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Management reports that the external power line at Zaporizhzhia Nuclear Plant has been restored.
The Zaporizhzhia Nuclear Power Station in Ukraine, which is owned by Russia, has a restored external power connection after repairs were completed. This was announced on Monday by the Russian management of the plant. The statement stated that the line had been taken out of service by "fire from Ukrainian armed forces". The International Atomic Energy Agency, the U.N.'s nuclear watchdog was present to monitor the repairs. The International Atomic Energy Agency said that the situation was under control at the plant, and radiation levels were normal. Two lines connect the station to the grid. The second line was still in operation during the repairs. The plant relied on diesel generators for 30 days in September and October. This was until a damaged line could be reconnected during a local ceasefire that was arranged with IAEA help. In the first weeks after Moscow invaded Ukraine, Russian forces took control of Europe's biggest nuclear power plant. Both sides accuse the other of actions that endanger safety in Ukraine. The plant does not produce electricity, but it relies on outside power to maintain nuclear fuel at a cool temperature and prevent a meltdown. In the talks to end the four-year conflict between Moscow and Kyiv, the future of the plant operations has been a sticking point. The plant is run by a unit owned by Russia's Rosatom nuclear corporation. Volodymyr Zelenskiy, the Ukrainian president, said that the U.S. proposed a joint trilateral operation with an American manager in December. Reporting by Chizu nomiyama; editing by Chizu Nomiyama
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Silver falls from its $80 peak, while gold mellows due to profit-taking
Silver fell after reaching a record high of $80 per ounce on Monday, while gold dropped from near-historic levels as investors booked profits. A market perception that geopolitical risk had decreased also curbed the safe haven buying. Gold spot was down 1.7% to $4,455.35 per ounce at 1321 GMT. It had hit a record of $4,549.71 an ounce on Friday. U.S. Gold Futures for February Delivery lost 1.7% and reached $4,474.80. Spot silver fell?5.1%, to $75.15 per ounce. This is a retreat from the record high of $83.62 reached earlier in this session. Spot 'platinum' fell 6.9%, to $2281.15, after reaching a record high of $2478.50, while palladium plummeted 11.9%, to $1,694.75 per ounce. Ricardo Evangelista, an analyst at ActivTrades, said that the decline in gold prices this morning, following record highs, was primarily due to traders reinvesting profits before year-end. "Tentative optimism on the part of the U.S. administration regarding progress in the Ukraine peace talks is also a mild blow." Donald Trump, the U.S. president, said that on Sunday he and Ukrainian leader Volodymyr Zelenskiy are "getting closer, perhaps very close" to a deal to end Ukraine's war. Bullion prices have risen by 72% in the past year. This is due to factors like a softer U.S.?monetary policy, a weaker dollar, geopolitical tensions, and robust central bank purchasing. Silver has outperformed gold this year by 181%, mainly due to its designation as an important mineral in the United States, shortages of supplies and a growing industrial and investor appetite. The release of the Fed minutes from the December meeting, which is due on Tuesday, will provide some clues about the future interest rate outlook. The market is pricing in at least two rate cuts next year. When interest rates are low, non-yielding investments tend to perform well. UBS analysts wrote in a report that "gold prices are trading at an elevated premium and downside risks may emerge if the Federal Reserve makes a surprise pivot to the hawkish side and/or if large ETF withdrawals affect the market." (Reporting and editing by Barbara Lewis, David Goodman and Pablo Sinha from Bengaluru)
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Bahrain implements new fiscal reforms in order to boost public finances
Bahrain announced several fiscal measures on Monday. These included raising fuel prices, increasing tariffs on water and electricity, and increasing dividends from government-owned companies, as well as other fees and tax. Bahrain, one of the Gulf's smaller producers of oil, has increased its efforts to diversify away from hydrocarbons and into other areas, such as tourism and financial services. However, lower?oil price have had a negative impact on public finances and growth. Bahrain plans to?raise natural gas prices and reduce administrative government expenditure by 20%. It will also introduce a new corporate income tax law for local companies. The statement did not provide any further information or details about when the new measures would be implemented. S&P Global Ratings Downgraded Bahrain sovereign credit rating In November, the rating was downgraded to "B" (from "B+") due to an increase in government debt. This increased pressure on government interest costs. The report projected an increased fiscal?deficit in 2025 of 7.6% of the GDP, up from its previous estimate of 7.1%. The government has raised $5 billion from global debt markets This year, investors will be able to take advantage of the healthy appetite for Islamic bonds or sukuk. The parliamentary speaker stated in a separate statement dated 28 December that Bahrain's government, parliament and the Council of Representatives held several meetings to discuss measures to support state finances. He noted some differences regarding the application of electricity and water services. Reporting by Mahal Dahan and Nayera Addallah, Writing by Rachna uppal; Editing and proofreading by Alison Williams & Chizu Nomiyama
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Upgrade of Zimbabwe thermal plant to 400 Megawatts will add to grid
Zimbabwe will upgrade its Hwange coal fired power?plant for $455 mln, adding 400 megawatts, or a 'fifth' of the current country electricity demand. Southern Africa has signed a concession agreement with Jindal Steel's Africa-focused unit for a 15-year period to refurbish some of its older units at the?thermal plant. Cletus Nyachowe, acting ZESA CEO, said that the deal was signed and finalised in December after it was approved by Zimbabwe’s cabinet on September 17. Nyachowe stated that the 15-year contract with Jindal would lead to increased power generation. This will?add 400 MW to our production within 48 months." He added that "Rehabilitation works are set to begin in the first quarter 2026." Zimbabwe is only able to meet half its electricity demand of 2,000 MW and suffers from?prolonged power cuts because its power plants are reducing in capacity. In 2023, two units, adding 600 MW, were commissioned at the Hwange plant. The older units, built in the 1980s, are only operating at a third of their full capacity because of?breakdowns. In 2018, the Kariba hydropower plant, built in 1960, underwent a 300-MW upgrade, boosting its capacity from 750 MW to 1,050MW. Its generation capacity also decreased in recent years due to climate-change-induced droughts.
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Silver falls from its $80 peak, while gold's price softens due to profit-taking
Silver fell after reaching a record high of $80 per ounce on Monday, while gold dropped from near-historic levels as investors booked profits. A market perception that geopolitical risk had decreased also curbed the safe haven buying. Gold spot was down 1.9% to $4,448.23 per ounce at 1148 GMT. It had hit a record of $4,549.71 an ounce on Friday. U.S. Gold Futures for February Delivery lost 1.9% at $4,467.90. Spot silver fell?5.4%, to $74.90 per ounce. This is a retreat from the record high of $83.62 reached earlier in this session. Spot 'platinum' fell 6.5%, to $2,291 per ounce, after reaching a record high of $2,478.50, while palladium dropped 13%, to $1,674.25 per ounce. Ricardo Evangelista, an analyst at ActivTrades, said that the decline in gold prices this morning, following record highs, was primarily due to traders reinvesting profits before year-end. "Tentative optimism on the part of the U.S. administration regarding progress in?Ukraine's peace talks is also a mild blow." Donald Trump, the U.S. president, said that on Sunday he and Ukrainian leader Volodymyr Zelenskiy are "getting closer, perhaps very close" to a deal to end Ukraine's war. Bullion prices have risen by 72% in the last year. This is due to factors like a softer U.S.?monetary policy, a weaker dollar, geopolitical tensions, and robust central bank purchasing. Silver has outperformed gold this year by 181%, mainly due to its designation as an important mineral in the United States, shortages of supplies and a growing industrial and investor appetite. The release of the Fed minutes from the December meeting, which is due on Tuesday, will provide some clues about the future interest rate outlook. The market is pricing in at least two rate cuts next year. When interest rates are low, non-yielding investments tend to perform well. UBS analysts stated in a report that "gold prices are trading at an elevated premium and downside risks may emerge if the Federal Reserve makes a surprise pivot to the hawkish side and/or if large ETF withdrawals affect the market." Reporting by Pablo Sinha, Bengaluru Editing Barbara Lewis and David Goodman
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Axis International wants $28,9 billion from Guinea for revocation of bauxite permits
Axis International Ltd, based in the United Arab Emirates, is seeking $28.9billion from Guinea through a World Bank Tribunal after Guinea revoked its permit to operate a mine of bauxite there earlier this summer. Guinea, which has the world's largest reserves bauxite and is seeking to increase revenues and local processing, has tightened state control of the mining sector over the last year, revoking some permits and reallocating others. These moves by the government led by coup leader 'Mamady Doombouya' have led to several arbitration challenges. One was filed by Nomad Bauxite Corporation in November and another by Nimba Investment LLC this month. Axis International stated in a Monday statement that "if Guinea fails to pay compensation or refuses participation, it risks losing donor support multilaterally and access to the financial markets." The dispute was brought before the?International Centre for?Settlement of Investment Disputes of the World Bank. The government of Guinea did not respond immediately to a comment request. Axis International is the owner of 85% Axis Minerals Resources SA. This Guinean company has rights to a Boffa region bauxite mining. In a statement, the company stated that this permit along with others was terminated on May 1. Axis International stated that, while the government claimed that the mine wasn't operational or underutilised it was "operating at a scale and supporting thousands and their families." "We will prove to the World Bank Tribunal that Guinea is responsible for all damages caused by its intentionally unlawful acts. Gunjan Sharma, counsel for Axis International said that the amount was USD 28,9 billion at minimum. The company stated that damages were calculated based on "proven reserves", which they put at over 800 million metric tonnes. The company stated that the mine would produce 18 million metric tonnes of bauxite by 2024. This will make it Guinea's largest source of bauxite exports. (Reporting and writing by Robbie Corey Boulet; Editing and proofreading by Jan Harvey).
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Before reversing gains, copper spikes reach a record of $13,000
On Monday, copper prices spiked to an all-time high of just $13,000 per metric ton. The London market was racing to catch up to gains in China and?the?US. While?it was closed Friday. LME copper prices have risen by 41% in the past year. This is due to fears of shortages, a weaker dollar and gains on other financial markets. The benchmark three-month copper price on the London Metal Exchange soared 6.6% in Asian trading to a record of $12,960 per ton, but then fell to $12,415 (up 2.1%) by 1030 GMT. The Shanghai Futures Exchange, the U.S. Comex and the London Metal Exchange all saw record-high copper prices on Friday. Robert Montefusco, broker at Sucden Financial, said that "Comex led Boxing Day". U.S. Comex copper futures rose to $5.8395 a lb. on Friday. This is a record that was surpassed on July 23, when the planned date of U.S. Tariffs neared. The imposition of U.S. Tariffs on refined copper did not have any impact. However, this decision will be reviewed next year and a new flow of copper into the U.S. in order to benefit from higher prices. Many analysts have forecast deficits for next year due to the pile-up in copper prices in the U.S. Metals prices rose as a result of a wider risk-on attitude, with global equity markets on course to reach record highs by 2025 and oil prices on the rise. The most active contract for copper on SHFE reached a record high of 102660 yuan per ton. Daytime trading closed up 0.8%, at 98860 yuan (about $14,105.33). The news that China will rein in its copper capacity in the next five year plan helped support gains on?SHFE. Nickel was up by 1.1% at $16,960, after reaching its highest level since April, at $16,025; tin fell 0.5% to $42,600.
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China's net gold imports through Hong Kong in November more than doubled compared to October
Hong Kong's Census and Statistics Department reported on Monday that China's net imports of gold via Hong Kong rose 101.5% in November compared to October. Why it's important China is the world's largest gold consumer. Its buying activities can have a significant impact on?global?gold markets. Hong Kong's data might not be a complete view of Chinese gold purchases as it is also imported through Shanghai and Beijing. By the Numbers The net imports from Hong Kong into China in November were 16.16 metric tonnes, up from 8.02 tons for October. China's total gold imports via Hong Kong in November increased by 0.5% compared to 30.08 tonnes in October. KEY QUOTE "During November we saw a great deal of volatility in the domestic Chinese premiums. They went from a modest premium to an important discount, which indicates a very mixed sentiment," according to independent analyst Ross Norman. Gold imports are typically higher in the months leading up to the Lunar New Year. CONTEXT China is the top consumer of bullion Gold prices reached record highs last week and gold was sold at discounts between $15 and $30 per ounce compared to the global benchmark price. This is the lowest discount in over five years. Discounts were offered in order to entice buyers amid a lacklustre retail demand. However, they narrowed last weekend as speculative purchases increased on the expectation of U.S. interest rate cuts. A tighter supply was also a result of limited import quotas, and a stronger yuan. China, however, continued to add gold to its reserves, increasing its holdings from 74.09 million fine troy pounds at the end October to 74.12 millions at the end November. Gold spot prices are up 72% in the last year. They reached a record of $4,549.71 per ounce on Friday. This is the largest annual increase since 1979. The rally was fueled by several factors including the Federal Reserve's policy easing, increased central bank demand, increasing ETF holdings and continued de-dollarisation. Reporting by Noel John in Bengaluru and Sherin Varghese, Kirsten Doovan. Editing by David Goodman.
UPS, FedEx transition to electric vans slowed by battery lacks, low supply
UPS and FedEx are dealing with unpredictability in U.S. materials of huge, boxy electrical step vans they need to replace their gas guzzlers and make a dent in the nation's. climatewarming tailpipe emissions. The course to electrification by the package delivery giants is. critical to U.S. President Joe Biden's transportation climate. goals. Accomplishing that objective, nevertheless, is obstructed by battery. scarcities that are restricting EV materials and keeping costs high,. and by start-up electric van makers that are running out of cash. and shutting down.
The question is the number of those (business) will be here. in 5 years, ten years? Luke Wake, UPS's vice president of. fleet maintenance and engineering, told .
In a double whammy, UPS and FedEx are likewise losing access to. California coupons that assist settle EV prices that can be about. 2 times greater than traditional delivery van.
UPS and FedEx obtained some relief from EV supply. restraints when trend-setting California, the center of. electrification, postponed a guideline that would have required. them to acquire electric delivery cars specifically starting. this year. An industry group whose members include UPS and FedEx. has submitted a suit declaring that California first required the. approval of U.S. regulators.
The delivery business and their electrical van providers face. a Catch-22 circumstance, stated Sam Fiorani, a vice president at. AutoForecast Solutions.
You need the demand to have the supply and you need the. supply to have the need. Getting both of them to work at the. very same time is the issue, he said.
UPS has actually checked and bought EVs for decades and is a. bellwether for demand. It has more than 150,000 shipment. automobiles around the globe and is amongst the top buyers of step. vans, replacing about 7,000 of its common brown trucks each. year in the U.S. alone.
UPS and FedEx, which each have actually rolled out about 1,000. electrical step trucks, are keeping their alternatives open.
UPS is sticking to its plan, set in 2016, to rely on EVs. and other alternative fuel cars to decrease emissions. Those. other lorries consist of 13,000 action vans that work on renewable. gas (RNG).
FedEx informed it is searching for opportunities to. incorporate other lower-emission delivery trucks into its. fleet.
' SUBJECT TO AVAILABILITY'
UPS and FedEx prefer step vans - bigger, often custom-made. trucks with spacious cargo locations.
U.S. releases of EV step vans by UPS, FedEx and others. such as bread and linen carriers peaked at 275 in 2021 and fell. to 238 in 2022, according to data from the not-for-profit CALSTART. Those deployments were in between 220 and 250 for 2023, the group. quotes.
On the other hand, shipment competing Amazon.com already has. over 10,000 smaller electric freight vans from Rivian. throughout the U.S. and Europe - still a small fraction of the. more comprehensive freight van market.
UPS and FedEx say electrical action vans are hard to discover.
There is minimal availability for bigger capability vans,. FedEx stated in a statement.
In 2021, FedEx revealed its objective to make 100% of pickup and. delivery car purchases in its company-owned Express system. electrical by 2030. It often adds the words based on. availability in declarations about that objective. UPS made a big bet on the EV transition in 2020, buying. UK-based Arrival and placing an order for 10,000 electrical vans. But Arrival ran out of money before selling a single. lorry to UPS.
Arrival is not alone. Upstart EV maker Lightning eMotors. remains in receivership, while Workhorse and Xos. have actually released going-concern warnings.
Atlanta-based UPS expects to utilize 40% alternative fuel in its. Ground operations by 2025, up from 29% presently. RNG trucks. today can be more climate-friendly than EVs powered by. electrical energy from coal and other nonrenewable fuel sources, Wake stated.
Environment advocates do not embrace UPS's RNG analysis,. mentioning the small portion of RNG in the gas supply and. the risk of leakages that release methane, a heat-trapping. greenhouse gas.
STICKER SHOCK
Wake said EV costs can be cost-prohibitive, but decreased. to disclose how much UPS pays.
In Southern California, UPS recently dispatched new. zero-emissions step vans made by veteran supplier Freightliner. Custom Chassis Corp (FCCC) - owned by Daimler Truck -. and SEA Electric, which is being bought by Canada's Exro. Technologies.
The expense of an FCCC MT50e electric step van is just over. $ 260,000, according to U.S. General Solutions Administration. files. That has to do with double the expense of a standard design,. industry advisors stated. Freightliner decreased to discuss. prices and said we stand ready to produce as numerous MT50e. products as the market and our consumers demand.
California for several years offered purchase vouchers of $60,000 or. $ 85,000 to all industrial purchasers of electric action vans - however. changed terms for big business like UPS and FedEx in 2023.
A evaluation found those companies now need to buy 30. trucks without rewards before they are qualified for half of. the value of coupons on additional purchases. Those. large-company incentives will end on Jan. 1, 2025.
As states like Oregon and Washington prepare to provide. coupons, the California incentive change might be weighing on. adoption as the biggest fleets historically represent a bigger. percentage of new truck purchases, said CALSTART Vice President. Tor Larson. If the U.S. Environmental Protection Agency. clears the way for California to restrict big delivery business. fleet purchases to electrical and other zero-emissions lorries,. this could offer the electric step van market a European-style. regulatory push. This is since the rule could then be adopted. by other U.S. states.
The U.S. tries to utilize carrots. Europe does a good job of. using sticks, said Scott Phillippi, a previous UPS executive.
(source: Reuters)