Also in this weekend's papers: Northern Rock's loan from the Bank of England plus interest rate speculation
Shell and Saudi partner plan biggest refinery in the US
Royal Dutch Shell and a Saudi Arabian partner have received a $7bn (3,46bn) investment, doubling the size of the Port Arthur refinery in Texas, the Guardian reported.
Property firm may breach covenants
The Sunday Times reported that the property services company, Erinaceous, has been in emergency talks with lenders, after share prices crashed 72% in four months.
Waitrose prepares £800m stores expansion
The supermarket chain Waitrose is finalising plans to invest £800m into store openings, said The Sunday Times. This investment would allow them to open 50 stores in the next five years, with 10 sites already secured for next year.
£3bn lent to Northern Rock
The Weekend Financial Times reported that Northern Rock has borrowed £3bn from the Bank of England. The scale of the loan was exposed as Northern Rock go ahead and pay a dividend payout to shareholders despite being aware that legally they do not have to.
Frantic hunt for Northern Rock buyers
The Observer reported that Northern Rock has been frantically hunting for a buyer, amidst rumours the flailing company will be sold for practically nothing. Lloyds TSB and National Australia Bank are watching changes. However, the Observer reports that Lloyds will only move if the share price falls or another company bids.
City predicts interest rate cut
The Observer said the Bank of England may have to cut interest rates in order to protect the economy from the credit crunch.
Arbiter sides with Metronet
According to a government-appointed arbiter, London Underground may owe Metronet between £370m and 1.07bn, said the Weekend Financial Times. The rail maintenance consortium, which went into administration in July, claims it is owed £992m compensation due to cost overruns on work to upgrade tube lines.
Metronet ruling angers Transport for London
Tfl is being forced to pay up to half the £2bn that Metronet has overspent in their renovation of the London Underground. A spokesperson for Metronet claimed they were refused credit for unscheduled costs, reported the Times. However the Tfl have responded with the belief that the London taxpayer should not have to pay the bill for Metronet’s mistakes.
Blow to Livingstone’s Metronet takeover plan
The Guardian reported how Ken Livingstone’s plan to takeover a £17bn London underground maintenance project was strongly contested.
RBS all set to win ABN battle
The Observer revealed how the Royal Bank of Scotland is making preparations to take over the Dutch bank ABN Amro.
The new British empire? UK plans to annex south Atlantic
Britain is making territorial claims on tens of thousands of square miles of the Atlantic Ocean floor that surrounds the Falklands, Ascension Island and Rockall, the Saturday Guardian reported. These preparations come as a result of hopes to extract lucrative gas, mineral and oil fields.
Why Terminal 5’s opening could spell a long summer of confusion
The Independent reported on Saturday that thousands of volunteers will spend a day at Heathrow’s Terminal 5 next week to test the systems at the £4.3bn project. But it said the new terminal would cause a summer of confusion at the airport and seriously diminish public transport links for millions of travellers.
The stones of Paris
“Paris stone”, which comes from the limestone quarries 25 miles north of Paris is in danger of running out, the Independent reported on Saturday. It said international demand for the cream-grey stone associated with the French capital has left only 20-30 years’ supply of the harder variety left.