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China's iron ore state buyer offers BHP loads for sale amid fears of a ban
On Thursday, several cargoes of BHP's iron ore was put up for auction in China. At least one of them was bought by a local dealer. This could have helped to calm Australian fears that Beijing had banned the sale iron ore from BHP. BHP sold 170,000 metric tons of cargo to a Chinese merchant on Thursday, which was the first trading day after China's national holiday of a week, according to traders who have direct knowledge of this matter. They said the cargo was paid in dollars. According to a review of an offer sheet, on the same day, China Mineral Resources Group's Shanghai branch (CMRG), which was set up to centralise iron-ore purchases and to win better terms from miner, offered steelmakers eight cargoes totaling 1,14 million tons of BHP ore. AUSTRALIAN FEAR OF CHINESE BANNING OF IRON EXPORTS Bloomberg reported that CMRG told major steelmakers to temporarily halt all purchases of new BHP cargoes. This was an extension of a previous pause in purchases of BHP’s Jimblebar Fines product, a kind of iron ore. This news caused alarm in Canberra, as many feared that China would ban Australia's largest export in the same way it banned coal and other commodities back in 2020. Two other sources who have direct knowledge of this matter said that CMRG had told steelmakers during last month's negotiations with BHP to not buy BHP Jimblebar Fines. However, they could purchase other grades of ore with the permission of CMRG. TRADE IN BHP'S JIMBLEBAR FINES STILL FROZEN All four sources confirm that none of the cargoes offered or sold on Thursday was Jimblebar Fines. Their trade is still frozen. Could not determine whether CMRG purchased its cargoes directly from BHP, or how many of them were sold. CMRG has not responded to a request for a comment sent via email. BHP's spokesperson stated that BHP doesn't comment on commercial agreements. The two traders said that a small shortage of Jimblebar, a liquid but small product with a production rate of 40 million tons per year, would not be likely to cause a rise in iron ore price. They added that Rio Tinto’s flagship Pilbara Fines product would also be a suitable substitute. According to local media, BHP CEO Mike Henry quelled concerns over CMRG's CMRG decision during talks with Australian Treasurer Jim Chalmers last week. He said the move was part commercial negotiations. The office of the Treasurer did not reply to a comment request.
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Gold gains for the eighth consecutive week on safe-haven demand; silver hovers close to record
Gold recovered from its earlier losses and was on course for an eighth weekly gain. This was driven by political and economic uncertainties and the expectation of more U.S. interest rate cuts. Silver hovered at a record-high. As of 0919 GMT, spot gold was up 0.5% at $3,992.97 an ounce, a 2.7% gain so far this week. U.S. Gold Futures for December Delivery rose by 0.8% to $4005.30. Bullion that does not yield is considered to be a hedge in times of greater uncertainty. "Gold is not just a defensive investment -- it's now offensive." It is the best alternative to the dollar in this climate and it's a true measure for trust in the global finance system," said Alex Ebkarian. COO of Allegiance Gold. He added that gold will be in a secular bull-market over the next five year. The rally was supported by a number of factors, including geopolitical risk, central bank buying and exchange-traded funds, as well as expectations for U.S. interest rate cuts. After reaching a record-high of $51.22, silver rose 3.7% per ounce to $50.95. This year, it has gained 76%. Hugo Pascal is a precious metals dealer at InProved. He said: "Given an increase in lease rates and a backwardation line, as well as the lack of liquidity on London OTC, we should expect greater volatility in silver." Backwardation occurs when the spot price of a commodity is higher than its expected price. Ebkarian stated that if contango (the opposite to backwardation) returns, and the stress is eased, a small pullback (in silver) could occur -- and this may be the next big buying opportunity. Bullion priced in greenbacks is now cheaper for foreign buyers. The minutes of the September meeting of the U.S. Federal Reserve revealed that policymakers were willing to cut rates to address risks in labour markets, but inflation concerns continued. Investors continue to expect two Fed rate reductions of 25 basis points in October and December. Israel's government approved a ceasefire Friday with the militant Palestinian group Hamas. Palladium and platinum both gained 1.9%, bringing their respective prices to $1.438.47. These metals are both headed for gains this week.
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Venture Global shares slide after BP wins arbitration case over LNG cargoes
Venture Global's shares fell 17% on Friday in premarket trade after BP won an arbitration case against it over its failure in delivering liquefied gas as part of a long-term contract that was supposed to begin in late 2022. Venture Global reported on Thursday that the International Chamber of Commerce International Court of Arbitration had found it in breach of its obligations to declare that commercial operations at the Calcasieu Pass Plant had started promptly and to act as "a reasonable and prudent operator." BP, Shell Edison and Galp filed arbitration claims accusing U.S. firm of profiteering, by selling LNG cargoes for commissioning at higher spot-market prices rather than long-term contract prices. This ruling is a blow to Venture Global which previously won the arbitration against Shell. Elvira Scotto, an analyst at RBC Capital Markets, said that the result of the BP arbitration was "a bit surprising" and could rekindle investors' concerns about the pending arbitration proceeding. BP wants to recover damages in excess of $1 billion, plus interest, fees and costs. This will be decided at a separate court hearing, expected to take place in 2026. Venture Global shares are down 48% from their January 24 debut. Their market capitalization is now around $30.5 billion. (Reporting and editing by Sriraj Kalluvila in Bengaluru)
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Chinese battery stocks fall after Beijing implements export controls on supply chain
The shares of Chinese battery manufacturers plunged Friday after the country announced it would restrict exports of lithium batteries parts. This move tightens the grip of the country on technology that is critical for energy storage, electric vehicles and other applications. The Chinese government had previously expanded its export controls on rare earths, as tensions between the United States and China simmered ahead of a potential meeting between Donald Trump and Xi Jinping at the end of this month. Exporters will need to apply for permits to export high-end lithium ion batteries, graphite anodes, cathodes as well as technical know-how. This is set to go into effect on November 8th. As of Friday's market close, the battery maker Contemporary Amperex Technology Co Ltd., (CATL), fell 6.82%. Tianqi Lithium dropped 7.17%. EVE Energy plummeted nearly 11%. BYD plunged 2.54%. The new controls dramatically expand the amount of lithium battery supply chain China can claim, said Cory Combs. He is head of critical minerals research at Trivium China. If Beijing decides to limit exports and slow down, it will put foreign producers at risk. Analysts at Zaoshang Securities, however, said that the controls will not result in a complete ban but will have a limited impact because exporters only need to go through a brief process. They added that previous rounds of controls on graphite and other items did not lead to a significant drop in exports. Chinese companies have invested heavily in North America and Europe, as well as Southeast Asia. The Ford-CATL factory in the U.S. is a prime example. It relies on Chinese inputs. Stocks also suffered from a Thursday release of a revised version of China's tax exemptions for electric vehicles, which tightened the eligibility requirements. China's New Energy Vehicles Index dropped by 6.02%. (Reporting and editing by Harikrishnan Nair; Lewis Jackson and Dylan Duan)
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Shanghai copper reaches 16-month high on profit-taking and rising inventories
Shanghai copper fell on Friday from its 16-month-high, as profit taking and new data indicating rising inventories in China masked concerns about a shortage of the metal. The most active copper contract at the Shanghai Futures Exchange closed daytime trading lower by 0.16%, to 85,900 Yuan ($12,059.19), per metric ton. Shanghai's prices were followed by the benchmark London Metal Exchange three-month copper, where momentum had also waned after it reached $11,000 per ton on Friday. The London future fell 0.4%, to $10,823.5 per ton as of 0849 GMT. However, it is expected to finish the week with a 0.97% gain. Traders said that prices fell because investors were taking profits. "High prices have weakened the demand... "High prices have weakened demand... Prices are also being pressed by the increase in copper stocks. According to SHFE's weekly report on stock, published Friday, copper stocks in SHFE's warehouses increased by 15.4%. Shanghai copper finished the week, which was shortened by holidays, 4.38% higher. This was due to fears of supply disruptions. According to Cochilco's data, copper output by Chilean state-run mining company Codelco fell 25% in August after a deadly mine collapse. Codelco has been working on speeding up recovery since September. However, the output data adds to the growing concerns about supply shortages following Freeport's declaration of force majeure in its Grasberg Mine in Indonesia. Aluminium, among other SHFE metals, fell 0.24%. Zinc rose 0.25%. Nickel slipped 0.09%. Lead grew 0.44%. Tin grew 0.59%. London Futures however mostly reversed from a rally that was led by copper. Lead was up 0.74% and zinc 0.35%, while tin fell 0.49%. Aluminium dropped 0.43%. $1 = 7.1223 Chinese Yuan Renminbi (Reporting and editing by Dylan Duan, Lewis Jackson and Eileen Soreng).
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EU promises 11.5 billion Euros of Investment in South Africa
It announced late Thursday that the European Union had pledged to invest $13,3 billion in South Africa for clean energy, infrastructure, and pharmaceutical projects. The investment will be used to speed up South Africa's transition to renewable energy by upgrading the grid, introducing energy storage, and implementing green hydrogen. Africa's largest economy is trying hard to attract investors to boost its flagging growth, and to bring down the high unemployment. Meanwhile, U.S. Tariffs have dealt it another blow. In its statement, the EU mentioned the Coega Green Ammonia Project. This project aims to meet the growing demand for ammonia green in agriculture, chemicals, and mining. It also aims to boost the production of vaccines, other pharmaceuticals, and other products in South Africa, for the African continent. Ursula von der Leyen, President of the European Commission during her March visit to South Africa pledged 4.7 billion euro in investment. It was unclear whether this money was included in or added to the latest pledge. South Africa's outlook for exports was harmed by the 30% tariff that U.S. president Donald Trump imposed in August on its goods, and also the expiration of a major U.S. initiative to trade with Africa. South African officials try to convince the Trump administration that the tariff of 30% should be lowered.
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Ibstock UK warns of profit decline amid construction market woes
Ibstock, a bricks and concrete manufacturer in the UK, warned that its profit for this year would be below expectations due to the persistent weakness of UK construction. This led to a drop in shares by as much as 15% in early trading. As builders retreat amid economic uncertainty, the profit warning highlights growing challenges for UK construction material suppliers. Residential construction is a major problem for the sector. The Leicestershire-based firm said that its clay and cement segment revenues were reached in the third quarter and sales volumes will be similar to those in the first half. In a recent statement, CEO Joe Hudson stated that "with clear, long-term, structural imperatives for growth in residential construction, it is disappointing to see additional near-term headwinds impacting the momentum in our markets at the end of the year". It expects the second-half's core profit to be similar in size to that of the first half, which was 35.5 million pounds (47.17 millions), as cautious consumers and an uncertain economy limit its ability to increase prices. The company had earlier guided that core profits would be between 77 and 82 million pounds by 2025. A business survey revealed that British construction activity declined for the ninth consecutive month in September, as firms delayed major investments until after November's budget. Peel Hunt analysts stated that the year had been tough, and the sluggish housing market was at the core of the softening volume. They added that budget uncertainty did not help matters.
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Malaysia's Petronas will pay a $4.7 billion government dividend in 2026 - the lowest amount in nine years
Petroliam Nasional Bhd, the state-owned energy company in Malaysia, is expected to pay a dividend of 20 billion Ringgit ($4.74billion) to the Malaysian government. According to a report released by the government on Friday, next year will be the lowest payout in nine years. Petronas distributed 32 billion ringgit to the government in dividends last year. The lowest payouts in the past 10 years were 16 billion ringgit both in 2016 and 2017. This drop highlighted Malaysia's need for a reduction in its dependence on Petronas. The company is a major contributor to government coffers, but also vulnerable to volatile oil price fluctuations. Petronas reported lower profits and revenue for the first six months of the year in August, which is in line with the falling benchmark prices. Malaysia's nontax revenue will decline by 9.9%, to 72.7 billion Ringgit, as a result of lower dividend payments from Petronas. This was revealed in the fiscal outlook report that accompanied the 2026 budget. In 2026, petroleum-related revenues will fall to 43 billion Ringgit while non-petroleum revenues will increase by 8.1% and reach 300.1 billion Ringgit. According to the government's economic outlook report, Brent crude oil is expected to average between $60 and $65. per barrel in 2019. It said that the natural gas sector is also expected to decrease due to lower production on Peninsular Malaysia and Sabah, as well as a weakening of demand from major importers like Japan, China, and South Korea. The report stated that "Overall natural gas production will be slower despite the planned start of several new projects." A decline in crude oil and condensate production is expected to affect the subsector next year.
Deepsea Mira Semi-Sub Spuds Appraisal Well for BW Energy off Namibia
BW Energy, together with NAMCOR E&P, has started drilling the Kharas well in the Orange Basin, offshore Namibia, with Northern Ocean’s Deepsea Mira semi-submersible drilling rig.
The drilling of the appraisal well is taking place in the Kudu license (PPL003) operated by BW Energy, with a 95% working interest, with NAMCOR E&P, a subsidiary of the national oil company of Namibia, holding the remaining 5% carried interest.
Owned by Northern Ocean and managed by Odfjell Drilling, the Deepsea Mira has been deployed as part of a rig-sharing arrangement previously announced by the rig’s operator, with Rhino Resources.
The contract, entered into by BW Kudu in July 2025, provides access to an in-country rig and an experienced services team.
“Our Namibian crew, together with their international colleagues, mark another step in unlocking Namibia’s offshore potential. A big thank you to everyone involved for their teamwork, dedication, and professionalism,” Northern Ocean said on social media.
Built in 2019, the Deepsea Mira is a 6th generation dynamically positioned/anchor-moored semi-submersible drilling rig of Moss Maritime CS60E design. It is designed to operate in both benign and harsh environments, with a maximum operational water depth of 3000 meters.