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Platts to change benchmark Dubai oil prices in 2026
S&P Global Platts announced on Tuesday that it would be changing the pricing mechanism of United Arab Emirates Murban crude oil in the Dubai benchmark oil from 2026, to better reflect the market dynamics. In a document posted on its website, the price-reporting organization said that the Abu Dhabi grade should be priced at a level above or below Dubai and other grades of medium-sour in the basket. Currently, a premium has been applied to the light-sour Murban in order to reflect its superior quality compared to other medium-sour grade - Dubai Oman Upper Zakum, and al-Shaheen - which can be delivered as part of the Platts market on Close process, which sets the benchmark price for Dubai. The price of Murban crude has recently fallen due to increased supplies. This, in turn, has affected the Dubai benchmark, which prices Middle East oil for Asia at more than 14,000,000 barrels of oil per day. Platts said that it also planned to change its calculation for pricing the quality difference between Murban and other grades in the Dubai Basket. Platts stated that the changes would take effect on January 2, 2026 pending feedback from the industry. Platts stated that the role of Murban has changed in recent years due to changing market dynamics. These include OPEC+ cuts in production that have restricted the availability of medium sour crudes and increased supplies at the same of lighter, sweeter grades, which has more often led to a narrowing of sweet/sour value. Murban is responsible for two thirds of Abu Dhabi National Oil Co.'s production. Platts reported that upgrades at regional and international refineries increased the demand for heavier crudes with more sourness. The report added that "these market shifts" have increased the frequency with which Murban is declared as Dubai convergences, and Murban played a larger role in defining benchmarks. Platts' proposed methodology would calculate the daily Murban adjustment based upon the difference in net prices between Platts' assessments for Murban versus Oman, for cargoes that are loading two months before the publication date. A Singapore-based trader stated that this was great news for Dubai, and added that Murban would no longer be able to limit gains for the Middle East benchmark. (Reporting and Editing by Florence Tan and Siyi Liu)
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Mali intends to sell gold reserves to Barrick Complex to fund operations
Two sources say that the administrator appointed by the Malian court to Barrick Mining’s Loulo-Gounkoto site, who is Barrick Mining’s Loulo-Gounkoto Complex, plans to sell a metric ton (one tonne) of gold in its storeroom when operations resume after a six-month hiatus. Barrick Gold, a Canadian mining company, temporarily halted its operations in January when the Malian government confiscated gold stocks at the Loulo-Gounkoto Complex. Two sources claim that former health minister Soumana Mahadji was appointed temporary administrator in December and enlisted Samba Toure, the chairman of the state mining company, to assist with operations. Before the suspension, Barrick, world's third largest gold miner, produced 15% of its gold at the site. This has affected the national gold production and reflects the conflict between Mali, and international miners. Mark Bristow told Barrick CEO that the company only received informal information regarding the restart of the gold shipment and the information was not formal. Bristow stated that "if it's true, then any plans made by the administrator to resume operations and sell gold at the site would in our opinion be illegal." Three additional sources confirmed that the plant began operating again on Monday, for the first since January. Makadji, and the Mali mines ministry did no respond immediately to questions by. Toure was not available. Barrick suspended its operations after Mali banned exports, arrested executives and confiscated bullion. The company also initiated international arbitration in order to settle the dispute. The decision to restart the complex follows a two-year standoff that has erupted between Barrick and Mali’s military-led Government over alleged tax disputes, and the company’s refusal to accept a new mining codes aimed at increasing state revenue through soaring gold price. Investors who have invested billions in West Africa now face new rules, as the military governments seeking a larger share of mining revenues. According to data, gold prices rose 25% in the first four months of this year, peaking at $3,500 an ounce. Setting a Precedent? The sale of the gold ton, which had been sitting in Loulo Gounkoto's room of gold since operations were suspended and was separate from the three tons that were seized in January, would be Makadji’s first major action after taking over the largest gold mine in Mali and third-largest gold mine in Africa. The restarting of the mine without Barrick’s cooperation could set a precedent in West Africa for state intervention. The funds from the planned sale of gold, which is worth approximately $107 million, will be used to fund operational expenses including salaries, fuel, and unpaid contractor dues. Barrick's CEO has promised to take the government's actions before international courts. Bristow added that Mali did not act in good faith. Three sources who were present at meetings with Makadji said that he had told Barrick employees, union representatives, and subcontractors, he was committed to resume operations and maintain salaries. CHALLENGES Six people have said that Loulo Gounkoto's size and complexity will present significant challenges to the new management. One person said that even if production begins, it would take at least four more months to return to the normal pace. Four months was the case with Barrick Gold. But now, it is the provisional administration so it may be longer. Barrick, meanwhile, has lowered its output forecast for 2025, and the chief of the mine is not optimistic about the mine's future under the provisional management. Bristow stated that "we do not believe the administrator or his advisors are capable of running this mine." We are worried that this will have a serious impact on the future prospects of the mine complex. Loulo Gounkoto’s all-in-sustaining cost was $100 million for the quarter ending December 2024. This is a cost metric that miners use to determine the cost of producing one ounce of gold. Barrick has blocked intranet and emails in Mali since losing control of the complex. Three sources claim that only Bamako-based employees were paid in June. Those on the ground remain unpaid. Bristow stated that the administrator is responsible for salaries in June and Barrick has provided a detailed note of handover. Two sources also said that it would be difficult to recall key staff who are expatriates. One of the sources said that these included Australian jumbo drilling operators who have been absent since January. Last year, the company's employees left after Malian authorities arrested Resolute Mining CEO Bristow during a discussion on a new mining code. Some Malian employees have been temporarily transferred abroad, while others have resigned. Most contractors have not paid their staff since January and have either suspended or laid them off. Reporting by Divyarajagopal, PortiaCrowe and Tiemoko Diallo from Toronto; editing by Veronica Brown and Bernadette Baum.
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EDF promotes nuclear executives ahead of new build
By America Hernandez PARIS, 8 July - France's EDF, the state-owned energy company, has named several new directors to its Board and will reorganise its operations to prepare for its plans to build 6 new nuclear reactors, and to increase investments in hydropower. EDF CEO Bernard Fontana stated in a press release that "this evolution aims at strengthening the Group's performance industrially in support of the revitalization of nuclear power and Hydropower... We must organize ourselves to better identify and deliver on our long-term commitments." Xavier Gruz will be joining the executive committee as director of EDF's Nuclear Programme immediately. He will propose a stronger ownership structure for new nuclear projects and report directly to the CEO. EDF is also forming a new entity for project management to speed up the construction of reactors. This will be done by streamlining the cooperation with industrial partners on the levels of engineering, construction and supply chain. Nicolas Machtou will be the secretary general of the board from September. He currently oversees new nuclear projects. Emmanuelle Verger and Elisabeth Terrail from EDF’s Hydropower business, Framatome as well as Elisabeth Terrail who leads EDF’s reactor-building activities have been appointed to the Board. Fontana was appointed CEO in the first quarter of this year. The company is now looking for ways to raise money to fund new nuclear builds. This includes possible asset sales. In early 2018, the French government approved a subsidised loan to EDF to cover at least half the estimated construction costs for six new reactors in 2022, which was estimated to be 52 billion euros. A revised budget is expected to be released by the end of the year. (Reporting and editing by Barbara Lewis, Emelia Sithole Matarise and America Hernandez in Paris)
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UN vote on phase-out of fossil fuels tests commitments to climate change
The U.N. Human Rights Council will vote on Tuesday whether to adopt a pledge that all fossil fuels must be phased out to combat climate change. Diplomats have warned Gulf states and other countries may not honor their previous commitments. The council recognized the right to a healthy and clean environment in 2021. It has revealed divisions between the 47 members, after the Marshall Islands - one of the countries most vulnerable to rising ocean levels with an average elevation of only 2 meters - made an amendment to motion to mention the exit of fossil fuels. The vote is now a test to see if countries are willing to leave the oil age, after they agreed to do it at the COP28 Climate Summit in December 2023. Often, decisions are reached without a vote by the council. They do not have legal force, but they help to shape global standards. It's not yet clear if there will be a majority for the language on Tuesday. Doreen Debrum, the Marshall Islands ambassador to the U.N. at Geneva, said before the vote: "It's incomprehensible how a resolution that purports to protect human rights against the effects of climate changes would not mention the necessity to move away from fossil fuels ...,". Australia, Britain, Germany and several small island nations including Samoa and Vanuatu support the move. Three diplomats claim that oil-producing countries, including Saudi Arabia and Kuwait (a voting member), voiced their opposition to this phrasing during negotiations. Riyadh instead called for "multiple paths" to reduce emission. Kuwait's foreign ministry or Saudi Arabia's international press offices did not respond to requests for comment. The diplomatic missions of Saudi Arabia and Kuwait in Geneva failed to respond immediately. Sebastien duyck, the human rights and climate campaign director at the Center for International Environmental Law (CIEL), called the vote "a litmus test for government". Campaigners have accused leaders in climate action such as the European Union of scaling back their policies while dealing with the effects of an early summer heatwave. Since disengaging from the Council this year, the U.S. will not take part in the formal vote. (Reporting and editing by Alison Williams; Emma Farge)
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EU climate negotiations to be led by far-right politicians
Patriots for Europe, an extreme right-wing group, will be in charge of the European Parliament’s work on the new climate target for the bloc, European Union legislators said on Tuesday. This could complicate any agreement on the goal of reducing greenhouse gas emissions to 90% by 2040. The Patriots group is the third largest in the Parliament and includes both the far-right parties of France and Hungary, including Marine Le Pen, the leader of the French far-right, and Viktor Orban, the Prime Minister of Hungary. During separate press conferences, EU legislators, including Bas Eickhout (co-chair of Green EU Lawmaker Group) and Iratxe Garca Perez (group chair for Socialists and Democrats), confirmed the appointment. The Patriots spokesperson did not respond immediately to comments. Climate change is making Europe the fastest-warming continent in the world. Severe heatwave Last week was a disruptive time for the entire continent. The governments of Italy and Poland have all reacted. Push back This year, the government has set ambitious goals to reduce emissions. However, it is concerned about the cost for industry. Patriots' new role will give them a powerful voice when EU countries, the European Parliament and other legislators negotiate on the EU 2040 climate goal in the next few months. The Patriots are tasked to draft an initial proposal of the position of the Parliament in these negotiations. However, lawmakers from other groups have noted that they can reject the Patriots’ draft and create their own instead. It will force pro-European groups, such as the French liberal EU legislator Pascal Canfin to work together in order to bring this important proposal to a conclusion before the COP30 at Belem in November. The Patriots Group holds eurosceptic views, including accusations that the EU seeks to replace national governments by a European superstate. EU officials said that the Patriots won the negotiating role at a meeting behind closed doors on Tuesday morning by outbidding parliament's largest group, the centre right European People's Party. Before the COP30 summit, the 27-country EU as well as other major economies such China will be submitting new climate targets to United Nations before September. Brussels has struggled for months to gain political support for 2040 Climate Target, which was proposed by the European Commission. (Reporting and editing by Mark Heinrich; Kate Abnett)
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Wildfires in Catalonia have put more than 18,000 people on lockdown.
The Spanish authorities ordered that more than 18,000 residents in the Tarragona Province, located in northeastern Spain, remain inside on Tuesday. Several dozen people were evacuated when a wildfire, which was out of control and consumed almost 3,000 hectares (7.413 acres) worth of vegetation, spread. After Spain experienced the hottest June ever recorded, large parts of Spain have been placed on high alert. On July 1, two people were killed in a fire in the region where Tarragona, Catalonia is located. Authorities said that the latest fire started early on Monday morning in a remote location near the village Pauls. Strong winds and rugged terrain had hampered efforts to fight fires. A military emergency unit and more than 300 firefighters were deployed in the area early on Tuesday. The regional firefighting service in Catalonia said that firefighters had been fighting the fire since midnight with gusts reaching 90 kilometres an hour (56 miles) per hour. They added that the strong Mistral winds were expected to subside by the afternoon. Fire engines raced through the Pauls Mountains overnight, with flames surrounding them, while crews assessed the situation and attempted to contain the fire. Residents of the nearby villages of Xerta, and Aldover spent a night without sleep as flames threatened to destroy their homes. "There was a lot (of) fear and crying because we were already at the edge of a fire. We couldn't leave the house last night because the wind was blowing smoke and fire. Rosa Veleda told reporters that the situation was "terrible, it's never happened before". Authorities claimed that they prevented the fire spreading to the Ebro River. This would have made the situation worse. Officials are investigating how the fire started. Approximately 30% is within Ports Natural Park. (Writing, additional reporting and editing by Emma Pinedo)
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Dollar helps copper prices despite growth concerns
Copper prices held steady on Tuesday. Supported by a lower US dollar, gains were limited by concerns about an economic slowdown, demand growth, and the tariffs imposed by U.S. president Donald Trump, as well as rising inventories. The benchmark copper price on the London Metal Exchange was up by 0.1% to $9,835 per metric ton, at 1030 GMT, towards the recent three-month high reached last week of $10,020.50 per ton. Dollar-priced materials have become cheaper due to the falling dollar. This could boost demand for industrial metals, such as copper. On Monday, the United States announced new tariffs of 25% to 40% that would take effect August 1, a postponement from July 9. Trump warned that a 10% additional tariff could be imposed if BRICS nations, including Brazil, Russia India and China, pursued what he called "anti-American policies" during their Brazil summit. Copper stocks In LME-registered storage warehouses, the stock was 102,500 tonnes. This is an increase of 13% or 11,875 ton since June 27, easing concerns about availability on LME. However, traders claim that deliveries should be increased. The cancellation of warrants for metals marked for delivery at 36% indicates that another 37,100 tonnes of copper will be leaving the LME system. Large warrant holdings are still dominant in nearby contracts. Tom-next, the premium charged for buying copper today and selling it tomorrow has risen to $13 per ton Before the settlement of next week when holders of short positions will need to reduce or rollover their contracts in order to sell. Meanwhile, aluminium inventories Storage in LME has increased by 47,450 tonnes to 384 350 tons since 25 June, helping to reverse the premium on the three-month cash forward. . Three-month Aluminium Lead was up by 0.4%, while zinc rose 0.8%. Tin increased 0.4%, to $33,410, and nickel fell 0.3%, to $15,130 per ton.
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TSX Futures are rising; US tariff proposals on the forefront
The futures linked to Canada's benchmark stock index rose on Tuesday as investors weighed up President Donald Trump’s new tariff proposals against several trading partners, and the new deadline set for trade agreements. Futures on S&P/TSX rose by 0.2% at 06:34 a.m. ET (1034 GMT). Trump sent letters on Monday to 14 countries, including Japan, South Korea and China, warning of sharply increased tariffs on U.S. imported goods, but also delaying their implementation until August 1. He said that the deadline is not 100% set in stone and he will consider extensions if other countries make proposals. After Trump's April launch of a global economic war, which roiled financial markets and forced policymakers to protect economies, countries have been under pressure from the U.S. to sign deals. Canada, which recently cancelled a digital tax on U.S. tech companies in order to preserve the trade talks with Trump aims to reach a deal by July 21. Prices of gold and oil fell on Tuesday. A government official revealed on Monday that Canada's Finance Minister has instructed all ministries to make savings, reduce duplication of work, and reallocate money from other programs towards priority projects. Aura Minerals announced that it was preparing to list shares on Nasdaq. This could give the Canadian gold and cobalt miner an estimated value of $2,14 billion. Toronto's S&P/TSX Composite index, which is heavily influenced by commodities, closed lower Monday. It followed the U.S. market, causing trade jitters for Canadian investors. CLICK CODES TO GET CANADIAN MARKETS UPDATES: TSX Market Report Canadian Dollar and Bond Report Global Stocks Poll for Canada Canadian Markets Directory (Reporting and Editing by Shreya Biwas; Twesha Gupta, Sukriti.
China builds up a crude-oil war chest amid Middle East tensions, says Russell
China continues to accumulate crude oil stocks, despite the fact that it refines less crude oil than it can produce or import.
The world's largest oil importer can now buy less in the coming months, as prices rise due to Middle East tensions.
Calculations based on data from the Chinese government show that the surplus crude in China reached 1.4 million barrels a day (bpd), the third consecutive month where it was above the 1,000,000 bpd mark.
Since June 13, when Israel launched airstrikes against Iran, Tehran has responded with missiles and drones.
Brent futures have risen almost 6% in the last week since the end of June, to around $73.58 per barrel on Tuesday.
Refineries in China have responded to rapid increases in crude oil prices by reducing their imports or using stored oil.
Due to the two-month lag between cargoes being arranged and their delivery, any reduction in China's imports is likely to be noticeable only from August.
China's ability to reduce imports and lower prices is not dependent on the crude oil price.
China does not reveal the volume of crude oil flowing in or out of its strategic and commercial stockspiles. However, an estimate can still be made by subtracting the amount processed from the total crude available through imports and domestic production.
According to data released by the government on Monday, refiners processed 13.92 millions bpd during May. This is down from 14.12million bpd recorded in April, and 1.8% less than one year ago.
In May, crude imports fell to 10.97 million barrels per day (bpd) from 11.69 in April. Domestic production rose slightly to 4.35 in May from 4.31 in April.
After subtracting the refinery output of 13.92 millions bpd, the total crude oil available for refiners is 15.32 million barrels per day. This leaves a surplus of about 1.4 million barrels per day.
The surplus crude was 990,000 barrels per day (bpd) in the first five of the year. This is up from 880,000 barrels per day for the first four.
China's refiners used up their inventories for the first time since 18 months in the first two-month period of 2025. They processed about 30,000 barrels per day more than they could get from crude imports or domestic production.
The massive surpluses of March, April, and May have reversed this earlier draw.
Not all this excess crude has likely been stored, as some is processed in plants that are not included in the official data.
Even if you ignore the gaps in official data, there is no doubt that since March China has imported crude oil at a rate far greater than what it requires to meet its own domestic fuel needs.
Imports, Prices
The strong crude imports that LSEG Oil Research expects to arrive in June of 11,72 million bpd is a good indication of the price-sensitive nature of China's refiners.
The increase is due to the decline in crude oil prices since the cargoes for June would have been purchased.
Brent futures fell from a six week high of $75.47 per barrel on April 2, to a low of $58.50 per barrel, a four year low on May 5. This prompted Chinese refiners sucked up cargoes.
The majority of these shipments are expected to arrive in June and early July, giving the impression that China's demand for crude oil is improving.
The weak numbers for refinery processing show that China may be storing crude.
Due to the high prices due to Middle East tensions it is likely that refiners would also cut their purchases and seek discounted oil from sanctioned suppliers such as Russia and Iran.
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These are the views of a columnist, who is also an author.
(source: Reuters)