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Ghana adopts revised mining laws to strengthen oversight
The Ghanaian cabinet has approved amendments for the mining law to be submitted to parliament. Mines Minister Emmanuel Armah Kofi Buah announced this on Wednesday as part of efforts by government to increase oversight and curb illegal mines. Ghana, Africa's largest gold producer, is implementing reforms to boost state revenue and increase local participation in the mineral wealth. It introduced a sliding scale gold royalty regime this year linked to prices, and announced plans to phase out fiscal stabilization agreements. This could impact major miners such as Newmont, Gold Fields, AngloGold Ashanti, Zijin, and Perseus. Buah said at a press conference in Accra that Ghana's Minerals and Mining Act 2006, which has been in force for almost two decades, needs to be updated and modernized. This policy aims to indigenize the mining industry by strengthening the local content of minerals through domestic value-adding, improving links to the manufacturing industry and dealing decisively with the threat?of illicit mining and protecting our environment. The proposed law creates district mining committees that give host communities an early role in the licensing process. The prospecting and reconnaissance licences are to be replaced by a single exploration licence, which will have a maximum of five years. Extensions can only be granted after a review is made of the initial two-year programme. Buah added that if you don't invest in exploration for five years, you will lose your license. He added that mining?lease agreements would still be limited to a maximum of?20-years, but now companies would have to sign community development agreements directly negotiated with the host communities rather than being decided by the company. Maxwell Akalaare Adombila, Louise Heavens and Emmanuel Bruce contributed to the report.
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Nuclear fuel company Standard Nuclear reduces US IPO size more than by half
Standard Nuclear has reduced the size of its proposed U.S. Initial Public Offering by more than 50 percent on Wednesday. It joins a'string' of companies who have lowered their valuation targets to match cautious investor sentiment this year. The company plans to sell 10,000,000 shares for $15 each. It originally intended to sell 18.25 million of its shares between $18-$21 each. Standard Nuclear's valuation would be $2.4 billion at $15, as opposed to its previous target of $3.55billion. Analysts claim that despite the strong resurgence of the U.S. IPO Market this year, investors remain cautious about valuations and prefer to ignore less exciting offerings. Ambulance giant GMR, and small modular reactor developer Deep Fission?have also downsized their initial public offerings?in the past few months. The poor performance of recent IPOs including SpaceX is negatively affecting demand for U.S. IPOs. This is especially true for high-risk and loss-making deals like Standard Nuclear, according to IPOX CEO Josef Schuster. The Oak Ridge, Tennessee, based company processes enriched uranium into advanced nuclear fuels for advanced nuclear reactors including small modular reactors or microreactors. It reported a $7.7-million net loss?and revenues of $593.802 for the three months ending March 31. This compares to a $8.3-million?net loss and revenues of $377.926 from a year ago. The company's revenues are primarily generated by?fuel development contracts and research and developments projects. Schuster stated that "sector-specific weaknesses" are contributing to a more challenging pricing environment. He referred to the subdued trading in NuScale?Power and Oklo which both fell more than 35% during this year. Standard?Nuclear will price its IPO on Wednesday, and debut on the NYSE Thursday. Reporting by Arasu Kanagi Basil in Bengaluru and Pragyan Kalita; editing by Shilpa Majumdar
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Buffett calls Bill Gates Epstein ties "disgusting" and says that his children are prepared to share his fortune.
Warren Buffett called Bill Gates' association with the late sexual offender Jeffrey Epstein, "disgusting," but said that he would halt his donations to the Gates Foundation as his children grew older and were now ready to receive his wealth. Buffett told CNBC in an excerpt of a Wednesday interview that he tells his children to do it well. The comments were broadcast a day after 95-year-old Berkshire Hathaway Chairman omitted the Gates Foundation in his annual midyear charitable donations. He donated almost $6 billion worth of stock from his conglomerate. Buffett donated Berkshire shares worth more than $47 billion to the Gates Foundation between 2006 and 2008. The latest donation of 12 million Class B Shares will instead go to four foundations headed by his children Susie Howard and Peter. Buffett has donated over $23 billion in Berkshire Stock to the Susan Thompson Buffett Foundation as well as the Howard G. Buffett Foundation, NoVo Foundation and Sherwood Foundation since 2006. BUFFETT SAYS GATES MADE 'MISTAKES Buffett revealed that Gates, who was a close friend and a director of Berkshire for 16 years, had visited him three weeks ago in Omaha. This meeting was held after the U.S. Department of Justice released in February files relating to Gates' relationship and philanthropic efforts with Epstein. Gates met with Congress about Epstein last month. He has expressed his regrets for Epstein and has never been charged with any crimes. Buffett stated that he had made mistakes when he hired people or chose friends and later found out they were not what he thought. Buffett said that donating to Bill Gates'?Gates Foundation was a "good choice" and he had no regrets about his relationship with him. Buffett stated, "We've had a?number? of?good?times? together." It has been an amazing friendship. Epstein, who was arrested on charges of sex-trafficking in August 2019, died in a Manhattan prison cell. The medical examiner in New York City ruled the death as a suicide. Keep your marbles Buffett also accelerated his timetable for distributing the remaining Berkshire stock, which represents an approximate 13% stake in this $1.06 trillion conglomerate. Buffett wants his shares to be distributed 10 years after his death, not by the end of 2034. He noted the advancing age of his children. Susie Buffett will be 81 years old by 2034. Buffett told CNBC that he had reevaluated his entire situation. It's not only a matter of mortality. It's about keeping your marbles. Reporting by Jonathan Stempel, New York. Editing by Emelia S. Sithole-Matarise & Andrea Ricci
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Gold gains following US PPI data and focus on Middle East tensions
The gold price reversed its earlier declines on Wednesday, after U.S. producer prices unexpectedly dropped in June. However, escalating Middle East tensions?limited gains as they kept inflation and interest rate concerns alive. By 1258 GMT, the spot price of?gold? rose 0.3% to $4067.60 an ounce at 858 AM EDT. U.S. gold futures rose 0.2% to $4 075.80. Phillip Streible is the chief market strategist for Blue Line Futures. He said that gold has recovered from its earlier losses as PPI was lower than expected. This eases some concerns regarding multiple interest rate hikes by the Fed this year. According to the Bureau of Labor Statistics of the Labor Department, last month's Producer Price Index fell 0.3% after a downwardly-revised 0.6% rise in May. The PPI was expected to remain unchanged by economists polled, after a 1.1% increase in May. CME FedWatch Tool data shows that traders expect a 9.1% chance of an increase in interest rates at the Federal Reserve meeting on July, as opposed to 16.6% before data. Data on Tuesday also showed that U.S. consumer prices slowed down more than was expected in June. The U.S. announced that it had begun a second wave of attacks against Iran, after reimposing a naval blocade?of Iranian ports. Iran, meanwhile, threatened to cut off even more regional energy exports. Oil continued to rise on Wednesday. Recent developments in the 'Strait of Hormuz' have simply re-ignited fears about unchecked price pressures. If tensions escalate further and oil prices rise, gold could be exposed to downside risks, said Lukman tunuga senior research analyst of?FXTM. A solid break below this level may open the doors to $3,950 or $3,000. If $4,000 is a reliable support level, the price may rise back to $4,100." Fuel costs may continue to drive inflation, prompting central banks to keep rates at high levels for longer. This could also affect gold's appeal as an asset that doesn't yield. Platinum gained 0.4%, bringing the price to 1,638.24. Spot silver fell 0.1%. Palladium dropped 0.1% to $1.303.50. Reporting by Ashitha Shivprasad in Bengaluru and Sukanya Mittra; editing by Shilpa Majumdar
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Russian government prioritizes fuel for vehicles serving food retail chains
Alexander Novak, the Deputy Prime Minister, said on Wednesday that Russia is considering prioritising fuel supplies to vehicles servicing large food retail chains. The government is concerned about fuel shortages, which are a result of the Ukrainian drone attacks against Russia's oil refineries and energy infrastructure. Two industry sources and a? After Ukrainian drone attacks caused a stoppage at large oil refineries, Russian gasoline production fell to an amount?equivalent only to around 65% the seasonal average consumption. "We discussed the importance of prioritizing fuel supplies for vehicles that deliver food products to major retail chains. Novak stated that it is crucial to avoid food spoilage and to avoid additional costs which could be reflected on consumer prices. Fuel cards are usually issued by the authorities for drivers to use when filling up their vehicles. He said that the task force set up by the government to combat the fuel shortage discussed diesel supply to the agricultural industry. The decline in fuel production in Russia will have an impact on the country's economy in the second quarter 2026, according to the central bank of Russia.
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German Government Plans EUR 13.3 Billion Energy Relief Package for 2027
The German Finance Ministry announced on Wednesday that the government will provide energy cost relief packages for businesses and consumers in the amount of EUR13.3 billion ($15.2 billion) by 2027. These funds are to be drawn from KTF (the Climate and Transformation Fund). The package includes a subsidy to electricity grid fees, and relief for energy-intensive industry through an industrial electricity pricing scheme, as well power-price compensatory measures that help offset costs associated with carbon pricing. According to the KTF business plan for 2027, and the financial planning of the government up to 2030, by 2030, EUR13.2 billion will be redirected to the core budget. Since the beginning of the Iran War, energy costs have increased sharply. This has put pressure on Germany's manufacturing and energy-intensive industries. German companies, such as automakers and steelmakers had complained about high energy costs before the war. The amount of relief granted is EUR2.5billion higher than that planned for 2026. More than EUR5.5billion has been allocated to grid charges. EUR5billion to compensations on power prices and approximately EUR2.5billion to industrial electricity rates. CUTS ELSEWHERE INSIDE CLIMATE FUND The government reduces spending in other areas of the climate fund at the same time. Finance Ministry said that funding for KTF programs not committed will be reduced by 30% in general, but some projects will be exempt. The support for electric vehicle transition, for instance, will be cut by 10% or EUR200million through 2029. Existing commitments will not be affected. The federal government approved the?proposed budget for 2027 and financial planning until 2030 last week. This plan did not include any plans for the KTF. The KTF budget will be able to close its deficits by utilizing the EUR2.7 billion that would have been generated from emissions trading revenue in 2027. The ministry announced that EUR22.5 billion of the KTF's planned EUR40.3billion spending?in?2027 has already been allocated?for modernisation project. The economic plan will be approved by the parliament along with the federal budget towards the end of November.
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Buffett: Gates Foundation decision not to accept donations was not a shock
Warren Buffett stated that it was no surprise to him when he informed Bill Gates of his decision to cease donating to the Gates Foundation. This ended their?two decade philanthropic relationship. Buffett, 95, did not include the Gates Foundation as part of a $6 billion donation to Berkshire Hathaway announced on Tuesday. This was in response to revelations regarding interactions between Bill Gates - the Microsoft cofounder and philanthropist - and the late sex offender Jeffrey Epstein. Buffett, the chairman of Berkshire, told CNBC's?on Wednesday that Gates and Buffett spoke three weeks ago, when Gates was in Omaha. The meeting was held after the Department of Justice released in February documents about Gates' relationship with Epstein. Gates also met with the Congress last month. Gates has expressed regret over Epstein and his involvement in the case. Buffett said, "I reevaluated the whole situation." It was not a shock. He said: "I'd read everything." I'd read it all. His children Susie Howard and Peter will continue to donate Berkshire shares, which includes the $6 billion donation, to four family foundations. Epstein, who was arrested on charges of sex-trafficking in August 2019, died in a Manhattan prison?cell. The medical examiner in New York City ruled the death a suicide. Buffett has donated Berkshire Stock worth more than $47.5 billion to the Gates Foundation.
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Rate outlook is clouded by inflation fears and gold falls as tensions in the Middle East fuel inflation concerns
Gold prices fell on Wednesday as escalating tensions continued to?stoke inflation concerns, reinforcing the expectation of higher U.S. rates. Spot gold dropped 0.6% at $4,030.50 an ounce as of 1130 GMT. Tuesday, prices had risen more than 2% after weak U.S. inflation figures. U.S. Gold Futures for August?delivery fell 0.8% to $4.036.20. The Islamic Revolutionary Guard Corps of Iran has threatened to shut all export?corridors that benefit Washington after Tehran closed the Strait of Hormuz, and the U.S. reimposed its?naval blocade of Iranian port. After closing Tuesday at an all-time high, oil prices have risen. UBS analyst Giovanni Staunovo stated that "higher U.S. oil, gasoline, and diesel prices are likely to result in higher inflation numbers for the next print in August. This could keep some Fed officials' tone on the hawkish, which does not help gold." Staunovo said that "in the near term, oil and gasoline prices in the U.S. will continue to affect gold as it is a major driver of U.S. Inflation." Gold is affected by higher interest rates, which increase the cost of owning the asset. Fed Chair Kevin 'Warsh' told lawmakers that the central bank has "no tolerance" for "persistently high inflation," hinting at the CPI data not being all that swell. According to the CME FedWatch Tool, traders have priced in a 61% chance of a September rate hike. Investors are now awaiting the U.S. Producer Price Index due at 1230 GMT?Wednesday to gain insight into inflation levels and the outlook for monetary policy. Silver spot fell 1.1%, to $57.96 an ounce, and platinum dropped 0.84%, to $1,617.97. Palladium fell 1.2% to $1289.45 after rising 5% the previous session. (Reporting by Sukanya Mitra in Bengaluru; Editing by Diti Pujara)
Codelco believes that the lithium project at Chile's Maricunga Salt Flat is feasible within eight years
Codelco's chairman Bernardo Fontaine stated on Wednesday that the lithium project at?the Maricunga flat salt will become a reality in eight years.
The state-owned copper company Codelco, along with its partner Rio Tinto, manages the Maricunga Lithium project.
Fontaine stated that the agreement had not been signed because certain conditions were still to be met. Some of these conditions have already been met, while others are pending on an international level.
The executive said that the joint venture agreement "awaits regulatory approval" from Chile and China, after receiving?antitrust approvals with no conditions from Brazil and South Korea, and Poland.
The Chilean mining ministry has revised the special operating contract in response to observations made by the national auditor.
Fontaine said that lithium is not a critical mineral and there are no supply issues.
* Codelco’s new board is reviewing the state miner's plans, projects and prioritizing investment and evaluating possible asset sales.
The company's?title of?world’s largest copper producer? will be lost in 2025.
(source: Reuters)