Latest News
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UK will offer financial incentives to residents living near new electricity poles
The government announced on Thursday that it could offer households near new electricity poles a discount up to $250 ($334) per year on their bill. This is to encourage the acceptance of the infrastructure required to upgrade the grid. Britain is planning to decarbonise the electricity sector in its country by 2030. This will require new renewable energy projects and infrastructure including pylons that connect these to the grid. In a press release, Minister for Energy Consumers Miatta Fahnbulleh stated that "as we build infrastructure, we must deliver affordable, homegrown energy. Communities must be given a say." The government has said that by 2030, around twice as much transmission network infrastructure is needed as was built in the past decade. However, in many areas, local communities are opposed to large pylons projects, which critics claim blight landscapes. The proposed scheme could allow households located near new pylons to save up 2,500 pounds in 10 years. This is done by offering 125 pounds off their bills every six-months. The UK's energy regulator Ofgem also announced on Thursday that suppliers must install smart meters or repair them if they are broken. Suppliers will have to compensate customers from 2026 if the customer has to wait longer than six weeks to get an appointment for installation or if there are problems with equipment installed.
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EOG Resources increases annual production forecast for Encino deal after profit exceeds expectations
EOG Resources, the U.S. energy company that closed its $5.6 billion Encino transaction on Thursday, beat its second-quarter profit forecast and increased its annual production projection. The company's 2025 production forecast was for an average of 1.224 million barrels equivalent per day (boepd) compared to its previous expectations of between 1.1 and 1.14 million boepd. In a press release, CEO Ezra Yacob stated that "the expansion of our portfolio by the Encino acquisition and our entry into Bahrain, the UAE and Trinidad as well as the strong exploration progress in our domestic portfolio, and Trinidad has significantly improved our industry-leading assets base." EOG's forecast for the total capital expenditures in 2019 is between $6.2 and $6.4 billion. This is higher than its previous estimate of $5.8 to $6.2. EOG acquired Encino Acquisition Partners in May to increase its presence in Utica and Marcellus, one of the world's most prolific natural-gas basins. EOG also exceeded estimates for the second-quarter profits on Thursday as an increase in production helped it offset the drop in crude oil prices. Brent crude prices fell by an average of nearly 20% in the first quarter compared to a year ago, dragged lower by tepid demand signals globally, OPEC+'s increasing supply and U.S. Trade policies. Prices briefly spiked over $80 per barrel in June after Israeli strikes on Iranian nucleus facilities. However, prices soon fell to $67 a barrel as geopolitical risks diminished and the market's focus returned to weak fundamentals. EOG reported benchmark U.S. crude oil prices at $63.71 per barrel, down from $80.55 last year. Total quarterly production for the company was 1.13 million Boepd compared to 1.047 millions Boepd last year. According to data compiled by LSEG, the Houston-based firm posted an adjusted profit of $2.32 for the quarter that ended on June 30 compared to analysts' expectations of $2.21. (Reporting by Arunima Kumar in Bengaluru; Editing by Sriraj Kalluvila)
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Wall Street Mixed as Oil Prices Drop for 6th Session
The major Wall Street indexes ended mixed on Thursday. While the Dow and S&P 500 closed lower, European stocks reached a new high for a week on the back of strong financial stocks, and on hopes that a ceasefire in Ukraine would be achieved. U.S. president Donald Trump nominated Stephen Miran, Chairman of the Council of Economic Advisers to be a Federal Reserve Governor. The oil prices fell for the sixth session in a row after the Kremlin announced that Russian President Vladimir Putin will meet with Trump who is looking to find a breakthrough on the Ukraine War. Gold prices, which are seen as a haven of safety in turbulent times, reached a new two-week record. The yields on 30-year Treasury bonds were slightly higher after a weak auction. This was the latest in a series of sales that showed a lackluster demand. The MSCI index of global stocks rose by 3.03 points or 0.32% to 936.26. Dow Jones Industrial Average dropped 0.51% to 42,968.64. S&P 500 fell 0.08% to 6340.00. Eli Lilly shares declined after disappointing data for its oral weight-loss drug. The Nasdaq Composite rose 0.35%, to 21,242.70. "There are persistent downside risks." Capital.com analyst Kyle Rodda noted that the number of negative surprises in official statistics is increasing. "Valuations also seem stretched. The forward price-to-earnings ratio is at its highest level in four years. "Trade uncertainty persists." Shares were pressured earlier by a report that Federal Reserve governor Christopher Waller would be Trump's first choice to lead the central bank. This raised concerns about the Fed's independent. The U.S. increased tariffs on imports of goods from dozens countries on Thursday. This raised the average import duty in the U.S. to its highest level in over a century. Investors weighed mixed corporate results and U.S. Tariffs as they weighed up the European share market's biggest daily gain in more than two weeks. The pan-European STOXX 600 closed at its highest level in a week. The euro was also supported by the plans for a Trump-Putin meeting over the Ukraine war. Emmanuel Cau of Barclays, head of European equity strategies, said that a ceasefire would be "an extra positive". Four of the nine policymakers at the Bank of England, concerned about inflation, voted against a cut in interest rates. The BoE may be ending its rate-cutting spree. The pound rose 0.67%, to $1.3444. Dominic Bunning is the head of G10 FX Strategy at Nomura. Japanese shares had earlier reached a record-high. MSCI's broadest Asia-Pacific share index outside Japan closed at 1.03% while Japan's Nikkei rose 0.65%. Taiwan's benchmark stock index jumped up to 2.6%, reaching a record high of more than a year. The shares of chipmaker TSMC, who announced this year additional investments in their U.S. manufacturing facilities, and is therefore expected to be relatively unaffected by the U.S. duty on imported chips, soared at a record high. The dollar index (which measures the greenback in relation to a basket of currency) fell by 0.14%. At $1.1667, the euro was up 0.07%. The yield of benchmark U.S. 10 year notes increased by 1 basis point to 4.242%. The 30-year bond yield also advanced by 1.1 basis points, to 4.8221%. Gold spot rose by 0.93%, to $3,399.67 per ounce, its highest level since July 23. U.S. Gold Futures closed 0.6% higher, at $3.453.70 per ounce. After Trump's remarks on progress in negotiations with Moscow, global oil prices erased earlier gains. Both benchmarks reached eight-week lows. Brent crude futures fell 46 cents or 0.7% to $66.43 per barrel. U.S. Crude Futures dropped 47 cents or 0.7% to $63.88.
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US loan disbursements for recommissioning Michigan nuclear plant exceed $83 million
The Trump administration announced on Thursday that it had issued a fifth loan guarantee to Holtec International for its Michigan nuclear plant. Holtec International hopes this will be the United States' first reactor to restart following a shutdown. The Department of Energy has announced that it has disbursed over $83 million of a maximum loan guarantee of up to $1.52billion for the 800 megawatt Palisades nuclear reactor. Former President Joe Biden’s Loan Programs Office initiated the conditional loan guarantee to support nuclear power, which produces virtually emission-free electricity, and to help satisfy increasing electricity demand from artificial intelligence and data centers. Constellation Energy has announced that it will reopen Three Mile Island, the Pennsylvania nuclear power plant where a partial meltdown occurred in 1979. This event shook the nuclear industry. Constellation announced in June that it could restart the plant in 2027 - about a year earlier than originally planned. Entergy, a power company, closed Palisades after more than 50 years of operation in 2022. The plant shut down two weeks earlier than planned due to a problem with a control bar, despite the $6 billion federal program designed to save reactors from increasing costs. In May, U.S. president Donald Trump issued executive orders to speed up the issuance of new nuclear licenses and to overhaul the Nuclear Regulatory Commission that issues them. Last month, the NRC approved Holtec’s request to load reactor fuel. The NRC stated that there were still several licensing issues under review, and certain requirements to be met in order for Palisades to restart under its original operating license which expires 2031. Holtec has repaired steam generators in Palisades, as the plant shut down without following the normal procedure to maintain the units. Holtec, who said in March that it wanted to restart its plant in the fourth-quarter of 2025, didn't immediately reply to a question about whether this timing is still valid. (Reporting and Editing by Marguerita Chy)
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MP Materials Quarterly loss lower than expected due to higher rare earth production
MP Materials posted a smaller-than-expected second-quarter loss Thursday, as the U.S. rare earths miner benefited from higher production amid rising demand. After the bell, its shares rose over 12%. Stock has gained 356% this year up to the last close. The company, which operates the U.S.'s only rare earths mine at Mountain Pass in California, has been thrust into the spotlight by President Donald Trump as his administration intensifies efforts to increase domestic supplies to reduce dependency on China. Last month, the firm signed a multi-billion dollar deal with the U.S. Government to increase production of rare earth magnets. These are widely used in the manufacture of weapons, electric cars and many electronic devices. Apple signed a $500-million deal for rare earth magnets with the iPhone maker after the Pentagon's deal. The production of neodymium, praseodymium, and other rare earths (NdPr), the two most sought-after rare earths, increased by 119% in the second quarter ending June 30. According to LSEG, the Las Vegas-based firm posted an adjusted loss per share of 13 cents, compared to analysts' expectations of a 19 cents loss. Reporting by Vallari Srivastava, Bengaluru. Editing by Sriraj Kulluvila
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French court blocks return of controversial pesticide to farming law
The French Constitutional Court blocked Thursday the reintroduction a pesticide that was accused of harming honeybees. This is the latest development in a bitter political battle within the largest agricultural producer in the European Union. The court ruled that the proposed re-authorisation for acetamiprid – a pesticide belonging to the group of neonicotinoid pesticides, which is banned in France – as part of a farm bill passed last week did not offer sufficient protections regarding the use of this crop chemical. A petition opposing the proposed relaxation of France’s neonicotinoid prohibition gathered over 2,000,000 signatures. This was a record on the National Assembly’s website for a petition. The ruling of the court is a blow to supporters including many French farmers' unions, conservative politicians and Senator Laurent Duplomb, who named the bill. The argument was that acetamiprid, which is approved in other parts of Europe, does not present the same risk as neonicotinoids, which are banned at EU-level. Without it, crops such as sugar beets or hazelnuts would suffer severe losses due to disease. The FNSEA and JA - two of France's largest farmer unions - welcomed the court's approval for most of the legislation. This included steps to simplify the planning permission for livestock structures and water reservoirs. The Elysee announced that French President Emmanuel Macron would, despite the fact that his centrist allies were divided on the legislation, sign it into law as soon as possible, in accordance with the court's ruling.
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BHP and Vale offer £1.4 billion settlement to UK lawsuit regarding Brazil dam disaster
The Financial Times reported that global miners BHP and Vale offered $1.4 billion in settlement of a class-action lawsuit filed in the United Kingdom over one of Brazil's most devastating environmental disasters. The lawsuit is a result of the failure of the Mariana Dam in Southeastern Brazil in 2015. It was owned and operated jointly by BHP and Vale, the joint venture Samarco. The tragedy prompted hundreds of thousands to file lawsuits. BHP is currently involved in a London-based lawsuit, which claimants' attorneys have estimated at up to 48.29 billion pounds (36 billion pounds). According to the report, which cited people who are familiar with the issue, the proposed settlement includes $800 million for compensation of victims, and $600 million towards legal costs in connection with High Court proceedings. Reports claim that the offer was made at a meeting held in New York, on June 15, with Pogust Goodhead (the British law firm representing Claimants) and Gramercy (the U.S. hedge-fund principally supporting the Claimants), the British law firm. BHP and Vale didn't immediately respond to requests for comments. BHP described the claims that profit-driven decisions overshadowed safety and contributed to the accident as "farfetched" and "unjustified" in October of last year.
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South Africa joins international diamond marketing campaign
South Africa's Cabinet has approved the participation in a global effort to promote the marketing of actual diamonds. This is in response to the growing appeal of lab-grown gemstones. The initiative will be funded by a 1 percent levy on annual revenue of diamond companies. Natural diamond prices have fallen in recent years, due to the increasing demand for synthetic gems and the global macroeconomic volatility. De Beers, a division of Anglo American, and the leading African producers, as well as trade associations and De Beers, signed an agreement in June to work together on promoting natural diamonds and driving global demand. The Natural Diamond Council spearheads this initiative. Signatories plan to dedicate 1% of their annual revenue from rough diamond sales for funding. South Africa did not sign the agreement at first, but Minister Khumbudzo ntshavheni announced on Thursday that the cabinet approved the Department of Mineral Resources and Petroleum to participate in international agreements designed to help diamond-producing nations better market and promote natural diamonds worldwide. Ntshavheni stated that "for this to become a reality, the cabinet has approved that the diamond sector be asked to contribute 1% from their annual revenue generated by rough diamond sales in order to support marketing South Africa's actual diamonds for economic growth and to create jobs." Synthetic diamonds, with their reduced environmental impact and competitive pricing, are becoming more popular among younger ethically-conscious consumers. This shift is forcing traditional diamond mines and retailers to reconsider their strategies. South Africa is the 6th largest diamond producer in terms of volume. In 2024, its diamond production fell 0.9% to 5.8 million carats. Total sales were 13 billion rand (731.45 millions dollars), down 21% since 2023. At a Tuesday meeting with diamond producers, Mines Minister Gwede Mantashe stated that "lab-grown diamonds are eating our dinner". "I am convinced that marketing natural diamonds as a necessary action."
Oil prices, global stocks turn down; European shares close up
European stocks closed on Thursday at an all-time high, boosted by strong financial stocks and the hope of a ceasefire in Ukraine. Global equities as well as major Wall Street indexes fell.
The oil price dropped after the Kremlin announced that Russian President Vladimir Putin will meet with U.S. president Donald Trump.
Gold prices, which are seen as a haven of safety in turbulent times, reached a new two-week record.
Wall Street fell following a report
Federal Reserve Governor Christopher Waller
Trump's choice for the Federal Reserve chair was a top contender, and this raised concerns about the independence of the Federal Reserve.
The MSCI index of global stocks fell by 0.19 points, or 0.02% to 933.04.
The Dow Jones Industrial Average dropped 0.77% to 42,851.17. The S&P 500 fell 0.47% at 6,315.33 and the Nasdaq Composite lost 0.30% at 21,104.91.
" are persistent downside risks. Capital.com analyst Kyle Rodda said in a recent note that the number of negative surprises in official statistics is increasing. "Valuations also seem stretched. The forward price-to-earnings ratio is at its highest level in four years. "Trade uncertainty persists." The trade uncertainty persists."
Investors weighed mixed corporate results and U.S. Tariffs as they weighed up the European share market's biggest daily gain in more than two weeks.
The pan-European STOXX 600 closed at its highest level in a week. FTSEurofirst 300, the index for Europe, rose by 0.93%. The euro was also supported by the plans for a Trump-Putin meeting over the Ukraine war.
Emmanuel Cau of Barclays, head of European equity strategies, said that a ceasefire would be "an extra positive".
Four of the nine policymakers at the Bank of England, concerned about inflation, voted against a cut in interest rates.
The BoE may be ending its rate-cutting spree. The pound rose 0.47%, to $1.3416.
Dominic Bunning is the head of G10 FX Strategy at Nomura.
Japanese shares had earlier reached a record-high. MSCI's broadest Asia-Pacific share index outside Japan closed at 1.03% while Japan's Nikkei rose 0.65%.
Taiwan's benchmark stock index jumped up to 2.6%, reaching a record high of more than a year. The shares of chipmaker TSMC, who announced this year additional investments in their U.S. manufacturing facilities, and is therefore expected to be relatively unaffected by the U.S. duty on imported chips, soared at a record high.
The U.S. Dollar gained 0.12% against foreign currencies, while the euro fell 0.21% to $1.1634.
The yield on the benchmark U.S. 10 year notes increased 1.4 basis points, to 4.246%.
Spot gold increased 0.68%, to $3,391.39 per ounce.
Brent crude futures fell 0.45% to $66.59 a barrel, while U.S. crude crude dropped 0.51% to $64.02.
(source: Reuters)