Port Augusta Power Stations and Leigh Creek coal mine expected to close by 2018 costing about 440-jobs

Port-augusta-power-stations-and-leigh-creek-coal-mine-expected-to-close-by-2018-costing-about-440-jobs Backlash forces Government to change plans for controversial O-Bahn extension project Sheradyn Holderhead and Anthony Templeton The Advertiser June 10, 2015 Adelaide's O-Bahn redevelopment fly through - New look •See what was in the old O-Bahn tunnel plan here • Council refuses to endorse O-Bahn tunnel • BusinessSA wants O-Bahn plan scrapped RYMILL Park has been saved and Rundle Rd retained after the State Government backed down on the most controversial aspects of its $160 million O-Bahn extension. Changes to the O-Bahn extension — as first revealed exclusively in The Advertiser today — include retaining Rundle Rd in its current form, extending the underground component of the bus tunnel so it surfaces 140m closer to Grenfell St, creating an extra 50 car parks on East Tce and Rundle Rd, and removing the barrier between the bus tunnels to reduce the footprint. This follows yesterday’s confirmation that a new city school will be established around a UniSA building on Frome Rd, as first revealed by The Advertiser last month, instead of on the old Royal Adelaide Hospital site as promised. Sources say the O-Bahn changes will be considered a win for residents, community and business leaders who campaigned strongly against a proposal they said would “butcher” the popular park. Transport Minister Stephen Mullighan said the State Government made changes to the O-Bahn project to reduce its impact on Rymill Park and the East End.

Crunch time coming for Saudi campaign as options narrow in Yemen

Crunch time coming for Saudi campaign as options narrow in Yemen Thu, Jun 11 11:25 AM EDT image 1 of 5 By Angus McDowall NAJRAN, Saudi Arabia (Reuters) - After 11 weeks of air strikes that have failed to change the balance of power in Yemen, Saudi Arabia is running out of options to restore President Abd-Rabbu Mansour Hadi's exiled government to Sanaa. Despite the destruction of much of their heavy weaponry, the Houthi militia and army forces loyal to former president Ali Abdullah Saleh control most of the country's populated west and still daily attack Saudi territory with mortar fire or missiles. The possibility of a ground operation in support of the ragtag local groups still fighting the Houthis in Aden, Taiz, Marib and al-Dhala appears to have been discounted by the Saudis and their allies in an Arab coalition from early on. Riyadh may soon have to face an unpalatable choice: accept the de facto control of its foes over Sanaa and cut a deal, or keep fighting with the risk of Yemen sinking into total chaos, becoming a permanent threat to Saudi security. U.N.-sponsored talks start in Geneva next week aimed at ending almost two months of war, which has killed more than 2,500 people, but there is little sign either Hadi or the Iranian-backed Houthis are ready to make compromises. From a small frontier post on a desolate, windswept plateau overlooking the Saudi border town of Najran, the distant crump of explosions reminds the handful of soldiers surrounding two armored cars that the Houthis remain entrenched nearby. A mortar fell only 100 meters from their post a few hours earlier, the soldiers said, peering through binoculars at a flat-topped Yemeni mountain, dim in the ghostly afternoon haze. Each night they watch the blasts from Saudi shells and missiles. That the militia's fighters have been able to continue lobbing mortar shells at Saudi border posts, killing over a dozen Saudi troops, shows how hard it is for even a superbly equipped military to defeat such mobile guerrilla forces. Recent suicide attacks and shootings inside the kingdom also reveal the danger posed to Riyadh by Sunni Muslim jihadists, who have taken advantage of Yemen's chaos to consolidate a presence on the other side of the long, porous border. Avoiding such disintegration in Yemen was a leading war aim of Riyadh, which believed the Houthi advance would accelerate sectarian divisions and end a Gulf-backed political process aimed at creating a stable, representative government. "The U.S. is pushing the Saudis to accept talks but they are reluctant because they are in such a weak position on the ground in Yemen," said a diplomat who follows the matter closely. IRAN Despite the fading prospect of political or military success inside Yemen, Saudi Arabia may still see its campaign as ultimately worthwhile for one big reason: Iran. For years Riyadh has accused Iran of meddling in Yemen by backing the Houthi militia. Its accusations became louder when the Houthis exploited wider chaos last year to advance from its northern stronghold to the capital Sanaa, and then overrun the government and push south. Most analysts believe Saudi fears of Iranian involvement in Yemen are overblown, and say Tehran has little control over the Houthis, but in the crucible of a wider struggle for influence, Riyadh could not accept its foe gaining power in Sanaa. An Iranian member of parliament's boast last year that Sanaa had become the fourth Arab capital to fall to Tehran's influence after Baghdad, Beirut and Damascus when the Houthis took the city seemed to confirm Saudi fears. When daily direct flights started between Tehran and Houthi-controlled Sanaa in January, Riyadh believed they were carrying weapons and other materiel that would ultimately threaten the kingdom directly. It was a turning point in their approach. "You have to remember the situation three months ago. Without strikes, the Houthis would be everywhere. The Iranians would be more present than ever before. Right or wrong, this was their feeling," said a Gulf-based diplomat on Saudi thinking. However, most senior Saudi figures now accept the military campaign can achieve little more and it is time for talks, even though the Houthis and Saleh hold the strongest cards by controlling swathes of Yemen, the diplomat said. NEGOTIATIONS Both Riyadh and Hadi's exiled government are increasingly calling for the international community to enforce U.N. Security Council resolution 2216, which was approved in April and demands the Houthis quit Yemeni cities and hand over their arms. "It is the responsibility of the international community and the security council," said Brigadier General Ahmed Asseri, the spokesman for the Saudi-led coalition, citing the example of Iraq's expulsion from Kuwait in 1991. He added the coalition was focused on implementing 2216 because it offered the best chance of stabilizing Yemen long term. "It should be implemented to make sure of a final result to this situation. We have to think strategically," he said. From the border post, where a tangle of scrub is the only sign of life on a steep slope of car-sized, pebble-smooth boulders, the chances of international intervention against a guerrilla army in Yemen's messy civil war look slim. Riyadh is working with the exiled government to train some Yemeni fighters, but creating a proxy army that could roll back the Houthis and then establish stability would be a long-term undertaking with only precarious chances of success. However, Saudi Arabia's continued bombing and insistence on implementation of 2216, which would in effect require surrender by the Houthis and Saleh, may be simply a precursor to talks, said the Gulf-based diplomat. Riyadh has acknowledged from the beginning that the Houthis will be part of any eventual political settlement, but wanted them to be a minor player rather than a dominant one and for Hadi's government to return to Sanaa. However, they may accept a deal that gives the exiled government some form of token return, alongside the Houthis, so long as the group's material links to Iran remain severed. "From Saudi Arabia's point of view, that would mean the situation in Yemen was better than before its air strikes began," the diplomat said. (Reporting By Angus McDowall, Editing by William Maclean and Crispian Balmer) #saparli Port Augusta power stations and Leigh Creek coal mine expected to

3 tips for building a prosperous real estate business

What does it take to be a successful agent? Jim Messner by Jim Messner JGMessner@Gmail.com Jim_Messner May 20, 2015 As a manager and past owner of my real estate business, I am often asked, “What does it take to be a success as a real estate agent?” As you might know, this is a deep subject; however, my first three tips are as follows: 1. Do not be a secret agent. You must build a database, and it should at least be on your computer. Better yet, it should be in a CRM (customer relationship management) program so that you can better track and keep current with tasks. You need this so that you can perform well in conversations and build your business by increasing sales. Start by considering who you know now, and think about who they might know? This brainstorming is a form of networking, and it is a valuable strategy to have in your toolbox to increase your income. There’s an old saying: “If it’s not written down, then it doesn’t exist.” I personally have seen how that applies here. Build that database and start off by making good notes on each person on how you know them. Add in names of their family members (be sure to ask how they are), and add any details from your previous conversations, so that you can refresh your memory before talking with them next time. Don’t forget to include what they see as important. Things like being a fan of a particular sport or where they work are excellent topics for conversations later. After living in the same city most of my life, I even went as far as reading the white pages of the local phone book. I did this three different times. It almost put me to sleep each and every time. There were plenty of days involved, and I slept so well those nights. It amazed me how many names I found. I came across people that were old friends, past associates in my former career, good contacts from my childhood, schools, sports and social life. I had forgotten about every one of them. Never stop building your database. Making your database is a career-long task that ties directly to your income level. It is likely the most valuable part of your business, so stay on it always. 2. Connect with something of value. This is especially true when you are reaching out to someone you don’t know well or haven’t talked with in a long time. It is always best to have something that they will see as valuable. You need to share it with them. Ask yourself, “What makes me valuable to others even when they are not buying or selling a home?” Another item to consider and determine is: “What makes me unique that makes me different and memorable to others in my marketplace?” This, too, should be directly tied to something of value that you offer potential clients. Another strategy is to have something that will interest them when you call. Bring that into the conversation at the appropriate time. This detail could be as simple as an article in a magazine that you read. Perhaps it reminded you of their young son who wanted to be an NHL hockey star someday. You could start your conversation off with something like this: “I saw an article in the (name of magazine) this morning, and it made me think of you and your son, Johnny.” Then state, “I thought I should give you a call — how is Johnny doing anyhow?” First, this will give you a valued reason to call them, and second, it will show them that you care about them. In this case, it was their son. Why is that so important? It shows them that you remember what is important to them. Be sure to ask how both he/she and Johnny are doing, and offer to send them a copy of the article. Do not use this type of conversation to sell your services. Be a caring human being, a friend — not a pushy salesperson. Remember that “business is built on relationships.” Ensure that you build that relationship. It works better once it includes a level of trust before you try to sell them anything. Think about what makes you unique and of value in the eyes of others. I say this because, after all, what they think is what counts. Our thoughts and ideas on this are useless if they do not see it the same way. Using one or more means of communication helps you to stay in touch with the people in your database. Make sure to always have something of personal interest to them and something of value. Try to automate this as best as possible to save yourself time. Automation is a form of a system. In business, systems are valuable tools for you to incorporate. Everything you do should be done with the mindset of converting it at some point with a face-to-face meeting. That is your goal. Meet with as many people face to face as you can. Concentrate on ones who are well-connected because of their personality or through their work or hobby. People who know lots of others can be priceless to your business. In fact, consider building an A-list. The people in this list are either very well-connected, willing to help or perhaps thinking of a move in the near future. Pay attention to these people, and be generous with your time in this area. Focus on the ones who might be considering a “lifestyle change.” It might be a career transfer or a move. It could be a conversation where something such as retirement, divorce, moving to a lodge or even death. People often move when the children move out of the nest, too. The closer you stay in touch — the better. This way, you hedge and leverage your bets on being in the know at the right time, which, in turn, can mean future business. After all, your primary purpose is to help solve other people’s problems in this area, so don’t feel bad about knowing about it in advance, and stay in touch. Social media, newsletters and mail can be good things. However, take notice that they are no replacement for the telephone conversation and face-to-face meetings. When you get the meeting, make sure that they know you care about their current situation. Never sell to them unless you know that they are in the market for your services. On the other hand, do not be afraid to invite business either. When you are in a conversation, find the appropriate time to ask if they know of anyone who might be in the market to buy or sell a home. Those words include them, as well, but you are directing the question at people they know. Not asking this question means you could be missing out on tens of thousands of dollars in referral-based income each year. Stay in touch on a regular basis without becoming a nuisance. Don’t be afraid to ask for permission to do this. If you are using email then beware, as approval is becoming a requirement in some jurisdictions. Be professional and make sure you are not breaking the law in your market or pestering someone who does not want to hear from you. 3. You are the CEO of your own business. You must treat your real estate practice as a business. In fact, I would go as far to say when someone asks, “What do you do?” to reply with “I own a real estate business.” The more you talk like that, the more your inner self will realize it, and then you will begin to act confidently like the business professional that you need to be. Many times, I see Realtors treating their careers as a job. This is a mistake that you do not want to make. If you treat your business like a job, you might as well go and work for someone else and get an hourly wage that you can always count on — even if it’s nowhere near what you might make in real estate. To be successful, you must understand early on that you need to work on your business, not just in your business. On any given day, I would say that most successful agents spend at least 20 percent of their time working on their business, and sometimes much more. This is because one needs to build suitable systems and strategies to become successful and then stay successful. If you think of yourself as an employee, you will likely spend your days acting within the “Fire Hall Principle.” This is a reactive mindset of only putting out fires and trying to keep up with the work that others dictate to you. Sound familiar? If you are running a business, you are in more of a preventative mode. You will take responsibility for ensuring the top income-producing tasks get done first. You will choose to learn. You will build systems and strategies to build the business and make it efficient within its budget. You will serve your clients’ needs before they even ask, and you will begin to “wow” them. A business is a professional entity, and in real estate you have a lot of competition. Start properly, and do it with the right mindset out of the starting gate if you can. If you are already in the business and need to make changes, consider these tips first. I have only skimmed the top of these important issues. There is a lot more involved, and future articles will dig deeper into the reasons, the methods and the strategies. I love business, and I love real estate. More than anything, I love helping others to become successful, and I look forward to sharing more with you in future articles. Feel free to connect with me anytime. Jim Messner is the business coach and manager of business development at Royal Lepage Integrity Real Estate located in the Greater Calgary, Alberta, area of Canada. He loves networking — follow him on Twitter and LinkedIn. Email Jim Messner.

Gunvor, Vitol place lowest offers for Pakistan gasoline tender Thu, May 21 06:06 AM EDT SINGAPORE, May 21 (Reuters) - Oil traders Gunvor and Vitol placed the lowest offers for a tender by Pakistan State Oil Co seeking 600,000 tonnes of gasoline for delivery over May to August, industry sources said. Gunvor placed the lowest offer for 10 out of 12 cargoes while Vitol placed the lowest offer for two other cargoes, they said. PSO sought six cargoes of 50,000 tonnes each of 87-octane gasoline for delivery over May 25 to June 30 and six cargoes of 50,000 tonnes each for delivery over July 1 to Aug. 15. Vitol and Gunvor placed the lowest offers for the cargoes loading over May to June at premiums ranging from $98.73 a tonne over Middle East naphtha quotes to $108.70 a tonne, on a free-on-board (FOB) Sohar or Fujairah basis, one of the sources said. Gunvor placed the lowest offers for all six cargoes to be delivered over July to August at premiums ranging from $91.70 a tonne to $99.50 a tonne, the source added. The tender, which closed on May 18, is valid until May 23. Separately, PSO cancelled a gasoil tender seeking 50,000 tonnes of 0.5 percent sulphur gasoil for delivery into Karachi over May 22 to May 24 as only one offer was received, a second source said. The company will evaluate its supply and demand situation and decide if it will re-issue the tender, the source said. Pakistan's oil product requirements are spiking during the summer due to increasing temperatures as use of oil for power generation increases, causing gasoline use in smaller power generators to go up, sources have said. (Reporting by Jessica Jaganathan; Editing by Prateek Chatterjee)

Oil and gas: Jurisdiction claim delays exploration in Balochistan

Oil and gas: Jurisdiction claim delays exploration in Balochistan By Qaiser Butt Published: June 3, 2015 23 SHARES Share Tweet Email The dispute erupted several months ago when the provincial government noticed that the federal petroleum ministry was issuing oil and gas exploration licences in violation of the 18th Amendment to the Constitution. PHOTO: FILE The dispute erupted several months ago when the provincial government noticed that the federal petroleum ministry was issuing oil and gas exploration licences in violation of the 18th Amendment to the Constitution. PHOTO: FILE ISLAMABAD: The Balochistan government’s attempts to assert what it believes is its constitutional right over exploration of oil and gas in the province are resulting in frayed relations between Quetta and Islamabad and causing delay in drilling of wells by both local and foreign energy companies. “The provincial government is insisting on the recognition of its constitutional right, by the Ministry of Petroleum and Natural Resources, to award licences to oil and gas exploration companies,” said a senior ministry official. “The ball is in the court of the provincial government,” the ministry official said, adding State Minister for Petroleum Jam Kamal Khan was scheduled to hold discussions with Balochistan Chief Secretary Saifullah Chattha in the next few days. Chattha has been appointed by Balochistan Chief Minister Abdul Malik Baloch as the focal person that will discuss and try to settle all matters relating to natural resources. Meanwhile, both domestic and foreign oil and gas companies seeking to conduct exploration activities in the province have been facing delays after Quetta sent an order to all deputy commissioners (the top bureaucrats in every district), preventing them from allowing surveys by companies that do not have a no-objection certificate (NOC) from the provincial government. Balochistan Home Secretary Akbar Hussain Durrani said the provincial government would extend cooperation to all energy companies that could present an NOC to the deputy commissioners. However, some companies – both domestic and foreign – have found their applications for an NOC denied by Quetta and have approached the federal petroleum ministry in Islamabad for help. The matter became the subject of a marathon meeting between the Balochistan chief minister and the federal state minister for petroleum at the Balochistan House in Islamabad more than a month ago. Managing directors of the federally-owned Oil and Gas Development Company (OGDC) and Pakistan Petroleum were also present, who told Abdul Malik Baloch about the difficulties being faced by their survey teams. At the conclusion of the meeting, the matter appeared resolved, but within a couple of days, a few provincial officials refused to honour the commitments made by the chief minister, forcing Jam Kamal Khan to meet Baloch once again. The chief minister assured the federal minister of his cooperation in resolving the dispute swiftly, but the matter drags on. As a result, many energy companies, including OGDC, have been unable to begin work on new exploration projects in Balochistan. Despite more than a month of negotiations between Islamabad and Quetta, the two sides have not been able to reach an agreement thus far. The dispute erupted several months ago when the provincial government noticed that the federal petroleum ministry was issuing oil and gas exploration licences in violation of the 18th Amendment to the Constitution, which gives dual jurisdiction over hydrocarbon blocks to Islamabad and the provinces. “The Balochistan government demands that the federal ministry must consult it before allotting exploration blocks to energy companies,” Jan Buledi, Balochistan government’s spokesman told The Express Tribune a few weeks ago. Published in The Express Tribune, June 3rd, 2015. Like Business on Facebook, follow @TribuneBiz on Twitter to stay informed and join in the conversation.

Dollar stands tall, Asian shares slip

Tue, Jun 02 03:00 AM EDT image By Lisa Twaronite TOKYO (Reuters) - The dollar ascended to a new 12-1/2-year peak against the yen on Tuesday, while Asian shares fell for a second day as the stronger greenback pressured commodity prices. But financial spreadbetters predicted a brighter day in Europe, with Britain's FTSE 100 and Germany's DAX both seen opening up as much as 0.2 percent, and France's CAC 40 as much as 0.3 percent. "Ahead of European trade we are calling the major bourses firmer, with Greece headlines likely to remain the dominant theme," IG market strategist Stan Shamu wrote in a note. The dollar rose as high as 125.07 yen, its loftiest since late 2002, before retracing to stand at 124.66 yen, down about 0.1 percent on the day, after a spate of mostly upbeat U.S. data reinforced expectations that the Federal Reserve would raise interest rates this year. "The rise in the dollar against the yen has been steep but sentiment favors testing new highs rather than consolidating," said Kyosuke Suzuki, director of forex at Societe Generale in Tokyo. MSCI's broadest index of Asia-Pacific shares outside Japan was down about 0.8 percent, falling for the second day and touching its lowest intraday level since April 3, while Japan's Nikkei stock index erased earlier gains and slipped 0.1 percent, snapping its 12-day winning streak that was the longest since February 1988. Australian shares skidded about 1.7 percent, pressured by weaker commodities. The Reserve Bank of Australia kept rates on hold at a record low of 2.0 percent at its latest policy meeting on Tuesday as expected, but the Australian dollar surged more than 1 percent on the day after the RBA did not include an explicit bias to ease again. On Wall Street on Monday, U.S. stocks began the month with modest gains after the data. Consumer spending remained flat in April, but construction spending and manufacturing gained momentum, backing the view that the U.S. central bank is on track to begin to hike rates later this year. The economic reports helped U.S. Treasury yields rise to one-week highs, giving the greenback a lift. In Asian trading on Tuesday, the yield on benchmark 10-year notes stood at 2.186 percent, not far from the U.S. close of 2.192 percent on Monday. Boston Fed President Eric Rosengren, who is not a voting member of the Federal Open Market Committee, said on Monday he would like to begin raising rates as soon as possible, but also noted risks from the slowdown in China and Europe and the fact that U.S. growth is still not strong enough. Market participants awaited Friday's U.S. nonfarm payrolls report for a further gauge of the strength of employment conditions. The report is expected to show 225,000 jobs created in May, according to a Reuters poll of economists. Uncertainty about the outcome of Greece's financial negotiations continued to weigh on the euro, though hope for a resolution underpinned the common currency. It was last up about 0.2 percent at $1.0945. The leaders of Germany, France, the International Monetary Fund, the European Central Bank and the European Commission agreed at a meeting late on Monday to stay in close contact in the coming days to work on Greek debt negotiations, as Athens and its lenders struggled to reach deal that would prevent the country from defaulting on its debt. Greece is due to make a 300-million-euro ($327.93 million) repayment to the IMF on Friday. The euro was also pressured by business surveys that showed European manufacturing activity remained even more sluggish than its plodding global counterparts. An index tracking the dollar against a basket of six rival currencies edged down 0.1 percent on the day, to 97.271. The bleak global factory outlook combined with the firmer dollar to hit prices of dollar-denominated commodities, though they steadied in late Asian trade. Copper erased losses and added about 0.2 percent to $6,034 a metric ton, moving away from a six-week low of $5,985 hit on Monday. U.S. crude oil futures were last up about 0.2 percent in Asian trading at $60.33 a barrel, after plunging more than 1 percent at one point on Monday. Brent crude futures also added about 0.2 percent to $65.00. (Additional reporting by Shinichi Saoshiro in Tokyo; Editing by Kim Coghill) ======================= Oil prices crisis: Saudi Arabia's reserves lost $49 bn in four months, says report By AFP Published: June 1, 2015 RIYADH: Saudi Arabia’s foreign currency reserves dropped by $49 billion in the first four months of 2015 following the dive in world oil prices, a report said Monday. The reserves, piled up in the past decade due to high crude prices, dropped from $732 billion at the end of 2014 to $683 billion at the end of April, Saudi firm Jadwa Research said in a report. In March and April alone, the reserves dipped $31 billion, it said. Oil prices crashed from around $115 a barrel in June last year to just $46 a barrel in January before recovering to around $65 a barrel. Read: New Saudi leaders to press efforts to diversify economy Oil income makes up over 90 per cent of Saudi public revenues. The world’s largest exporter is currently pumping 10.3 million barrels per day. Jadwa also forecast that the kingdom will post a budget deficit of $107.7 billion in 2015, compared with government projections of $39 billion. This is mainly due to a 39 per cent decline in oil revenues to $171.8 billion, from $285 billion last year, while spending remains high. In its regional economic outlook last month, the International Monetary Fund estimated the oil price necessary to balance the Saudi budget at over $100 a barrel. Read: Saudi Arabia only provides economic assistance: FO A large chunk of the forecast deficit — around $30 billion — is a result of new King Salman having granted Saudi workers two months extra pay. The report did not take into account the eventual cost of the Saudi-led air war against rebels in neighbouring Yemen. ===================== 3:05 am ET Jun 5, 2015 COMMODITIES OPEC’s Meeting in Vienna — Live The Organization of the Petroleum Exporting Countries has held its semiannual meeting on Friday in Vienna. The key metric the market is looking for, OPEC’s production target, will remain as 30 million barrels a day, even there were some expectations that it could move higher. The meeting could mark the swansong of 79-year-old Ali al-Naimi, Saudi Arabia’s oil minister and the most influential voice in the world oil market. He’s previously indicated that he wants to retire. He was instrumental in OPEC refusing to step down production to boost oil prices last year. Ahead of the meeting, fund managers had been cutting their bets on oil, with hedge funds and others cutting their trading positions on Brent and WTI, a sign that they are losing patience. Since OPEC decided to keep production unchanged, oil’s been on the rise. Stick with us throughout the day as we live-blog the meeting with our team on the ground in Vienna and our markets team in London. And in case you’re new to this, here’s a cheat sheet on how the meetings work. Sort by:OldestNewest 10:14 pmPrices hold gains even on a rising greenbackby Nicole FriedmanAdd a Comment Oil prices hold their gains following the OPEC meeting despite a sharp rise in the U.S. dollar, which typically weighs on oil prices. Perhaps oil traders see the stronger-than-expected US jobs numbers as positive for gasoline demand, or maybe they’re just enjoying the clarity that another six months of status quo OPEC policy has given the market. WTI up 0.5% at $58.26/barrel, Brent up 0.5% at $62.37/barrel. 10:12 pmNo discussion on individual quotasby Nicole Friedman In its decision to keep its output ceiling unchanged, OPEC didn’t discuss returning to individual country quotas, Qatar’s oil minister says. That could suggest that the cartel is not preparing for a production cut at a future meeting. “One of the ways it would be easier for OPEC to pursue cuts at a later date would be individual country targets,” said Helima Croft, global head of commodity strategy at RBC Capital Markets, in an interview before the meeting. 10:09 pmOPEC's ceiling is a fictionby Michael Amon OPEC kept its ceiling at 30 million barrels a day Friday, but the ceiling is largely a fiction. The producer group is collectively pumping at about 31 million barrels a day, and Saudi Arabia and Iraq have ramped up their production greatly in recent months. Delegates leaving OPEC’s meeting said individual production quotas weren’t discussed. And OPEC Secretary General Abdallah Salem el-Badri said the production ceiling was an indicator, not a quota. 10:09 pmOil ministers are pleasedby Sarah Kent OPEC’s widely-expected move to keep its oil production ceiling unchanged has left everyone very happy, according to ministers filing out of the gathering. The officials gave away few details about how the meeting went, but many echoed how pleased they are with the outcome. It could be something to do with the bump it’s given oil prices. 10:08 pm'This isn't an attack on U.S. shale specifically'by Georgi Kantchev OPEC’s decision to keep its production target at 30 million barrels a day is not a surprise but a signal that the organization’s strategy is unchanged from November, says Dominic Haywood, oil analyst at Energy Aspects. “They want to maintain market share but this isn’t an attack on U.S. shale specifically,” Mr. Haywood says. “It is rather a broad decision by OPEC to no longer guarantee the returns of non-OPEC high cost production globally.” Still, he says, the U.S. shale industry is likely to suffer in the second half of this year as lower prices bite into companies’ profitability. 10:07 pmby Georgi Kantchev 9:52 pmBP and Shell are gaining on OPEC's decision to stand patby Chip Cummins BP (BP) and Shell (RDS) are both early gainers on OPEC’s decision to hold production flat. Investors in oil and oil companies started to get nervous early Friday on some talk outside the halls of OPEC the group would actually raise its ceiling—an aggressive signal that it was redoubling efforts at fighting for market share, no matter the price. OPEC can’t pump much more than it already is, but the fact it didn’t go that route put a floor under prices in early afternoon trading in London. Longer term, the decision could help sentiment. Big Oil has complained that OPEC’s recent abdication as swing producer has contributed to volatility, making it hard for companies to forecast prices and plan long-term projects. OPEC isn’t picking that role back up now, but at least it’s being consistent. 9:48 pmWhat will non-farm payrolls do? by Phillipa Leighton-Jones In case anyone had forgotten, it’s Jobs Friday in the U.S., with non-farm payrolls expected to come in at 225,000 jobs added in May, a slight increase from April’s 223,000 gain, and the unemployment rate to hold steady at 5.4%. The strength — or weakness — of that figure will have a direct impact on the dollar. A weak figure will bring out the dollar bears, and a good one the bulls, because it will indicate that the Fed’s Janet Yellen will be moving one step closer to increasing interest rates, a dollar positive. How does that impact oil? Well, oil’s priced in U.S. dollars, and follows the gyrations of the greenback. If the dollar goes up, the price of oil comes down. Here’s MoneyBeat’s Jobs Friday live blog. 9:45 pmShale has been much nimbler than OPEC probably hoped forby Chip Cummins The battle for global oil market share continues. After holding its output ceiling unchanged Friday, OPEC is giving its strategy of pump-‘til-you-drop another six months. When it first decided back in November to take a pass on the role of global swing producer, many expected the price drop to knock the legs out of those pesky U.S. shale drillers, who needed prices a lot higher than Saudi’s $7-a-barrel to profitably produce. But shale turned out to be nimbler than many expected—slashing drilling but moving those rigs that it kept working to its best deposits. Costs have shriveled, but output may not have all that much. Data is difficult, but the latest numbers shows overall U.S. production hasn’t fallen at all. Will that nimble response last another six months? (Photo: Getty Images) 9:42 pmWhat happens nowby Sarah Kent As smiling ministers trickle out from what Saudi oil minister Ali Al Naimi described as an “amicable” OPEC meeting, the official press conference is getting underway. In the basement of the Secretariat Secretary General Abdullah el badri will brief the press on what is already common knowledge: the group has decided to keep its official output ceiling unchanged. 9:34 pmProduction will in fact remain higher than that ceilingby Georgi Kantchev “No surprise, exactly what was expected,” says Marina Petroleka, head of oil & gas at BMI Research, after the OPEC decision to leave its output target unchanged. According to Ms. Petroleka, the cartel’s 30 million notional production target remains, but production will remain well above it – especially in the summer months as Middle East produces more to meet higher domestic demand. “Eyes are now to the next meeting in end November, depending on what happens with the Iranian nuclear negotiations. The next meeting could be where a lot more internal negotiation and change of policy may need to take place,” she said. 9:21 pmWhat happens to shale production now? by Bill Spindle OPEC’s decision to keep its same production ceiling–essentially a signal for members to pump as much as they like–sets up another several months of bruising market share battles in the global oil market, since U.S. production has yet to fall off significantly, as some had expected it would by now. Brent crude is at $62.46 per barrel, up 0.7% while Nymex is at $58.32, up 0.6%. (Photo: Chester Dawson/The Wall Street Journal) 9:16 pmHere's how oil's reacting by Georgi Kantchev Crude oil prices reversed course on Friday and moved higher after the Saudi Arabian oil minister said the world’s oil cartel will keep its production ceiling unchanged. Crude oil prices had been about 1% lower on the day in the morning session in Europe, but jumped abruptly as the OPEC news broke. Brent crude was up 0.7% on the day at $62.48 a barrel while WTI, the U.S. marker, was up 0.6% at $58.36 a barrel. 9:15 pmHolding steady, again, shows how OPEC's role has changed by Summer Said OPEC delegates said Friday the cartel would keep its collective output level unchanged at 30 million barrels a day, the second time in six months the cartel decided to take no action amid a global glut of crude and weak oil prices. In the past, the Organization of the Petroleum Exporting Countries—which pumps about one in three barrels of oil consumed each day–has throttled back on output to support prices. But in a break from that strategy, OPEC held production steady at its meeting in November. 9:13 pmby Sarah Kent 9:07 pmOil's on the riseby Georgi Kantchev 9:06 pmby Sarah Kent 9:04 pmHere's the big newsby Georgi Kantchev 8:37 pmby Sarah Kent 8:32 pmEnergy Journalby Phillipa Leighton-Jones Here’s today’s Energy Journal, outlining events so far at the OPEC meeting. Sign up here. 8:26 pmby Michael Amon 8:23 pm'Big Oil has tremendous interest in Iran'by Georgi Kantchev Apart from the OPEC meeting itself, a notable development this week has been the interest expressed by international oil companies towards Iran, says Marina Petroleka, head of oil & gas at BMI Research. This goes to show there is tremendous interest from all of the big companies to get back in, Mrs. Petroleka said. But first, Iran’s return to the global oil market – if the international sanctions are lifted this year – will have a downward impact on prices. “I would be interested to know if they discuss Iran post-sanctions during [the OPEC] meeting. I bet they will,” she said. 8:10 pmWhy Kuwait will struggle to meet its oil production targetby Summer Said Kuwait is still on target to up its production capacity from 3.2 million barrels a day to 4 million barrels by 2020, the country’s oil minister says, but officials have privately acknowledged the country won’t meet this goal. The Gulf state has faced delays on new projects over the years, many of which have been blamed on political disagreements over contracts awarded to foreign companies. Analysts say the country may be able to up its capacity to 3.5 million barrels a day at best by 2020. (Photo of Kuwaiti Oil Minister Ali Saleh al-Omair: AFP/Getty Images) 8:06 pmby Sarah Kent 8:05 pmby Lisa Fleisher 8:04 pmby Michael Amon 7:38 pmIs OPEC setting up expectations for a hike in production? by Georgi Kantchev Saudi Arabia’s oil minister has taken every opportunity to highlight that the fundamentals of the market remain excellent with a strong demand outlook. By doing so, Ali al-Naimi might have been setting the scene for a surprise announcement later today – that OPEC will increase its production quota, says Mark Henderson, analyst at Westhouse Securities. The oil market has been nervous over the past few days and Brent has fallen by around $5 a barrel as some fret about a possible negative surprise today. Still, the “important guys” within OPEC (Saudi Arabia, Kuwait, UAE) will seek to adopt a patient approach, Mr. Henderson says. 7:25 pmby Sarah Kent 7:24 pmby Sarah Kent 7:17 pmYou wanna go to Las Vegas?by Summer Said Saudi Arabia’s oil minister tells reporters that while they see many risks in their lives, he does not. The minister invited reporters to go with him to Las Vegas, when asked if he believes oil prices to continue to improve in the second half of the year. 7:15 pmCommerzbank says to expect 'no surprises' from OPEC todayby Georgi Kantchev No surprises from OPEC’s meeting today, says Commerzbank. It expects OPEC to confirm its production target of 30 million barrels per day once again. The reason: oil prices have recovered significantly and U.S. shale oil production has stopped increasing so rapidly. In fact, the sharp decrease in drilling activity should mean that it actually falls in the next few months, Commerzbank says. Still, the considerable global oversupply will preclude any noticeable increase in price above $65 per barrel. 7:11 pmOPEC was slow to realize the impact of shale -- by Sarah Kent OPEC was slow to recognize the impact shale oil would have on the crude market, Iraq’s oil minister Adel Abdul-Mehdi admitted Friday. “Maybe we were about two years late in really evaluating shale oil, that’s why it came almost as a shock. It should not have been a shock,” he said. The producer group is paying for that mistake now, suffering the effects of weak prices and a challenge to its market share. It won’t happen again, the minister said. “Now we are more mature and realistic in understanding the market realities.” 7:08 pmPrices put pressure on productionby Summer Said Production from marginal fields will drop if prices remain at the current levels, Saudi Arabia’s oil minister Ali al-Naimi says. Prices are improving, but slowly, he adds. 7:07 pmMore OPEC members, more powerby Sarah Kent To some, OPEC is a fading institution, but it has a plan to regain its crown as the dominant force in the oil market: adding new members. “More members in OPEC means more share, empowering OPEC, that’s what we need,” Iraqi oil minister Adel Abdul-Mehdi said during a press briefing. “We wish that all oil producing countries work together in cooperation, not only in OPEC but as a whole, as producers,” he said. He quickly added: “without creating any cartel.” 7:03 pmThe future looks good, says UAEby Nicole Lundeen Suahail Mohamed Al Mazrouei, the United Arab Emirates’s oil minister, tells journalists Friday morning he is optimistic about the future before the Organization of Petroleum Exporting Countries. He does think the market will take time to balance, but don’t ask him at what price or how long it will take, he says. Overall, the decision last November by the organization to keep its production ceiling was a wise one, he says. 6:55 pmby Georgi Kantchev 6:54 pmGiving nothing awayby Sarah Kent As oil ministers filed into OPEC’s glass and concrete fronted building in sunny Vienna, they give little away, smiling and nodding, but ignoring questions about their upcoming gathering. In the pre-meeting press briefing, reporters piled around ministers seated in a horse shoe formation, shouting questions in Arabic and English and waving recorders and microphones in the official’s faces in their last effort to glean any insights ahead of the gathering. 6:48 pmSaudi Arabia sees no threat from lower oil pricesby Summer Said OPEC’s kingpin, Saudi Arabia, sees no threats from lower oil prices, and those who believe in this are short-sighted, the country’s oil minister says. The kingdom is a dynamic economy with several resources, the minister says. 6:43 pmSaudi 1 - OPEC 0by Georgi Kantchev Is OPEC’s market share strategy actually working? When the oil cartel decided last November not to cut its output, many saw this as the first salvo in a battle for market share with the U.S. shale industry and other global suppliers. But Tamas Varga, analyst at PVM, says that OPEC’s fight for the global supply market has, so far, been a failure whilst Saudi Arabia’s intent of increasing its own footprint is working. OPEC’s share has actually shrunk from 36.5% in the pre-shale year of 2008 to 32.29% in the first quarter of this year. Meanwhile, Saudi Arabia has seen its share of global output pass the 10% mark since last November, Mr. Varga estimates. 6:35 pmSaudi oil min says market situation is improvingby Summer Said The situation in the crude oil markets is improving and the supply is diminishing, Saudi Arabia’s oil minister Ali al-Naimi says. “You probably see a lot of risks in your life. I don’t,…“I’m not in the business of projecting risks” he says. Oil prices are improving slowly, says the minister, adding he does not have a machine to foresee what happens in the future. (Photo: AFP) 6:29 pmFlashesby Phillipa Leighton-Jones Iran Oil Minister Says Not Satisfied With Current Oil Price Iran Oil Minister Says Most of OPEC Agrees $75/Bbl is a Fair Price Iran Oil Minister: Asks OPEC to Consider its Return to Oil Markets Iran Oil Minister: Asks OPEC to Consider its Return to Oil Markets 6:23 pmby Georgi Kantchev 6:12 pmCrude hasn't priced in an OPEC surpriseby Georgi Kantchev With the OPEC meeting underway, how will oil prices react to the news from Vienna? Olivier Jakob of Petromatrix says that for now, not much has been priced in for OPEC as the broad consensus is that the organization will not produce anything new and maintain its production quota. “Crude oil prices can therefore be reactive to anything outside of the consensus view on OPEC,” Mr. Jakob says. Some observers say a production hike rather than a cut is possible today but that view is not shared by many delegates in Vienna. Brent is down 0.8% to $61.56 while WTI is trading down 1% at $57.45 6:11 pmby Michael Amon 6:06 pmFlashesby Phillipa Leighton-Jones *Iraq Oil Minister: Everything Will Be Discussed, Including Raising Output Ceiling *Iraq Oil Minister: Favor Increasing No. of Members of OPEC to Increase OPEC’s Market Power *Iraq Oil Minister: Customers Happy With New Oil Streams *Iraq Oil Minister: Have More Customers Than We Need *Iraq Oil Minister: Heading to $75 a Barrel by End of Year *Iraq Oil Minister: Iraq Can Produce 6 Million Barrels a Day by 2020 *Iraq Oil Minister: KRG Not Yet Supplying 550,000 Barrels a Day *Iraq Oil Minister: We Cannot Stop Technological Progress in Oil Sector *Iraq Oil Minister: Shale-Oil Boom Shouldn’t Have Been a Shock *Iraq Oil Minister: Was Late to Recognize Shale-Oil Potential *Iraq Oil Minister: Discussing Contracts With IOCs (Photo of Iraq’s oil minister, Adil Abd Al-Mahdi, AP) 6:04 pmby Michael Amon 6:03 pmIran pushes to be heard by OPECby Phillipa Leighton-Jones The prospect of Iran returning in full force to the world oil market has been an undercurrent in both public and private meetings this week in Vienna. But an Iran freed from sanctions could add to a global oversupply of crude that has weighed on the market, as this story explains. (Photo of Iranian oil minister Bijan Namdar Zanganeh, AFP/Getty) 6:02 pmby Georgi Kantchev 6:01 pmTough OPEC talking on production amid prospect of Iran ramping upby Bill Spindle There’s a chance that the talk by some Arab gulf states about raising OPEC’s production ceiling is in effect a rhetorical shot across rival Iran’s bow: Iran has made clear it will ramp up exports if sanctions on it are lifted as part of a nuclear deal, and it would like others in OPEC to produce less so prices don’t fall. 5:58 pmFlashes from our wireby Michael Amon Kuwait Oil Minister Willing to Listen to OPEC Countries That Want Production Increase Kuwait Oil Minister: Decision Will Be Taken for Benefit of All, Not Individual Countries Kuwait Oil Minister: Kuwait Not Against Iraq, Iran Kuwait Oil Minister: Production Decision Last November Was Good Kuwait Oil Minister: Oil Prices Have Been Improving Kuwait Oil Minister: We Have to Keep the Production Ceiling Kuwait Oil Minister: Kuwait Investing to Increase Its Future Production UAE Oil Minister Optimistic About Future UAE Oil Minister: Decision Last November on Production Was Wise UAE Oil Minister: We Are Here to Balance the Market UAE Oil Minister: We Will Discuss How to Make Sure Enough Supply to Meet Demand 5:54 pmFlashes from our wireby Bill Spindle – UAE oil minister says there is need to wait and be patient – UAE oil minister not “heard anything” about a discussion to raise output 5:53 pmby Michael Amon 5:52 pmHere's how OPEC meetings used to beby Phillipa Leighton-Jones With regards to that shouting match, OPEC meetings in the past have been relatively chaotic affairs. Moving them to Vienna has at least dealt with some unconventional logistics. Here’s a Q&A with John Hall, now chairman of Alfa Energy, who has watched the oil market for more than four decades and has visited Organization of the Petroleum Exporting Countries meetings for the past 10 years. 5:48 pmThis could become a shouting match. Other OPEC meetings haveby Michael Amon OPEC observers had predicted a short meeting for the cartel Friday morning. Now that they’re actually behind closed doors, it seems like they might have much to discuss. Indonesia’s return as a member. What to do with production. And there may be pressure from Iran and Libya to talk about making room for their coming supplies. OPEC meetings have last hours and sometimes devolved into shouting matches. 5:38 pmby Michael Amon 5:34 pmFive things to watchby Phillipa Leighton-Jones What should we be looking for during this OPEC meeting? Here are five things to watch, including production quotas, Russia, Iran and any awkward encounters between OPEC and Big Oil, whose executives have been in Vienna this week for the OPEC seminar. It’s the first time in several years that’s coincided with the OPEC meeting. 5:23 pmby Sarah Kent 5:22 pm 5:18 pmHow best to accommodate Iranian volumesby Georgi Kantchev Deutsche Bank expects a busy day for OPEC today: Besides the production target question, the bank expects the agenda to include how best to accommodate additional Iranian volumes should sanctions be lifted and Indonesia’s request for OPEC readmission after a six-year absence. Deutsche sees no chance for surprises with the output target which will be maintained at the current 30 million barrels a day. With the group’s output steadily ramping to reach 31.5 m/bd the suggestion is that OPEC, led by the Gulf States, is increasingly comfortably defending market share and will remain committed to the policy decision taken last November, Deutsche Bank says. 5:15 pmIf OPEC stays patby Bill Spindle With plenty of talk in previous days of a possible surprise move by OPEC to raise its production ceiling, a decision that was once uniformly expected –that the group will keep its quota steady — could even put upward pressure on prices if it’s interpreted as a sign OPEC is towing a middle ground and might tighten production down the road. 5:14 pmRemember Thanksgiving?by Chip Cummins Remember Thanksgiving Day 2014? That was the last time OPEC met to discuss prices and output levels. Most Americans had the day off, and when ministers huddled to make their decision about whether to lower output, many U.S. traders were at home, getting ready for turkey. Things were sleepy in Europe, too. Analysts and traders were mostly predicting OPEC wouldn’t change its output level. When the cartel did just that, however, markets went into a tailspin–one that eventually sent crude down by more than half from its summer peak. Sure, trading volumes were thin, and bearish sentiment about oil had built up for months. But with a big recovery in oil prices since the start of the year, don’t discount another OPEC “no-change” plunge. 5:12 pmRig counts and jobs countby Georgi Kantchev While all eyes are on OPEC’s meeting, there’s more in store for oil today: rig counts and U.S. jobs data. Baker Hughes Inc. will publish the weekly oil drilling rig count—a proxy for activity in the industry—at 1pm EDT/5pm GMT. The number is down 60% since October but the rate of decline has slowed in recent weeks as prices have rebounded from their lows. Markets will also be tracking the U.S. jobs report, out at 8.30 EDT/12.30 GMT, which could jolt the dollar. Oil, which is priced in dollars, often follows the gyrations of the greenback as they become more attractive for holders of other currencies when the dollar loses value – and vice versa. 5:07 pmOPEC raising production is a real possibilityby Michael Amon Most observers believe OPEC will stick to its production targets of 30 million barrels a day, and almost no one believes the cartel will cut. But a growing number see a production increase as a potential outcome. The Kuwait oil minister said this week it was an option. Upping OPEC’s production target to 31 million barrels a day would acknowledge reality, since the cartel’s big producers like Iraq and Saudi Arabia have ramped up production in a fight for market share. But it would also probably send a bearish signal to the market and depress prices further. 5:05 pmIs OPEC producing 30 million? Or more? by Sarah Kent Consensus has it that OPEC won’t make any changes to its strategy when it meets in Vienna this morning, but watch out for surprises Olivetree Securities James Milligan warns. “OPEC made a mockery of the consensus view at the last meeting over Thanksgiving,” he said, noting that OPEC members have produced nearly 900,000 barrels a day more oil than their 30 million barrel a day production ceiling since their last meeting. 5:03 pmHow an OPEC meeting unfoldsby Phillipa Leighton-Jones How does an OPEC meeting unfold? Well, oil ministers from OPEC nations have been gathering in Vienna this week where they hold bilateral meetings to discuss the state of play. Saudi Arabian oil minister Ali al Naimi is the most powerful person at OPEC’s table. His early morning walks around the center of Vienna are a regular feature, and he’s usually followed by a coterie of journalists. Watch him carefully this year: This could potentially be his last OPEC meeting since he has indicated he wants to retire. Here’s our cheat sheet from oil reporter Sarah Kent on how an OPEC meeting unfolds. (Photo: Bloomberg) 4:51 pmA quick update on oil pricesby Georgi Kantchev Oil prices are down, trading at a one-week low on Friday as markets are anticipating that OPEC won’t cut its production levels at its meeting later today. Brent is down 0.6% at $61.66 while WTI is down 0.8% at $57.54. Both contracts are down for two consecutive sessions 4:50 pmIndonesia looks to return to OPECby Michael Amon OPEC’s power over the oil market is widely seen to be waning, but there’s one country that wants into the cartel: Indonesia. The Asian country has applied for membership, and its application will be discussed at Friday morning’s closely watched meeting. Indonesia left OPEC in 2009 shortly after it became a net importer of oil and not an exporter and its reasons for wanting to join OPEC are a bit mysterious. Energy minister Sudirman Said told The Wall Street Journal that he wanted his country to be a bridge between consumers and producers at OPEC. But OPEC is firmly a producer group, and it isn’t clear why its membership would benefit either OPEC or Indonesia. 4:44 pmOPEC has a dilemma in new suppliesby Michael Amon The Organization of the Petroleum Exporting Countries has a looming issue that it is unlikely to address at Friday morning’s meeting: Looming supplies from Iran and Libya. Iran has promised to flood the market with 1 million barrels of crude exports if western sanctions are lifted this year. Libya is also preparing to increase its output this summer after some heavily damaged fields come back online. Bit OPEC delegates say they’re likely to table a discussion about how to handle those new supplies until its next meeting. 4:43 pmA flood of oilby Sarah Kent The elephant in the room at today’s OPEC’s meeting is likely to be the potential for a flood of new oil onto the market if sanctions on Iran are lifted this year, but the producer group should look out for a wave of exports from a different source entirely, according to ConocoPhillips CEO Ryan Lance. The U.S. oil major chief is predicting U.S. oil exports could hit the market within the next few years. The boom in domestic production has already roiled markets globally, helping send crude to a six-year low in January. “My advice to Opec is to look at that because I think that it’s an issue that is a very real possibility in the next few years,” Mr. Lance warned this week in Vienna. 4:42 pmWelcomeby Phillipa Leighton-Jones Good morning folks, and good afternoon in Asia. Thanks for joining us for this live blog of the OPEC meeting in Vienna. We’ll be reporting from that all day from here and over on WSJ.com, so stay tuned.

ANZ under fire over mortgage settlements

This story was published: 5 years ago March 10, 2010 8:57AM ANZ is under fire over the way some of its mortgage settlements are being processed / File Source: Bloomberg VICTORIAN property lawyers are demanding an urgent overhaul of ANZ's mortgage procedures following the bank's recent move to outsource home loan settlement functions to Perpetual. In a damning letter sent to the bank last month, the Law Institute of Victoria's acting president Caroline Counsel highlights deficiencies in ANZ mortgage processes which she claims have "substantially undermined" the certainty of property sales. The bank has since apologised to the LIV. In the February 4 letter leaked to Herald Sun, Ms Counsel states that ANZ and Perpetual have committed only limited resources to booking property settlements which has led to confusion and frustration for conveyancing lawyers and their clients. "Law Institute of Victoria members have reported that there have been instances when the Perpetual representative has not attended settlement at the allocated time," Ms Counsel told ANZ in the letter. "Settlement in such cases has, of course, not occurred at the allocated time, and this has necessitated the inconvenience of re-booking settlement." ANZ outsourced settlement responsibilities to Perpetual Mortgage Services last year as part of a wider effort to bring its mortgage administration and settlement systems in line with industry standards. However, the move has been disastrous with communication problems between the bank and Perpetual leading to delays for home buyers and sellers completing transactions. The institute's list of complaints include: SALE failures caused by Perpetual not meeting settlement deadlines. "UNDULY long" waiting times for lawyers seeking information over the phone from the bank and Perpetual. FAILURE by Perpetual to provide details of payments due by property buyers within 48 hours of agreed settlement dates. Ms Counsel told the bank that Perpetual's inability to provide payout numbers before settlement days meant that settlements had to be postponed in many cases because there was not enough time for cheques to be drawn by purchasers. "When settlements fail as a result of ANZ's processes, there are additional financial and emotional burdens imposed on parties," Ms Counsel told the bank in the letter. "The LIV urges ANZ to address settlement process issues, as they substantially undermine the certainty of transactions for parties." In a replying letter sent on February 24, ANZ's head of mortgages, Michael Bock, acknowledged that the deficient settlement procedures had caused inconvenience for solicitors and parties involved in property transactions. "It is clear from feedback from the profession that the changes we introduced to our settlements process have caused frustration and, in certain circumstances, significant inconvenience for some solicitors, conveyancers and clients -- and we sincerely apologise," Mr Bock told the LIV. "We are working hard to fix these problems . . . We understand your concerns, and ANZ is committed to making the necessary changes to ensure we meet your needs and clients' expectations for timely and efficient settlement of all purchases and discharges." Mr Bock stated that ANZ had established a special team of senior executives to drive improvements to the group's mortgage processes. The urgent change program will try to simplify settlement procedures by increasing phone contact staff and investment in new technology. LIV chief executive Michael Brett-Young said conveyancing solicitors also experienced settlement issues with other banks but the problems were more profound at ANZ. "We've had more complaints from our conveyancing solicitors about ANZ and we are confident that the other banks are meeting requirements to achieve timely and smooth settlements for clients," he said yesterday. A Perpetual spokesman declined to comment on the LIV's concerns about its performance under the outsourcing deal with ANZ. ------------------------------------ Reason Posted at 4:02 PM March 12, 2010 Perpetual has set out to ruthlessly undercut all other mortgage services/settlement providers. Banks see the low service charges in a tender and think that's all that matters. Banks need to realise that there is more to outsourcing these services than price. Reading these comments, it's not Perpetual's brand that is damaged, it is the bank's (ANZ in this case). Perpetual has the market presence and the financial backing but it does not have the service and it simply does not care. Comment 1 of 29 meg Posted at 10:07 PM March 11, 2010 I am a settlement runner in Qld i.e. I perform the actual settlement for a small independent business. Perpetual have, and always have been the most ‘can do’ outsourcing agency I have dealt with. They bend over backwards to make sure that settlement occurs + they are the only place that gives us settlement runners a water bubbler and access to a bathroom. I agree that there have been annoying issues with ANZ outsourcing but from my work aspect Perpetual have responded pretty well, or at least they did in QLD. Comment 2 of 29 Pat of australia Posted at 5:13 PM March 11, 2010 Sold an investment property recently - what a disaster - one problem after another - settlement date moved, ANZ could not give a pay-out figure after several attempts. Final figure was way out and I had to wait to get the money and pay out the loan manually at my local bank. My daughter purchased her first house recently and what a mess that was also and very distressing. Comment 3 of 29 Which bank? Switch bank... of Oztralia Posted at 7:09 AM March 11, 2010 If settlement is delayed through no fault of the vendor or purchaser, why are they penalised when the bank fails to process the papers on time? Suggestion to banks: Offer a real service with a guarantee - we pay if we stuff up. Comment 4 of 29 ANZ Stupid World of Melbourne Posted at 1:13 AM March 11, 2010 im a mortgage broker. Since anz had higher rate, my client refinance. NAB refinanced it and passed the cheque to ANZ and took the title. ANZ Perpetual didn't bank in the cheque and lost the chq and ANZ keep charging my customer. ANZ is an idiot. My customer told them to check and they say they still got the title when customer do title search it reveals NAB have title. ANZ is idiot. My client had to pay interest for 2 mth and only got interest charges stop after it threaten ANZ with legal action and until now ANZ still hasn't sorten out the interest back charges yet. ANZ with Perpetual. Both of them are perpetually stupid and I really dont know which World ANZ is living on. so much for their Campaign "We Live in Your World". NO ANZ We dont live in your World. Your World is a Stupid world and mine isn't. Comment 5 of 29 Burnt out of Sydney Posted at 12:19 AM March 11, 2010 A true example to show how greedy can a bank get too, what is in store with the other major 3 banks. It is high time Government start to look at the way the things are conducted and start to set tougher compliance requirements and make the banks pay for the banks mistake. Comment 6 of 29 Madasacow of melbourne Posted at 8:04 PM March 10, 2010 I would never mortgage with the ANZ ever again, they lost our Mortgage paperwork 3 times (YES 3 TIMES) and one of them was signed in the bank in front of the bank manager.... Comment 7 of 29 balwinder of UK Posted at 7:34 PM March 10, 2010 anz is hopeless, i sold my property 3 monhs ago, the settlement is sill not done.... Comment 8 of 29 KW Posted at 7:24 PM March 10, 2010 Andy (comment 4 ) - 2 weeks to get a loan approved???? I wish they had taken that long when I applied for a loan. ANZ took TWELVE WEEKS to the day, to process a simple home loan application for me late last year. Fortunately, CBA approved the same application for the same property in less than 48hrs. No prizes for guessing who we do our banking with now. Comment 9 of 29 Andre of Dianella Posted at 6:13 PM March 10, 2010 Did settlement through a small local firm in Bullcreek, WA. Maintained contact with em - they were cheap, fast and friendly. They called every 2 days for a 2 minute update, and to let me know if anything was needed or if problems existed. Smooth as silk the whole time. I'm selling a house now, and guess which setttlement agent I will contact again...? Comment 10 of 29 CA Posted at 6:09 PM March 10, 2010 In years past Bank Staff handled settlements themselves without any problems .They dealt with Solicitors who in many cases they knew personally and any problems were sorted out promptly and face to face . The problems we now see is a direct result of Banks cutting costs by sacking staff and outsourcing these matters to organisations who don't have the Banks or their customers interest at heart .They simply want the income for doing settlements and have no desire or authority to make compromises in order the get the settlement completed where possible. It is time the Banks woke up and employed their own staff to attend to these important matters . Comment 11 of 29 Licensed Conveyancing Agent of Darwin NT Posted at 5:28 PM March 10, 2010 from our persepective - trying to book in a settlement with ANZ / Perpetual whether discharge or new loan is near on impossible. We have spent numerous hours on the phone with Perpetual waiting to be answered only to be told it isnt ready to book or they are waiting on instructions from ANZ Bank. In the NT we have to provide a Settlement Statement 3 working days before settlement... impossible!!! It is not nice having to explain to clients that their settlement is delayed for weeks due to the Bank not being ready to book. Initial client response is "why"? The only response we can provide is .. incompetence on behalf of your Bank...feel free to call and make a complaint because we have...although you might be told that the message mailbox is full... or that you should leave a message and they will call you back (which NEVER happens)... or like our counterpart you could just have perpetual hang up in your ear after three hours on hold... To conclude - please be nice to your Conveyancer, we tend to endure the backlash in these kind of circumstances o x Comment 12 of 29 annoyed Posted at 5:09 PM March 10, 2010 I work in the home lending industry & the problem is that the banks pay so little to the firms they outsource settlements to that they can't afford to hire enough staff so they can give the level of service that customers expect. The old saying goes "if you pay peanuts - you get monkeys". Comment 13 of 29 bank critic Posted at 4:06 PM March 10, 2010 I settled with CBA earlier last year and had similar problems. The issues with ANZ first appreared to me late last year also when my girlfriend tried to settle a property but was 3 months late. At the end of the day the big 4 banks have to much power and can dictate to the market, this dictation has only got worse with the favourable treatement they received from the governments stimulus package.... time to wind it back if you want them to pick up their performance Comment 14 of 29 matt of sydney Posted at 2:49 PM March 10, 2010 i've been involved in banking for 20 years and home lending settlements for about 15 of those years. when i started in the industry it was considered a sin to miss a scheduled settlement date and cause a client disadvantage. it seems to be the norm nowadays with settlement dates regularly missed due to administrative complexities. so much for the promise outsourcing would make the world a better place. all it seems to do is blur where accountability and responsibility lies. Comment 15 of 29 stressedout Posted at 2:10 PM March 10, 2010 If settlement seems bad you should see what we staff have to go through to get to the booking stage. There is no accountability within the bank and constant viewing of our frustrations fall on deaf ears. No one seems to know what is going on and one party always blames the other for settlements not being booked. Thanks goodness that LIV can see something going on and are shining light on the situation!! Comment 16 of 29 Jane Terry of North Perth Posted at 1:57 PM March 10, 2010 This is the first time I have purchased a property in Australia and I never experience such appalling delays or service back in the UK. It is one thing to pay penalties due to someone else's incompetence but the complete lack of feedback or even having the decency to return calls/emails is just unbelievable...as is our experience with our local ANZ outsourced moible lender in North Perth. If I treated my customers like this I wouldnt still be in business and yet banks....well they just continue to get away with it....afterall no skin off their nose at the end ...they still get our business :-( Jane Comment 17 of 29 Robbie of Sydney Posted at 1:30 PM March 10, 2010 I have been asked to leave as the state offices processing mortgages have closed in NSW except a hand ful staff left to bear the abuse of the result. I have been with the bank for a good time and no doubt the staff were very competent and efficient. But all is lost now. NSW think twice before getting the loan settled with ANZ as there is a 100% chance of the settlement to not happen on time. May be things will get better in a year from now. So who wants to be a scapegoat. Sure others banks may also mess up , there is a chance, but here it is certain. Have a good time with the banker of the year. Our money they mess it up and we pay. Happy banking. Comment 18 of 29 HelloKitty of Melbourne Posted at 1:28 PM March 10, 2010 Bring back Gaye & Cherrie! Dealing with Perpetual on a day to day basis has become a huge nightmare!! Comment 19 of 29 Tony Donaghy of North Perth Posted at 12:59 PM March 10, 2010 I am currently renting the property I wish to buy from the vendors at $500 per week ON TOP OF THE AGREED PURCHASE PRICE due to the complete inability of ANZ to complete the financial settlement after 3 weeks since the signing of final documents. I had to threaten legal action before I even got a return email message from the ANZ manager handling the transaction. As for their mobile lending sub-contractor...... not a word once he got his contract signed and commission secured. I am looking at paying penalty rates on the purchase of approximately $200 a day. Home Lender of the Year My Ar$e. And of course, the extra money comes out of my pocket, not theirs. Comment 20 of 29 unemployed of Brisbane Posted at 12:51 PM March 10, 2010 ANZ has alot to answer for. There will be no other state head offices left in OZ by the end of the year except Melbourne. All document preparation is being done in India ... yes India. The settlement issue also wont go away because ANZ pushed the complete transfer of ALL settlements on Perpetual before they were even ready or able to do them. Comment 21 of 29 Russel of Sydney Posted at 12:43 PM March 10, 2010 The banks should be asked to shoulder additional expenses should the settlement been delayed or failed as a result. They need to be responsible about the services they provide - we the customers deserve more as they are getting heaps of profits from us. Comment 22 of 29 Venkat of Melbourne Posted at 12:03 PM March 10, 2010 Gosh this is just a tip of the iceberg with the mortgage matters. Ask the staff who work with ANZ or who have been made redundant due to this foolish decisions made by few so called senior management staff. This move by ANZ is a disaster in waiting. Comment 23 of 29 Chris Bates of Canberra Posted at 11:38 AM March 10, 2010 Our property settlement (sale) was meant to occur on Friday 15 Jan. ANZ had been made aware of this in December. For the first time in my life, I had rung a complaints line. The lady who took the case on at one stage told me the documents were in Canberra with Perpetual (bearing in mind that Perpetual don't have an office in Canberra)...After working in mortgage lending for ANZ in the late 1990's to early 2001, I found this jsut awful. To compound matters, nobody knew what was going on and ANZ failed to settle. Adding insult to injury, they then charged us interest until THEY got to settlement 4 days later - yep, even missed Monday! No apology and no concept of customer service when all that needed to be done was a single piece of paper instructing the settlement and what was needed. Needless to say, ANZ have since lost more than 95% of our business AND the $570k mortgage that was to replace the sold property. All it would have taken was the $200 interest to have been refunded AND a letter of apology. Now though, I will bleat to whomever will listen to never touch them until they give some g'tee that they will settle when required. Comment 24 of 29 DAVID of Brisbane Posted at 10:19 AM March 10, 2010 Oh My God you think ANZ has problems. I could write a book on what the commonwealth Bank has done in the past six months. They are the worst not ANZ. Comment 25 of 29 Andy Posted at 10:12 AM March 10, 2010 I applied for a home loan with ANZ in Brisbane and it took then over 2 weeks to get back to me with a yes or no.... in the mean time I lost the property I was after.... Thanks ANZ! Comment 26 of 29 Muppets work for Perpetual Posted at 10:03 AM March 10, 2010 Perpetual was the reason we almost had our settlement fail in Qld. ING uses them also and the whole settlement process was a shambles and an absolute nightmare. Perpetual is beyond useless... Comment 27 of 29 Patrick Posted at 9:49 AM March 10, 2010 This is a typical case to show that sub-contracting does not work out for every business specially when there is a requirement to meet restricted deadline. ANZ should review how much they could save by subcontracting vs penalty or compensation paid to clients due to their faults. Comment 28 of 29 dave Posted at 9:23 AM March 10, 2010 This is no surprise. When we bought our current property the vendors were with ANZ and we had to have settlement re-booked on no less than 4 occasions due to ANZ not being ready. As usual, they also didn't compensate us for the additional legal expenses we incurred.