Latest News
-
Northam CEO: Platinum market will "turn" from current slump
Northam Platinum CEO Paul Dunne stated on Friday that the platinum market would improve as a result of the growing supply deficit, while production decreases. The company had previously reported a halving in its profit for the first half of the year due to the low metal prices. The price of platinum group metals, which are used to reduce emissions in vehicles, has dropped sharply during the last two years due to concerns over growth in electric vehicle sales. Northam Platinum reported a headline profit of 238.24 millions rand ($12.89million) for the six-month period ending December, down 49.7% from 473.38million rand in the same period last year. Northam's biggest rivals Anglo American Platinum (APL) and Impala Platinum (Impl), both reported recent drops in profits of 40 and 43 percent, respectively. Sibanye Stillwater is another PGM producer that has suffered a loss of $311 million, the second consecutive year. Dunne stated during a presentation of results that "in our considered opinion, we believe the longer the current market conditions persist, the more severe the correction." He added, "This market is going to turn and we think that platinum has an increasing supply deficit." White metal, which peaked at over $2,000 an ounce in March 2008 is now trading at around $945, or about 20% below its post-Covid-19 peak. Dunne stated that the supply from South Africa will continue to decrease due to ageing mining operations and lack of new projects, as miners restructured their operations in order to survive an extremely challenging price environment. South Africa's output of platinum has fallen to 3.9 million from a 2006 peak of 5.3 millions ounces. Dunne stated that South Africa would need to further reduce its stock in 2025 just to reach the 3.8 million ounces. Dunne said that platinum was less vulnerable to the battery electric vehicles (BEVs) penetration in China, and it was also benefiting by substituting palladium for more expensive light duty vehicles. Reporting by Nelson Banya, Editing by Eileen Soreng and Kirby Donovan.
-
AES Corp. forecasts higher than expected annual profits on new renewable energy project
AES Corp., a U.S.-based power company, forecast a profit adjusted for inflation that was higher than Wall Street's expectations on Friday. It attributed this to the contribution of new renewable energy projects and rate base growth in its utilities division. Following the announcement, shares of the Virginia-based firm rose 5.1% in premarket trading to $10.91. The rising electricity demand in the United States and extreme weather conditions are forcing electric utilities to increase customer bills. The increased base rate will provide the necessary funds to maintain and upgrade grid infrastructure which is currently under attack. power demand Data centers are a great source of information. Andres Gluski, CEO of Gluski Energy said: "We are well-positioned to meet the demand of AI data centres and new manufacturing facilities in the US. We can provide power to them within the shortest possible time." AES announced on Friday that its Indiana unit received approval from Indiana Utility Regulatory Commission to implement new rates in support of an investment program which will improve reliability for their customers. Power purchase agreements backlog for the company, which consists projects signed but not yet operationalized, stands at 11.9 gigawatts. This includes 4.9 GW under construction. AES reported an adjusted profit per share of 54 cents in the quarter that ended on December 31. This was higher than the average analyst estimate of 34 cents. The utility's revenue for the fourth quarter fell marginally to $2.96bn from $2.97bn a year earlier, mainly due to lower sales in its renewables and energy infrastructure units. The utilities segment's quarterly sales rose by about 11%, to $878 millions from the same period last year. AES expects its adjusted profit in 2025 to range between $2.10 and 2.26 per share. Analysts expected an average annual profit of $2.03 a share.
-
After meeting with Russian spy chief, Deputy PM accuses West destabilising Serbia
Serbia's vice prime minister, following up on a Moscow meeting with Russia’s spy chief, accused Western intelligence agencies of destabilising the country on Friday by supporting months of antigovernment protests. Aleksandar Vulin, deputy premier, said that after meeting Sergei Naryshkin (director of Russia's Foreign Intelligence Service, SVR), Western powers are plotting to overthrow Serbia's government. Serbia has had strong ties with Moscow for many years. "Western intelligence services attempt to stage a colour revolution and destabilise Serbia," Vulin’s office said. The statement was a reference to the pro-European uprising that took place in Ukraine, which ousted its pro-Russian leader. Since November last year, when 15 people were killed in a roof-collapse at a Novi Sad train station, supported by teachers, workers and farmers, thousands of students have protested daily across Serbia. Many Serbs attribute the tragedy to corruption in the government. Vulin is a pro-Russian politician who has served in the past as head of Serbia’s Security and Information Agency, as well as Interior and Defence Minister. He is the leader of the Movement of Socialists (MoS), a small part of the ruling coalition of Serbia loyal to populist Vucic. In 2023 the United States sanctioned Vulin because he had links with an arms dealer, a drug trafficking ring and aided Moscow in "malign" Russian activity. This led to his resignation from BIA. Vulin has close relations with Russian intelligence agencies. In 2024, he received a medal from both President Vladimir Putin as well as Alexander Bortnikov the head of Federal Security Service (FSB). Vulin said in his statement that U.S. sanctions on Serbia's NIS Oil Industry, which is majority owned by Russia Gazprom were also part of an Western plot. It said that the sanctions against NIS were part of a hybrid warfare... to topple President Vucic, and the legally-elected government. Belgrade balances between its aspirations of joining the European Union, and its close relationship with Russia, which is the Serbs’ traditional major power ally. Belgrade, despite its repeated condemnation of Russia's invasion of Ukraine in 2022, has refused to join the international sanctions against Moscow. Serbia must first eliminate state corruption and organised crime. It also needs to align its foreign policy with that of the EU.
-
In October-December, India's economy grew at 6.2%.
Data released on Friday revealed that India's economy expanded by 6.2% between October and December, slightly below expectations, but faster than the previous quarter due to increased consumer and government spending. The increase in gross domestic products was lower than both the 6.8% estimate by the central bank and the 6.3% projected by the analysts. The fifth-largest economy in the world grew by 5.6% during the last quarter. Comments GAURA SEN GUPTA INDIA ECONOMIST IDFC FIRST BANK MUMBAI The Q3 GDP is "marginally higher than our expectations". The growth momentum is a result of a slight improvement in profit growth for listed companies and a moderated input cost. The agriculture sector also saw a significant increase in growth, largely due to a robust Kharif crop production. On the demand side, growth in private consumption has picked up, reflecting a revival of rural demand. After incorporating Q3 GDP for FY25, we still expect FY25 to have a full-year growth rate of 6.2%-6.3%. The Reserve Bank of India (RBI) will continue to cut rates in a small-scale cycle, with a further 25bps to $50bps cut by 2025. The pressure of depreciation on the INR (rupee), will keep rate-cut cycles short, in our opinion. HARRY CHAMBERS, ASSISTANT ECONOMIST, CAPITAL ECONOMICS, LONDON The economy, as a whole, is still relatively soft compared to recent Indian standards. The RBI's shift from controlling inflation to supporting economic growth should help to boost the economy. The central bank's further loosening of monetary policy, which we expect will increase household consumption and investments, is expected to boost both this week. MADHAVI ARORA - CHIEF ECONOMIST EMKAY GLOBAL FINANCIAL MUMBAI The GDP forecasting exercise has become extremely dynamic due to massive upward revisions of past quarters and years. The implied 4QFY25 estimate is 7.7% based on the NSO's current quarterly estimates for FY25TD. This is a big number given the macrodynamics of the time. JAHNAVI PRIBHAKAR, ECONOMIST BANK OF BARODA MUMBAI The GVA (gross added value) growth in Q3 was in line with expectations, and the GDP growth surprised positively." A strong 6,5% growth for the FY25 is much higher than RBI's estimation. This is a positive. The fourth quarter is likely to see a further recovery, backed by the consumption cycle and a rebound in the investment cycle. The growth outlook is also boosted by the expectation of rate cuts. UPASNA BHARDWAJ CHIEF ECONOMIST KOTAK MAHINDRA BANK MUMBAI The FY25 GDP figures have been resilient despite the sharp revisions upwards of the two previous years. This is largely because the revisions upwards in the second quarter. We expect the FY25 GDP to be lower by 20-30 basis points than the estimate of the Central Statistics Office. We expect a growth rate of 6.4% in FY26, but the outlook is still heavily clouded by downside risks due to global trade uncertainty. RADHIKA RAO SENIOR ECONOMIST DBS BANK SINGAPORE The GDP numbers came in close to expectations. The data showed a turn-around, with better demand owing to rural FMCG sales, and the festive season, while urban demand stagnated due to modest wage increases. Policymakers can maintain a dovish stance, as the trend growth rate for FY25 is likely to slow down to 6% this year, from the revised 9% pace of FY24. Food disinflation has also set in, and successive macroprudential measures have been taken to ease restrictions. "We anticipate a rate reduction in April with a shift to an accommodative stance." SAKSHI GUPTA - PRINCIPAL ECONOMIST HDFC BANK GURUGRAM The GDP growth in Q3 indicates that "the cycle bottom is likely behind us, as growth showed signs improvement" in the quarter. The improvement in agricultural performance and manufacturing was a major contributor. Demand-side growth was close to 7% primarily due to the recovery of rural demand, but investment growth remained soft. We expect growth of 6.6% in FY26, compared with 6.5% in FY25. This growth figure is a relief to the central bank. However, due to global headwinds we expect another rate reduction in April 2025. DEVENDRA KUMARPANT, CHIEF ECONOMIST, INDIA RATINGS, AND RESEARCH GURUGRAM The ability to achieve 6.5% growth by FY25 will depend on the growth of each component, especially in consumption expenditures and investments. KUNAL KUNDU, INDIA ECONOMIST, SOCIETE GENERALE, BENGALURU The 4Q24 GDP figures are difficult to analyze objectively because of the major upward revisions of previous-year data. Despite the changes, the consensus estimate for the Q4 real GDP growth was 6.2% based on unrevised statistics. Interesting, the major revisions to consumption data suggest that "the existing widespread narrative of weak domestic demand (including ours), based on non-revised GDP and multiple high frequency statistics was not entirely accurate". Even the RBI and the most recent economic survey got it wrong about the domestic demand story. "Based on the latest data, we will continue to maintain our current growth forecast for the FY25, which is 6.3%, slower than official second-advance estimate expectations of 6.5%." (Reporting by Swati Bhat and Siddhi Nayak in Mumbai, Manvi Pant, Kashish Tandon, Hritam Mukherjee, Yagnoseni Das, Anuran Sadhu in Bengaluru, compiled by Indranil Sarkar; Editing by Shilpi Majumdar)
-
INSTANT VIEW: India's economy grew 6.2% between October and December
Data released on Friday revealed that India's economy expanded by 6.2% between October and December, slightly below expectations, but faster than the previous quarter due to increased consumer spending and government spending. The increase in gross domestic products was lower than both the 6.3% growth projected by pollsters and the 6.8% estimate from the central bank. The fifth-largest economy in the world grew by 5.8% during the last quarter. Comments GAURA SEN GUPTA INDIA ECONOMIST IDFC FIRST BANK MUMBAI The Q3 GDP is "marginally higher than our expectations". The growth momentum is a result of a slight improvement in profit growth for listed companies and a moderated input cost. The agriculture sector also saw a significant increase in growth, largely due to a robust Kharif crop production. On the demand side, growth in private consumption has picked up, reflecting a revival of rural demand. HARRY CHAMBERS, ASSISTANT ECONOMIST, CAPITAL ECONOMICS, LONDON The economy, as a whole, is still relatively soft compared to recent Indian standards. The Reserve Bank of India has shifted its focus from controlling inflation to supporting economic growth. This should help to boost the economy. The central bank's further loosening of monetary policy, which we expect to happen, and the reversal this week of the stricter lending restrictions that were introduced late in 2023 will, in our opinion, boost consumption, especially among households. Reporting by Siddhi Nyak in Mumbai; compiled by Indranil Skar in Bengaluru, edited by Shilpa Majumdar
-
Siemens Energy will supply Rolls-Royce equipment for small reactors
Siemens Energy announced on Friday that it had entered into a partnership which is expected to make Siemens Energy the exclusive provider of conventional technology to future small modular reactors (SMRs) built by Rolls-Royce SMR. Siemens Energy will supply steam turbines and generators as well as "other auxiliary system" to Rolls-Royce SMR for its planned Generation 3+ modular nucleopower plants. The agreement is expected to be finalized by the end of 2025. Global nuclear energy providers are developing so-called SMRs to create power plant technologies that are easily replicable, quicker and cheaper to deploy compared to traditional large-scale units. Karim Amin, a member of the Siemens Energy board of directors, said: "We're experiencing a global revival in nuclear energy." Small modular reactors are a crucial part of the nuclear technology that is being used by many countries to produce electricity with low emissions. Rolls-Royce SMR, which is owned by Rolls-Royce in majority while Qatar, Constellation Energy (as well as BNF Resources) and Qatar hold minor stakes, is one of Britain's shortlisted companies to develop SMRs. The Czech electricity producer CEZ announced in October that it would purchase a minority share in Rolls-Royce SMR. These reactors are capable of producing up to 470 Megawatts and can power around 1.1 Million households. (Reporting and editing by Rachel More, with Christoph Steitz)
-
ArcelorMittal South Africa will cease production of long steel by April
ArcelorMittal South Africa announced on Friday that it will stop producing long steel by April of this year, after talks with the government did not succeed in preventing the closure. The closure of the long-sealed operations is expected to affect 3,500 direct and indirectly employed workers. This will be due to the lack of domestic demand, competition from scrap metal recycling mini-mills in the area and imports from China. ArcelorMittal South Africa’s long steel production operations produce rails, rods, and bars that are used in construction, mining, and manufacturing. ArcelorMittal SA, the world's second largest steelmaker, has announced that it will begin shutting down their blast furnaces during the first week in March. It added that the last steel would be produced by late March or earlyApril. The final transition to care and maintenance is fully implemented by the second quarter 2025. The company announced on February 6 that it would delay the closure of its long-sealing operations due to talks with the government. The statement said that "despite extensive discussion, the structural elements leading to a wind-down of long steel remain unaddressed." "We could not avoid the negative impact that will have on the economy." ArcelorMittal South Africa asked the government to remove an export tax it claimed favored recyclers. The company also asked the government to impose duties on imports and to negotiate lower freight rail and electricity costs. The longs business's loss on operations doubled from 600 million rand in 2024 to 1.1 billion Rand ($59.46 millions) by 2024. ArcelorMittal South Africa announced a larger headline loss of 5.1 billion rand in 2024 compared to 1.89 billion rand a year earlier. $1 = 18.4996 rand (Reporting and editing by David Evans, Clarence Fernandez).
-
The roofs of La Reunion are blown off by Cyclone Garance, which has hit the French island.
On Friday, Cyclone Garance hit the French overseas territory La Reunion at top winds speeds of 155 km/h (96mph), destroying roofs and preventing residents from accessing drinking water and electricity. Patrice Latron said that there had been no deaths reported on the island. The cyclone hit land in the north of Madagascar, an island located in the Indian Ocean. Meteo France, the weather agency, said that it left the southwest part of the island a few hours later. Prefecture officials said that 180,000 households, or 42% of customers with the electric utility, had lost electricity and that nearly 10% did not have access to water. Prefecture announced that the storm was over and the alert level had been reduced from purple to red. Rescue workers were able to leave their shelters, assess the damage and begin helping those who had been affected. Authorities expect rough weather to continue until the end of today. Meteo France reported that top winds were down to 130 kph. However, higher gusts are possible in the southwest part of the island. Heavy rains, however, remain a greater risk. Authorities in nearby Mauritius reopened their airport after the threat of the storm abated. Reporting by Ammu Kanampilly from Nairobi, and Ingrid Melander in Paris, and Sudip K. Gupta, Writing by Ingrid Melander; Editing and proofreading by Christopher Cushing Stephen Coates Frances Kerry
Equinor Renews Facility Management Contract with Coor
Facility management services firm Coor has secured an extension contract with Equinor for facility management services on its offshore oil platforms in the North Sea.
Coor has delivered facility management services to five of Equinor’s oil platforms since 2015.
Equinor and Coor have now agreed to extend the agreement by five years with an option to extend it for a further five years. The agreement is worth some $24.5 million annually.
Coor is responsible for providing and developing a number of services for Equinor’s staff working on the company’s oil platforms. These include restaurant services, cleaning, accommodation and reception.
The extension applies from July 1, 2025, Coor informed.
“We are very pleased that Equinor has chosen to continue the co-operation with Coor. We have more than 200 employees delivering world-class service every day in the North Sea. We look forward to continuing to develop our services in close collaboration with Equinor,” said Stine Solheim, CEO of Coor in Norway.