Africa

Egypt's Petroleum Ministry announced on Monday that the Egyptian Natural Gas Holding Company, or EGAS, has signed a preliminarily agreement with BP for drilling five new gaswells in Mediterranean Sea. The Ministry's efforts to increase exploration and production are reflected in the memorandum signed by EGAS, a state-owned company. Egypt, once the largest gas exporter in the region, is increasingly importing to meet its domestic demand, as production from old fields declines and new investments are slow. According to the Joint Organisations Data Initiative, gas production in May decreased by more than 40% compared to March 2021. The statement said...

A survey released on Thursday found that OPEC oil production increased in August following an OPEC+ production agreement. This was primarily due to the United Arab Emirates' and Saudi Arabia's higher production. According to the survey, the Organization of the Petroleum Exporting Countries (OPEC) pumped 27,84 million barrels of oil per day in July, an increase of 360,000 barrels per days over the revised total for the month of July. The United Arab Emirates, and Saudi Arabia, were the countries that saw the biggest increases. OPEC+ - which includes OPEC, its allies, including Russia - is accelerating the plan to...

Trade sources reported that spot premiums for marine oil at Fujairah - the third largest bunkering port in the world - held near to their highest levels during this year as the fuel oil supply was tightened following the United Arab Emirates' decision to stop importing Sudanese crude oil. According to Kpler ship tracking data, the UAE imported no Sudanese crude oil in August, despite receiving one or two cargoes per month of Nile Blend or Dar Blend crude this year. The reason for the imports being stopped was not immediately apparent. Sudanese crude oil is usually refined in Fujairah...

The military announced on Tuesday that at least four soldiers as well as 10 militia members had been killed during fighting in a South Sudanese area where previous clashes resulted in the arrest of the First Vice President Riek Machar. Machar, a long-time rival of Salva Kiir, was arrested in March. This sparked international calls for restraint. It also sparked fears that a civil war could break out between Kiir Dinka forces loyal to Machar and Nuer fighters loyal Kiir. Garang Ateny, South Sudan's military spokesperson, said that fighters from the White Army, a group Machar's critics claim is affiliated...

Bola Tinubu, the Nigerian president, said at a press briefing with his Brazilian counterpart that Petrobras should be able return to Nigeria quickly. Petrobras started operations in Nigeria in deep waters near the Niger Delta in 1998. It sold its stakes over 10 years ago in order to raise money for domestic projects. Nigeria has worked to solve some of the issues that have limited its oil and gas production since then. "We have a large gas reservoir." "I don't understand why Petrobras should not return to Nigeria as a partner as soon as possible," Tinubu said at a press...

Bola Tinubu, Nigerian president, said that Brazil's Petrobras oil company, which left Nigeria in 2005, should be able return quickly. The visit was part of a 2-day trip to strengthen ties. Petrobras started operations in Nigeria in the deep waters of the Niger Delta in 1998. It sold its stakes over 10 years ago in order to raise money for domestic projects. Nigeria has since then been crackingdown on the issues that have limited oil production. "We have a large gas reservoir." "I don't understand why Petrobras should not return to Nigeria as a partner as soon as possible," Tinubu...

Sasol, a South African petrochemical company, announced on Monday that it had achieved an annual profit due to higher chemical prices and tighter cost control. The company that produces fuels and chemicals out of coal and gas posted basic earnings per shares of 10.60 rand ($0.6070), compared to a loss per share 69.94 rand last year. Sasol received a payout of 4.3 billion rands from Transnet after claiming in a lawsuit that the state-owned logistic firm overcharged oil transport over a period of several years. The company reported a 9% drop in its revenue, due mainly to a reduction in...

According to LSEG data and market sources, Russia's seaborne gasoil and diesel exports dropped 5% from the previous month to 3.26 million metric tonnes due to lower production during refinery maintenance as well as strong domestic demand. In July, diesel loadings through the Russian Baltic port Primorsk - the country's largest outlet for ultra-low sulphur (ULSD) exports – totaled 1,26 million tonnes, down 11.3% daily from June. Shipping data shows that last month, the two main importers of Russian gasoil and diesel were Turkey and Brazil. The export of diesel and gasoil from Russian ports to Turkey decreased by 14%...

Political analysts claim that Sudanese Paramilitaries have formed a parallel government with the army of the country, further pushing Sudan towards de facto splintering. Sudan's army, along with the paramilitary Rapid Support Forces(RSF), are fighting to control al-Fashir, the last foothold of the army in western Darfur, and an RSF stronghold. Last week, a coalition led by RSF announced members of a new parallel government. Analysts say that while it hasn't yet established institutions, or been recognized, a possible breakaway from its territory would precipitate a new split in Sudan after the 2011 secession by South Sudan. How did this...

According to a filing in court, Dangote Refinery retracted its lawsuit over fuel imports against Nigeria's midstream, downstream, and petroleum regulator, as well as several fuel importers including the state-owned NNPC Ltd. Africa's biggest refinery sought to annul fuel import licenses issued to NNPC Ltd., AYM Shafa Ltd., A.A. Rano Ltd., T. Time Petroleum Ltd., 2015 Petroleum Ltd., and Matrix Petroleum Services Ltd. The refinery also demanded 100 billion naira (66 million dollars) in damages. Dangote Refinery filed a lawsuit claiming that the Nigerian Midstream and Downstream Petroleum Regulatory Agency was violating the laws by issuing gasoline import permits to...

Angola’s capital, Luanda, saw protests over the hike in diesel prices turn violent on Monday. Local media reported that looting and clashes between police and protesters led to several deaths and arrests. In a bid to reduce costly subsidies and strengthen public finances, the oil-producing nation in Southern Africa raised diesel prices by a third this month. The minibus taxi associations increased fares up to 50%, and began a 3-day strike on Monday. On its website, the Novo Jornal reported that three people were killed during the protests. One of them was a policeman. Novo Jornal reported that the police...

Angola’s oil-backed loan to China is expected to drop from $7.5 billion to $8 billion by the end the year. This comes as the government tries to reduce its dependence on resource-backed finance. Dorivaldo Téixeira, Director, Debt Management Unit, Finance Ministry, said late on Wednesday that "all debt collateralised by the oil revenue is concentrated in agreements made with China. These have been reduced gradually in recent years." Angola is trying to reduce the amount of loans backed by resources it has in order to cope with a challenging external environment, which has seen a rise in interest rates and...

The major Gulf stock markets edged up in early trading on Monday. This was helped by rising expectations that the U.S. Federal Reserve will cut rates this month. However, weak oil prices limited gains. The U.S. unemployment rate rose to nearly four-year levels in August. This confirms that the labour market is softening, which will lead the Fed to cut rates next week. According to CME FedWatch, traders have priced in a rate cut of 25 basis points (bp), with an 8 percent chance of a 50-bp jumbo cut. The Fed's position is important in the Gulf where the majority...

According to the U.N. Human Rights Office, M23, a rebel group backed by Rwanda, Congolese forces, and other armed organizations have committed grave rights violations, including some that may be considered war crimes in eastern Democratic Republic of Congo. A new report from the U.N. Human Rights Office Fact-Finding Mission stated that M23, Congolese forces, and other groups were responsible for gross violations to international humanitarian law ever since fighting broke out in North and South Kivu late last year. In a press release, U.N. Human Rights High Commissioner Volker Turk called for accountability for the victims. There was no...

Some farmers in eastern Congo, who fled their land during the violent advance of M23 rebels to escape M23, have received a shocking surprise when they return: their fields of cabbage and cauliflower have been occupied by newcomers including Rwandans. Tensions may arise, complicating efforts to bring peace to a region devastated by war, which produces strategic minerals like coltan and cobalt. In June, the Trump administration mediated a peace agreement between Rwanda and Congo. Last month, peace talks between Congo and M23 were supposed to result in a deal. However, they have been postponed. According to a senior rebel...

Letseng's largest diamond mine in Lesotho has cut 240 employees, or a fifth, of its workforce. The company is struggling with low gem prices, due to a weak global economy and persistently low demand. Lesotho is a country with a population of just under 2 million, and diamonds are a vital part of the economy. The sector contributes up to 10% to the GDP of the nation. Lesotho exports diamonds, textiles and clothes as its main commodities. Gem Diamonds announced that its Letseng Mine, which produces the largest and most valuable gemstones in the world such as the "Lesotho Legend"...

Maman Soki, a Congolese woman who is part of a small group that does heavy mining for survival in the wake of a terrorist attack by Islamic State rebels on her village which killed her daughter as well as her sister. The 49-year old widow fled her home with her son, her grandson, and her sister's kids in April to escape the jihadists, one of the many armed groups that occupied the mineral-rich area. Soki, along with two other women, now hauls 30 kg bags of debris up a steep muddy slope to earn a few dollars per day for...

Bloomberg News reported Thursday that the talks between ArcelorMittal and state-owned Industrial Development Corporation to sell their South African unit have been stalled due to valuation differences. The report was based on people familiar with this matter. The report stated that while the parties could still come to an agreement about the fate of ArcelorMittal South Africa by the 30th of September, they want much more than was offered. Bloomberg reported that offers of up to 7 billion rand (398.6 millions dollars) have been discussed for the South African division. ArcelorMittal's South African unit, IDC and its South African division...

Investors worried about the health of the British economic system prompted a rebound in UK shares on Wednesday, after the session before had seen the worst day for nearly five months. Both the blue-chip FTSE 100 index and the domestically focused midcap index closed at 0.7%. Investors' anxiety over the UK's ability get its finances in order led to a lower closing of the stock market on Tuesday. In Tuesday's session, the yield on 30-year gilts rose to its highest level since 1998. Andrew Bailey, Governor of the Bank of England, told a hearing of a committee that it is...

The Financial Times reported that Brazil's Competition Authority has opened an investigation into Anglo American’s plans to sell its nickel operations in the country. The FT reported that CADE, Brazil’s antitrust regulator confirmed it had opened a investigation into the $500-million deal Anglo concluded in February with MMG Singapore Resources in response to a complainant. The FT reported that "based on a complaint, a Administrative Procedure for Investigation of an Act of Economic Concentration" was initiated by CADE. The newspaper reported that CoreX Holding, a global industrial group, had lodged an objection to the deal. It cited a source with...

On Monday, the Congo River Alliance (a coalition of Congolese rebel groups, including the M23), accused the government of breaking agreements meant to end the conflict in the eastern Democratic Republic of Congo. The fighting in eastern Congo intensified in this year. M23 launched an offensive which allowed it to take control of the two biggest cities in the area. At a recent press conference, Corneille Nangaa (leader of the Congo River Alliance, AFC), said: "We have a duty to inform the Congolese and international community about the repeated violations of the ceasefire that are preventing the principle agreement." On...

A union has announced that ArcelorMittal South Africa is planning to cut 4,000 jobs, which is nearly half of its current workforce. This was more than originally expected. The cuts will now extend to the main Vanderbijlpark plant, the union added. Steelmaker announced previously that it would shut down its long-steel plants in Newcastle and Vereeniging, resulting in the loss of 3,500 jobs. This is because talks with government failed to produce an alternative solution. AMSA stated that it is "limited in our ability to say anything in the public domain due to the complexity of the issues under discussion...

Northam Platinum CEO Paul Dunne stated on Friday that the recent platinum price rally brought relief to South African miner, but it is still below the levels required to support new production. Northam announced a 14.4% decline in its annual profit Friday as mining costs rose despite record sales. The company reported headline earnings of $3.81 per share ($0.2169) for the year ending June 30 compared to $4.45 rand one year prior. Low metal prices have hit the earnings of platinum miners since early 2023. This is mainly because the demand for automotive parts has been weak and the outlook...

An executive from Valterra Platinum said that the company will begin trial mining in an underground pit of its Mogalakwena mine, South Africa, late next year. Mogalakwena, located in Limpopo Province, north of Johannesburg is the largest open-pit Platinum Group Metals (PGMs) mine. It consists of five open pits. Ore from the Sandsloot mine, where an underground mine is currently being developed, has a higher grade. Since years, platinum miners in South Africa have been facing declining ore grades. Companies have been forced to mine deeper underground in order to maintain production, increasing costs and risks. Valterra's crown jewel, the...