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Kazakh miner Solidcore expects a gold rally to offset production decline
Solidcore Resources, a Kazakh gold miner, expects that high gold prices will offset a large part of the production decline due to sanctions related disruptions in concentrate shipments into Russia. The gold price has risen by about 40% in the past year. It reached a record-high of $3,673.95 per ounce, last week, on expectations that the U.S. will soon cut interest rates. Solidcore, previously Polymetal International sold its Russian assets after the U.S. imposed sanctions on its business in Russia. However, it continues to send gold concentrator to Russia to be processed with U.S. approval. The company's profit nearly doubled in 2024 due to high gold prices, but sanctions against concentrate deliveries to Russia caused a 58% decline in the first six months of the year. Vitaly Nesis, CEO of the company, said that the situation had improved significantly in July and August. The company also plans to reduce its inventory in the first quarter 2026. The gold price in 2025 will offset the downward revision of 11% to the production forecast. He said that the gold price rise this year is not sustainable. He said, "I believe there will be a decline." "I wouldn’t be surprised (if the price of gold drops to $3.200 by the year's end). Solidcore, the second largest gold miner of Kazakhstan, has postponed previously discussed acquisitions in Central Asia. These were not likely to be completed this year. "Both deals are not in good shape, if they're not totally off." The gold price has risen, as have sellers' expectations. We are not ready to raise our offer significantly yet. Solidcore will continue to process gold concentrate in Russia under an agreement toll at the Amursk Pressure Oxidation Plant until Solidcore launches its own Ertis plant scheduled for 2028. Nesis stated that the company expected to reach an agreement in the first quarter 2026 with international institutions to secure $500-$600m in project funding for the Ertis facility. The deal could be finalized by the second quarter. (Editing by Gleb Brnski and Jan Harvey).
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Gold reaches record highs as yields and dollar ease. Focus on Fed meeting
The price of gold rose to a record high on Monday. This was largely due to a weaker dollar and lower Treasury yields. Investors were positioning themselves ahead of an important Federal Reserve meeting that will take place this week, which could set the tone of the rest of the calendar year. As of 1151 am EDT (1551 GMT), spot gold was up by 0.9%, at $3,674.09 an ounce, after reaching a session high of $3674.63 in the earlier part of the session. Bullion rose about 1.6% in the past week. U.S. Gold Futures for December Delivery were up 0.7% to $3,712.70. The dollar index dropped to its lowest level in a week, which made gold more appealing for holders of other currencies, while the yield on the benchmark 10-year Treasury note edged down. According to CME's FedWatch, markets are almost certain that the Fed will announce a 25 basis-point rate reduction on Wednesday. This is the first cut since December. However, some investors still hope for a 50-basis point move. Peter Grant, senior metals analyst at Zaner Metals and vice president, said that the expectation of a rate cut of 25 basis points is largely baked in at this stage. He added that one or two rate cuts could occur before the end year. In a low-interest rate environment, non-yielding gold bullion is often considered to be a safe haven asset in times of uncertainty. Grant said that the $3,700 level is the next important target. Other levels to watch in the near term include $3,730, $3,743, and $3,730. The Fed is under unusual pressure as a result of a leadership dispute, and Donald Trump's push for more influence over policy. The Senate also opened the door for Trump's economist Stephen Miran, to join the committee that sets rates in time to vote Wednesday. The Fed is on track to reduce rates, as recent data shows that the U.S. consumer price index rose in August at its fastest rate in seven months. Other than that, silver spot was up by 1% to $42.59 an ounce. Platinum gained 0.5%, to $1.397.80, and palladium fell 1.4%, to $1.181.09. (Reporting from Anushree mukherjee in Bengaluru and Sherin Elizabeth varghese). Emelia Sithole Matarise and Mark Potter edited the story.
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India's highest court-appointed panel clears Ambani's son's Wildlife Centre of wrongdoing
The Supreme Court of India announced on Monday that a wildlife rescue center run by a philanthropic branch of Mukesh Ambani’s group was cleared of accusations of animal mistreatment and illegal acquisition. It cited findings of a committee appointed by the court. In August, India’s top court appointed an investigation team to investigate complaints by non-profits and wildlife groups alleging mistreatment of animals at Vantara. Questions were raised about how the animals had been brought to the centre. The court ruled that the evidence does not support the claims of abuse or illegal acquisition. Vantara, a project led by Anant Ambani - the son of the billionaire - is located in the western Gujarat state. It's a major undertaking for the Reliance Foundation as well as the Ambani Family. The facility, which claims to house more than 150,000 animals of more than 2,000 different species, says its 998-acre 404-hectare elephant welfare trust is world's largest facility for rescued eagles. The Supreme Court stated on Monday that the SIT's investigation had covered allegations related animal acquisition, smuggling and welfare, conservation, breeding climate suitability, financial misconduct but found no violations of wildlife rules. The SIT report and the order of the Supreme Court have shown that doubts and accusations raised against Vantara’s animal welfare mission are without basis. Vantara released a statement. Nishit Navin, Bengaluru (Reporting; Pooja Deai, editing)
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Goldman T. Rowe will sell co-branded alternatives investments to wealthy clients by the end of the year
Goldman Sachs, T. Rowe Price and other asset managers, who announced their partnership this month, will offer new alternative investments to wealthy clients before the end of the calendar year. This plan follows an executive order issued by Donald Trump that broadened the access to 401(k), retirement accounts for alternative investments, such as private equity, private credit and others. This move could allow private asset managers to access about $9 trillion in 401(k), or retirement, accounts. Goldman and T. Rowe have recently signed a deal where Goldman becomes a shareholder of the asset manager. The stake could be up to $1 billion. Both companies will offer retail investors products in partnership. T. Rowe is responsible for managing $1.6 trillion of which approximately $1 trillion is related to retirement. T. Rowe CEO Rob Sharps said in an interview that the alternatives would be tailored for different types of customers at the end the year and through the first quarter. Investors like funds that have a specific retirement date. Portfolios will have a small amount invested in alternative assets, and the remainder in liquid and public investments. As the investor approaches retirement, the proportion of alternative assets may decrease. Alternative portfolios combining private credit and equity or equity funds combining private equity with stocks will be available to wealthy clients. These products will initially be available to Goldman T. Rowe and Goldman Sachs clients, but they may be made more widely available. Marc Nachmann is Goldman's director of wealth management and asset management. Analysts warned of risks like lack of transparency and liquidity after the approval of alternative investment in retirement funds. Sharps stated that "new structures can provide an element of liquidity and pricing on a daily basis to give individual investors more comfort." Managers will allocate a limited proportion of funds to alternative investments, with the goal of maximizing returns. Nachmann stated that "it's still early days. Today, investors in alternative investments are mostly large institutions such as endowments and high-net worth individuals." Sharps stated that alternative investments could reach 10% to 20% in retirement accounts over the long-term. Sharps and Goldman's President John Waldron began the initial talks for the deal a year before, talking about convergence in markets and the growth of private assets. Sharps stated that the companies have had a long-standing relationship and that substantive talks about the deal began early this summer. (Reporting and editing by Lananh Nguyen, Sharon Singleton and Lananh Nguyen)
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India's highest court-appointed panel clears Ambani's son's Wildlife Centre of wrongdoing
The Supreme Court of India announced on Monday that a wildlife rescue center run by the philanthropic branch of Mukesh Ambani’s group was cleared of accusations of animal mistreatment and illegal acquisition. This conclusion was based on findings of a committee appointed by the court. In August, India’s top court appointed an investigation team to investigate complaints by non-profit groups and wildlife organizations alleging animal abuse at Vantara. Questions were raised about how the animals had been brought to the centre. The court has ruled that the evidence does not support the claims of abuse or illegal acquisition. Vantara, a project led by Anant Ambani - the son of the billionaire - is located in the western Gujarat state. It's a major undertaking for the Reliance Foundation as well as the Ambani Family. The facility, which claims to house more than 150,000 animals of more than 2,000 different species, says its 998-acre (408 hectares), elephant welfare trust is world's largest facility for rescued eagles. The Supreme Court stated on Monday that the SIT's investigation had covered allegations relating to animal acquisition, smuggling and welfare, conservation, breeding climate suitability, financial misconduct but found no violations of wildlife rules. The SIT report and the order of the Supreme Court have shown that doubts and accusations raised against Vantara’s animal welfare mission are without basis. Vantara released a statement. Nishit Navin, Bengaluru (Reporting; Pooja Deai, editing)
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UN restricts staff at COP30 Climate Summit over Accommodation Concerns
The United Nations has asked its staff to limit their attendance at the COP30 Climate Summit in Brazil, which will take place in November. Meanwhile, government delegations continue to scramble to find hotels within their budgets. As delegations become increasingly concerned over the rising cost of accommodation, the city of Belem on the coast of the Amazon is hosting the COP30. Brazil is working on nearly doubling the number of hotel beds available, but rising prices have led some governments to call for a relocation of the COP30 conference. Brazilian officials, however, have refused. In a UNFCCC document, Simon Stiell, executive secretary of the U.N. Climate Secretariat (UNFCCC), said: "In light of the capacity limitations in Belem I would like to request that heads United Nations system, special agencies and other organizations review the number of their delegations and reduce it where possible." A Brazilian spokesperson who is in charge of the COP30 presidency has not responded to a comment request immediately. The UNFCCC didn't issue such a demand ahead of the U.N. Climate Summit in Baku, Azerbaijan last year. The annual U.N. Summit will bring together nearly every government to discuss efforts to combat climate change. The prices of accommodation in Belem have increased dramatically due to a lack of rooms. Developing countries are unable to afford them. According to the official summary of the meeting that was seen by, at a meeting between representatives of countries and U.N. officials held last month, UNFCCC requested Brazil to subvention hotel rates so that rooms would be available for $100 per night for delegates of the poorest countries in the world and for $400-$500 for all other countries. Miriam Belchior told journalists that Brazil had already incurred significant costs in hosting COP30, and couldn't provide any more subsidies. Brazil offered rooms to poorer countries at a maximum of $200 per night. This week, representatives of the U.N. and countries will meet to discuss the accommodations for COP30. Reporting by Kate Abnett. Additional reporting by Lisandra Paraguassu. Mark Potter (Editing)
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Exxon offers auto-voting as a counter to shareholder activism
Exxon Mobil has introduced a shareholder voting mechanism unique to the company. This will allow retail investors vote automatically in accordance with board recommendations at annual meetings. This could help Exxon Mobil, which is the largest oil producer in America, avoid activist campaigns. In a letter sent on Monday, the U.S. Securities and Exchange Commission stated that it wouldn't object to Exxon's plan as long as they met certain conditions. These included reminding investors who have opted in to the mechanism of their participation every year. The SEC response may encourage other companies to follow. Exxon has been fighting back against activists aggressively in recent years. It could gain more support by its large retail shareholder base, who vote for the board overwhelmingly despite their lower participation rates. Individual investors "lack the access to many services that allow institutional investors to vote quickly and easily." Exxon stated that activist groups exploited this gap in order to promote political goals and undermine shareholder value. Exxon announced in a press release that retail investors would be informed by their brokers in the coming weeks about a program where they could vote their shares according to management recommendations. Investors can manually vote according to the instructions provided in the proxy material if they change their mind. Exxon claims to be the first U.S. firm to offer this option. The company stated that it was time to "level the playing field" as a matter fairness. Exxon reported that individuals hold nearly 40% of company shares, but only a quarter vote during the proxy season. They support the board in the majority, however. Most large U.S. corporations are owned by retail investors, who hold around 30%. When companies are facing close board elections, or when campaigns for shareholder resolutions with ideological overtones are underway, they become a highly sought after pool. Apple and Tesla are the only other U.S. iconic brands that come close to Exxon in terms of retail ownership. FIGHTING BACK AGAINST THE ACTIVISTS Exxon faced several high profile activist shareholder campaigns in recent years tied to climate issues, most notably in the year 2021 when it elected three dissident board members. It continued to sue activist investors Arjuna and Follow This even after they retracted their proposal asking Exxon for a reduction in greenhouse gas emissions. Mark van Baal, founder of Follow This, said in a May 2013 statement that Exxon had attacked the rights of shareholders to make proposals regarding emissions as the cause of climate changes. Exxon’s latest annual meeting, held in May, featured no shareholder resolutions qualifying for voting. This was the first time that Exxon had not allowed resolutions since 1958. Exxon's statement noted that a number top fund managers had created similar options to allow their investors to vote alongside corporate boards. However, the fund firms have also allowed users to choose other policies, such as choices that support climate and social measures. Darren Woods, Exxon's CEO, said that the company was trying to prevent activists from submitting similar proposals year after year. Woods stated, "My opinion is that if you are going to play this game, then we can too." Sheila Dang reported from Houston, and Ross Kerber from Boston. Nathan Crooks edited the story.
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Blackstone buys Pennsylvania power plant for around $1 billion
Blackstone announced on Monday that it had agreed to purchase a natural-gas plant in Western Pennsylvania, for a price of nearly $1 billion. The investment firm is betting on the rising demand for electricity in the United States to power artificial intelligence technology. The U.S. is expected to have a record-high power consumption in 2025. This will be driven by the data centers that use AI and cryptocurrency, as well as increased residential and commercial consumption. Private investment company Ardian will sell the Hill Top Energy Center to Blackstone Energy Transition Partners. The 620 megawatt natural gas power plant started operations in 2021. The Hill Top plant, according to Blackstone executives Bilal Zhu and Mark Khan, is well positioned to support this boom. It said that the deal was a follow-up to Blackstone's July announcement that it would invest more than $25 billion in Pennsylvania's digital infrastructure and energy infrastructure, to power AI. Blackstone announced earlier this year that it would purchase TXNM Energy. an $11.5 billion deal . The asset manager made a similar investment in Virginia's Potomac Energy Center in January. This is a 774 megawatt natural gas-fired power plant. (Reporting from Bengaluru by Sumit Saha; editing by Sahal Muhammad)
Canada's long-delayed Trans Mountain oil pipeline begins operations
After 12 years and C$ 34 billion ($ 25. billion), Canada's Trans Mountain pipeline expansion job. ( TMX) began industrial operations on Wednesday, a major. turning point expected to transform access to worldwide markets for the. country's manufacturers.
Pipeline restraints have actually required Canadian oil producers to. sell oil at a discount for several years, however TMX will nearly. triple the flow of crude from landlocked Alberta to Canada's. Pacific coast to 890,000 barrels per day (bpd).
For Canada, the world's fourth-biggest oil manufacturer, the. extra pipeline capability is set to boost crude prices, lift. nationwide gdp and expand access to Asian oil. markets.
Both TMX and the existing pipeline are now able to transportation. crude oil and the business has the ability to load cargoes from. all 3 berths, Trans Mountain stated in a news release, adding. that 70% of the expanded pipeline is full by volume.
Everybody has been awaiting this for literally years,. said Rory Johnston, creator of the Commodity Context newsletter. It's a fantastic thing for Canada and the Alberta oil patch.
The broadened pipeline was first proposed by Kinder Morgan. in 2012. The Canadian federal government bought it in 2018 to. guarantee the job got built despite opposition, but. building has actually been spoiled by regulatory hold-ups and expenses. soaring to more than 4 times the project's original spending plan.
It is significantly difficult to develop pipelines in this. nation and it wouldn't surprise me if this was the last. pipeline, Jon McKenzie, CEO of oil manufacturer and TMX carrier. Cenovus Energy, stated on an incomes call.
The Canada Energy Regulator (CER) granted the final permits. for the expansion project on Tuesday, clearing the method for the. pipeline to start running.
Trans Mountain Corp said May 1 marks the industrial. start date for the job, and tankers will have the ability to. load at Westridge Marine Terminal in the Port of Vancouver by. mid-May.
EXPORT OPTIONS
TMX will significantly increase Canada's oil export capability. and could help diminish the discount rate on benchmark Canadian heavy. crude, currently around $13.50 a barrel below U.S. crude, to. less than $10 a barrel, experts at RBC Capital Markets said in. a note to customers.
Asian buyers are currently showing interest.
Dependence Industries purchased 2 million barrels of. Canadian crude from Shell for July shipment, marking the Indian. refiner's first oil buy from TMX, reported.
For Ottawa, the task's conclusion comes as a relief. Prime Minister Justin Trudeau's Liberal federal government was slammed. by ecological advocates for buying the pipeline in the. first place, and has actually drawn sharp criticism during building. for spiralling costs.
Green groups fret about the pipeline's potential to leak in. pristine locations and its growth of carbon-intensive oil sands. crude. Climate activists warn increasing oil and gas production. risks hamstringing Canada's efforts to cut carbon emissions.
Trudeau decided to purchase this present for the. nonrenewable fuel source market, but it's these neighborhoods and environments. that will pay the rate when the Trans Mountain pipeline. inevitably spills, said Peter McCartney, environment advocate at. the Wilderness Committee ecological group.
The federal government wishes to sell at least part of Trans. Mountain to Native groups, however is expected to need to take a. major haircut on its investment.
The Trans Mountain Growth Project will make sure Canada. receives reasonable market price for our resources while maintaining. the highest ecological requirements, stated Katherine Cuplinskas,. press secretary to Deputy Prime Minister Chrystia Freeland.
The federal government will release a divestment procedure in. due course.
Canadian oil production is forecast to strike a record high of. around 5.3 million bpd this year, according to TD Securities, as. manufacturers ramp up output in anticipation of TMX's new capability.
Two traders in Calgary said oil stocks in Alberta are. overflowing at record levels of 42 million barrels, but expected to. draw down fairly quickly once the expanded pipeline starts. flowing.
The conclusion of TMX is huge for Alberta, considering that this. will considerably increase our province's output, Alberta. leading Danielle Smith stated in a declaration on Tuesday.
Conservative premier Smith is a frequent critic of Trudeau's. Liberals but thanked the federal government for seeing the. job through, and said more powerful Canadian crude costs would. lead to lots of countless dollars additional in federal government profits.
This is a game changer for Alberta, she said.
(source: Reuters)