Russia's Ukraine invasion supercharges push to make a new green fuel

 A nearly 450% jump in European gas prices the past year made the green fuel of the future cost-competitive about a decade ahead of schedule

Europe’s push to wean itself off Russian natural gas is sparking billions of dollars in new commitments toward building a market for low-carbon hydrogen. A nearly 450% jump in European gas prices the past year made the green fuel of the future cost-competitive about a decade ahead of schedule, according to BloombergNEF. Now, investment funds are joining governments and utilities in ambitious plans to make hydrogen a viable substitute for fossil fuels in manufacturing, transportation and heating. “It’s kind of a tipping point,” said Phil Caldwell, chief executive officer at Ceres Power Holdings Plc, a U. K.-based hydrogen technology company. “You’re going to see that capital coming in on a big scale now. There’s no turning back.”

Russia is ostracized on the world stage for invading Ukraine, but some of the harshest critics still need its oil and gas to keep their economies running. Europe is quickening efforts to break that addiction, with Fortescue Metals Group Ltd. planning a $50 billion project for the hydrogen supply chain with German energy giant E. On SE; Norway’s Scatec ASA building a $5 billion production plant; and investment fund Hy24 earmarking $1.6 billion for infrastructure….

Ukraine conflict: Oil surges on Russia nuclear alert as sanctions intensify

 The nuclear alert and bank payment constraints heightened fears that oil supplies from the world’s second-largest producer could be disrupted

Oil prices jumped more than $7 in early trade on Monday after Russian President Vladimir Putin put the country’s nuclear deterrent on high alert in the face of Western nations and Japan stepping up sanctions against Russian banks.

The nuclear alert and bank payment constraints heightened fears that oil supplies from the world’s second-largest producer could be disrupted as Russia digs in following its invasion of neighbouring Ukraine conflict. Brent crude futures were up $5.46 or 5.6%, at $103.39 at 2331 GMT, after hitting a high of $105.07 a barrel shortly after trade opened. Last week the benchmark contract hit a more than seven-year high of $105.79 after the invasion began.

U.S. West Texas Intermediate (WTI) crude futures were up $5.64, or 6.2%, at $97.23 a barrel, after hitting a high of $99.10 shortly after opening. WTI hit a high of $100.54 last week. Putin raised the stakes on Sunday, ordering Russia’s “deterrence forces” – which wield nuclear weapons – onto high alert, citing aggressive statements by NATO leadrs and the range of economic sanctions imposed on Russia by the West….

Jio Platforms now more valuable than rest of RIL businesses put together

At Wednesday’s price, RIL’s market capitalisation stood at Rs 8.64 trillion. This means, the other businesses are being valued by the Street at Rs 4.28 trillion

Reliance Industries’ (RIL’s) deal with Facebook to sell 9.99 per cent in Jio Platforms has two messages for the oil to telecom major’s shareholders. The key one is that Jio Platforms is now more valuable than all other businesses of RIL put together, including refining, petrochemicals and retail.

Consider this: Facebook is buying 9.99 per cent stake in Jio Platforms, a 100 per cent subsidiary of RIL, for Rs 43,574 crore. This translates into a market/equity value of Rs 4.36 trillion for Jio Platforms. RIL’s stock gained over 10 per cent after the deal was announced. At Wednesday’s price, RIL’s market capitalisation stood at Rs 8.64 trillion. This means, the other businesses are being valued by the Street at Rs 4.28 trillion.

ALSO READ: Why Facebook is spending billions for a minority stake in Reliance Jio

The other message is that the deal has kick-started the monetisation of digital assets and will help RIL reduce debt, create an incremental revenue stream and could lead to higher valuations for its consumer facing verticals, especially Reliance Retail. The news of falling leverage levels is positive as it came at a time when its core oil and gas vertical was facing major headwinds because of the collapse of crude oil prices. This had raised concerns over the completion of the deal with Aramco, wherein the world’s biggest oil producer was looking at picking up 20 per cent stake in RIL’s chemical and refining business in a deal valued at $15 billion. With the fresh investment from Facebook, leverage concerns have receded…