Fires, typhoons push Swiss Re’s Q4 claims burden to $1.3 billion

Reinsurer Swiss Re expects a $1.3 billion claims burden from natural and man-made catastrophes in the fourth quarter, as California wildfires, Asian typhoons and the loss of a satellite hit its results at the end of 2018. The Zurich-based reinsurer said on Tuesday it expects the year-end rough patch to result in a pre-tax combined claims burden from natural catastrophes and large man-made disasters of $2.9 billion for the full year 2018. Industry-wide, the company sees global insured losses of $


Reinsurer Swiss Re expects a $1.3 billion claims burden from natural and man-made catastrophes in the fourth quarter, as California wildfires, Asian typhoons and the loss of a satellite hit its results at the end of 2018. The Zurich-based reinsurer said on Tuesday it expects the year-end rough patch to result in a pre-tax combined claims burden from natural catastrophes and large man-made disasters of $2.9 billion for the full year 2018. Industry-wide, the company sees global insured losses of $
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Company: cnbc, Activity: cnbc, Date: 2019-01-15  Authors: steffen schmidt
Keywords: news, cnbc, companies, natural, res, claims, wildfires, catastrophes, q4, typhoons, satellite, swiss, burden, result, push, billion, fires, 13, reinsurer


Fires, typhoons push Swiss Re's Q4 claims burden to $1.3 billion

Reinsurer Swiss Re expects a $1.3 billion claims burden from natural and man-made catastrophes in the fourth quarter, as California wildfires, Asian typhoons and the loss of a satellite hit its results at the end of 2018.

The Zurich-based reinsurer said on Tuesday it expects the year-end rough patch to result in a pre-tax combined claims burden from natural catastrophes and large man-made disasters of $2.9 billion for the full year 2018.

Industry-wide, the company sees global insured losses of $81 billion, well shy of the record figure of $144 billion of 2017. The 2018 estimate, if it holds, would be the fourth highest on record, Swiss Re said.

The deadly Camp and Woolsey wildfires in California, which killed 85 people and destroyed more than 20,000 buildings, will result in claims for Swiss Re of about $375 million, it said, while the company’s estimate for Typhoons Jebi and Trami in Asia increased by $320 million in the period.

A major satellite loss, a large industrial fire in Germany and a further increase in the estimated claims of Columbia’s Ituango dam flooding also weighed, Swiss Re added.

“The last quarter of 2018 was severely impacted by natural catastrophes,” said Edouard Schmid, Swiss Re’s Group Chief Underwriting Officer, in a statement.

“We are working closely with our clients to ensure affected people and communities are supported.”


Company: cnbc, Activity: cnbc, Date: 2019-01-15  Authors: steffen schmidt
Keywords: news, cnbc, companies, natural, res, claims, wildfires, catastrophes, q4, typhoons, satellite, swiss, burden, result, push, billion, fires, 13, reinsurer


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Bank of China offers $300 million loan to Sri Lanka

Bank of China, the country’s fourth-biggest lender by assets, has offered a loan of $300 million to Sri Lanka which can be raised to $1 billion, a source in Colombo with direct knowledge of the matter, told Reuters on Tuesday. The government is considering the offer because of “difficulty in borrowing money after recent ratings downgrades,” the source said, declining to be named as the information was not public. Reuters could not immediately reach Sri Lanka’s Ministry of Finance and the Bank of


Bank of China, the country’s fourth-biggest lender by assets, has offered a loan of $300 million to Sri Lanka which can be raised to $1 billion, a source in Colombo with direct knowledge of the matter, told Reuters on Tuesday. The government is considering the offer because of “difficulty in borrowing money after recent ratings downgrades,” the source said, declining to be named as the information was not public. Reuters could not immediately reach Sri Lanka’s Ministry of Finance and the Bank of
Bank of China offers $300 million loan to Sri Lanka Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-01-15  Authors: greg baker, afp, getty images
Keywords: news, cnbc, companies, tuesdaythe, source, offers, million, bank, repay, china, told, lanka, southeastern, 300, billion, loan, struggling, sri


Bank of China offers $300 million loan to Sri Lanka

Bank of China, the country’s fourth-biggest lender by assets, has offered a loan of $300 million to Sri Lanka which can be raised to $1 billion, a source in Colombo with direct knowledge of the matter, told Reuters on Tuesday.

The government is considering the offer because of “difficulty in borrowing money after recent ratings downgrades,” the source said, declining to be named as the information was not public.

Reuters could not immediately reach Sri Lanka’s Ministry of Finance and the Bank of China.

Sri Lanka, an island nation off India’s southeastern coast, is struggling to repay its foreign loans, with a record $5.9 billion due this year including $2.6 billion in the first three months alone.


Company: cnbc, Activity: cnbc, Date: 2019-01-15  Authors: greg baker, afp, getty images
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DUP Wilson: no deal Brexit will see EU negotiate again

Sammy Wilson, the Brexit spokesman for the Northern Irish party, added that his party would not support the current deal set to be voted on in Parliament on Tuesday night. Wilson, whose party props up May’s minority government in Westminster with, told CNBC’s Steve Sedgwick that a “no-deal” Brexit would spur the EU into fresh talks. Wilson said lawmakers in Brussels would urgently seek talks in order to protect their large surplus on trade. According to a U.K. Parliament report, the EU had an ov


Sammy Wilson, the Brexit spokesman for the Northern Irish party, added that his party would not support the current deal set to be voted on in Parliament on Tuesday night. Wilson, whose party props up May’s minority government in Westminster with, told CNBC’s Steve Sedgwick that a “no-deal” Brexit would spur the EU into fresh talks. Wilson said lawmakers in Brussels would urgently seek talks in order to protect their large surplus on trade. According to a U.K. Parliament report, the EU had an ov
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Company: cnbc, Activity: cnbc, Date: 2019-01-15  Authors: david reid
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DUP Wilson: no deal Brexit will see EU negotiate again

A senior Democratic Unionist Party (DUP) figure told CNBC Tuesday that politicians in Brussels would clamour for fresh terms of trade with the U.K. should the country leave the European Union with no deal.

Sammy Wilson, the Brexit spokesman for the Northern Irish party, added that his party would not support the current deal set to be voted on in Parliament on Tuesday night.

Wilson, whose party props up May’s minority government in Westminster with, told CNBC’s Steve Sedgwick that a “no-deal” Brexit would spur the EU into fresh talks.

“I believe once we are in that situation, reality will kick in Brussels and they will come back and negotiate a realistic trade deal, rather than the one we have got at the moment,” he said.

Wilson said lawmakers in Brussels would urgently seek talks in order to protect their large surplus on trade.

According to a U.K. Parliament report, the EU had an overall trade surplus of £67 billion ($86 billion) with the U.K. in 2017. A deficit of £28 billion on trade in services was outweighed by a surplus of £95 billion on trade in goods.

WATCH: Brexit explained: The UK’s big gamble


Company: cnbc, Activity: cnbc, Date: 2019-01-15  Authors: david reid
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China’s foreign direct investment into the US dropped precipitously in 2018, data show

Chinese foreign direct investment into the U.S. plummeted for a second year in a row, according to new data. The 2018 figure marks a 90 percent drop from 2016 and represents the lowest level of direct investment by China since 2011, according to the group’s data. According to the data, a whopping $13 billion worth of U.S. assets were sold by Chinese investors, much of which was purchased during a 2015-2016 investment boom. Including those divestitures, Chinese net U.S. direct investment saw an $


Chinese foreign direct investment into the U.S. plummeted for a second year in a row, according to new data. The 2018 figure marks a 90 percent drop from 2016 and represents the lowest level of direct investment by China since 2011, according to the group’s data. According to the data, a whopping $13 billion worth of U.S. assets were sold by Chinese investors, much of which was purchased during a 2015-2016 investment boom. Including those divestitures, Chinese net U.S. direct investment saw an $
China’s foreign direct investment into the US dropped precipitously in 2018, data show Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-01-15  Authors: uptin saiidi
Keywords: news, cnbc, companies, assets, 2018, foreign, data, direct, billion, rhodium, decline, according, chinas, chinese, investment, sale, dropped, precipitously, group


China's foreign direct investment into the US dropped precipitously in 2018, data show

Chinese foreign direct investment into the U.S. plummeted for a second year in a row, according to new data.

In 2018, Chinese FDI in the United States fell to just $4.8 billion — a massive decline from $29 billion in 2017 and $46 billion in 2016, according to independent researcher the Rhodium Group.

The 2018 figure marks a 90 percent drop from 2016 and represents the lowest level of direct investment by China since 2011, according to the group’s data.

The decline comes amid trade tensions between the U.S. and China and as Beijing adds pressure on Chinese companies to reduce their global holdings and reduce debt levels.

According to the data, a whopping $13 billion worth of U.S. assets were sold by Chinese investors, much of which was purchased during a 2015-2016 investment boom. Including those divestitures, Chinese net U.S. direct investment saw an $8 billion decline in 2018, according to Rhodium Group.

In fact, the group said there’s another $20 billion in divestitures that’s still pending.

In recent months, China’s biggest private companies have put assets up for sale: Anbang has put up a number of its U.S. luxury hotels for sale, HNA Group has listed billions of dollars worth of assets for sale, Fosun International is looking to sell a stake in its New York property, 28 Liberty, and Dalian Wanda Group is exploring a sale of its stake in Legendary Entertainment.

Yet as direct investment dramatically falls, venture capital funding from Chinese sources into the U.S. hit a new record high of $3.1 billion, Rhodium said.

Meanwhile, Chinese investors continue to be the top foreign buyers in terms of both units and dollar volume of U.S. residential housing, for the past six years, according to the National Association of Realtors. That comes amid sustained interest in the American market from middle-class Chinese citizens.


Company: cnbc, Activity: cnbc, Date: 2019-01-15  Authors: uptin saiidi
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China says its 2018 trade surplus with the US was $323 billion — the highest it’s ever recorded

Despite U.S. President Donald Trump launching a high-stakes trade war against Beijing last year, China on Monday announced that its 2018 trade surplus with Washington was its largest in more than a decade. China’s surplus with the U.S. grew 17 percent from a year ago to hit $323.32 billion in 2018, according to government data. Exports to the U.S. rose 11.3 percent on-year in 2018, while imports from the U.S. to China rose a meager 0.7 percent over the same period. China’s overall trade surplus


Despite U.S. President Donald Trump launching a high-stakes trade war against Beijing last year, China on Monday announced that its 2018 trade surplus with Washington was its largest in more than a decade. China’s surplus with the U.S. grew 17 percent from a year ago to hit $323.32 billion in 2018, according to government data. Exports to the U.S. rose 11.3 percent on-year in 2018, while imports from the U.S. to China rose a meager 0.7 percent over the same period. China’s overall trade surplus
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Company: cnbc, Activity: cnbc, Date: 2019-01-14  Authors: huileng tan
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China says its 2018 trade surplus with the US was $323 billion — the highest it's ever recorded

Despite U.S. President Donald Trump launching a high-stakes trade war against Beijing last year, China on Monday announced that its 2018 trade surplus with Washington was its largest in more than a decade.

China’s surplus with the U.S. grew 17 percent from a year ago to hit $323.32 billion in 2018, according to government data. It was the highest on record dating back to 2006, according to Reuters.

Exports to the U.S. rose 11.3 percent on-year in 2018, while imports from the U.S. to China rose a meager 0.7 percent over the same period.

China’s overall trade surplus for 2018 was $351.76 billion, the government said. Exports in the whole of 2018 rose 9.9 percent from 2017 while imports grew 15.8 percent over the same period, official dollar-denominated data showed.

While the surplus with the U.S. may have risen, last year’s overall Chinese trade surplus was the lowest since 2013, even though export growth was the highest since 2011, according to Reuters’ records.

China’s General Administration of Customs said on Monday that the biggest worry in trade this year is external uncertainty and protectionism, forecasting the country’s trade growth may slow in 2019.

Asia’s largest economy is still growing steadily in 2019, but it faces external headwinds, said customs spokesman Li Kuiwen at a scheduled briefing, Reuters reported.

Economic data from China are being closely watched for signs of damage inflicted by the trade war between Washington and Beijing.

While official data indicated China’s economy held up for much of last year, it now appears to be slowing as production metrics and export orders fall as the country’s trade dispute with the U.S., its largest trading partner, drags on.


Company: cnbc, Activity: cnbc, Date: 2019-01-14  Authors: huileng tan
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$7.5 billion from Goldman Sachs over 1MDB is ‘reasonable’: Malaysia

Malaysian Finance Minister Lim Guan Eng said Monday that the $7.5 billion his country is seeking from American investment bank Goldman Sachs over the 1Malaysia Development Berhad scandal is an “extremely reasonable” amount. The U.S. Department of Justice previously alleged that Najib received $681 million from proceeds misappropriated from a bond issue arranged by Goldman Sachs in 2013. “So we are looking at a sum, a reasonable sum that can compensate the agony and the trauma as well as the loss


Malaysian Finance Minister Lim Guan Eng said Monday that the $7.5 billion his country is seeking from American investment bank Goldman Sachs over the 1Malaysia Development Berhad scandal is an “extremely reasonable” amount. The U.S. Department of Justice previously alleged that Najib received $681 million from proceeds misappropriated from a bond issue arranged by Goldman Sachs in 2013. “So we are looking at a sum, a reasonable sum that can compensate the agony and the trauma as well as the loss
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Company: cnbc, Activity: cnbc, Date: 2019-01-14  Authors: kelly olsen, chris jung, nurphoto, getty images
Keywords: news, cnbc, companies, bank, malaysia, money, goldman, reasonable, 1mdb, sum, minister, told, sachs, 75, billion


$7.5 billion from Goldman Sachs over 1MDB is 'reasonable': Malaysia

Malaysian Finance Minister Lim Guan Eng said Monday that the $7.5 billion his country is seeking from American investment bank Goldman Sachs over the 1Malaysia Development Berhad scandal is an “extremely reasonable” amount.

The fallout from the disappearance of billions of dollars from that Malaysian sovereign wealth fund, commonly known as 1MDB, has led to money laundering charges filed against Najib Razak, the former prime minister who lost power in elections last year.

The scandal involved money being illegally transferred across shell companies and individual bank accounts in many countries. The U.S. Department of Justice previously alleged that Najib received $681 million from proceeds misappropriated from a bond issue arranged by Goldman Sachs in 2013.

Lim told The Financial Times last month that Malaysia was seeking $7.5 billion from Goldman Sachs and he told CNBC’s Emily Tan in a Monday interview at a financial forum in Hong Kong that the figure remains what the country deserves.

The finance minister argued that Malaysia never got any money from the issuance of bonds, the fees charged were “astronomical” and the terms were “very unfavorable.”

“So we are looking at a sum, a reasonable sum that can compensate the agony and the trauma as well as the losses that we suffered,” he said. “I think 7.5 billion U.S. dollars is an extremely reasonable figure.”

He also called on Goldman Sachs to “have a heart” and to include a mention in its annual earnings report that it would “make some provisions for some reparation payments to Malaysia.”

Contacted by CNBC about Lim’s comments, Edward Naylor, Goldman Sachs’ head of corporate communications for the Asia Pacific, referred in an email to previous statements the bank has made in which it called charges against it “misdirected” and vowed to “vigorously” defend against them.


Company: cnbc, Activity: cnbc, Date: 2019-01-14  Authors: kelly olsen, chris jung, nurphoto, getty images
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A multibillion-dollar deal is creating one of the world’s largest real estate investment managers

Major Asian real estate developer CapitaLand said on Monday it has entered into an agreement to buy two wholly owned units from Ascendas-Singbridge, a subsidiary of Singapore state investment firm Temasek, in a cash and stock deal. If the deal is approved, the new entity would become Asia’s largest diversified real estate group, according to CapitaLand. Its combined assets under management would exceed 116 billion Singapore dollars ($85.79 billion), which would put the firm among the top 10 real


Major Asian real estate developer CapitaLand said on Monday it has entered into an agreement to buy two wholly owned units from Ascendas-Singbridge, a subsidiary of Singapore state investment firm Temasek, in a cash and stock deal. If the deal is approved, the new entity would become Asia’s largest diversified real estate group, according to CapitaLand. Its combined assets under management would exceed 116 billion Singapore dollars ($85.79 billion), which would put the firm among the top 10 real
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Company: cnbc, Activity: cnbc, Date: 2019-01-14  Authors: saheli roy choudhury, munshi ahmed, bloomberg, getty images
Keywords: news, cnbc, companies, managers, multibilliondollar, estate, billion, investment, real, largest, ascendas, creating, temasek, capitaland, singapore, trust, worlds, deal


A multibillion-dollar deal is creating one of the world's largest real estate investment managers

Major Asian real estate developer CapitaLand said on Monday it has entered into an agreement to buy two wholly owned units from Ascendas-Singbridge, a subsidiary of Singapore state investment firm Temasek, in a cash and stock deal.

If the deal is approved, the new entity would become Asia’s largest diversified real estate group, according to CapitaLand.

Its combined assets under management would exceed 116 billion Singapore dollars ($85.79 billion), which would put the firm among the top 10 real estate investment managers globally, CapitaLand said.

For its part, Temasek will receive about 3 billion Singapore dollars ($2.2 billion) in cash and another S$3 billion in new CapitaLand shares.

The move would give CapitaLand a “chance to be able to gain access to interesting asset classes in the new economy sectors that are driven by technology and e-commerce,” Lee Chee Koon, president and group CEO, told CNBC’s “Squawk Box” Monday morning.

“Assets like industrial, logistics/business parks — these will add a new excitement to the asset classes that CapitaLand is traditionally strong at, which are shopping malls, offices, residential and service apartments,” he added.

Lee added that the deal would increase CapitaLand’s options in places such as the United States, Europe and India, allowing the company to scale up and diversify its investments globally. The acquisition is projected to expand the company’s presence to more than 180 cities across 32 countries.

The targets of the deal — Ascendas and Singbridge — are the holding companies for Ascendas-Singbridge Group’s business, which includes managing Ascendas Real Estate Investment Trust, Ascendas India Trust and Ascendas Hospitality Trust.

Once the deal closes, Temasek’s ownership of CapitaLand is set to increase from 40.8 percent to about 51 percent.


Company: cnbc, Activity: cnbc, Date: 2019-01-14  Authors: saheli roy choudhury, munshi ahmed, bloomberg, getty images
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China’s overseas investment into North America and Europe falls 73 percent in 2018, survey shows

After taking divestitures into account, net Chinese FDI flows into the United States actually turned negative. Investment into the United States fell by 83 percent but, by contrast, grew by 80 percent into Canada. In Europe, despite an overall decline, Chinese FDI into countries like Germany, France and Spain also actually grew. Tougher regulatory scrutiny also led to the cancellation of 14 Chinese investment deals in North America, with a combined value of $4 billion, and seven in Europe worth


After taking divestitures into account, net Chinese FDI flows into the United States actually turned negative. Investment into the United States fell by 83 percent but, by contrast, grew by 80 percent into Canada. In Europe, despite an overall decline, Chinese FDI into countries like Germany, France and Spain also actually grew. Tougher regulatory scrutiny also led to the cancellation of 14 Chinese investment deals in North America, with a combined value of $4 billion, and seven in Europe worth
China’s overseas investment into North America and Europe falls 73 percent in 2018, survey shows Cached Page below :
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China's overseas investment into North America and Europe falls 73 percent in 2018, survey shows

What does China own in the US? 9:03 AM ET Thu, 10 Jan 2019 | 04:39

Chinese foreign direct investment into North America and Europe fell by 73 percent to a six-year low last year as the United States tightened scrutiny of deals and Chinese restrictions on outbound investment bit, law firm Baker & McKenzie said.

The figures reflected the impact of escalating trade and political friction between Washington and Beijing. After taking divestitures into account, net Chinese FDI flows into the United States actually turned negative.

Investment into the United States fell by 83 percent but, by contrast, grew by 80 percent into Canada. In Europe, despite an overall decline, Chinese FDI into countries like Germany, France and Spain also actually grew.

Completed Chinese FDI deals in the two Western regions fell to $30 billion in 2018 from $111 billion the year before, Baker & McKenzie said in a report prepared with research firm Rhodium Group.

Even after stripping out the effect of the $43 billion takeover of Syngenta by ChemChina in 2017, the underlying drop in deal volumes was 40 percent.

Tougher regulatory scrutiny also led to the cancellation of 14 Chinese investment deals in North America, with a combined value of $4 billion, and seven in Europe worth $1.5 billion.

“Some deals are still getting done despite new investment screening regulations, trade tensions and Chinese investment controls,” said Michael DeFranco, global head of M&A at Baker McKenzie.

“But all parties in a prospective transaction need to conduct plenty of due diligence and take in-depth regulatory advice to assess if a deal is viable.”


Company: cnbc, Activity: cnbc, Date: 2019-01-14
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PG&E stock crashes 52% as utility says it will file for bankruptcy because of wildfires liability

PG&E Corp. stock cratered Monday after the company said it will file for Chapter 11 bankruptcy protection amid the financial anguish stemming from its part in helping spark a wave of historic wildfires in California. Shares of the company plunged 52 percent to $8.38 per share Monday, one day after the company said Chief Executive Geisha Williams was stepping down. The stock has lost more than 80 percent of its value over the last three months. The company, California’s largest investor-owned uti


PG&E Corp. stock cratered Monday after the company said it will file for Chapter 11 bankruptcy protection amid the financial anguish stemming from its part in helping spark a wave of historic wildfires in California. Shares of the company plunged 52 percent to $8.38 per share Monday, one day after the company said Chief Executive Geisha Williams was stepping down. The stock has lost more than 80 percent of its value over the last three months. The company, California’s largest investor-owned uti
PG&E stock crashes 52% as utility says it will file for bankruptcy because of wildfires liability Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-01-14  Authors: thomas franck, karl mondon, digital first media, getty images
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PG&E stock crashes 52% as utility says it will file for bankruptcy because of wildfires liability

PG&E Corp. stock cratered Monday after the company said it will file for Chapter 11 bankruptcy protection amid the financial anguish stemming from its part in helping spark a wave of historic wildfires in California.

Shares of the company plunged 52 percent to $8.38 per share Monday, one day after the company said Chief Executive Geisha Williams was stepping down. The stock has lost more than 80 percent of its value over the last three months. The market value of the company has declined more than $30 billion to about $4.7 billion from a peak over $36 billion in 2017, a loss equivalent to the size of eBay.

Decline in PG&E’s Market Value

Source: FactSet

The company provided official 15-day advance notice that it and its wholly owned subsidiary, Pacific Gas and Electric, intend to file petitions to reorganize under Chapter 11 of the U.S. Bankruptcy Code on or about Jan. 29.

The company, California’s largest investor-owned utility, has 16 million customers across a 70,000-square-mile service area in Northern and Central California. There was some speculation that PG&E was bluffing in order to force aid from California. CNBC’s David Faber said that sources told him that is not the case.

PG&E faces at least $30 billion in potential liability costs stemming from wildfires in 2017 and 2018, many allegedly started by the company’s equipment, that have led state officials to doubt the safety of the company’s electric distribution system.

Investigators have already determined PG&E’s equipment liable in at least 17 major wildfires in 2017. State investigators are still working to determine if the company’s equipment was partly responsible for November’s Camp Fire, which killed at least 86 people and destroyed about 14,000 homes, making it the state’s deadliest fire.


Company: cnbc, Activity: cnbc, Date: 2019-01-14  Authors: thomas franck, karl mondon, digital first media, getty images
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Saudi Arabia to set up $10 billion oil refinery in Pakistan

Saudi Arabia plans to set up a $10 billion oil refinery in Pakistan’s deepwater port of Gwadar, the Saudi energy minister said on Saturday, speaking at the Indian Ocean port that is being developed with the help of China. Pakistan wants to attract investment and other financial support to tackle a soaring current account deficit caused partly by rising oil prices. Last year, Saudi Arabia offered Pakistan a $6 billion package that included help to finance crude imports. “Saudi Arabia wants to mak


Saudi Arabia plans to set up a $10 billion oil refinery in Pakistan’s deepwater port of Gwadar, the Saudi energy minister said on Saturday, speaking at the Indian Ocean port that is being developed with the help of China. Pakistan wants to attract investment and other financial support to tackle a soaring current account deficit caused partly by rising oil prices. Last year, Saudi Arabia offered Pakistan a $6 billion package that included help to finance crude imports. “Saudi Arabia wants to mak
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Company: cnbc, Activity: cnbc, Date: 2019-01-13  Authors: heinz-peter bader
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Saudi Arabia to set up $10 billion oil refinery in Pakistan

Saudi Arabia plans to set up a $10 billion oil refinery in Pakistan’s deepwater port of Gwadar, the Saudi energy minister said on Saturday, speaking at the Indian Ocean port that is being developed with the help of China.

Pakistan wants to attract investment and other financial support to tackle a soaring current account deficit caused partly by rising oil prices. Last year, Saudi Arabia offered Pakistan a $6 billion package that included help to finance crude imports.

“Saudi Arabia wants to make Pakistan’s economic development stable throughestablishing an oil refinery and partnership with Pakistan in the China Pakistan Economic Corridor,” Saudi Energy Khalid al-Falih told reporters in Gwadar.

He said Crown Prince Mohammad bin Salman would visit Pakistan in February to sign the agreement. The minister added that Saudi Arabia would also invest in other sectors.

Beijing has pledged $60 billion as part of the China Pakistan Economic Corridor (CPEC) that involves building power stations, major highways, new and upgraded railways and higher capacity ports, to help turn Pakistan into a major overland route linking western China to the world.


Company: cnbc, Activity: cnbc, Date: 2019-01-13  Authors: heinz-peter bader
Keywords: news, cnbc, companies, help, pakistan, refinery, billion, wants, economic, arabia, oil, saudi, china, set


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