South America








Energy Markets

Oil & Gas

Crude Oil

Q&A: Is Venezuela on the verge of losing its prized foreign asset, Citgo?

Gold Reserve's $7.38bn bid was selected by a U.S. court as the winning bid. Preliminary winner After intense competition, Citgo Petroleum (owned by Venezuela) held an auction for its parent company. Robert Pincus is the court officer who oversees this auction. He made his recommendation Wednesday, after evaluating five bids submitted during the "topping period" of the bidding rounds, which was completed at the end of June. The auction is a result of a case Crystallex, a Canadian miner, filed in Delaware eight years ago against Venezuela. Citgo Holding's parent company, PDV Holding was found liable by the federal court...

Oil Refineries

Russian seaborne diesel exports fall in June, data shows

According to LSEG data and market sources, the volume of Russian seaborne gasoil and diesel exports dropped by 6% in June on a month-to-month basis. This was due to refinery maintenance. Shipping data shows that last month, the two main importers of Russian gasoil and diesel were Turkey and Brazil. Exports of diesel and gasoil from Russian ports to Turkey increased in June by 15%, a month-on-month increase, while those to Brazil dropped by 33% from May, to just 0.47 million tonnes, after a previous influx. Shipping data revealed that Russia's diesel and gasoil sales to African countries in June...

Oil & Gas

Venezuelan oil exports are on the increase as more cargoes go to China

According to shipping documents and data, Venezuela exported 844,000 barrels of crude oil and fuel per day in June. This is an 8% rise from the previous months, as more cargoes were sent to China to offset the loss of U.S. markets and European ones. Washington terminated in late May a grouping of licenses which had authorized partners, such as Chevron and Repsol of the oil company PDVSA to transport Venezuelan crude for U.S. or European refineries. Since then, the state-owned firm has increased its exports to Asia. It sells its crude oil and fuels through little-known middlemen who make...

Oil & Gas

US Judge orders Argentina to transfer YPF Shares to satisfy $16.1 Billion judgment

A U.S. court judge ordered Argentina on Monday to give up 51% of its stake in the oil and gas company YPF to satisfy a $16.1-billion judgment against it. U.S. District Court Judge Loretta Preska, in Manhattan, said Argentina had to transfer its YPF share within 14 days into a BNY Mellon account and instruct this bank to transfer those shares to the plaintiffs within one business day. Argentina appealed Preska's decision of September 2023 to award $16.1 billion to Petersen Energia Inversora, Eton Park Capital Management and litigation funder Burford Capital. Preska's ruling came the same day Argentina requested...

Oil & Gas Refining

Petrobras wins major lots at Brazil's oil auction, beating revenue forecast

Petrobras, the state-run oil company in Brazil, was the biggest winner of the auction on Thursday. The sale is expected to generate revenues in excess of $5.08 billion. The amount exceeds initial Government forecasts The 25 billion reais should boost the public coffers, as the Luiz Inacio Lula Da Silva administration tries to reach its fiscal targets. The state-run company PPSA held the auction, and is responsible for selling that portion of oil which companies producing under share contracts in pre-salt fields must give to the Brazilian government according to Brazilian law. Petrobras purchased three of the seven lots that...

Environment

Brazil, host of COP30, warns against excessive reliance on carbon credits

The chief executive of the U.N. COP30 Summit said that countries should not rely too heavily on carbon credits in order to achieve climate targets. This was as the European Union prepared a new emission goal, which may include credits for a first time. On July 2, the European Commission will propose a new EU Climate Target for 2040. The legally binding target should be to reduce emissions by 90%. Brussels, facing pushback from certain governments, is looking at lowering the target for domestic industry and purchasing international carbon credits to fill in the gap. This was reported previously. These...

Oil & Gas

Gold Reserve asks for clarification on US license protecting Citgo

Gold Reserve filed an urgent request to a Delaware court asking for clarification on a License Venezuela-owned U.S. refiner Citgo Petroleum will pay its creditors even if a court auction is held, the company announced on Tuesday. The Delaware court has advanced to Complete the Auction Citgo Holdings, the parent company of Citgo, is offering shares to up to 15 creditors to compensate them for defaults on debts and expropriations. The winner of the bidding round is expected to be chosen by July 2. Gold Reserve Canada, one of the creditors participating in the auction, and also a buyer, has...

Oil & Gas Exploration

Brazil's Prio targets doubling of oil production in 2026 and cheers higher prices

Roberto Monteiro, the CEO of Brazilian oil company Prio, said that the company expects its daily production to double next year compared to 2024, due in part, he said, to some offshore fields being developed. Monteiro, Prio's CEO, said that the company expects to produce more than 200,000 barrels a day (bpd), up from 100,000 bpd last year. Prio, an independent oil producer, has grown in recent years by acquiring high-profile assets, such as the Wahoo and Peregrino fields from Equinor, Sinochem, and TotalEnergies. Monteiro explained that the production target reflects development of these assets. The company is currently waiting...

Oil & Gas

Pictet fined for money laundering by Switzerland

The Swiss Attorney General's Office handed a former wealth management at Pictet Bank an eight-month prison term with a suspended sentence, and fined the bank for money laundering during a Petrobras investigation. Pictet has been ordered to pay $2,5 million for failing to take reasonable and necessary steps to prevent transfers made from a Brazilian official's account to conceal their criminal origin. The Swiss government announced this in a press release. Since years, Swiss prosecutors are working to identify assets in a massive international corruption case involving the Brazilian state-run Petrobras and bringing forward prosecutions. Pictet issued a statement saying,...

Oil Refineries

US Judge extends Citgo's auction schedule and moves final hearing to august

According to a Wednesday filing, a U.S. court in Delaware has moved the final hearing of the sale process to August 18th. The auction will be held by the Delaware Superior Court. Multiple delays have been experienced in the eight-year long court case aimed at compensating Venezuelan creditors for defaulted debts and expropriated assets. The first round of bidding last year did not satisfy the majority of companies who expected to receive cash proceeds. Citgo is the seventh largest refiner in the United States. It's owned by Venezuelan state oil company PDVSA. In the second round of bidding, the court...

Oil & Gas

PwC: Argentina to experience a boom in M&A under Milei with energy as the focus

Argentina's mergers and acquisitions market could grow significantly in the coming years if President Javier Milei's economic reforms continue, Juan Tripier, director of M&A and corporate finance at PricewaterhouseCoopers (PwC) Argentina, told . Investors are showing renewed interest in Argentina after Milei's actions, which include a sharp reduction in inflation and government spending, a restored surplus fiscal, and loosened foreign exchange controls. "Two or three years ago, you would have contacted a multinational company, an investor from abroad, and Argentina was considered a bad name. This has changed since Milei was elected president," Tripier stated in an interview in Buenos...

Oil & Gas

Sources: Creditors of Brazil Braskem are skeptical about Tanure's bid

According to two sources familiar with the situation, the government of Brazil and the major banks that are Braskem's key creditors have so far been skeptical about the bid of businessman Nelson Tanure for a controlling interest in the petrochemical company. Sources who requested anonymity in order to discuss private discussions said that for now, lenders prefer to have a plan to restructure a company, and eventually sell the shares used as collateral to repay outstanding loans. Sources said that the banks were shocked by Tanure’s formal offer to buy a controlling interest in Braskem made on Friday and had...

Fossil Fuels

Fossil Fuels

Petrobras invests $4.8 billion to integrate Reduc and Boaventura

Petrobras, the Brazilian state-owned oil company, announced in a Thursday statement that it would invest 26 billion Brazilian reais (4.80 billion dollars) to integrate the Reduc refinery with the Boaventura complex of energy in Rio de Janeiro. Petrobras stated in a statement that the new structure would increase production by 76,000 barrels of diesel per day and by 20,000 barrels of jet fuel. Petrobras executives stated that the company plans to renovate a thermal plant in Reduc. The estimated cost is 860 million reais. The statement also states that the investment will be 2.4 billion reais in maintenance stops at...

Oil & Gas Refining

US court recommends Dalinar’s $7.38 Billion bid for Citgo parent

According to a filing in court and a statement from the company, a U.S. court official overseeing the auction of PDV Holdings - the parent company of Venezuelan owned U.S. refiner Citgo Petroleum - has recommended that Gold Reserve subsidiary Dalinar Energy submit a bid for $7.38 billion. Two sources familiar with the bid told us on Wednesday that a group led by commodities trading company Vitol submitted a bid in excess of $10 billion during the last hours of an auction organized by a U.S. federal court. In the second round of bidding for PDV, the court chose an...

Fossil Fuels

Brazil will hold an extra oil auction in order to boost revenues amid fiscal uncertainty

A senior energy official announced on Wednesday that Brazil will hold an additional oil sale this year in uncontracted offshore areas of the pre-salt region, following the approval by the Senate of legislation clearing the way for the sales. After Congress overturned the presidential decree that increased financial transaction tax for certain operations, the government is looking to boost revenues to meet fiscal targets this year. This comes after Congress overturned an executive order to increase financial transactions tax. In a post on social media, Pietro Mendes, Secretary for Oil, Natural Gas and Biofuels in the Ministry of Mines and...

Mining

Mineral Resources

Mineral Resources

Former Olympic champion Chopra wins Gold at His Eponymous Event

Neeraj, the former Olympic javelin champion, won gold on Saturday in Bengaluru at Kanteerava Stadium. He registered a dominant win with a throw measuring 86.18 meters in the first round. Chopra, Germany's Thomas Rohler, and Kenya's Julius Yego were among the elite athletes who competed in India's Neeraj Chopra Classic. Chopra, the winner of the Tokyo Olympics 2021 and the Paris Games 2024, was dominant throughout. He followed his winning throw with throws 84.07m, and 82.22m, in subsequent rounds, as over 14,500 spectators cheered on their favourite. "I did not expect such a large crowd and support during the first...

Mineral Resources

Document from the government shows that India is looking to attract copper mining companies with overseas connections.

India announced a number of measures to increase the production of copper, including encouraging foreign companies to establish smelters in India in exchange for investing in state-owned mining operations overseas. India, the second largest refined copper importer in the world, may need to import between 91% and 97% of its copper by 2047. According to the document, despite an estimated 12,2 million metric tonnes of copper resources, only 16% are classified as reserves. This highlights limited domestic availability. The government document stated that the growing demand for imports of concentrates requires diversification in supply and acquisitions of foreign assets. It...

Mineral Resources

Sources say that Antofagasta's copper smelters have won a better than expected $0 TC/RC contract from China.

Four sources familiar with the matter said that Antofagasta, a Chilean miner, had agreed to a new record-low processing fee for copper concentrates. The fees will be $0 per ton of copper concentrate and $0 cents per pound. The low prices reflect the shortage of copper concentrate and are compared to the benchmarks for 2025, which were $21.25 per ton and 2.125cents per pound as agreed by the Chilean company with Chinese smelters. Two analysts and one smelter who spoke on the condition of anonymity said that it was "better than anticipated". Antofagasta didn't immediately respond to an outside office...

Mineral Resources

BHP faces UK contempt charge for funding case over Brazil dam collapse

The High Court of London ruled that BHP will be held in contempt for its funding of litigation to try and prevent certain Brazilian municipalities from suing BHP over one of Brazil’s worst environmental disasters. The ruling on Thursday is the latest in a long-running lawsuit over the failure of the Mariana Dam in Southeastern Brazil, which was owned and operated jointly by BHP's Samarco joint enterprise and Vale. Judge Adam Constable stated that it is arguable BHP, world's largest miner in terms of market value, has funded Brazilian litigation for the municipalities to stop them suing London "with the...

Mineral Resources

Cutifani, Chair of Vale Base Metals, to step down. Pimenta will take over.

According to a filing with the Brazilian Securities Commission, Vale announced on Wednesday that Mark Cutifani would step down as Chairman of its copper-nickel spinoff Vale Base Metals in order to "pursue professional projects." The company announced that Vale CEO Gustavo Pimenta would replace him in July. This will "ensure strong leadership and alignment with Vale’s broader strategic goals" within the business. Vale, the iron ore giant, spun off its base metals division as a separate company with headquarters in Toronto by 2023. The goal is to eventually list it. Cutifani, who was chief executive of London-listed Anglo American for...

Mineral Resources

China's demand for iron ore cushions the fall, despite a firm outlook on Australia's supply.

Iron ore futures ended a three-day rally Tuesday, despite a stronger outlook for supply from Australia's top producer. However, the resilient steel demand in China helped to cushion the fall. The September contract for iron ore on China's Dalian Commodity Exchange ended the daytime trading 0.42% lower, at 703 Yuan ($97.97). As of 0725 GMT, the benchmark July Iron Ore traded on Singapore Exchange fell 0.71% to $93 per ton. Rio Tinto, world's biggest iron ore producer enters a joint venture to develop the Hope Downs 2 Project in Western Australia. Rio announced in a press release that the two...

Pollution

Mercury poisoning in Peru’s Amazon region threatens health catastrophe

Loreto, Peru: Illegal gold mining pollutes the region Nearly 80 percent of the population has mercury levels that are unsafe Most at risk are pregnant women and children By Dan Collyns Test results revealed this month showed that nearly 80% (of those tested) had mercury levels far above the safe limit in six communities along the Nanay River and Pintuyacu River. Jairo Reategui davila, Apu or leader of San Antonio de Nanay - one of the communities tested - said that the majority of its population was contaminated. He said, "We are concerned and we want the authorities to act."...

Mineral Resources

China's imports of iron ore are rising even as steel is struggling: Russell

China's imports of iron ore are expected to be their highest month in this year in June, a sign of resilience not mirrored by the steel industry's sluggishness. According to analysts LSEG & Kpler, China is expected to import nearly 110 million metric tonnes of this key raw material for steel. Kpler estimates that 109.56 millions tons of cargo will arrive in June, while LSEG predicts 109.1million. It would be an increase of about 11% over May's official imported 98.13 millions tons, and the best month since December's 112,49 million tons which was the second highest on record. Why are...

Mineral Resources

Ecuador reopens the mining concession registry seven years after it was closed

The mining ministry of Ecuador announced Monday that it had launched a new register of concessions, the first in seven years. This was done to encourage more mining projects in the South American nation and to curb illegal activities. Since 2018, the previous registry has been closed due to concerns about irregularities in concession system. No new concessions were granted since then. Mining Minister Ines Manuelo said at a recent press conference that "regulation is needed to protect investments and promote responsible development with respect for the environment and communities." The Ministry will open the register in phases, starting with...

Mineral Resources

Q&A: Is Venezuela on the verge of losing its prized foreign asset, Citgo?

The final stages of a U.S.-court-organized auction for shares in Citgo Petroleum, the Venezuelan-owned parent company, have been reached. Bidders are submitting better offers and creditors hope to recover some of the proceeds. The auction is a result of a case Crystallex, a Canadian miner, filed in Delaware eight years ago against Venezuela. Citgo Holding's parent company, PDV Holding was found liable by the court for Venezuela's expropriations and debts. This allowed over a dozen creditors to seek compensation for nearly $19 billion. The auction, despite delays, has moved forward, particularly since last year. This is because there have been...

Mineral Resources

Peru restarts mining operations in the violence-hit North

Walter Astudillo, the Defense Minister, said that Peru has resumed formal mining operations for parts of northern Peru affected by violence. Dina Boluarte, the president of Colombia, suspended mining operations in her country last month after illegal miners kidnapped 13 gold workers and killed them. The incident occurred in the district of Pataz located to its north. Peru is the third largest copper producer in the world. Most of its red metal deposits are found in the southern part of the Andean country, while gold and other precious metals are mined to the north. Astudillo stated that the decision to...

Mineral Resources

The Nazca Lines in Peru are now at risk of mining after a protected area was slashed

The Peruvian government has reduced the area of protected land around the famed Nazca Lines. Critics and archaeologists are concerned that this could make the ancient geoglyphs more vulnerable to nearby informal mining operations. The Peruvian Culture Ministry reduced the protected area from 5,600 square kilometers to 3,200 last week. It attributed the decision to topographical studies and archeological investigations that better delineated areas of "real patrimonial values." Over 800 large desert etchings depicting animals, geometric figures, and plants were created over 1,500 years ago. UNESCO designated them a World Heritage Site in 1994. According to the Energy and Mines...