this is: high canopies, price or network coverage, with our extensive portfolio of fuel cards we are certain we will find the most suitable one for you.

For more information on Fuel Cards call Forecourt Fuels 0845 450 5755.

Reports suggest a new discovery of gas and oil off the coast of Greenland has been found. It is believed that a potential of fifty million barrels of crude oil and gas from this site could be drilled, a significant breakthrough for the oil industry.

This has not gone unnoticed by environmentalists; Green Peace has already been part of protests in the area. After the recent catastrophe in the Gulf of Mexico, concerns about the unpredictability of the area due to its cold temperature is echoed by many. Campaigns for stricter safety procedures are being carried out to ensure safety before any exploration takes place.

The Edinburgh based oil drilling company has fought back by saying that the exploration of this oil is not as challenging as drilling in the Gulf of Mexico. The local residents of Greenland and Denmark are reported to be excited at the prospect of oil drilling on their territory.

Other neighbouring countries including Russia and Norway are also thought to be in discussions about future explorations.

It has been reported that business fleet costs are escalating. With the government announcing an increase in VAT and fuel duty this is no surprise.

The emergency budget will impact all fleets; fleets owned by a business outright will now have to find increased funds to purchase news vehicles, while leased fleets will be able to claim back less VAT due to the increased VAT rate.  There are suggestions that leasing may become a more popular option for business fleets to avoid added costs come January 2011.

A recent report urges fleet managers not to overlook minor costs, suggesting that some businesses are not accounting for all the running costs. It is reported that the additional running costs of a fleet, including tax and insurance is often over looked and for that reason an entire analysis is not carried out effectively, causing many businesses to struggle at the end of the financial year.

To help manage fleet running costs a solution that can easily be used by any business is to use a fuel card for each vehicle. There are many benefits from using a fuel card as long as you choose the right one for you, something the forecourt fuels team can help you with. Similar to credit or debit cards, fuel cards function in much the same way; your drivers can use the fuel card to purchase fuel and you can pay for the fuel on an agreed basis, helping your business’s cash flow.

A business fuel card will supply you with the extra information that in the past may have taken you hours to process. Detailed invoices will allow you to calculate your business costs accurately leaving no stone unturned. This will then help you at the end of the year not to struggle with your accounts like many other businesses are predicted to at the end of the financial year.

At forecourt fuels we recognise that you have certain requirements from your fuel card, this maybe; site coverage, higher canopies, certain brands or a low fuel price, we are confident we can find a card that will meet your business’s individual needs.

With business costs set to increase as of January 2011 there is no better time than now to apply for a fuel card for your fleet. Regardless of your fleet size, petrol or diesel fuel, we can help you manage your costs through this difficult economic time.

We want to build a lasting relationship with you, supplying you with the management information you need to run your fleet effectively. If you are struggling under the economic pressures to reduce your fleet’s cost why not give us a call? 08454505755

The supply of crude oil is rapidly becoming exhausted; scientists are researching closely into alternative fuels including vegetable oil, hydrogen and Ethanol, in a hope to discover a viable alternative to diesel and petrol.

With so many experiments being carried out there are struggles to find additional alternative fuels. One company has been reported to be examining conventional diesel to create a greener alternative.

The new fuel blends diesel with droplets of water, it is thought that this creates a fuel that has the capability to greatly reduce harmful particles emitted by up to fifty percent.

For numerous years we have been told about the adverse health effects caused by air pollution- a large percentage of which is derived from diesel, this new diesel based fuel could be the answer to lessen air pollution.

The benefit of this new fuel is that it is reported to significantly lower emissions and radically impact air quality. Information about the fuel states that essentially the water particles mix better with air; nitrous oxide the gas that causes soot to be emitted is lowered, resulting in the harmful particles and soot levels to lower.

We have all experienced the fluctuations of petrol and diesel prices during the past years and in particular in recent months perhaps more than ever. Fuel price instability stems from the cost, supply and demand of crude oil. Oil prices impact petrol and diesel prices because; petrol and diesel are essentially refined crude oil.

Oil prices are a huge influence on the world’s economic health. With the demand for oil increasing along with price, this could have a grave impact on the growth the UK economy.

Oil price fundamentally impacts the UK economy because it is sold in dollars. Therefore when the pound is weak against the dollar it is more expensive to purchase oil. This elevated price then has a knock on effect on the UK economy.

When the price of petrol and diesel raises almost every consumer and business will feel the pinch. For many businesses such as hauliers the only option is to pass this cost onto the consumer. This can result in price of food and other consumer goods increasing.

The finite nature of oil also causes prices to fluctuate; supply restrictions are protect this irreplaceable resource during times of high demand.

There is no definitive answer as to what will happen in the foreseeable future. Experts have forecasted that demand for oil is likely to increase more than ever before, and give a clear warning that the day of cheap oil is over.

Oil production has already peaked in non-OPEC countries; therefore as demand increases, supply is restricted and subsequently oil will be become more expensive, more oil sources will have to be found to keep in line with the level of demand.

If you are worried about increasing fuel prices and want to get more control over the running cost of your fleet, why not gives us a call? 0845 450 5755

No matter the size of your fleet, whether you run diesel, petrol or want European coverage, we can find a fuel card to meet your needs and offer extremely competitive prices and fantastic site coverage.