REPEAT-PREVIEW-APEC energy leaders eye Gulf spill impact at

(This is a repeat of an item issued on Thursday)

* What: APEC energy ministers and senior officials meet

* When and Where: Fukui city, northwestern Japan, June 19

* New exploration regulations, volatile oil prices in focus

* Talks include alternative energy, eco-friendly technology

By James Topham

TOKYO, June 17 (BestGrowthStock) – Crude oil drilling regulations,
volatile oil futures and greater use of eco-friendly energy
will form the focus of talks between energy ministers and
senior officials of the Asia-Pacific region at a meeting on

New exploration rules set to be introduced by the Obama
administration following the largest oil spill in U.S. history
and their global repercussions will be on the minds of members
of the Asia-Pacific Economic Cooperation (APEC) forum.

“Increased drilling concerns will certainly lead
governments to take preventive measures that will increase
production costs, and, as an end result, lift oil prices,” said
Osamu Fujisawa, a Japan-based oil economist at industry
consultants FE Associates.

Escalating costs of securing future oil supplies will step
up pressure on governments in the 21-member group, who account
for nearly two-thirds of the world’s energy demand, to focus on
expanding use from other energy sources.

Many developed countries are actively working to export
their clean energy technology to energy-hungry emerging
economies, as part of global efforts to reduce CO2 emissions.

Energy ministers from APEC, which ranges from economic
giants the United States, Japan and China to oil-rich Brunei,
will hold a one-day gathering in Fukui city, northwest Japan,
that will feed into the APEC leaders’ meeting in Yokohama in

The meeting comes as the energy industry wrestles with the
ramifications of the Gulf of Mexico oil spill after a well
blowout destroyed a BP (BP.L: ) rig, prompting Washington to
crack down on offshore deepwater drilling. [ID:nN15112656]

For a factbox on energy profiles of APEC members, click:

For a graphic on top APEC energy consumers and oil
reserves, click:


There has been little immediate impact on crude supplies,
but the prospect of higher exploration costs in similar areas
home to most of the world’s untapped supplies could curb
availability later, analysts say.

A six-month moratorium on further drilling in the Gulf of
Mexico could be the prelude to more steps to limit domestic oil
output in the world’s largest energy consumer.

The United States has seen oil demand rebound this year
following a steep fall during the global financial crisis, and
that jump in turn has pulled up oil prices along with it.

Front-month prices for U.S. benchmark NYMEX crude (CLc1: )
stood at more than $77 on Thursday, more than double a December
2008 low below $33, but near the mid-range of volatile trade
over the past two months amid an uneven global economic

Officials in Fukui are also due to discuss measures to
steady oil prices, perhaps through tighter curbs, at a time
when moves to impose stricter rules in the U.S and British
financial markets could prompt players to take their trading

Earlier this week the Singapore Mercantile Exchange (SMX)
announced plans to become the first bourse to trade oil priced
in euros, allowing market participants to hedge energy and
currency exposure simultaneously in Asian trading hours.

Talks on cooperation in strategic oil reserves, and
adoption of renewable energy, nuclear power and carbon capture
and storage technology, are also due among the group, which
accounts for 40 percent of global population and nearly half of
world trade.

“The Japanese government has made efforts to introduce
domestic energy conservation technology and build new power
points overseas a priority, so I expect those topics to be
pushed during the meeting,” said Fujisawa at FE Associates.

Private sector speakers at the gathering include top
officials from Japanese electronics maker Panasonic Corp
(6752.T: ), oil major ExxonMobil (XOM.N: ) and Malaysia’s largest
power producer, Tenaga Nasional (TENA.KL: ).

APEC groups Australia, Brunei, Canada, Chile, China, Hong
Kong, Indonesia, Japan, South Korea, Malaysia, Mexico, New
Zealand, Papua New Guinea, Peru, the Philippines, Russia,
Singapore, Thailand, Taiwan, the United States and Vietnam.


(Additional reporting by Osamu Tsukimori)
(Editing by Clarence Fernandez)

REPEAT-PREVIEW-APEC energy leaders eye Gulf spill impact at