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Oil & Gas

Fossil Fuels

Fossil Fuels

World Bank cuts global growth forecast due to trade tensions

The World Bank lowered its forecast of global growth for 2025 on Tuesday by 0.4 percentage points to 2.3%. It said that increased tariffs and uncertainty were a "significant" headwind for almost all economies. The bank's twice-yearly Global Economic Prospects Report shows that it has lowered its predictions for almost 70% of the world's economies, including the United States and China, Europe, and six emerging markets regions. This is a significant drop from its projections six months earlier, before Donald Trump became president. Trump has upended the global trade system with a series on-again-off-again tariff increases that have raised the...

Oil & Gas Exploration

Citigroup faces $1 billion lawsuit for alleged fraud by Mexican oil companies

A U.S. court of appeals ruled Thursday that Citigroup will have to face a lawsuit alleging it caused over $1 billion in losses by orchestrating a fraud at the Mexican oil and gas service company Oceanografia. Three judges of the 11th U.S. Circuit Court of Appeals in Miami said that 30 Oceanografia vendors, creditors and bondholders adequately alleged that Citigroup substantially aided the fraud. A lower court judge erred by dismissing this nine-year-old case. Circuit Court of Appeals, Miami, said that 30 Oceanografia vendors and creditors, as well as bondholders, adequately alleged Citigroup's involvement in the fraud. A lower court...

Fossil Fuels

Valero Mexico is suspended from the import registry of motor fuels in Mexico

Valero Mexico announced on Friday that the tax authority of the country had informed it that they were "momentarily suspended" from the list of motor fuel importers. However, Valero Mexico stated that it is cooperating in an investigation. Valero Mexico, one of Mexico's largest private importers and exporters of gasoline and diesel said that the permit is valid until 2038. Mexico, a major crude oil producer, imports gasoline and diesel in order to meet its national motor fuel demand. This is because the state-owned Pemex company struggles to refine the heavy sour refined crude that it pumps. Mexico's tax authority...

Fossil Fuels

EnerSys moves production from Mexico to the US

EnerSys, a provider of energy services, announced on Tuesday that it will close its lead-acid manufacturing plant in Mexico due to flooding and move production to a US facility. The announcement coincides with the preparations of U.S. president Donald Trump to impose reciprocal duties on countries that impose tariffs on U.S. products, beginning on April 2, a day he has called "Liberation Day". A pre-tax charge in the amount of $20 million would be incurred in the first half 2025 due to the closure of the Monterrey plant in Mexico, and the subsequent transfer of production from that facility to...

Fossil Fuels

Reactions to Trump's auto tariffs

The U.S. president Donald Trump announced on Wednesday a 25% tariff for imported cars and light vehicles starting next week. This move will likely increase prices and slow production, according to auto industry experts. What are your reactions? TIFFANY SMITE, VP, of the NATIONAL FOREIGN TRADE COUNCIL (which represents many U.S. companies) "Placing tariffs against imports of automobiles could damage the competitiveness and export-readiness of an industry which relies on international supply chains and market integration for its success. We urge the administration, to prioritize the market opening opportunities of auto companies that manufacture vehicles for export from the United...

Fossil Fuels

Reactions to Trump's auto tariffs

The U.S. president Donald Trump announced on Wednesday a 25% tariff for imported cars and light vehicles starting next week. This move will likely increase prices and slow production, according to auto industry experts. What are your reactions? TIFFANY SMITE, VP, of the NATIONAL FOREIGN TRADE COUNCIL (which represents many U.S. companies) "The imposition of tariffs on auto imports threatens the competitiveness and export-readiness of an industry which relies on international supply chains and markets to achieve its success. We urge the administration, to prioritize the market opening opportunities of auto companies that manufacture vehicles for export from the United...

Fossil Fuels

White House: Trump to hold Wednesday press conference on auto tariffs

At a Wednesday press conference, U.S. president Donald Trump will reveal plans to implement long-promised duties on automobile imports. This move will intensify the global trade conflict Trump started upon regaining control of the White House in this year. The White House did not provide any details about the anticipated tariffs. This includes whether or not there will be carveouts made for parts and vehicles produced under the U.S. Canada-Mexico Agreement. This regional trade agreement was negotiated by Trump during his first term, which allows for largely free trade with two of the largest U.S. trade partners. Trump has himself...

Fossil Fuels

Commerce chief: Trump will consider tariff relief for sectors that comply with the trade agreement

The U.S. Commerce Department head said that President Donald Trump may consider protecting certain sectors, such as automakers, from U.S. Tariffs. His administration will announce tariffs on Canada and Mexico later on Wednesday. Howard Lutnick, in an interview with Bloomberg TV, said that Trump would be the one to make the final decisions on whether or not to provide relief to specific industries. He said that the 25% tariff on Canada and Mexico will remain in place with a view to renegotiating an agreement with these two countries next year. The Commerce secretary stated that "the president has the right...

Fossil Fuels

Trafigura announces Hallouche's departure as Puma Energy CEO

Mark Russell will replace Hadi Hallouche as the chief executive officer of Trafigura's downstream energy company Puma Energy. Trafigura, a Swiss company, said that Hallouche would work as co CEO with Russell until June's end. Hallouche, who is the CEO of Puma, has held this position since October 20, 2021. Prior to that, he was Trafigura’s Asia Head of Oil and Global Head of Liquefied Natural Gas. He was previously an LNG trader at Shell. Richard Holtum, who replaced Jeremy Weir in January as Trafigura's group CEO, is the latest Trafigura leader to leave. This was followed by a number...

Electric Utilities

Acciona Energia reassures investors on U.S. exposure, asset sales

Acciona's top management stated on Friday that it expects to see little impact of President Donald Trump’s energy and trading policies. It also outlined plans for asset sales up to $4.68 billion. Acciona Energy, like other European green energy companies has faced investors' difficulties. Unease The U.S. Renewable Energy Market is changing dramatically under the Trump Administration. In a conference call with analysts on earnings for 2024, Chief Executive Rafael Mateo said that "our exposure to the U.S. Energy Policy Volatility is very limited." Acciona had already acquired the necessary equipment in advance and secured tax incentives, he said at...

Fossil Fuels

Trump announces tariffs on March 4, 2019 for Mexico and Canada; China will face an additional 10%

U.S. president Donald Trump announced on Thursday that the 25% tariffs he proposed on Mexican and Canadian products will be implemented on March 4, as planned, because drugs continue to pour into the U.S. Trump said that he would also impose an extra 10% duty on Chinese products on the same day. It would seem that this is in addition to the 10% tariff he imposed on Chinese imports on February 4. Trump said that drugs are still entering the U.S. in "very high levels and unacceptable levels," a majority of which is the deadly opioid fentanyl. "We can't allow...

Fossil Fuels

Mexico plans to add 29 GW new capacity for power generation by 2030

The Mexican government is planning to invest $22,4 billion in new electricity generation capacity before the end of this administration, which will be 2030. This investment will come from the state-owned CFE. According to data collected by the government in 2023, the country's power sector has a total installed capacity of 95 GW. The majority of Mexico's power is generated by burning fuel oil and natural gas. According to a CFE Presentation, the government's expansion plan for 2030 is divided into 51 projects. However, half of these are generation projects initiated by the former government. The CFE's newly appointed director,...

Environment

Environment

Fuego volcano in Guatemala spewing ash has forced more than 700 people to evacuate

Guatemala's Fuego Volcano emitted ash miles high into the sky on Friday, as authorities evacuated 700 people as a precaution. Seismology agency INSIVUMEH reported that a lava flow was forming around the crater, which is located about 18 km away from Antigua Guatemala. It added that some ash plumes could reach up to 5 km in the air. Authorities have warned of an increase in activity around the active volcanic cone this week. "We evacuated more than 700 people who spent the night in shelters." "We evacuated them out of caution," said disaster agency CONRED on Friday. It added that...

Environment

Amazon fires drive unprecedented global forest loss in 2024, report says

According to a Wednesday report, massive fires caused by climate change will cause global forest losses to break records in 2024. The loss of tropical forests reached 6.7m hectares (16.6m acres), a spike of 80% compared to the year 2023. This is an area about the size of Panama. Brazil, which will host the next climate summit in November struggled to control fires in Amazon during the worst ever drought recorded in rainforest. Wildfires also devastated a number of countries including Bolivia and Canada. The World Resources Institute's annual report and the University of Maryland's study showed for the first...

Environment

World hunger monitor faces 'large gap' after US aid cuts

FEWS NET, a global hunger monitor backed by the US, provided crucial data FEWS NET is now operating with reduced capacity Early warning alerts from FEWS NET helped to direct targeted aid Nelson Renteria & Nita Bhalla Treminio, armed with the public bulletins as well as regular alerts on food security produced by the Famine-Early Warning Systems Network (FEWS NET), would pass the crucial data to farmers. It was funded by USAID, the United States Agency for International Development. Since President Donald Trump's January order to freeze USAID spending, it has operated at a drastically reduced capacity. It's a vital...

Mining

Mineral Resources

Mineral Resources

Trump claims that the EU is not offering a fair trade deal and Japan is also 'tough.'

U.S. president Donald Trump said that Treasury Secretary Scott Bessent stayed in Canada for the G7 summit, and suggested Japan is being "tough' in trade negotiations and the European Union has not yet offered him what he considered to be a fair deal. Trump left early from the G7 to deal with the developments in the Middle East. The president told reporters that the EU has been very tough with the United States over the years. Trump said, "We are talking but I do not feel they have offered a fair offer yet." "They will either make a fair deal,...

Mineral Resources

G7 leaders gather in Canada to avoid Trump clash

The Group of Seven Leaders will gather in the Canadian Rockies on Sunday, amid growing divisions between the United States and Canada over trade and foreign policy. Canada is trying to avoid any clashes with Trump. The conflicts in the Middle East, Ukraine and U.S. Tariffs are likely to be prominently discussed. Israel, an ally of the United States, launched a barrage on Iran's borders on Thursday. This was a blow for Trump's diplomatic efforts in preventing such an attack. The summit will be held in Kananaskis Mountain Resort, about 90 km (56 mi) west of Calgary. Last time Canada...

Mineral Resources

Platinum prices surge, but palladium is lagging behind due to a narrower demand profile

The prices of platinum and palladium have both risen this month. They are now at their highest levels in more than four years and seven months, respectively. Analysts, however, remain cautious due to the narrower base of demand for palladium. Analysts say that spot platinum traded at $1,272.45 an ounce on Wednesday 1545 GMT, its highest price since February 2021. It has increased 41% in the past year due to supply concerns, renewed interest from investors following London Platinum Week, and an increase in jewellery demand, as high gold prices are driving consumers towards cheaper alternatives. The spot palladium price,...

Mineral Resources

Sources say that US and Mexico have discussed a deal to reduce Trump's steel tariffs.

Sources in the industry and trade said that on Tuesday, the United States and Mexico were negotiating an agreement to reduce or eliminate President Donald Trump’s 50% tariffs on steel imports up until a certain amount. A source in the industry familiar with the discussions said that the likely outcome was a quota agreement, where a certain volume of imports from Mexico would enter duty-free or at a discounted rate and that any imports over that level would face the full 50% tariff. Source: It is unclear whether the agreement will eliminate tariffs for steel import volumes within the quota...

Mineral Resources

US auto suppliers call for immediate action on China's rare earths restrictions

A group of auto suppliers from the United States has called for immediate action in response to China's restrictions on rare earths and minerals, as well as magnets. They warn that the issue can quickly disrupt auto part production. China, which controls 90% of the global processing capacity for rare Earths, used in everything from cars and fighter jets, to home appliances and household appliances, implemented restrictions in April, requiring exporters obtain licenses from Beijing. The new restrictions were imposed after the U.S. and China began a trade dispute following President Donald Trump's tariffs against Chinese imports. The Vehicle Suppliers...

Mineral Resources

Metals tariffs increase as the deadline for 'best offers' approaches

On Wednesday, the U.S. tariff rates on steel and aluminum imports will double as President Donald Trump intensifies a global war of trade. He also expects his trading partners to make their "best offers" to avoid harsh import tax rates for other goods taking effect early in July. Trump signed an executive order late Tuesday that will take effect on Wednesday. Last week, Trump surprised the world by announcing that he would increase tariffs from 25% to 50% on imports of steel and aluminum. "We began with 25 and after studying more data, we realized that this was a great...

Mineral Resources

VW Wolfsburg may switch to a four-day work week in 2027, according to the workers' council

Daniela Cavallo, the head of the Wolfsburg works council, told employees on Tuesday that Volkswagen's restructuring its Wolfsburg factory from 2027 in order to allow for EV production only could lead to a temporary four day working week. Cavallo was a key figure in negotiations last year with management over cost reductions. He said that unions had agreed on a minimum capacity utilization for the transition period. However, he urged workers to work extra shifts to compensate for the possibility of reduced working hours in the future. Cavallo stated that a four-day work week was not unreasonable from 2027. Volkswagen's...

Mineral Resources

Trump's tariffs on steel and aluminum are a reality

U.S. president Donald Trump intends to double tariffs for steel and aluminum imports from Wednesday to 50%, increasing pressure on global producers of steel and intensifying his trade war. Why is Trump doubling tariffs? Trump wants to encourage and support investment in the domestic production of aluminum and steel, two essential materials for construction. Aluminium is used in transport and packaging. These tariffs are already causing higher prices for consumers of steel and aluminum, as well as a decline in manufacturing. Meanwhile, the hurdles, such higher electricity prices, are very high. About a quarter (25%) of the steel used in...

Mineral Resources

Panama claims that the maintenance plan for First Quantum Copper Mine is not a re-start

A top trade official announced on Friday that Panama had approved First Quantum Minerals’ maintenance plan for the closed copper mine. However, the site was not restarted. The Trade and Industry Minister Julio Molto stated that the plan includes environmental safety measures which are necessary after the abrupt shutdown by government order of the previous administration in late 2023. The mine will not be reopened. Molto said at a press briefing that we are authorizing the implementation the care and safety management plan in order to protect the environment. He did not mention the cost of the plan or the...

Mineral Resources

How Trump's Trade War is Upending the Global Economy

The tariffs imposed by Donald Trump since his inauguration on January 20, 2017 have sent shockwaves through financial markets, and uncertainty has spread throughout the global economy. This timeline shows the major events: Trump imposes tariffs of 25% on Mexican imports, 10% on Chinese goods and most Canadian imports from February 1. He demands that they reduce the flow of illegal immigrants and fentanyl into the United States. Trump agrees to a 30-day suspension of his tariff threat against Mexico and Canada in exchange for concessions made on border security and criminal enforcement. The U.S. doesn't reach a similar deal...

Mineral Resources

Mexico expects early USMCA review to give clarity to investors and consumers

Mexico's Economy Minister said that the country hopes to begin a trilateral review with the U.S., Canada and other countries in the second half this year. This will provide more clarity for consumers and investors. On the sidelines of an event organized by the Ministry of Finance with local firms, Economy Minister Marcelo Ebrard said to journalists: "We expect that we will start discussions in second half of this year." He added, "We hope that they will happen as quickly as possible and we can come to an agreement as soon as." Next year, the USMCA will be reviewed. The...

Mineral Resources

JFE Holdings, Japan's largest investment company, aims to invest nearly $3 billion overseas in growth.

JFE Holdings (parent of Japan's second largest steel manufacturer) has set aside 400 billion Japanese yen ($2.8billion) to invest overseas over a three-year period. It expects the domestic demand to remain weak, and that China's exports will continue to pressure global markets. The company stated that its key strengths outside Japan include its partnerships with JSW Steel Limited India and Nucor Corporation North America. It also plans to increase its exposure overseas through strategic local partners. It added that "in parallel with considering large scale overseas investments, such as the acquisition of raw materials interests, promising opportunities will be pursued...