Latest News
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Kremlin: Gas pipeline proposal is on agenda for Putin-Xi Summit
On a visit to 'China' this week, Russian President Vladimir Putin is expected to discuss all aspects of bilateral ties with Chinese President Xi Jinping, including the proposed Power of Siberia 2 pipeline. Yuri Ushakov told reporters that Putin would arrive in China Tuesday evening, and will meet Xi on Wednesday morning. The Russian delegation includes senior officials, as well as the heads of major companies such as Rosneft, Novatek, and Gazprom. The Power of Siberia 2 project, which has been long discussed, could deliver 50 billion cubic meters (bcms) more of gas annually from Russia's Arctic Gas Fields via Mongolia to China. Ushakov stated that the close relationship between?Moscow' and Beijing was becoming more important in light of global crises. He said that Russia increased oil supplies to China by over a third in the first quarter this year. Ushakov, the Kremlin chief, said that the timing of both visits was just a coincidence. (Reporting and writing by Vladimir Soldatkin, Editing by Mark Trevelyan).
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EU rejects Italy's call for more flexible budget rules
The European Commission rejected on Monday the?calls of Italy for more lenient budget rules?on energy related spending. They said that member states should use existing resources and tools to combat the negative impacts of the turmoil in Middle East. Giorgia Mello wrote to the EU Commission's Ursula von der Leyen on Sunday, stating that Italy would be able to drop its plans to use the EU SAFE defense scheme if it was not given budget flexibility on energy. This marked a diplomatic uptick with Brussels. When asked about the letter by a member of the EU Commission, the spokesperson referred to "several EU investment programs and funds such as the Cohesion Policy or Next Generation EU". Security Action for Europe is a joint borrowing scheme backed by EU budgets to increase the defence capabilities of the EU and assist member states in meeting more ambitious NATO expenditure targets. CLAUSE ESCAPE Italy, which is heavily dependent on imported oil and energy, is especially vulnerable to disruptions caused by conflict in Iran. Meloni's letter calls on the Commission to give member states the same budget flexibility to reduce the rising energy costs that is currently permitted for defence expenditure. Meloni wrote that without this consistency in politics, the Italian government would find it difficult to explain to the public the reasons why they might use the SAFE program. The European Union has a clause that allows for countries to increase their deficits up to 1.5% per annum of GDP until 2028. If the clause was extended to include energy-related spending, Italy could potentially fund aid measures totaling more than 34.90 billion euros. Rome would then have to abandon its plans for reducing its budget deficit below the EU ceiling of 3% GDP this year. Italy warned last month that it may not be able honour its commitments for a boost in defence spending because of the need to combat surging energy prices. Meloni wrote von der Leyen: "We can't justify that the EU is allowing financial flexibility to be used for security and defence, but not in order to protect workers, families, and business from a new crisis of energy, which threatens to cause a serious blow to the economy."
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Blykalla, a Swedish company, has applied to build six small nuclear reactors as part of a renewed push for nuclear power.
Blykalla, a Swedish nuclear developer, announced on Monday that it had submitted a bid to build "six small modular units" near the city Gavle. This was in response to a government push to revive this technology. Blykalla is developing 55-megawatt nuclear reactors using an updated version lead-cooling technology developed for Russian submarines in 1950s. The company said they hoped to generate electricity by early 2030s. Jacob Stedman, CEO of Blykalla, told reporters that Sweden committed a strategic error 46 years ago when it tried to phase out the nuclear energy. Now we have a chance to lead again. The company is still waiting to get the green light from regulators. Right-wing Sweden has restructured its energy policy to give nuclear power a more central role. They argue that this technology is the only way to meet the expected double of demand in 2045, as industries and transport move away from fossil fuels. Small modular reactors are a popular choice among European policymakers as they can be used to meet climate targets quickly and affordably, and to boost energy security. This is a major issue in the region after the wars that have disrupted energy supplies from Ukraine and the Middle East. Some critics claim that renewable energy like onshore winds would be cheaper to build and quicker. The government has removed restrictions on where to build new reactors, simplified the regulatory process, and offered to finance up 5,000 MW through low-interest loans and price guarantees for decades into the future. This is a dramatic change from 1980 when Sweden held a referendum and voted to phase out nuclear energy. Six of the 12 reactors were closed. Blykalla stated that if approved, the project would build a nuclear power plant capable of producing around 330 MW, which is enough electricity to power 150,000 households. The company said that it would "soon apply" for government funding but refused to say how much the park will cost. Blykalla, the second developer in Sweden to apply to the government for permission to build a reactor-park after Karnfull Next announced its plans to build four to six SMRs along the southwest coast. (Reporting and editing by Andrew Heavens; Simon Johnson)
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Copper falls to a one-week low due to weak China data
Prices of copper fell to a one-week low on Monday, as concerns about demand were exacerbated by weak economic data from China, the world's largest consumer and high oil costs. Benchmark copper on the London Metal Exchange traded 0.6% lower, at $13,470 per metric ton. This was a drop from a previous low of $13,394.5. It has fallen 5% since reaching a three-and-a half month high of $14196.50, last week. The traders said that the Chinese data triggered an unwinding of positions long - bets made on higher prices by funds and traders. China's industrial output data increased 4.1% from a previous year in April, compared to a 5.7% increase in March. This was below a polled forecast of 5.9% growth, and marked the?slowest rate of growth since July 2023. Brent crude futures jumped more than 1% above $110 per barrel after an attack on a nuclear power plant in the United Arab Emirates and the apparent failure to end the U.S./Israeli war against Iran. Britannia Global Markets wrote in a report that "that fuelled further speculation" about the need for central banks to continue tightening their monetary policies. This could harm metals, as it would slow global growth and reduce demand from manufacturers. A disruption in the Middle East's production, which is responsible for 9% global supply, has shifted attention to aluminium. "Aluminium has a very clear deficit." Analysts at Marex predicted that the market would be'short by about 1.5 million tons prior to the latest Middle East disruption risk. A Strait of Hormuz supply shock may remove 3 million tons of aluminum supply this year, pushing 2026's shortfall to 3.3 million tonne. The supply concerns led to large backwardations or premiums on contracts for aluminium with shorter maturities compared to contracts nearer the Strait of Hormuz. Prices of industrial metals were supported by a softer dollar, which made metals cheaper for holders of other currencies. Aluminium for three-months was unchanged at $3,563 per ton. Zinc rose by 0.1% to $4,537. Lead firmed up 0.2% to $2,982. Tin gained 0.4% to $52,550. Nickel fell 0.2% to 18450.
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The jury has begun deliberations on the bribery case of Nigeria's former oil minister Alison-Madueke
After nearly four months of deliberations at London's Southwark Crown Court, the jury in the bribery case against?Diezani?Alison-Madueke began its work on Monday. Alison-Madueke pleaded guilty to not guilty on five counts of receiving bribes, and one count of conspiring to commit bribery, while serving as Nigeria's Minister for Petroleum Resources between 2010 and 2015. Prosecutors claim that?Alison-Madueke 65 led a "life in luxury" in London. She was given high-end properties and luxury shopping sprees by industry figures who were interested in lucrative oil contracts. Lawyers for the former?minister who was briefly president of the?Organization of the?Petroleum Exporting Countries argued that Alison-Madueke acted as a "rubber seal" for official recommendations. Alison-Madueke, who gave evidence last month, said: "At any time, I did not ask for, accept, or seek a single bribe of any kind." Alison Madueke was on trial with Olatimbo Ayinde (54), a 54-year-old oil executive who faces a charge of bribery in relation to Alison Madueke, and a separate count of bribery against a foreign official. Doye Agama (69), Alison-Madueke’s brother, has been charged with "conspiracy to commit corruption in relation to the church of?Agama". Both deny the allegations. The jury returned to the courtroom just before 1130 GMT Monday morning, after a trial that began in late January. They were asked to render their verdicts regarding the eight charges against the three defendants. (Reporting and editing by William James; Sam Tobin)
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NextEra Energy buys Dominion for $66.8 Billion in US power deal amid AI boom
NextEra Energy is set to 'buy Dominion Energy for $66.8 Billion,' the companies announced on Monday. This will be one of?the largest acquisitions in the U.S. energy industry? as utilities chase the surging demand for electricity from AI-driven, data center-driven data centres. The deal is part of a wave in industry consolidation as utilities rush to increase their portfolios in order to meet the unprecedented surge in demand for power. NextEra, based in Florida, is one of the largest energy developers in the world. Access to Dominion Energy’s portfolio will allow it to 'expand' into the PJM interconnection region and take advantage of opportunities available in Virginia - one of 'the biggest data center markets'. NextEra announced that it would exchange 0.8138 of its stock for each outstanding Dominion share. At the closing of the merger, NextEra shareholders will own 74.5%. The transaction should close within 12-18 months. Dominion Energy's total long-term obligations as of March 31 amounted to $44.11 billion. NextEra has been working to meet the growing demand for electricity in data centers developed by Big Tech. The?utility signed an agreement last?year with Alphabet Google to reopen the nuclear power plant in Iowa. Dominion, a Virginia-based company, has contracted nearly 51 gigawatts of data center capacity. Its customers include Alphabet, Amazon, Microsoft, Meta, Equinix, CoreWeave, and CyrusOne. Dominion’s Virginia service territory includes Northern Virginia’s “Data?Center Alley,” the world's biggest concentration of data centres and one of the fastest growing electricity markets in the world. Reporting by Vallari Srivastava, Bengaluru. Editing by Sriraj kalluvila
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Residents say that gunmen killed 10 people in an attack on farming settlements located in the northwest of Nigeria.
Residents say that gunmen attacked a rural community in Nigeria's northwestern Katsina State, killing at least 10 people including women and children. They also destroyed homes and stole livestock. In the northwest of Nigeria, armed groups, locally known as bandits or robbers, have increased their attacks. They raid villages, kidnap and kill residents, and set fire to homes. According to eyewitnesses, the attack on Sunday took place in the?Guga Community in Bakori Local Government Area. Armed men stormed farm settlements and opened fire. Sale Musa told a resident that he had fled, and said the attackers targeted the settlements Gidan Sarkin Wawu and Gidan Noma. "Heavily armed 'bandits' with sophisticated weapons attacked farming settlements yesterday evening... They opened fire and 'captured ten people, including a pregnant woman. Then they killed them all," Musa stated. He said the attack took place around 4 pm local time when many residents were at the Guga market to prepare for Eid al-Kabir, leaving communities vulnerable. Tajjudeen Dauda, another resident, stated that the attackers also destroyed property, stole livestock and burned down homes during the raid. Muhammad Nuhu said that the community had been attacked repeatedly in the past few months but Sunday's attack was the most severe. A spokesperson from the Katsina State Police did not respond immediately to a request for comment. Nigeria is plagued by widespread insecurity, mainly in its northern region. This includes a deadly insurgency to mass kidnappings. U.S. forces in 'the northeast' said on Monday that they had carried out more airstrikes to target Islamic State militants as the joint operations in the area intensify. Reporting by Ahmed Kingimi, Maiduguri; Writing by Chijioke Ahuocha and Editing by Aidan Lewis
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NextEra Energy buys Dominion for $66.8 Billion in US power deal
NextEra Energy, a power company, will purchase a rival?Dominion Energy for $66.8 Billion. This would make it the largest electric utility in the United States. The deal would be the largest acquisition in the U.S. power industry. It adds to an industry-wide wave of consolidation as utilities rush to increase their portfolios to meet the unprecedented surge in demand for electricity. NextEra, based in Florida, is one of the largest energy developers in the world. Access to Dominion Energy’s portfolio would allow it to expand its operations into the PJM interconnection region and take advantage of opportunities available in Virginia. NextEra has been working to meet the soaring demand for electricity in data centers developed by Big Tech. The utility signed an agreement last year with Alphabet’s?Google in order to reopen a nuclear plant in Iowa. Dominion, a Virginia-based company, has contracted nearly 51 gigawatts in?datacenter capacity. Its customers include Alphabet, Amazon, Microsoft, Meta Equinix CoreWeave CyrusOne and Equinix. Dominion’s Virginia service territory includes Northern Virginia’s “Data?Center Alley,” the largest concentration of data centres in the world and one of the fastest growing electricity markets worldwide. (Reporting and editing by Sriraj Kulluvila in Bengaluru)
Nigerian fuel marketers respond to Dangote's lawsuit regarding import licenses
Fuel marketers in Nigeria have protested against a suit filed by Dangote Petroleum Refinery to invalidate import licenses. They warned that the move could disrupt supply and competition in Africa's biggest oil market.
Dangote filed a new suit last week against the Nigerian Government, reporting, challenging permits granted to marketers and to state oil firm NNPC for imports of refined products. He argued that these permits undermine Dangote’s $20 billion refinery?and risk entrenching efficiencies.
The refinery had previously asked for limits on imports. It claimed that it could meet the domestic demand.
The Depot and Petroleum Product Marketers Association (DAPPMAN), however, said that the licenses granted by Nigerian Midstream & Downstream Petroleum Regulatory Authority were not "administrative courtesies", but rather legal tools supporting the fuel supply chain in the country.
DAPPMAN?said that the Petroleum Industry Act empowers regulators to issue licenses when necessary to ensure the security of supply. The statement said that the licences were issued to protect the supply and not to harm any one producer.
The group warned that retroactively voiding permits would destabilize the downstream sector where companies had invested heavily in logistics and storage networks based on existing approvals.
DAPPMAN said: "We respect Dangote’s right to seek legal remedies." What we do not accept, however, is the notion that a refinery's commercial interest should override the mandate of a regulator.
Nigeria has long been a'major crude producer', but it is reliant on imported oil. The Dangote Refinery, which started processing crude in 2024 is seen as a key to reducing this dependence, although supply dynamics and pricing remain controversial.
DAPPMAN stated that it would consult with legal counsel and the relevant authorities. It argued that the market should be competitive and open to many participants. (Reporting from Isaac Anyaogu).
(source: Reuters)