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Profit growth for the Morning Bid AMERICAS - US
What's important in the U.S. and international markets today by Mike Dolan Editor-at-Large of?Finance and Markets As a stark example of how difficult it is for Big 'Tech to impress the markets, South Korean chip maker SK Hynix fell again on Wednesday morning after a six-fold increase in quarterly profits?missed expectations. This is a warning before the?release of U.S. megacaps earnings later today. The markets will first digest Kevin Warsh's comments and the Federal Reserve Chair's policy announcement as he speaks on the podium today. Below, I'll go into more detail. Check out my midweek column where I discuss hyperscalers' cash burn, the new British Prime Minister's poll surge and whether the Ukraine war and the Iran war could converge. Listen to the Morning Bid podcast. Subscribe to the Morning Bid daily podcast and hear journalists discussing the latest news in finance and markets seven days a weeks. US PROFIT GROWTH MUSHROOMS SK Hynix plunged nearly 10% in the early hours of Wednesday, dragging down the chip-heavy KOSPI by as much as 12,6%. Index pared losses and closed down 6%. It is now at levels seen last in early April. Samsung will also report this week. The tremors in South Korea have created a more tense environment for investors, as they await Microsoft and Meta's earnings after the bell today. Alphabet, Tesla and other companies have raised alarms with their AI capex. Investors will be watching closely for cash burn and leverage. According to LSEG, the 'overall U.S. earning picture is still a ballooning one. Estimates for the annual aggregate S&P500 profit growth through the 2nd quarter are now a whopping 39 percent - which is more than 10 points above estimates made at the beginning of the month. But before we move on to earnings, the Fed's decision is one of the most uncertain in recent years. Deutsche Bank says that the market is split by a one in three chance of an increase in interest rates, which has been priced into futures. This is the highest level of uncertainty the market has seen before a Fed meeting. The Fed's hopes for a more clear picture of the energy markets after this week’s drop in oil prices were dashed overnight when the tension in the Iran conflict broke. The global crude price rose to over $87 per barrel. Washington announced on Tuesday it had carried out strikes in Iraq with Saudi Arabia against groups aligned to Iran, and intercepted Iranian rockets launched at U.S. bases. Chart of the Day Despite a surge in corporate profits and optimism over AI spending by U.S. companies, U.S. consumer sentiment is still relatively low. The Conference Board's consumer confidence index fell to 90.8 in July from 92.2 last month, contrary to expectations of economists. This month's high energy prices played a role, but also the percentage of consumers who viewed jobs as "plentiful". It has fallen to its lowest level since Febuary 2021. Watch today's events * Fed announcement of interest rate (2 p.m. ET) and press conference at 2:30 p.m. * U.S.?corporate earnings Meta, Microsoft * U.S. 2-year floating rate note auction (11:30 ?a.m. EDT) Want to receive Morning Bid every morning in your email? Subscribe to the newsletter by clicking here. Follow us on LinkedIn, X and ROI. The opinions expressed by the author are their own. These opinions do not represent those of News. News is bound by the Trust Principles to maintain integrity, independence and freedom from bias. (By Mike Dolan).
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Valterra profits soar on rising prices as AI drives future platinum demand
?Valterra Platinum, a South African miner, expects that?AI --?and data centres needed to drive it -- will propel demand for Platinum Group Metals (PGM), said CEO Craig Miller on Wednesday. The company had reported a 17 fold increase in its half-year profits. Valterra, world's largest platinum producer in terms of value, has reported headline earnings per shares of 82.02 Rand ($4.9) in the six-month period ending June 30. This is up from 4,73 rand?a year ago, mainly due to an 85% increase in metal prices and an 18% rise in sales volume. Electric vehicles, which do not need to control emissions, are threatening the future of PGMs. The recent massive growth of AI has created a new growth path. AI-DRIVEN DEMAND FOR PGM Valterra believes that there will be a?potential demand for PGM of 10 million ounces per year in industrial applications, jewelry, the growth of Hydrogen as a source of clean energy as well as supporting AI technology. Miller said in an interview that there is a real demand of about 2 million ounces. "We are actively working with a high level of confidence to meet this demand," Miller stated. "AI wasn't necessarily on our radar 24 month ago." What 'we are seeing, however, is that PGM is being used in AI-related activities, and we estimate the demand to be between 200,000 to 400,000 ounces. Miller stated that the demand for PGMs based on AI could increase by as much as five times by 2030. For the fourth consecutive year, global platinum supply is expected to be less than demand, with about 7 million ounces. According to the World Platinum Investment Council, PGMs are a good choice for the AI industry because of their exceptional electrical, thermal, and catalytic qualities. Miller stated that PGMs can also replace about 10% of gold used for electroplating, and other electronic applications. This could create a demand for a further 1 million ounces PGMs per year. Valterra announced that it would pay an interim dividend per share of 57 rand, up from 2 rand, representing a payout ratio of 70%. This represents a return to shareholders of 15.1 billion rand.
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Aluminium and copper rise on Gulf war, but copper falls ahead of Fed rate announcement
Copper fell on Wednesday, as traders remained cautious ahead of the Federal Reserve's interest rate announcement later that day. They also looked for signs of an easing of supply constraints in China, the world's largest consumer. Aluminium rose due to renewed fighting in Middle East. Benchmark three-month Copper on the London Metal Exchange fell 0.4% to $13,631 per metric ton at 1002 GMT. However, it held above the moving average of 50 days, which provided support at $13,576. Investors remained on the sidelines as the Fed made its decision. The markets are pricing in roughly 30% of a 25 basis-point increase. The strong dollar makes metals priced in dollars more expensive to buyers who use other currencies. Meanwhile, the expectation of rising rates dampens demand for growth-dependent metals. The 'Asian stock market' extended the sell-off caused by 'concerns about AI valuations. This added further pressure to copper and zinc. Yangshan Copper Premium The, which measures interest in importing steel to China, has stabilised at $112 per ton. This is a decrease from a week earlier, when the metric reached $115. It was its highest level since November 2022. Copper stocks available on the LME The number of tonnes has risen to 101,975 as 975 tonne were returned on warrant at the LME registered warehouses in Taiwan. After a heavy cancellation of?contracts earlier in the month, the available stocks are still at their lowest level since January. The premium for the LME cash copper contract over the three-month forward contract is also unchanged. At the beginning of July, we offered a discount of $49. Aluminium prices rose sharply to $3,176 per ton on the LME as tensions in Middle East escalated, causing concern about metal supply from the Gulf and a rise in oil prices. Available LME aluminium ?stocks The metal market is at a 16 month low of 245,350 tonnes, and is dominated by Russian-made material, which many traders try to avoid. LME zinc fell 0.1% to $3.572, while lead increased 0.8% to $1.909, and tin and Nickel rose 1.2%, respectively, to $54,180, and $17.175. (Reporting and editing by Barbara Lewis; Additional reporting by Solomon Cefai)
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Palm oil prices rise on bargain-buying, and crude oil is rebounding
Malaysian palm futures ended higher on Wednesday. This was due to bargain-buying following a two session decline and a recovery in crude oil prices. The benchmark contract for?October?delivery at the Bursa Malaysia Derivatives Exchange gained 21 ringgit or 0.45% to 4,663 Ringgit ($1,140.93). It had lost 1.67% over the two previous sessions. Anilkumar bagani, commodity research director at Sunvin Group, explained that crude palm oil futures rose on the back of bargain-buying due to a rebound in prices for energy and some good palm?oil coverage from India. He said that the optimistic increase in palm oil exports from Malaysia this month has cushioned the prices. Exports of Malaysian Palm Oil Products for the period July 1-25 increased between 8.1% to 15.9%, according to cargo surveyors. Bagani said that the lack of Indonesian B50 biodiesel allocations and higher production estimates for July 1-20 capped gains. Oil prices rose more than 3% after tensions escalated in the Middle East following U.S., Saudi and Iranian strikes on U.S. forces and intercepted Iranian missile attacks. Palm oil is more appealing as a biodiesel feedstock because crude oil futures are stronger. Dalian's palm oil contract increased by 0.64%, while the most active soyoil contract dropped by 0.23%. Prices of soyoil on the Chicago Board of Trade rose by 0.04%. As it competes to gain a share in the global vegetable oil market, palm oil closely tracks the price fluctuations of rival edible oils. The ringgit (palm's currency) has risen 0.05% in value against the dollar. This makes the commodity slightly more expensive for foreign buyers. The European Union soybean imports, which began in July, were 0.56 million metric tons by July 26. This was down 39% compared to a year ago. Palm oil imports also fell 39%, from 0.13 million tonnes, according to data provided by the European Commission.
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Cenovus increases its annual production forecast on the strength of oil sands performance
Cenovus Energy increased?its production outlook for 2026 on Wednesday.?This was after reporting an increase in quarterly profit, as higher?oil price sands output and record oil prices helped boost earnings. The Canadian oil producer increased its full-year upstream production forecast by 25,000 barrels of oil equivalent per day (boepd) to between ?970,000 and 1.01 million boepd, citing stronger-than-expected performance across ?its oil sands assets and optimized turnaround activity. Cenovus and other integrated oil companies are benefiting from the global fuel market that has been impacted by the Iran War. The war has slowed down supply, pushed up prices, and increased earnings for both production and refinement. The company reported that its total upstream output was 970.400 barrels equivalent per day (boepd), up from 765.900 boepd a?year earlier. This is due to the MEG?Energy?acquisitions and growth projects in Christina Lake, Foster Creek, and Sunrise. Calgary-based MEG Energy's net profit grew to C$2.87 Billion ($2.04 Billion) or C$1.53 a share in the second quarter. This was up from C$851 Million ($603.67?million), 45 Canadian cents a share, one year ago.
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Ukrainian miner reduces operations following Russian attacks on ships
The company stated that the Ukrainian Iron Ore Concentrate Producer, Pivdennyi Mining and Processing Plant, has begun to suspend operations due to the disruption caused by Russian attack on civilian ships heading for Ukraine's Black Sea Ports. The company said it hopes to resume production by August. After intensifying Russian strikes, other companies have also reduced their operations. Last week, shipowners stopped vessel arrivals to Ukraine's Black Sea ports in southern Odesa. The ports are responsible for a large part of Ukraine's grain and ore exports, which are the largest source of foreign currency and one of its biggest exports. The company issued a press release stating that "Pivdennyi Mining and Processing Plant" has started the process of temporarily reducing the?work and suspending production. According to Metinvest's Annual Report, the plant was owned by Metinvest in part and produced?nearly 11000 metric tons iron ore last year. BUILDUP IRON ORE The company stated that it could not store the production of several shiploads intended for export. It was forced to temporarily stop operations. Ferrexpo, a Ukrainian iron ore producer that manufactures iron pellets, announced on Tuesday that it does not expect to have the ability to?load ships via the Black Sea route in the near future. Geneva-based Allseeds, a producer of vegetable?oil, halted operations last week in the Odesa area. Ukraine's largest grain exporter Kernel Holding also suspended operations earlier this month at Chornomorsk port on the Black Sea. Moscow claims it targets port infrastructure and vessels that support Ukrainian military. Ukraine has increased its attacks on Russian vessels, most of which are carrying fuel, in the Sea of Azov as well as?the Black Sea to isolate Russia's occupied Crimea and undermine Moscow’s revenue sources. Five industry sources said on Tuesday that three Russian Black Sea grain terminals had restricted truck intake. (Reporting and editing by Barbara Lewis; Anna Pruchnicka)
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France and Spain battle to contain wildfires when temperatures soar once again
The temperatures were expected to rise again in France and Spain on Wednesday, in the fourth heatwave of summer. This will increase the risk of wildfires, which have already forced people to evacuate in large numbers, burned through forests, and killed wildlife. Weather agency AEMET in Spain said temperatures 'were expected to hit 40 degrees Celsius on Wednesday, 104 degrees Fahrenheit, at least six regions were on orange alert. This is the second highest level. Meteo France predicts that temperatures in France's southwest, which has been devastated by fires, will rise from 33 C to 42 C. Dry winds in the morning from the southwest and in the afternoon from the west are likely to fan the flames. French firefighters managed to keep a major fire west of Bordeaux under control overnight, but officials warned that the blaze was not yet out. Firefighter Commander Matthieu Jomain said to reporters that "as we speak the situation is stable, but the fire still is not under control." "We are, of course, vigilant today, given the forecasted weather conditions with an increase in temperatures and wind speed in the afternoon." Fire kills deer in Spanish forest The heatwaves in Europe have been unprecedented this year. Climate change caused by humans is causing the heat to increase and the droughts to worsen, allowing wildfires spread more quickly. Heatwaves that are more frequent and intense cause thousands of deaths in excess and disrupt?everyday living, from slowing down road and rail traffic to affecting river shipping. Drone footage from El Tiemblo in Spain's Avila Province, near Madrid, shows charred carcasses of deer in a forest that has been reduced to ashes. Cintia, a Madrid resident who goes by Cintia, was horrified at the scene she saw in El Tiemblo. She has visited this place many times. "We love the wildlife, everything around us. We used to feed the animals, because they are from here. "They belong to this country," she said. "And look at where it is now." VILLAGERS TRY PROTECTING THEIR HOMES Forests have been affected in a wide range of ways. Wildfires in the Landes region west of Bordeaux have destroyed 42,000 hectares (104, 000 acres) of pine trees. About 220,000 people were evacuated, including tourists and locals, because the fire threatened Cap Ferret Peninsula on the Atlantic Coast, which is only accessible via one road. On specially chartered ferries, hundreds of people left. The flames were as close as 9 miles (15 km) away from the Bordeaux metropolitan area. Several companies in the suburbs closed their doors to prevent the fires spreading. Volunteers in Lanton, a village also in the southwest of France, ravaged by wildfires have tried to protect their community with buckets of water. It's really hard because we have few resources. "We try to help people in any way we can with the little resources we have," said 29-year-old local pastry chef Jonathan Segalas Talous on Tuesday. "We want to stay here. We've been living here for many years. We will do everything in our power to help. "We help." Meteo France stated that the danger level in southwest France is likely to drop from Thursday due to thunderstorms, cooler temperatures, and higher humidity. FIRE IN CASTELLON RAGES FOR FIFTH DATE Authorities in Spain said that the situation in central provinces Avila and Madrid had improved, but the fire in eastern Castellon was still out of control, despite having burned over 10,000 hectares due to weather conditions. Castellon residents who were evacuated are still unable return to their homes. As the fire entered its fifth day, regional authorities estimated that the perimeter of fire was 75.5 km. Madrid's emergency services reported on?X, that the wildfire had not spread over night. Firefighting crews "kept trying to consolidate the perimeter of the fire and extinguish any remaining hot spots" to prevent it from re-igniting. Fernando Grande-Marlaska, the Interior Minister, said that evacuees were returning to their homes in 15 towns of Madrid and Avila. (Additional reporting from Leonardo Benassatto, Yves Herman, Emma Pinedo and David Latona in Madrid, Inti, Kate Abnett, and Sudip, Kar-Gupta, in Brussels; Janis Laizans, in Bordeaux; Writing and editing by Alison Williams; Ingrid Melander)
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Sources say that Russia will extend the ban on diesel exports but it could be lifted quickly if conditions improve.
Two sources who are familiar with the discussions on Wednesday said that Russia is planning to extend its diesel export ban by one month. However, the restriction could be lifted mid-August, if domestic supply improves. The ban was introduced by Russia from July 8 until July 31, as part of an overall package of measures designed to support the domestic market for fuel after repeated Ukrainian drone strikes on oil refineries caused fuel shortages and price increases. Moscow has already placed restrictions on the export of jet fuel and gasoline. Alexander Novak, the Deputy Prime Minister, said last week that the gasoline export restrictions would be extended to the end of the year. The diesel export ban, however, will be lifted as the market recovers. The ministry of energy declined to comment before a decision by the government on this ban. The ban has caused a global uproar in the energy market, causing shortages and a rise in prices, even for countries that do not buy diesel from Moscow. The ban on Russian diesel imports was a result of domestic?shortages?caused by Ukrainian drone attacks. According to?Kpler?, the average daily loading of diesel and gasoil from Russia was 234,000 barrels between July 1 and 10. This is down from 400,000 barrels in June. In 2025 this will average to about 817,000 barrels. The Russian export ban reduces global diesel supply, forcing regular buyers like Brazil and Turkey to compete against European countries and other importers of U.S. cargoes. Reporting by. Mark Potter (Editing by Mark Potter).
SPECIAL REPORT - Russia turns a Ukrainian nuke city into a fortress of fear
Enerhodar becomes a ghost city after Russian occupation
Russian law enforcement agencies and Rosatom, the energy company, control civilian life
Ukrainian children are under pressure to adopt Russian values and curriculum
By Mari Saito. Polina Nikolyskaya. Anton Zverev. Marian Prysiazhniuk
ZAPORIZHZHIA (Ukraine), 28 August -
Enerhodar was named by the Soviet planners in 1970 as "the gift" of energy. For decades the southern Ukrainian town was a wealthy company town.
Power plant
The tall apartment buildings and avenues lined with trees are home to many young families and workers.
As the
Russian occupation
As the fourth year of its existence approaches, the hub which provided electricity to Ukraine has become a ghost city ruled by fear and violence. Russian troops are conducting surprise home searches, and detaining residents in an arbitrary manner. Meanwhile, some residents have disappeared into distant penal colonies.
Its original inhabitants are largely gone and their houses are being taken away. Russians have been found to be settling there.
Ukrainian children
They are taught to be loyal towards the Russian president Vladimir Putin and Russian energy state giant Rosatom.
The money from Moscow and Rosatom pours in. Nearly every aspect of life is controlled by the energy company and Russian police. Soldiers have taken up residence in the Zaporizhzhia nuclear power station.
The changes in the city are visible. Rosatom has paid for modest renovations to schools and cultural centers. Supermarkets with Russian names now sell Russian products, and the locals are seeing unfamiliar Russian faces on otherwise empty streets.
Enerhodar, as revealed by interviews with over 50 people including residents, officials and current and former residents, and dozens of pages published by Rosatom and the occupation authorities, is becoming an atomically Russian city. It is a key element in a broader plan.
Russify Ukraine
Replace a population that may be disloyal with one who identifies with Moscow only.
"Russians force people to love themselves," said Oleg Dular, a nuclear plant manager until August 2022. "They say that if you do not love me, I will either shoot you or break your leg, arm or other body part."
The Kremlin did not respond to requests from for comments. Enerhodar's occupation administration and Rosatom have said that they are focusing on building a better future for the city. They deny that residents were violently subjugated.
The administration stated that the goal was to maintain a high standard of living to retain and attract specialists.
The Ukrainian government and Energoatom (its nuclear energy company) did not respond to questions about allegations of Russian abuse but they have previously accused Russia of torturing and coercing plant staff.
Energoatom, which was founded in 1996, is the legal owner of the nuclear plant. However it has not been able to control its operations since Enerhodar was taken over by Russian forces in the weeks following the full-scale invasion on February 20, 2022. The Russians takeover the nuclear plant
The saga of the tiger drew worldwide attention
World feared
Another disaster like Chernobyl
Putin's forces have now seized almost all of Zaporizhzhia, which he says is an integral part to Russia. As a sign of the importance of Enerhodar’s nuclear plant for the Russian occupation his top envoys have rejected the suggestion that was made by President Donald Trump earlier this year that the plant could possibly be taken over.
Managed by the United States
. The American delegation did not raise this issue when the two leaders met in Alaska last month.
The six reactors of the largest plant in Europe have all been in good condition.
Cold shutdown
Since 2024.
Former residents of Enerhodar said that while the majority of residents had left Enerhodar by now, workers at nuclear plants were prevented from leaving.
Darya Dolikova said that she thought Russia was so focused on taking over the town, because the Russians and their families constituted such a large part of the population.
She said that "each nuclear power station is different" and that Russia would have relied heavily on the Ukrainians living in Enerhodar for the operation of the plant.
RE-EDUCATION
Enerhodar children are a perfect example of Russian control. Russia has implemented a patriotism- and loyalty-centered curriculum in Ukraine's occupied territory.
Volodymyr Sukhanov, a softly spoken chess teacher who taught in Enerhodar, Russia for over 30 years, said that the curriculum brought back memories of his childhood. Sukhanov arrived in Enerhodar many decades ago as thousands of people moved there to find work and a more family-friendly life. Sukhanov, unlike his peers, was fleeing repression.
Sukhanov was a chess teacher in summer camps near Moscow. In his early 30s, the Soviet Union was on its last legs. Sukhanov, an idealist, joined his former students at demonstrations in support of democracy.
Soldiers shot dead communist hardliners in 1991 during a protest at a Moscow coup attempt.
a favorite student named Ilya Krichevsky.
The young
But the person in charge of detention was not
Russian media reported that the charges against him were dropped.
. Sukhanov has never forgotten the name of his officer:
Sergei Surovikin.
Sukhanov, devastated by the incident, decided to begin anew in Enerhodar. He moved into a small flat and began teaching chess.
Decades passed. Surovikin, who was then the commander of Russia's invasion military, commanded it in 2022.
Then upended
Sukhanov's life.
Sukhanov said, "I could not believe it." He is now 67 years old. He fled in 2022 with a bag full of clothes and a plastic folding chess board.
Sukhanov
Now rents a highrise apartment in the nearby regional city of Zaporizhzhia which is still under Ukrainian control.
Enerhodar is now a shadow of its former self. Before the war, Enerhodar had a population of 50,000. According to the occupation administration, there are now 22,000 residents.
A resident of Enerhodar who is still living in the city says that although some people were initially unhappy with their quality-of-life after Russian forces took control in 2022 but civilians now receive humanitarian aid as well as pensions. He said that the only thing that disturbs him now is Ukrainian shelling. The man refused to be identified.
Journalists did not visit Enerhodar, or the nuclear power plant
We could not independently verify the stories of residents about how the city had changed.
According to a representative of the Ukrainian Education Ministry for Enerhodar, 80% of teachers left in 2022. According to job listings, two out of three schools in Enerhodar need teachers.
In early this year, the local government published a decree that listed 100 events and measures to "counter the ideology of terror," some of which took place in schools. According to the last point, the primary goal was to instill Russian traditional values into young people.
Enerhodar's schools celebrate Russian holidays, as well as important dates such the 18th of March, the date of the annexation by Ukraine of Crimea. Online posts from schools and city administrations show that schoolchildren joined state organizations like the Youth Army and participated in competitions.
Rosatom, the company that operates the Zaporizhzhia facility, plays a role in education.
In May, Rosatom's Alexei Likhachev spoke to Russian legislators and highlighted the educational opportunities available in Enerhodar. He highlighted that a branch of Sevastopol State University (a polytechnic school) had opened in Enerhodar.
Rosenergoatom will be a reality in 2023.
Rosatom is a subsidiary
Enerhodar students began to receive summer preparation. According to the company's presentation, it offered housing and transportation for 11th-grade students to prepare them for admission into three nuclear-related universities. According to the Telegram channel of Rosatom's Enerhodar plant, Enerhodar Schools held an "Atomic Lesson", which covered Rosatom technologies and career options.
Rosatom stated in a statement that "in Enerhodar over the last three years, we have focused on raising the quality of life for the city to Russian standards."
The Russian authorities have stated their need for personnel. Rosatom said that the plant currently has 5,000 employees and they anticipate no problems increasing this number to 7,000 once the plant is fully operational. Around 11,000 people used to work there before 2022.
According to some Ukrainian parents and students interviewed, they have attempted
Home schooling is possible, but the Russian curriculum will be hard to avoid due to unreliable internet, and crackdowns on online Ukrainian courses.
Mark Komarov said that the pressure on him was extreme. He is a 15 year old boy from Enerhodar.
In the three years that he was under Russian occupation, he told his guardians that Russian soldiers and officers from Russia's Federal Security Service, also known as FSB (the Russian intelligence service), visited him and grandmother three times. They demanded to understand why he wasn't enrolled at a local high school.
On their last encounter, the officers threatened to place the boy in an orphanage, as his parents had lost custody because of substance abuse. Save Ukraine is an organization that coordinates all the efforts to save Ukraine.
Rescue of Ukrainian Children
Komarov was able to escape from occupied territories earlier this year. His grandmother was left behind.
Save Ukraine reported that 809 children had been rescued in Ukraine by late August, but said it was becoming more difficult.
The organization said that "Russian authorities actively created obstacles."
Requests for comment from the Kremlin and Russian military were not answered.
Alexander Shutikov, the director of Rosenergoatom, said that in February 2024 Rosatom had invested around 3 billion rubles (38.6 millions dollars) in Enerhodar to repair and equip schools, kindergartens, and a swimming-pool.
Sukhanov is a chess teacher in Zaporizhzhia. He gives lessons during the day to children who fled Enerhodar. He teaches on Chess.com in the evenings. Between odd jobs, he does odd jobs.
He says, "I am one of those people who enjoys working. It's important to me to stay active."
Sukhanov began experiencing heart problems last year after a Russian missile hit a tram parked near his apartment. Sukhanov isn't sure what the connection is, but he knows that after years of running he now gets easily tired. The white tee shirt, with the blue and yellow heart of Ukraine, dangles from his thin frame.
Sukhanov sometimes checks up on former students who are still living in Enerhodar. Sukhanov has noticed that even those who are the most sensitive have changed their profile pictures to scary avatars such as skulls.
He says, "I can imagine what kind of pressures these children face right now from the local Russian media, their teachers, and parents."
When asked why Russian authorities prioritise children's education he replied that the reasons were the same when he studied and then became a young teacher during the Soviet Union.
It makes it easier to control people.
FEAR AND PARANOIA
In 1978, Nataliia & Yevhen had just married in Russia when they received an offer to work at a music academy in Enerhodar.
Nataliia (69) and Yevhen (70) were both employed as musicians at the nuclear power plant, performing before visiting dignitaries.
It was like an entire city inside a larger city. Nearly every resident of Enerhodar knew someone who worked at the thermal plant or there.
The son who was born
In Soviet-era
Enerhodar, and then moved to Kyiv would mock his hometown gently as a "Soviet Resort," an old-fashioned paradise envisioned by communist architect.
In March 2022, Russian forces took over the nuclear power plant. Fearing Ukrainian troops or partisans in the woods and attacking them, the couple watched as Russian soldiers torched pine and alders planted along the Dnipro's banks.
Nataliia, who was pacing around their Kyiv apartment, said: "From that moment on, there wasn't any music, children or classes." The couple refused to reveal their last names, fearing their safety after they left the occupied territories in January.
Priority was given to the instruments by the couple. Teachers took turns to guard the school for months. In August 2022 Russian soldiers seized their keys and the school.
The couple retreated to their apartment, and concentrated on maintaining the homes that had been abandoned by neighbors.
Three former residents claim that Russian forces installed security cameras in the city and spread rumors about the tapping of phones. Denys Soldatov from Enerhodar, Ukraine, says that many people are now speaking in whispers and think their phones are constantly under surveillance. This has fueled a paranoia among the public.
Who is still in touch with people who were there
Public gatherings are prohibited. The occupation authorities demanded Russian identity documents. Yevhen, Nataliia and their parents were born in Soviet Russia but they refused to get a Russian passport.
Life is nearly impossible
They were all without exception. Then they were
The last
They said that you can get them by December 2023.
Yevhen, Nataliia and other Ukrainians who fled heard that their colleagues and friends were being beaten up or taken into "the basement", a police station cell run by officers cooperating with Russian authorities. Along with other Ukrainians, the couple and others who fled said that civilians were interrogated and held in a cell by police and intelligence agents.
Nataliia stated, "We rarely go outside." "It was too dangerous," said Nataliia.
Dudar, a manager who once supervised 680 employees at the plant (also known as the "station"), claimed that police targeted workers early on in the occupation.
Workers
Who openly resisted occupation
Russians are harsh towards their citizens
The following are the relevant authorities
He said. He said that many station employees, and workers in my department, went through the same thing, and were eventually released with broken bones, limbs and cut tendons.
Other residents of the city later said that employees who refused Rosatom contracts were treated harshly.
People who were considered hostile to the occupation authorities.
There were also those who just disappeared.
One worker, Oleksiy Brzhnyk.
The detainee was arrested in September 2022.
Last seen in a video from February 2023, when Russian forces claimed that he had been deported into territory controlled by Ukraine.
Svitlana, his wife, never heard about any charges brought against him. She has been holding out hope ever since.
. After months of silence, she was informed by freed Ukrainians that her husband could be in jail in Taganrog, in the Rostov region in Russia, which is more than 650 km away from Enerhodar.
It was impossible to reach him at Taganrog.
The relatives of
Missing or detained workers who speak of torture, interrogation, and prolonged detention.
Two people, including Brazhnyk were missing, and two others were
Those sentenced to prison colonies in Russia were sent away for years. Also spoke to five residents, who said they were tortured and detained. The office of Enerhodar’s exiled Mayor said that as of early June, Russian authorities were still holding 24 civilians, including 13 nuclear workers, in illegal detention.
Both Enerhodar and Rosatom deny any torture or coercion against residents or employees.
Rosatom responded to questions by saying that "insinuations such as these are part a deliberate campaign of discrediting Russia."
According to Energoatom the Ukrainian plant operator, around 3,000 Ukrainian workers signed contracts with Rosatom. Rosatom officials accompanied by FSB agents visited some of the engineers who refused to sign contracts. Five nuclear plant workers said that they had heard of cases where relatives were threatened with violence to get them to sign.
They could not independently verify their claims.
Rosatom plans to restart its plant once the war ends.
Ukraine has filed a criminal complaint against Shutikov the Rosenergoatom Director, accusing of him illegally setting up Russian management at the plant, forcing Ukrainian workers to work there and planning to
Disconnect your device
Ukraine's electricity grid
Rosatom, parent company of the Zaporizhzhia nuclear power plant, said that Russian management was responsible for raising standards there. It denied that employees were being coerced and stated that other regions in Russia are also potential customers.
The International Atomic Energy Agency (IAEA) is a non-profit organization that promotes the development of nuclear energy.
rotates experts
The plant said that it was unable to independently confirm the claims of coercion.
The Vienna-based agency reported that "despite the fact that it is a very difficult situation for everyone involved, IAEA staff report that their interactions with site personnel and the staff are professional."
A Security Service of Ukraine investigator in Zaporizhzhia referred to the law enforcement of occupied Enerhodar as a "hydra" made up of FSB agents, local police officers and Akhmat soldiers of the
Russian National Guard
. Nine former residents also said that Rosatom helped to control the city.
The occupation administration of Enerhodar said that a concentration of security forces was needed to stop Ukrainian attacks and sabotage.
The statement stated that "Zaporizhzhia's NPP and Energodar City security were strengthened in addition to the existing measures to ensure the safety of the facility and its personnel, as well as to guarantee their protection." Work to prevent sabotage had also been intensified.
As the war continues, this distinction has grown more apparent.
On June 11, videos and pictures posted on the pro Ukrainian website
Actual_Energodar is a Telegram channel.
A group of people monitors the Russian Military in the City.
soldiers
Men from the Chechen Akhmat Unit can be seen dancing and barbecuing 200 meters away. The unit did not respond to requests for comments.
On June 19
The Permanent Mission of Ukraine to Vienna has posted a video of an armed Russian soldier shooting out of a window of one of the buildings. Both videos were verified, as well as their location and presence of Russian soldiers.
Gregory Jaczko who was the chairman of the U.S. Nuclear Regulatory Commission from 2012 to 2014, stressed that nuclear facilities require workers with training and responsibility.
He said that the soldiers' actions were "just not appropriate". He called any plans to restart the plant "absurd" given the lack of staff, the frontline location, and the military occupation.
Dolzikova from RUSI noted that while direct damage from firearms to reactors is unlikely, other critical infrastructures could be damaged.
The IAEA has said that its team has reported
Repeated gunfire
Near the site
The IAEA stated that "our position remains unchanged": Military activity near or at a major nuclear plant is unacceptable.
During the three-year period Nataliia spent in Enerhodar under occupation, Yevhen and Nataliia claim that FSB and police officers repeatedly visited them. The couple was forced to ask their neighbors where they went and who worked for the plant.
Nataliia & Yevhen left in January. They said it was fortunate they were just musicians.
The driver informed them that checkpoint soldiers are
Turning back the workers at the plant
Their pianoforte, and their library of over 3,000 books, including many on Ukrainian culture and history, were left behind.
Rosatom sponsored renovations at the couple's music academy. According to statements from the company, it has been closed since two years. The school is looking for teachers to teach a variety instruments, including piano and guitar.
After five days, Nataliia & Yevhen arrived in Belarus. After crossing the border, and reentering Ukraine, Nataliia and Yevhen began their journey.
Rip off
Their Russian passports.
MISSING HOME
Volodymyr, now 49 years old, can remember the celebrations of the opening the first nuclear reactor, in the mid-1980s. He was a boy at the time, and he still recalls the children waving colorful balloons and tiny flags.
The family was from Novovodiane in the village to the north, where his grandfather purchased land when he returned after fighting for the Soviet Army during the Second World War. Volodymyr inherited the property and said that the entire community had helped build the foundation for the house. The community planted fruit trees and chickens and geese roamed around the land.
Volodymyr, who was born in Enerhodar, began renovating his family house by 2022. He planned to give it to his son.
Volodymyr and his 9-year-old son fled to Zaporizhzhia a few weeks after the Russian invasion. The following year, he enlisted in the army to help liberate his village.
He, like many others, thought that Russian forces would be quickly pushed back. So he sent his ex-wife and son back to an occupied city.
Volodymyr was in the front row
Trenches in the East
His unit was constantly attacked. A mortar shell exploded right next to him in September 2024. He
lost sight in his
right eye.
He is now discharged and lives in the house of a relative outside Zaporizhzhia. His return home is still a long way off.
He said, "I'm only a guest," as he smoked in the open air.
Many houses in the village he occupies have been taken over by Russian soldiers. He claimed that his house is empty because it was being renovated when the war broke out.
Residents in Enerhodar said that Russian soldiers seized the homes of Ukrainian servicemen and pro-Ukrainian officials. Around 2023.
The new authorities began posting notices about the question
Residents must register ownership. This process requires a Russian passport, and many pages of paperwork. Residents said that if the city did not take action, it would start repossession procedures.
In May
The Zaporizhzhia parliament, which is a Russian-installed legislature, adopted a new law that outlines how "ownerless" properties can be used during court proceedings. Acting Minister of Property and Land Relations of the occupation has stated that 35% of regional
Property
The property is owned by no one.
Enerhodar’s website lists 67 apartments as being repossessed.
Six residents who evacuated in 2024 or 2025 stated that Russian families are moving to the city where they shop, and their children can play outside. Several businesses, they claim, have changed ownership. Some businesses, such as Ukrainian grocery stores have Russian products and new names. According to the Russian company register, a Crimean is now running the pharmacy.
From this year
Real estate Enerhodar is a Telegram group.
Dozens of
Messages from locals who are looking to rent their homes. Residents from Yaroslavl and Volgodonsk in Russia, as well as Krasnodar, Irkutsk, and Krasnodar, were among those looking for apartments.
The mayor of the occupation administration, Maxim Pukhov, denied that Enerhodar was being replaced. He said "a significant part" of those who have recently arrived are returning citizens.
Pukhov, in a press release to the Russian Federation's Federal Assembly, said that "the share of people from other regions is very small today".
Evgeny is a Russian energy specialist who hails from the southern part of the country.
His company had signed a contract for three years with the thermal plant in June. In a telephone interview, he stated that military police are patrolling with machine guns but not bothering anyone.
Evgeny explained that during the day, the city is as usual, but at night it becomes a ghost-town. It's obvious that many residents have left the town. The city is empty."
Former workers and Rosatom officials have confirmed that Russian nuclear experts are arriving to work for long periods of time. One worker claimed to have transferred from a Russian nuclear facility located in the northwestern Murmansk Region. Rosatom's subcontractor opened a branch in Enerhodar, which employs
People including drivers, cleaners and radiation safety engineers
According to a
tender filing
From August 5,
The idea that Russians would move to Enerhodar is a very appealing one for Volodymyr the injured soldier
It is unbearable
. He's tired by
Constant bombardment
Disappointed by the promises made by foreign leaders to stand up for Ukraine
The father and his son, who is now 12 years old, remain in Enerhodar. The Russian curriculum is followed by the boy in school. Volodymyr requested that his last name be withheld for the safety of his son.
Volodymyr is worried that the boy's silence on Ukraine will not last.
Volodymyr wipes away a tear as he says: "He constantly asks me, 'When are you coming back?'
Volodymyr assures him that he will be back soon. Volodymyr tells him that when he gets home they'll go fishing on the Dnipro together, as they always did. Reporting by Mari Saito, Marian Prysiazhniuk and Anton Zverev from London; Polina Nikolovskaya in Zaporizhzhia. Anastasiia malenko contributed additional reporting. (Edited by Lori Hinnant.
(source: Reuters)