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Bulgaria drafts a law to allow the seizure and selling of Lukoil refinery
Local media reported that Bulgaria was drafting changes to its laws to allow it to take control of the Russian oil company Lukoil’s Burgas Refinery, which has been sanctioned by the U.S. Burgas, Bulgaria's sole oil refinery, was an important part of Lukoil’s international business empire. This began to crumble in recent days, after the U.S. and Britain imposed sanctions last month on Russia’s two largest oil firms over Moscow’s war in Ukraine. Mediapool, a Bulgarian outlet, reported the draft legislation on Wednesday. It would allow a special manager to supervise the sale of Burgas Oil Refinery. The owner, Lukoil, would not be able to vote or appeal, according to the reports. Boyko Borissov - former Bulgarian prime minister and leader the GERB coalition government – said: "There's a lot to this. That's why we are submitting a law draft today on the special governor." According to Martin Vladimirov of the Bulgarian Center for the Study of Democracy, appointing a special director to temporarily take operational control of Lukoil Bulgaria would "ensure security of energy, prevent a crisis of supply, and actively mitigate the risk of secondary sanctions in the future." Question of Ownership On October 30, Lukoil revealed that global commodity trading company Gunvor would purchase its foreign assets. Gunvor has yet to reveal how it will handle the massive deals and whether or not it will acquire each of Lukoil’s foreign assets. Gunvor's chief executive Torbjorn Tornqvist told Bloomberg Television Tuesday that "we may feel there are assets which we think would be better preserved by other hands", without going into further detail. Gunvor has not responded to the request for comment sent after European business hours. Lukoil was under pressure from the West to sell its Burgas refinery. In January, RIA reported that the price was $2 billion. Bulgaria has introduced a provision in 2023 for the appointment of a Burgas-based special manager to oversee critical infrastructure.
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EDP's 9 month profit drops 12% due to lower capital gains and beats expectations
EDP, Portugal's biggest power utility, posted a 12% drop in its nine-month profits, due to lower capital gains. However, the company still exceeded market expectations. The company said that the consolidated net profit was 952 million euro ($1.11 billion), which is higher than the LSEG consensus of 920 millions euros. Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA), which is the earnings before interest, tax, depreciation, and amortization, fell by 3% on an annual basis to 3.8 billion euro, beating out the average survey figure of 3.7 billion euro. EDP Renovaveis, EDP's subsidiary for wind energy, has only booked 35 million euros of capital gains on the sale of solar and wind assets. This is part of an overall strategy to sell stakes in older plants in order to fund newer ones. Profits for the unit fell by 49%, to 107 millions euros. EDP reported that, after excluding the lower gains from asset sale, the recurring net profit increased 5% on an annual basis, reflecting a total increase of 14% in electricity production from new capacity. The operations in the United States and Portugal, as well as Spain, contributed significantly to this growth. EDP operates in 29 countries throughout Europe, North America, and Asia. Its gross margin, or revenue from sales of energy minus direct costs to produce or acquire it, was flat at 5,2 billion euros.
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Georgia voters remove GOP utility commissioners due to rising electricity prices
Georgia voters ousted two Republican utility commissions on Tuesday night over rising electricity rates. This could be a sign of consumer anger against data centers, and Republican President Donald Trump’s aggressive push for nuclear power. Utility regulators across the country are forced to consider the costs of billions of dollars in infrastructure projects, including new transmission lines and new generation. Some consumers are paying higher rates because demand exceeds supply. One Wall Street firm has reacted quickly to the results of the special elections, downgrading Southern Co's stock from "Buy" to "Hold". Analysts at Jefferies referred to the election result as a "resounding Republican defeat" and stated that it would increase the risk profile for Georgia Power, an unit of Southern Co. and make it more difficult to raise electricity rates. According to a Georgia Public Service Commission survey, summer electric bills for Georgia Power users of 1,000 kilowatts increased by 41% and reached nearly $190 per monthly. Alicia Johnson, a Democrat, and Peter Hubbard, a Republican incumbent commissioner each won more than 60% votes. The two Democrats will now sit on the Georgia Public Service Commission which regulates utilities and sets rates for electricity. Johnson and Hubbard both ran campaigns to promote fair electricity rates and a greater emphasis on renewable energies. Their online campaigns stated that electricity rates had increased six-fold in the last two years. Georgia's electric bills reflect the massive cost overruns of the construction of two Vogtle reactors. The reactors were built seven years late and cost $35 billion. According to Georgia regulators, this was more than twice the initial estimate of $14 billion. Patty Durand of Georgians for Affordable Energy called the election as a referendum against nuclear power. Last week, Trump announced an $80 Billion deal to purchase nuclear reactors from Westinghouse. This is the same company which went bankrupt in 2017 due to cost overruns on the Georgia nuclear project. Analysts estimated that electric customers will pay between $36 and $43 billion more over the 60 year lifecycle of two Vogtle nuclear reactors compared to a gas-fired alternative fuel source. Durand stated that Georgia electric customers receive bills that look similar to monthly car payments. (Reporting by Tim McLaughlin, Editing by Aurora Ellis).
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Dollar extends recent gains as stocks climb on tech share rebound
The stock indexes rose on Wednesday, as the dollar continued to rise and U.S. payrolls data came in stronger than expected. According to a survey of economists, the U.S. private sector payrolls increased by 42,000 in October. This was more than double what most expected. Some industries, such as professional services, have lost jobs for the third consecutive month. Private payroll data is closely scrutinized in light of the U.S. shutdown and the ongoing concerns about the weakness of the labor market. U.S. president Donald Trump has again asked Republican senators in an effort to end the longest government shut down in history to stop the filibuster. After a sharp drop on Tuesday, the semiconductor index rose 2.5%. Advanced Micro Devices shares rose 0.5% following a positive revenue forecast given by the company on Tuesday. Peter Cardillo is the chief market economist of Spartan Capital Securities, based in New York. He said that the ADP numbers suggested that if they aligned with the official figures - when finally released - that the fears over the job market might have been overstated. He said that the possibility that the U.S. government shutdown will end adds to the optimism. The Dow Jones Industrial Average grew 59.92, or 0.12% to 47,139.89. The S&P 500 climbed 28.01, or 0.41% to 6,799.59. And the Nasdaq Composite grew 149.16, or 0.64% to 23,498.37. The MSCI index of global stocks rose by 1.48 points or 0.15 percent to 998.31. The pan-European STOXX 600 rose by 0.38%. Asia stocks took a heavy hit overnight. The Nikkei 225 index in Japan fell nearly 7% at one point from its record highs on Tuesday. Shares in South Korea dropped as much as 6,2%, before recovering some of their losses to fall by 2.9%. The global stock market has been swept by a wave of enthusiasm for generative artificial Intelligence this year. It's been compared to the dotcom boom. Since last week, when the Federal Reserve lowered interest rates by 25 basis point and Fed Chair Jerome Powell stated that a December rate cut was not predetermined, the dollar has strengthened against the euro. The euro fell 0.04% to $1.1477. The dollar gained 0.38% against the Japanese yen to reach 154.26. After recovering from its earlier losses, the leading cryptocurrency Bitcoin gained 3.25% and reached $103,565.86. It fell 6.1% to $99,000 on Tuesday, the lowest level since June 22. The yields on U.S. Treasury bonds rose after economic data showed that the economy is still resilient. The yield on the benchmark 10-year U.S. notes increased 5.4 basis points from late Tuesday to 4.145%. Gold prices increased. Gold spot rose 1.26%, to $3981.49 per ounce. U.S. crude dropped 0.38% to 60.33 per barrel. Brent was down to $64.27 a barrel, a 0.26% drop on the day.
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S.African mine will close after ArcelorMittal stops purchasing iron ore
African Rainbow Minerals, a South African company, announced on Wednesday that the mine, which is jointly owned by ARM and ArcelorMittal South Africa (the ailing steelmaker), will be put on "care-and-maintenance" following the cessation of purchases from its only customer. Beeshoek Mine is temporarily closed for maintenance and care as owners assess other options in case the market conditions change. The mine's mining operations ceased at the beginning of October. About 622 permanent employees will be laid off on November 30. Beeshoek - operated by Assmang – a joint venture of ARM and the international miner Assore – stopped deliveries to ArcelorMittal at the end of July after a long-term agreement expired in June. This ended a decades-long relationship. ArcelorMittal South Africa continued to buy iron ore month after month, but stopped all purchases on July 27. ARM stated that an extensive review was conducted of the operational, financial and commercial alternatives for the mine. The mine is old, has legacy infrastructure, and its cost base is heavily dependent on ArcelorMittal’s offtake. The group stated that "Beeshoek Mine's operation is no longer feasible due to the lack of a sustainable offtake agreement." The statement said that the consultations with the unions in South Africa under the Labour Relations Act had been completed and that the Department of Mineral and Petroleum Resources was notified of this shutdown. The decision confirms an August warning, when Assmang informed unions that it was considering closing after ArcelorMittal refused to sign a three-year contract. ArcelorMittal South Africa struggles with a weak domestic demand, high electric costs, poor logistics, and competition from Chinese imports. The company has also delayed the closure of the long steel plants at Newcastle and Vereeniging while it continues to hold talks with the South African Government and labor representatives. Reporting by Sfundo Parakozov, Nelson Banya and Emelia Sithole Matarise; editing by Emelia S. Matarise.
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TSX rebounds with resource-focused shares lifting
Canada's benchmark stock index rose on Wednesday. It recovered from the previous days' sell-off, thanks to the strength of commodity-linked stocks, and investors also digested an unexpectedly positive U.S. payrolls report. At 10:07 am. The S&P/TSX Composite Index in Toronto was up 0.84% at 30,027.94. Gold sub-index was the sector's leader with a 2.6% increase, following gold prices as investors shifted away from risky investments to metals that are considered safe havens. Gold has played a major role in the TSX's movements. When gold moves higher, the market tends to move up with it, said Allan Small. Senior investment advisor with Allan Small Financial Group at iA Private Wealth. The regional materials index rose by 1.6%. The gains on TSX are also influenced by Wall Street. Wall Street's benchmark S&P500 gained 0.24% after ADP reported that private payrolls in the U.S. rebounded dramatically in October. Investors looked for clues about the Federal Reserve’s monetary policies amid a U.S. Government shutdown and a lack of important jobs data. The S&P/TSX Composite index had a fantastic 2025. It was up 21.3% largely due to lower borrowing costs and a rise in gold prices. Trade tensions between the U.S. and Canada, which affected trading activity at the start of the year, have increasingly had little effect on the market sentiment. The TSX rebounded with most sectors in the green after a 1.6% drop in the previous session, when major U.S. Bank CEOs raised concerns about stretched valuations and warned of a possible equity downturn. Small said, "It is just one of those things that you wake up to and everyone's questioning the valuation on tech stock, whether it be semiconductors or chips generally." Suncor Energy, which beat third-quarter profit expectations, saw a 5% jump after beating the index. SSR Mining shares fell 10.6%, among other moves. This was after the company missed revenue forecasts for the third quarter. First Majestic Silver fell 11% when its third-quarter earnings failed to impress investors. (Reporting and editing by Avinash Sharma and Nikhil Sharma)
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Orsted has said it does not plan to merge with Equinor Renewables.
Orsted, the Danish offshore wind company, said that it has no plans to acquire the renewables division of Equinor. Equinor is its second largest shareholder and had proposed closer ties with Orsted. Equinor is a Norwegian oil and gas group that also produces renewable energy. It took a 10% share in Orsted in October last year, and invested close to $1 billion into the company. Last week, it said that offshore wind needed consolidation. Orsted shares are down 85% since their peak in 2021, due to rising costs, disruptions of the supply chain, and challenges in the United States, where President Donald Trump tried to stop ongoing developments and suspend new licensing. The ORSTED POURS cold water on the TIE-UP idea Analysts have suggested that Equinor could benefit from spinning off and merging its renewables unit with Orsted. The Norwegian group's Chairman told its board in September to be open-minded about the possibilities of its ownership. Orsted's top executives threw cold water on Wednesday on the idea. Trond Westlie, Chief Financial Officer of the company, told analysts on a conference call that "we have no such plans". Orsted CEO Rasmuserrboe stated that the company was grateful for the continued support of its second largest shareholder but focused on its own business. He said: "I have also noted the comments that you made (from Equinor).... My focus is to achieve our plans and our strategy quarter by quarter." Errboe continued, "I am confident that Orsted has a business model which is very suitable for offshore wind." Equinor reiterated in September that it will remain a long term investor in Orsted, and announced its intention to nominate someone to Orsted's board. Orsted is owned by the Danish government, which owns 50% of the company. (Reporting and editing by Terje Solsvik, Conor Humphries and Nerijus Adomiaitis)
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Raw sugar prices fall to a five-year low, while cocoa prices also decline
Raw sugar futures fell to their lowest level in five years on Wednesday. The potential for a large global surplus during the 2025/26 crop season is weighing on the prices. Dealers say that the expected increase in sugar production in India, which is the second largest producer in the world, has added to the concern about excess supplies, as the forecasts of the size of the anticipated global surplus in 2025/26 begin to grow. Raw sugar futures fell 0.1% to 14.21 cents a lb at 1445 GMT, after hitting a low of 14.05cents. It appears that the cane used to make ethanol is less than expected. This may be due to favourable rains during monsoon season this year. In a recent note, broker Czarnikow stated that "we now think India will produce more than sugar in 2025/26 with 32.8 million tonnes due to less sucrose going to ethanol." India produced approximately 26.1 million metric tonnes in 2024/25. Czarnikow increased its forecast of the global sugar surplus in 2025/26 by 1.2 millions tons to 8.7million tons. White sugar increased 0.1%, to $413.90 per ton. Futures cocoa prices eased as a result of the continued concern about weak demand following last year's price surge. Barry Callebaut announced on Wednesday that they expect sales of their cocoa products will decline by a percentage between mid-single figures in the coming financial year due to high cocoa prices. Market attention is also focused on the weather conditions in West Africa where crops are being harvested. In a report published on Wednesday, LSEG Research and Insights stated that "Wet weather could delay cocoa harvesting in southern Ghana and the western Ivory Coast and dry weather might favor Nigeria and Cameroon’s key crop areas." London cocoa fell 1.1% to 4,797 pounds per ton, while New York cocoa dropped 0.45% to $6570. The price of arabica coffee rose 1.6% to $4.1190 per lb, while the price of Robusta coffee increased 0.3%. Reporting by Nigel Hunt Editing Shailesh Kumar and David Goodman
A second Trump presidency would target IEA's green focus, advisors say
Donald Trump would likely push to replace the head of the International Energy Company if he wins the U.S. governmental election to shift the energy watchdog's focus back to maximizing nonrenewable fuel source output instead of battling climate modification, according to people acquainted with the matter.
The Paris-based IEA has provided research and data to industrialized governments for majority a century to assist guide policy around energy security, supply and investment. The United States offers around a quarter of the group's funding.
Over the last few years, the company has widened its focus beyond oil and gas supply to include tidy energy, as member federal governments seek input on satisfying their goals under the Paris environment agreement and speed up a shift away from fossil fuel reliance.
That shift gathered speed during President Joe Biden's tenure -- leading to prescriptions on energy policy that angered international oil manufacturers including Saudi Arabia, and which clash with Trump's self-described 'drill, infant, drill' energy agenda targeted at boosting the traditional oil and gas markets.
spoke to five individuals acquainted with Trump's. thinking on energy, consisting of donors, policy experts and former. Trump administration authorities, all of whom stated Biden's. predecessor would likely press the IEA to bring it in line. with his pro-fossil fuel policies if he was re-elected in. November.
The Trump project decreased ask for discuss the. issue. Trump has not spoken publicly about the IEA.
Fellows at the Heritage Structure, an organization that has. drafted a policy blueprint for a new Republican administration. and which remains in routine contact with the Trump project, said. they are recommending the U.S. use its clout within the firm to. push for the replacement of the IEA's director, Fatih Birol.
The U.S. ought to certainly come up with a strategy to. replace the management at the IEA, stated Mario Loyola, a senior. research study fellow at Heritage, assaulting what he called Birol's. focus on net-zero fairytales as nonrenewable fuel source. need continues to increase.
Birol decreased to comment for this article.
The IEA's director is elected by member nations, but the. U.S. has outsized impact in the group because of its funding. and geopolitical influence. The IEA's other 30 members are. primarily European, but also consist of Japan, Australia, New. Zealand, Canada, Mexico and South Korea.
A Trump push for the IEA to tilt back towards highlighting. nonrenewable fuel sources in the international energy mix would go against the. stated position and energy policies of the EU and other secret. members of the IEA.
A new Trump administration would prioritize other energy. policy moves initially, like reversing the Biden administration's. time out on melted gas export licenses, broadening. domestic drilling or withdrawing the United States from the. Paris climate accord, said Heritage fellow Mike McKenna, a. former Trump energy policy advisor who touches with the. project.
I might see it being a year-two focus to change leadership. at IEA, he said.
Trump considered cutting U.S. funding to the IEA throughout his. presidency however decided to keep it in place, in part due to the fact that of the. relatively low price tag, Dave Banks, special assistant for. global energy and environment at the National Security. Council when Trump was president, informed .
The U.S. pays about $6 million annually in IEA charges.
But things might alter if he is re-elected.
There is a feeling among Republicans that the IEA is really. run by the Europeans and prioritizes European energy security. views, which aligns with Democratic concerns, Banks stated.
ENVIRONMENT REALITY TELLER
Given that his 2015 appointment as director of the IEA, Birol has. pressed the agency to make battling climate change main to its. analyses. The firm tasks oil need will peak at the end of. this decade.
In 2021, shortly after President Joe Biden took workplace, the. IEA released a report that stated a swift end to brand-new drilling. investment worldwide was essential if nations were to limit the. worldwide temperature rise to 1.5 degrees Celsius as targeted by. the Paris Agreement.
The Company of the Petroleum Exporting Countries. ( OPEC), which groups Saudi Arabia and other big oil manufacturers,. has consistently clashed with the IEA considering that, and in 2015 implicated. it of vilifying oil producers.
Birol had actually worked for OPEC at its Vienna headquarters in the. early 1990s.
Birol's green turn led U.S. Republican politician lawmakers to accuse. the IEA of aligning too carefully with the policy program of the. Biden administration, with two top Republican legislators saying. in March that the firm has actually changed into an energy shift. cheerleader.
John Kerry, who functioned as Biden's top U.S. environment envoy. until March, informed prior to he stepped down from the. post that the Biden administration worked really closely with the. IEA, depending on its modeling and analysis to shape some of its. crucial policies to decarbonize the U.S. economy by 2050.
Kerry pushed back versus the assertion that the IEA has an. ideological bent towards green causes.
Due to the fact that of the environment crisis, and the management at IEA,. they're truly concentrated on ending up being the fact teller about the. climate challenge, Kerry told in March.
The IEA has protected its analyses as independent and. fact-driven.
The IEA scenarios ... are the product of an independent and. detailed analytical effort, informed by the most current data on. markets, policies and technological costs, Birol said in an. April letter in action to Republican legislators.
However if Trump were re-elected as president, the company would. face pressure to return to its original focus on oil and gas. supply concerns.
I highly anticipate that if President Trump wins, the U.S. will utilize its take advantage of in the IEA, working with like-minded. members like Japan, to restore the agency to its past role as an. objective, non-political security guard dog and energy analysis. and forecasting company, stated Bob McNally, president of. consultancy Rapidan Energy.
Dan Eberhart, a Trump project donor and CEO of Colorado. drilling firm Canary, stated it was all a matter of point of view.
Trump's top priority has actually constantly been energy security for the. U.S., he stated. As far as the IEA's work is preventing required. investment in traditional energy development, Trump is going to. view that as a danger to America's economy and security..
(source: Reuters)