Latest News
-
Kyiv: EU permits more power imports to Ukraine
The European Union increased the maximum import capacity from Ukraine of electricity by 38.5%. This gives Kyiv an opportunity to earn money for rebuilding power plants destroyed by Russian attack, Ukraine's Energy Ministry said on Thursday. The new limit will remain in effect until August 1 and be reviewed monthly thereafter. Before Russia's invasion of the EU in 2022, Ukraine began exporting large amounts of power to the EU. After Russia damaged Ukrainian power generation facilities, it stopped exports. It resumed them in early this year. German Galushchenko, energy minister of Ukraine, said on Telegram that increasing the maximum export capability is a step which will help balance the Ukrainian energy systems. He also said that it would allow Ukrainian power plants earn an additional profit in order to deal with the effects of Russian attacks as well as prepare for winter. Ukraine lost half its power generation capacity due to Russian drone and missile attacks. Most of it was restored later. ExPro, a Ukrainian consultancy, said this week that Ukraine had increased its exports of electricity to 237 Megawatt Hours in June from 95 MWh around in May. The consultancy claimed that Ukraine exported electricity to Hungary, Slovakia and Moldova. Mark Potter (Reporting and Editing by Pavel Polityuk)
-
What if you prayed to stop climate change? Now there's a Catholic Mass to stop climate change
The Vatican published a new rite on Thursday that will allow priests celebrate a Mass exhorting Catholics to care for the Earth. This is the latest effort by the global Church of 1.4 billion members to combat global climate change. Since centuries, Catholic priests can celebrate special Masses in order to pray for their nation, to give thanks following a harvest, or to ask God to stop a natural catastrophe. Two Vatican offices have prepared a new "Mass for caring for Creation" that allows priests pray for Catholics to "lovely care" for the creation and to "learn how to live in harmony with every creature". "This Mass... calls us faithful stewards to what God has entrusted us with - not just in daily choices and policies, but in our prayer and worship and in our way of life in the world," Cardinal Michael Czerny said, presenting the ritual at a Vatican Press Conference on Thursday. Priests can offer Masses to meet a variety of needs. The Vatican has 50 options, including the new rite approved by Pope Leo. Pope Francis, who died in 2016, was a strong advocate of caring for the creation. He was the very first pope who embraced the scientific consensus on climate change, and urged countries to reduce carbon emissions according to the 2015 Paris Climate Accord. Rev. Bruce Morrill is a Jesuit priest at Vanderbilt University and an expert in Catholic liturgy. He said: "This new theme Mass shows the Church's full recognition of the grave threats caused by climate change." The new Vatican Rite comes just two days after Catholic Bishops from Asia Africa and Latin America published a joint call to action, the first of its type, to urge governments around the world to take more action to combat climate change. (Reporting and editing by Saad Saeed; Joshua McElwee)
-
News agencies report that Russia is suing for its ownership stake in Uzhuralzoloto's gold producer.
Russian news agencies, citing sources in law enforcement, reported that the office of Russia’s Prosecutor-General has filed a suit to transfer ownership of certain shares of gold producer Uzhuralzoloto. Russian prosecutors have increased the seizure and confiscation of assets in Russia through the courts. This year they have ordered the transfer to the government of a major grain trader, the Domodedovo Airport, as well as strategic warehouse assets. Uzhuralzoloto (UGC), Russia's fourth largest gold producer and listed on the Moscow Stock Exchange, was down 9.4% at 0829 GMT after falling around 17% in earlier trading. UGC is subject to U.S. sanction. The UGC and the Prosecutors did not respond immediately to a comment request. The woman who answered the telephone at the Russian Prosecutor's General Office said that she couldn't confirm the report, and that her office would only reply to written requests for information. UGC is owned and controlled by Konstantin Strukov. He has been sanctioned by several Western countries including Britain for his role as director of an extractives company in Russia. According to a source from the prosecutor’s office, the lawsuit was filed to transfer Strukov’s shares to state. The Kommersant reported that Strukov is accused of obtaining control of UGC illegally in the lawsuit. The newspaper reported that a preliminary hearing would be held on July 8. Strukov has been contacted by UGC for comment. Since Russia's troops entered Ukraine in February 20, 2022, foreign companies have faced the threat of state seizing their assets. However, Moscow has been increasingly focused on domestic assets, citing domestic security and strategic stability. Last month, Igor Krasnov - the prosecutor general who led the government's effort to seize assets worth 2.4 trillion rubles ($30.46billion) - said that foreign companies returning to Russia would be closely monitored to ensure Russia benefits. $1 = 78.8000 Roubles (Reporting and editing by Andrew Osborn, Barbara Lewis and Anastasia Lyrchikova)
-
South African miners say proposed Chrome Export Tax threatens jobs
The Minerals Council of South Africa has warned that the proposed tax on chrome ore exports will reduce profitability for miners and cause job losses in the industry. Africa's most developed economy is the largest exporter of Chrome, which is mainly used to manufacture stainless steel. South Africa used to be a major producer of ferrochrome (a mixture of chrome and iron), but has lost this position to China. This is mainly due to the high cost of electricity, which forced many smelters into closure. As part of its efforts to stem the decline of the chrome industry, the South African cabinet announced on June 26 that it had agreed to lower the power tariffs for the chrome smelters and impose a proposed tax on the export of chrome ore. Minerals Council South Africa (MCSA), which represents the largest miners in the country, stated that the tax would not "achieve the government's goals of maintaining the ferrochrome sector and the preservation jobs". This would "have a detrimental impact on chrome producers, and the significant contribution that this industry makes both to South Africa's economic growth and the jobs they sustain and grow". According to the Minerals Council, the South African chrome industry directly employs 25 000 people and will generate 85 billion rand (4.85 billion dollars) in export revenues by 2024. In 2024, it exported a record number of 20.5 million tons of chrome concentrator, mainly to China, which is the largest importer in the world. South32, Tharisa Plc, and Glencore are among the companies that mine and process chrome in South Africa.
-
Gold held at a narrow level as the spotlight turns to US employment data
The gold price was stuck in a range on Thursday, as investors waited for the non-farm payrolls report from the United States that could affect when Federal Reserve will cut interest rates. By 0801 GMT, spot gold had fallen by 0.1% at $3,352.59 per ounce. U.S. Gold Futures increased 0.1% to $3363.10. Nitesh Nitesh, commodities strategist at WisdomTree, said that gold is searching for new triggers. The non-farm payrolls may be the trigger later. ADP released data showing that private payrolls in the United States fell by 33,000 positions in June. This was the first drop in over two years. According to a survey, the non-farm payroll report, due on Thursday at 1230 GMT, is expected to show a decline from May's 139,000 jobs to 110,000 in June. The U.S. stock market reached record highs following President Donald Trump's announcement that the U.S. had struck a deal with Vietnam. This included a 20% tariff for exports into the United States. He also expressed optimism regarding a deal with India. ANZ analysts wrote in a report that "more trade deals with lower tariffs can build confidence that inflation will be benign and allow the Fed to ease monetary policies." Gold that does not yield a return tends to do well during low interest rates and times of financial and political uncertainty. Other precious metals saw spot silver rise 0.1% to $36.93 per ounce, platinum remained steady at $1.417.85 (near a 10-year high reached last week), and palladium rose 0.1% at $1.155.97.
-
Nippon Steel will raise $5.6 Billion in Subordinated Loans to Fund U.S. Steel Deal
Nippon Steel, Japan's steel giant, announced on Wednesday that it will raise 800 billion yen (5.6 billion dollars) via two subordinated loan to partially finance its recent $14.9 Billion acquisition of U.S. Steel as well as refinance existing loans. The largest steelmaker in Japan will partially repay the 2 trillion yen loan it secured for this deal by using a subordinated 500 billion yen loan. Separately, a 300 billion yen refinancing loan will be used to refinance an earlier 450 billion subordinated loan. Nippon Steel's spokesperson confirmed that the 500 billion yen loan would be covered by Japan’s three major banks – Mitsubishi UFJ Financial Group Sumitomo Mitsui Financial Group Mizuho Financial Group – as well as Sumitomo Mitsui trust group and Development Bank of Japan, by September 18. On July 22, the 300 billion yen will be divided among four banks, including Sumitomo Mitsui Trust and three megabanks. According to the spokesperson, the remaining 1.5 trillion yen will be financed using a variety of methods based on interest rates, market conditions, and other factors. The spokesperson stated that "although additional capital-based funding is one of the options being considered, any such move will be based on avoiding earnings per share (EPS) diluting." Nippon Steel’s debt-to equity ratio increased to around 0.8 as a result of the acquisition. It was 0.35 on March 31, but it rose to 0.8 after the bridge loans were made and the loss from the sale of a joint venture in the U.S. with ArcelorMittal. Nippon Steel sold its joint venture stake in order to get approval for U.S. Steel's acquisition. The company wants to reduce the ratio to 0.7 by the end March 2026 using measures like cash flow from earnings or asset sales.
-
US court recommends Dalinar’s $7.38 Billion bid for Citgo parent
According to a filing in court and a statement from the company, a U.S. court official overseeing the auction of PDV Holdings - the parent company of Venezuelan owned U.S. refiner Citgo Petroleum - has recommended that Gold Reserve subsidiary Dalinar Energy submit a bid for $7.38 billion. Two sources familiar with the bid told us on Wednesday that a group led by commodities trading company Vitol submitted a bid in excess of $10 billion during the last hours of an auction organized by a U.S. federal court. In the second round of bidding for PDV, the court chose an offer of $3.7 billion from Red Tree Investments, a Contrarian Funds affiliate. The bid included an agreement with holders of Venezuelan defaulted bonds to be paid. According to court documents, Robert Pincus, the court officer, said that he thought Dalinar's offer was the best of all those submitted. The filing stated that "Dalinar’s proposed sale transaction" was approximately $3.576 Billion higher than Red Tree's stalking horse transaction, and that Dalinar’s bid was "the highest offer that meets the requirements". Gold Reserve reported that Dalinar’s revised $7.38 billion offer relies on equity and debt funding and is backed by a consortium consisting of Rusoro Mining and two units of U.S. company Koch, as well as Germany’s Siemens Energy. Dalinar initially bid $7.1 billion for PDV. A judge must approve the sale.
-
Prices of copper remain near their multi-month highs due to supply constraints and US tariff fears
The London Metal Exchange (LME) and Shanghai Futures Exchange (SFE) both held copper near its highest level since late March. This was due to concerns about a tight supply in the region and an increase in shipments to the U.S., as traders rush to avoid potential import tariffs. The most traded copper contract on SHFE fell 0.07%, to 80,560 Yuan ($11246.37) or its highest level since March 27, and three-month copper on LME fell by 0.35%, to $9,978 per ton at 0703 GMT. The United States may decide to deal with the copper tariff later. This has given traders more time to transport copper to the United States, when prices are higher. The SHFE copper stocks are too small in absolute terms, which is more supportive of prices. The SHFE monitored warehouses had copper stocks totaling 81,550 tonnes by June 27. This was down 69.6% on the highest day of the year on February 28, or 74.5% on the previous year. U.S. Comex Copper Futures rose by 2% on Wednesday to $5.199 per pound, with a premium of 14% over the LME Copper futures. Total Copper Stocks As of Wednesday, the total amount of copper in LME registered warehouses was 93 250 tons, a 65.6% drop from the highest level of the year in mid-February. This is because cargoes have been rushed into the United States after its investigation of copper imports, and due to the threat of new tariffs. SHFE nickel rose 0.8% to 121 790 yuan per ton. Lead gained 0.5%, to 17,245 Yuan. Zinc was up 0.5%, at 22,325 Yuan. Aluminium edged higher by 0.07% to 20,680 Yuan. Tin fell 0.33%, to 268,420 Yuan. LME nickel rose 0.44%, to $15,370 per ton. Lead grew 0.34%, to $2.066.5. Tin climbed 0.05%, to $33,730. Zinc fell 0.49%, to $2.744, while aluminium declined 0.34%, to $2.611. Click or to see the top news stories about metals, and other topics. ($1 = 7.1632 Chinese Yuan) (Reporting and editing by Sherry Jab-Phillips; Vijay Kishore and Hongmei Li)
China's North and West on Alert after Deadly Floods Caused by Sweeping Rains
China's west and north were braced on Thursday for flash floods, as the annual "Plum Rains" left a path of destruction. This prompted thousands of rescue workers from across China to help pull people out of floodwaters.
The red alerts traced the rains from the southwest province of Sichuan, through the northwestern provinces of Gansu and Liaoning to the northeast province.
The state media reported that over 1,000 rescue workers had been dispatched on Wednesday to the town Taiping, in central China's Henan Province, after torrential rainfall caused a river nearby to burst it banks. Five people were killed in a flash flooding and three others are still missing.
On Thursday morning, trains to the capital Beijing were suspended. Flight delays and cancellations occurred at one of the airports in the city late Wednesday night and early Thursday morning.
Meteorologists have linked climate change to extreme rainfall and severe floods. These events pose a major challenge to policymakers, as they threaten to overwhelm the ageing flood defences and displace millions. They also threaten to wreck havoc on China’s $2.8 trillion agriculture sector.
Natural disasters caused economic losses of over $10 billion in July last year, during which the "Plum Rains" - so named because they coincide with plums maturing along China's Yangtze River at the time of the East Asia Monsoon – usually reach their peak.
Local media reported that in China's southwest province of Guangxi several buildings have slid over the past two days as their foundations gave out due to waterlogged soil.
The national meteorological center forecasts scorching heat along eastern coast of the country.
(source: Reuters)