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Sources say that Vitol Group has bid more than $10 billion for Citgo parent company.
Two sources familiar with the bid told us on Wednesday that a group led by commodities trading company Vitol had submitted a bid in excess of $10 billion during the final hours of an auction organized by a court for shares of Citgo Petroleum's parent company, which is owned and operated in Venezuela. Delaware court officer who oversees the auction will recommend a winner by Wednesday, unless he asks for more time to review bids made at the last minute. The proceeds from the auction of PDV Holding - parent company of the seventh biggest U.S. refiner - are intended to compensate at the very least a few of the 15 creditors who have been fighting in U.S. court since 2017 for nearly $19 billion after Venezuela expropriated its assets and defaulted. One source said that the Vitol-led consortium's offer included about $5 billion cash, with the remainder in credit bids, covering up to fourteen claims. It also includes provisions to pay holders who defaulted on Venezuelan bonds. Vitol didn't immediately respond to a comment request. Vitol was a participant in the first round of bidding for PDV Holding in 2013 and in a competition to choose a starting offer earlier this year, won by Red Tree Investments. But it's new Bidders In the final mile of the auction new and better offers have been made following court rulings in parallel legal proceedings that have encouraged them. A consortium led Chicago-based Black Lion Capital Advisors also made an offer in recent days. Meanwhile, a consortium headed by Gold Reserve's subsidiary said that it had submitted two revised bids. Reporting by Marianna Paraga, Editing by Julia Symmes Cobb and Chizu Nomiyama
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France's Orano claims its Niger uranium mining is on the verge of bankruptcy
The French uranium mining company Orano announced on Wednesday that its joint venture with Niger SOMAIR is nearing bankruptcy due to export restrictions imposed on it by the military government of Niger. Orano had to stop production at SOMAIR when authorities stopped exports in the past year. The Niger government took over the operation in December, and announced plans to take it back last month. It is part of a trend of West African countries seeking more control of their natural resources. Niger is also the seventh largest uranium exporter in the world. When Orano's local unit was operating at full capacity, the country supplied about 15% of Orano’s uranium. Orano responded to emailed questions by saying that they had flagged SOMAIR's worsening finances since October, as their year-long dispute escalated with the West African country. Orano stated that "the Nigerien authorities insistence to continue production costs at all costs has led to the present situation where SOMAIR is on the brink of bankruptcy." The Niger's Ministry of Mines didn't immediately respond to an inquiry for comment about Orano’s assessment of Orano’s unit’s financial situation. The junta that seized power in 2030 said Orano was extracting 86.3% since 1971, despite owning 63% of the mine. Orano, according to the main union of mineworkers in the country, has committed acts of sabotage. They also claim that Niger's uranium mining has not been fair. Orano denies these accusations. Orano claimed that SOPAMIN, the Niger state-owned company, had engaged in opportunistic behaviour by refusing its share of production when uranium prices were low to avoid losses. Orano said that the State of Niger had not always exercised its rights to offtake uranium, particularly during low-price cycles. This forced Orano's to buy additional uranium to maintain the mine's financial viability. Orano stated that it wanted to use the remaining financial resources of the venture to pay employee salaries and maintain industrial facilities. The spot price of uranium is up 7% this year. It reached a seven-month record high last week at $79 per pound. The company did not provide any further details on its plans as Niger continues to implement nationalization plans. Burkina Faso, Guinea and Mali have also taken over Barrick's Loulo-Gounkoto Gold Complex. They are now focusing on Russian interests while pushing for greater mining shares. Maxwell Akalaare Adombila (reporting; additional reporting by Boureima Balima in Niamey, Polina Devitt in London and Veronica Brown in London)
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Russian seaborne diesel exports fall in June, data shows
According to LSEG data and market sources, the volume of Russian seaborne gasoil and diesel exports dropped by 6% in June on a month-to-month basis. This was due to refinery maintenance. Shipping data shows that last month, the two main importers of Russian gasoil and diesel were Turkey and Brazil. Exports of diesel and gasoil from Russian ports to Turkey increased in June by 15%, a month-on-month increase, while those to Brazil dropped by 33% from May, to just 0.47 million tonnes, after a previous influx. Shipping data revealed that Russia's diesel and gasoil sales to African countries in June decreased by 30 percent from the previous months to 0.7 million tonnes. The top importers were Morocco, Tunisia Togo, and Egypt. According to LSEG, LSEG data shows that nearly 0.24 million tonnes of diesel and gasoline from Russian ports is waiting for discharge on ships-to-ship transfers or for orders to further destinations near the Cypriot Port of Limassol. Shipping data showed that ships loaded with diesel in Russian port in May had their destinations marked as "for order," which means their discharge points were either not known or not declared. Reporting by Bernadettebaum; Editing by In Moscow
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Gold prices rise as rate-cut bets are boosted by weak ADP employment data
Gold prices rose on Wednesday, as investors awaited the non-farm payrolls report for more market signals on monetary policies. As of 1246 GMT spot gold rose 0.3%, to $3,347.59 an ounce. U.S. futures gold also rose 0.3%, to $3,358.10. The ADP National Employment Report revealed that U.S. private payrolls fell unexpectedly in June, and the job gains for the previous month were less than originally thought. After the data was released, traders raised their expectations of Fed rate reductions this year to 67 basis point, up from an earlier expectation of 64. Tai Wong, a metals trader independent, said: "The grimace inducing -33,000 print on ADP private payrolls is the first time since early 2023 that there have been net job losses." The number of U.S. jobs openings in May was unexpectedly higher on Tuesday. However, a drop in hiring confirmed that the labour market has shifted down gear. Federal Reserve Chairman Jerome Powell reiterated on Tuesday that the Fed will be patient in reducing interest rates. He did not, however, rule out that the Fed would reduce rates at its meeting this month. The monthly non-farm payrolls reports due Thursday will provide more information on the state of the labor markets. Wong said that it is not impossible for a July reduction to be made if the payroll report tomorrow is bad. Gold, which is traditionally viewed as a hedge in times of uncertainty, thrives also when interest rates are low. The uncertainty surrounding U.S. Tariffs is also a concern for traders ahead of the deadline on July 9. Trump's tax and spending bill, which is expected to add $3.3 billion to the debt of the country, will be sent to the House of Representatives to receive final approval. Spot silver increased 0.7% per ounce to $36.33, platinum rose 1.9% to 1,375.91 and palladium grew 1.9% to 1 120.87. (Reporting by Anushree Mukherjee in Bengaluru; Editing by Chizu Nomiyama )
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IMF says Nigeria must re-calibrate its budget to lower oil prices
The International Monetary Fund (IMF) said that Nigeria must adapt its budget for 2025 to lower oil costs and increase cash transfers in order to protect the most vulnerable sections of its population. The IMF released the results of the routine "Article IV", assessment of Nigerian economic policies. It said that the economic growth was steady, but low per capita and the inflation remained high. The Fund forecast that Nigeria's economy will grow at a rate of 3.4% in this year, and 3.2% by 2026. Axel Schimmelpfennig is the mission chief of the Fund for Nigeria. He said: "The international economy environment in which Nigeria lives and operates is marked by very, very high uncertainty. In particular, the international oil price volatility affects Nigeria directly via the fiscal and external balances, as well as the inflation." He said that the complex outlook makes it even more important for policymakers to maintain buffers and be nimble to react to shocks and seize opportunities. The key challenge is now to combat high poverty and food security. In its budget for 2025, Africa's biggest oil exporter assumed that the price per barrel would be $75. Brent crude futures were last trading at just under $68 per barrel. (Reporting and editing by Dhara Raasinghe; Karin Strohecker)
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EU compensates exporting industries for Carbon Levy
The European Commission announced on Wednesday that European companies who export their products abroad will be compensated for the CO2 emission costs they incur in Europe. This is to prevent firms from moving to Europe to avoid the ambitious climate policies of the EU. The Commission announced the plans and proposed a new EU climate target for 2040, which would require heavy industries to invest much more in order to improve their production over the next decade. The Commission will propose by the end of this year a scheme to use the revenues generated from the European Union’s carbon border tax to help companies export goods to foreign countries where, unlike Europe, their competition does not pay CO2 costs. Wopke H. Hoekstra, EU Climate Commissioner, told reporters: "We are doing this for companies that risk losing out on exports." Hoekstra stated that the system is expected to provide 70 million euros ($82 millions) in compensation for next year. The EU anticipates that its carbon border tax will generate revenue of 2.1 billion euro by 2030. The EU is phasing in its carbon border tax next year, and aluminium and steel producers will lose their free carbon permits. The EU carbon market will have to charge more for permits, forcing European companies to pay more to compete on foreign markets. Commission: Compensations will be based on the reduction in CO2 allowances. The Commission has not yet finalized the design for the scheme. It will present it later this year along with measures that are intended to stop foreign companies from avoiding the EU border carbon tax. Hoekstra stated, "We want absolutely to ensure that this system will not be manipulated or abused by actors outside the European Union."
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NDTV Profit reports that India's Nykaa shareholder will sell a stake worth $150 Million.
Harindarpal Singh Banga, a Hong Kong-based investor, and his family plan to sell a stake in Nykaa worth $12.84 billion (US$149.93m) through a group deal, reported news portal NDTV profit on Wednesday. According to the report, people familiar with the situation said that the sale would likely take place at a discount of 4% from Nykaa's market price. Nykaa shares closed at 211.59 Rupees, a 2.2% increase. The company didn't immediately respond to an inquiry for comment. Exchange data revealed that Banga owned 4.97% of Nykaa as of March 2025. He invested in Nykaa prior to its public listing. In August of last year he sold 40.9 million shares in a large deal to reduce his stake. According to LSEG, the Indian market saw secondary market sales of $5.5 billion by large shareholders in listed companies last month. Reliance Industries sold a stake in Asian Paints for $1.5 billion and British American Tobacco sold a stake in ITC for $1.5 billion. ($1 = 85.6242 Indian Rupees) (Reporting and editing by Janane Vekatraman; Reporting by Manvi Pan)
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HIGHLIGHTS-Tennis-Wimbledon day three
Highlights from the third day of Wimbledon Tennis Championships on Wednesday. 1145 PLAY UNDER THE WAY Rain caused a delay of one and a half hours at the All England Club. READ MORE PREVIEW: British Wimbledon hopefuls Raducanu & Tarvet will face a tough task Sinner is ice cold as Gauff joins Pegula, Zverev and bonfire of seeds Wimbledon's AI judge receives mixed reviews from fans and players Djokovic passes Muller Test to Reach Wimbledon Second Round Gauff's out-of-sorts performance in the first round of Wimbledon is a disaster Zverev seeks therapy following shock Wimbledon first-round exit Kvitova says goodbye to the place where she was transformed from a "nobody" to a "someone". No Draper drama as British hope races past injured Baez in Wimbledon opener Zheng, the Olympic champion, is still trying to figure out how to play on grass courts Swiatek defeats Wimbledon debutant in round two Rain delays the 1045 START even further Rain will delay the start of play on all outdoor courts until 1115 GMT. Start 1000 Rain Delays Rain has delayed the start of Wimbledon's third day by 45 minutes, to 1045 GMT. After two days in which the conditions were very hot and sunny, the temperature will be around 19 degrees Celsius. WIMBLEDON ORDER OF PLAY ON WEDNESDAY (prefix number denotes seeding) The play begins at 1230 GMT. 1-Aryna Sabalenka (Belarus) v Marie Bouzkova (Czech Republic) Oliver Tarvet (Britain) v 2-Carlos Alcaraz (Spain) Emma Raducanu (Britain) v Marketa Vondrousova (Czech Republic) COURT NUMBER 1 (play starts at 1200 GMT). Cameron Norrie (Britain) v 12-Frances Tiafoe (France) Katie Boulter (Britain) v Solana Sierra (Argentina) 5-Taylor Fritz (U.S.) v Gabriel Diallo (Canada) COURT NO. TWO (play starts at 1000 GMT Olga Danilovic (Serbia) v 6-Madison Keys (U.S.) Nuno Borges v Billy Harris Naomi Osaka (Japan) v Katerina Siniakova (Czech Republic) Arthur Fery (Britain) v Luciano Darderi (Italy)
S&P downgrades Woodside's credit rating to 'negative" after LNG investment decision
S&P Global Ratings changed the outlook of Australia's Woodside from "stable" to "negative" after the company made a final decision on investment for $17.5 billion in its Louisiana liquefied gas project.
The rating agency stated that Woodside's decision to move forward with the project, without a substantial sell-down of the offtake exposure, has reduced the headroom for ratings.
The agency has affirmed Woodside's 'BBB+ long-term issuer rating' and 'BBB+ long-term issuer ratings'.
The Australian oil and Gas Company approved an LNG project worth billions of dollars in Louisiana earlier this week. They were confident that the U.S. government would be pro-fossil-fuel and there would be a strong demand.
Woodside now holds a majority of the U.S. Project after selling a 40% stake to U.S. Infrastructure Investor Stonepeak.
S&P stated that Woodside was exposed to market risks of the entire project, compared to its current effective interest of 60% in the project.
Woodside's Chief Executive Officer Meg O'Neill reaffirmed this week that Woodside is seeking a further stake diluting in the LNG Project.
S&P anticipates that Woodside's fund from operations to debt ratio will track at around 50% in the next few years.
The ratings agency stated that future ramp-ups of the Louisiana project will likely reduce cash flow. This means the energy giant has very little capacity to cope with lower oil prices or cost increases at any of their major projects.
(source: Reuters)