South America

YPF Electric Energy, an Argentinian energy company, announced a '45.8% increase in quarterly revenues in its IPO filing on Monday. It joined a 'wave' of companies from a similar sector that are seeking a New YORK IPO amid improved market sentiment. Investor confidence has increased in Argentina following President Javier Milei’s market-oriented Reforms and renewed interest for the country’s energy sector. Argentinian energy firm Genneia filed for an IPO in the United States earlier this month. Pure-play power company YPF Electric Energy operates 17 thermal power plants and renewable energy sources with a total installed capacity of 3,764 megawatts (MW)....

Investors will be impacted by the size of Venezuela's debt and the creditors who hold it. This could make for one of the biggest sovereign debt restructurings ever. Venezuela hasn't published a comprehensive debt?statistics for years and sanctions in 2017 isolated it from the Western Financial World. Caracas said it would complete a comprehensive debt?assessment before the end of June. Investors now expect it to be released this month. However, it's unclear whether it will be shared with the public. The Financial Times reported that Venezuela is set to reveal a debt pile larger than expected, of $240 billion. Most...

Dario Durigan, the Finance Minister, said on Tuesday that Brazil will eliminate a portion of its diesel subsidy. The program was introduced this year to help limit the impact if higher oil prices in the global market. Durigan, a journalist in Brasilia, said that Brazil will cut its 0.35 reais per liter subsidy from July. Durigan told journalists in Brasilia that the Brazilian government will cut a subsidy of 0.35 reais ($0.068) per liter from July. Durigan stated that Brent crude oil is now above its pre-war level but has dropped significantly since its peak. This allows for the move...

Venezuela is receiving cash, emergency aid and rescuers after two powerful quakes shook areas around the capital Caracas. Thousands of people are still missing. Here is the list of foreign aid: UNITED NATIONS According to U.N.'s humanitarian affairs agency, 25 international?teams with a total of 1,000 personnel have been mobilized. Tom Fletcher, the chief of aid at the United Nations, said that a collective effort will be needed in order to support government-led efforts and assist communities. UNITED STATES The U.S. State Department announced it would mobilize $150 million of aid. The U.S. State Department said it is mobilizing $150...

After two powerful earthquakes in Venezuela on Wednesday, governments and humanitarian groups around the world have started sending cash, teams of rescuers, and other types of aid. The number is expected to rise. At least 250 buildings were damaged by the two quakes that struck Caracas in a distance of?160km (100miles). The latest count shows 200 people still trapped under debris. U.N. HUMANITARIAN AFFAIRS OFFICE Tom Fletcher, the U.N.'s chief of aid, said that the office for humanitarian affairs was responsible for coordinating the deployment international search and rescue teams. He said that "the coming days will need a massive...

The Financial Times reported that Venezuela was preparing to reveal a $240 billion debt pile, which is larger than expected, as it prepared for what could be one of the largest sovereign debt restructurings in history, according to sources familiar with its plans. Centerview Partners, a U.S.-based advisory firm, was hired by the country to assess its debts. The country has been in default since 2017 and President Nicolas Maduro, who was captured by U.S. troops in January, is in default. Analysts estimated the total to be between $150 and $200 billion. Centerview Partners declined comment. The FT reported that...

Greylock Capital is withdrawing from its "steering" committee role on the Venezuela Creditor Committee, but will still remain a part of the larger group, according to two sources. This move may be seen as an early indication of tension within the group as they wait for Venezuela's financial adviser, Centerview Partners to provide a report on debt sustainability later this month, ahead of what could be one of the largest and most complex debt restructurings undertaken. Analysts estimate that the?government and Petroleos de Venezuela's (PDVSA), which is Venezuela's state oil company, have about $60 billion in?bonds currently in default. Once...

Officials from Venezuela's PDVSA state oil company and Spanish energy group Repsol have signed a "crude and gas agreement" to boost production in the northwestern part of Venezuela. Hector Obregon, PDVSA president, said that at an event held at the Government Palace, the deal offers "exploration" opportunities on the eastern shores of Lake 'Maracaibo where the two companies already operate the Petroquiriquire Joint?Venture, which could add 20,000 barrels of light crude per day to the current average production of around 40,000?bpd. In comments broadcast by state television, he said that the additional crude would supply the Paraguana Refining Center, which...

According to LSEG and market sources, Russia's seaborne exports of oil products fell 15% a month on a monthly basis to about 3.3 mt in the first 15 days of June. This was due to?unplanned maintenance?following repeated ukranian drone attacks. Shipping data shows that the number of diesel loadings at the Baltic port Primorsk - Russia's main outlet for ultra-low sulphur fuel (ULSD) – dropped by 18% to 520,000 tonnes in the first half of June compared with the same period last year. Ukraine has intensified drone strikes on Russia's energy infrastructure, with the number of oil refining facilities targeted...

Venezuela's government announced on Friday that an?oil?spill from Trinidad & Tobago puts?fishing? and the environment in danger. The government released a statement in which it stated that the spill was "much larger than the one in May" and confirmed the drift of pollutants towards Venezuelan waters. It did not provide any further details on the extent of this spill, but said satellite imagery had confirmed its existence. Venezuelan Foreign minister Yvan Gil requested compensation from Trinidad and Tobago for an oil spill in the country's far east in?May. Trinidad and Tobago said that it was using its Air Guard, Coast...

According to documents and a source close to the issue, Brazilian refineries have sold more than 100 million liters (or gallons) of naphtha allegedly to a company under investigation for an alleged fraud scheme that involves a criminal group designated as a terrorist organisation by the U.S. Documents from the oil regulator ANP reveal that Riograndense was a major supplier. It is a refinery located in southern Brazil, owned by Petrobras (the state-run oil company), Braskem, and Ultrapar. According to a source close to the investigation, the solvent producer Petrodansk received the naphtha. They were accused by the state of...

As of Friday, the U.S. designated Brazil's largest criminal groups as "Foreign Terrorist Organizations" (FTOs). This is likely to increase risks and costs of doing business in Brazil where gangs are well-established. Comando Vermelho (CV), and Primeiro Comando da Capital, both of the 'biggest Brazilian crime gangs, began in prisons during the 1970s. Since then, they have grown to dominate drug trafficking in South America and their money laundering operations have spread into the far corners of Brazil’s mainstream economy. Investigators have recently discovered that both groups are deeply embedded in sectors like fuel distribution, real-estate and finance. They also...

According to an internal document seen by the. The document stated that Codelco's costs are "significantly" higher than those of its?industry?rivals. Its direct cost (C1) is 57% more than those of major international mining companies, and 72% more than the main operations in Australia. The report stated that "the main competitive gap identified through the comparison is concentrated on operational costs which remain significantly higher than international and national benchmarks." The analysis also revealed that the company’s net debt to EBITDA ratio is 3.8x compared to the global mining industry’s 0.7x and the Chilean mining industry’s 0.5x. The report showed...

Brazil will 'unveil its National Mining Plan 2050' on Thursday. The Mines and Energy Ministry said that the plan aims to increase Brazil's share of global production of?critical minerals? to 12.2% in 2050, up from its current 8.3%. The draft plan will be submitted to the National Mining Policy Council, but it does not require its approval. Brazil will also reduce its dependence on imported phosphate and potassium fertilizers to 34.9%, from 87.3%. The government intends to publish an action plan more detailed within 180 days that will outline the measures to be taken over the next 4 years to...

The industry information provider SMM reported on Wednesday that Antofagasta, a Chilean copper miner, has agreed to supply?term copper concentrator supplies to certain Chinese smelters with spot-indexed prices and a floor guaranteed. The reported deal would be a departure from a long-standing practice in which miners sold term supplies for fixed treatment and refinement charges (TC/RC), which serve as a benchmark globally. Antofagasta stated that its negotiations are confidential and it does not discuss them with other parties. The smelters receive a TC/RC from the miners to refine copper concentrate. However, charges on the spot market are incredibly low due...

South32, an Australian company, announced on Wednesday that it had agreed to sell the'majority' of its aluminium assets for up to $5.6 billion. Alcoa acquired the individual interests of the diversified mining company in Australia's Worsley Alumina, South Africa’s Hillside Aluminium and Brazil's MRN Bauxite Mine, Brazil Alumina Refinery, and Brazil Aluminium Smelter. South32 said that the U.S. aluminium giant will also assume rehabilitation provisions of around $1.2 billion. Matthew Daley, the new CEO, said that "our business will be simpler, with a portfolio of upstream operations with higher margins, reduced complexity, and greater resilience." This will allow for a...

Executives have revealed that Orion Critical 'Mineral Consortium is in advanced talks to establish three new public-private partnership in Asia as it looks to fund a?global? pipeline of $20 billion opportunities. The consortium will form a third leg of investment in Asia to complement the $1.8 billion raised last year by the group to improve access to critical minerals such as copper, lithium and rare earths. The project is being led by Orion Resource Partners a mining-focused private equity firm, and backed up by the U.S. International Development Finance Corporation and Abu Dhabi’s sovereign wealth fund ADQ. Orion Resource Partners...

Jozef Sikela, EU Commissioner for International Partnerships, said on Saturday that the European Union sees Brazil as a partner to help diversify Brazil's mineral supply. The deal, he says, will benefit Brazil's development goals. The Commissioner visited the Rare Earth Research & Processing Center of Australian Mining Company Viridis in Pocos de Caldas in the southeastern state Minas Gerais. This is one of the four priority projects chosen to accelerate the collaboration between EU and Brazil. Sikela stated that the European approach places emphasis on sustainable business practices and local rare earth processing. This is in line with Brazil's efforts...

Metals such as lithium, copper and rare earth elements, which are associated with the energy transition, have been the most consistently bullish commodities in recent years. Iron ore miners want to add their product?to the list. Steel demand in South and Southeast Asia is expected to remain robust and will more than offset the decline in production in China and Western Europe. This was the consensus opinion at this week's industry meeting in Singapore. The optimism of iron ore miners was not shared by those who advocated decarbonising the steel industry. They realised that green steel would be extremely expensive...

Four sources familiar with the matter have confirmed that C hina's leading copper producers are looking to expand the membership of their smelter team in order to improve their negotiating position with the miners regarding?raw materials supply. A group of 16 large producers who traditionally set the 'floor price' for copper concentrate processing contracts, called The China Smelters Purchase Team invited several potential 'new members to its quarterly meeting in Yantai, Shandong Province on Wednesday. Chinese smelters have begun negotiating with Antofagasta, a Chilean miner, about?concentrate supply deals. Smelters charge treatment and refining fees (TC/RCs), which are paid by miners...

Three people with knowledge of the situation say that independent investment 'bank Moelis & Company, and financial consultancy 'firm Journey Capital are advisers of creditors of ethanol and sugar producer Raizen. They received a 'non-binding offer?from the private equity firm IG4 on Monday evening to purchase credits and control. Two of them warned?that any agreement remains far from sure, and one said that creditors are unlikely?to reach a decision any time soon. One of the creditors said that they accepted Raizen’s offer to convert their debt into equity because it was the 'best alternative available', but would not like to...

A sustainability report released on Monday revealed that Brazilian miner Vale will invest up to 13 billion reais (2,56 billion dollars) in decarbonization projects to achieve its voluntary emission reduction targets and mitigate climate-related risks. The company has not specified the timeline for the investment. The investment includes up to four billion reais in decarbonizing operations. The 8 billion reais are allocated to the construction of industrial complexes focusing on low-carbon technology, including steelmaking technologies and iron ore briquettes. The firm stated that the remaining 1 billion reais would be used for research and development. Vale has invested 9 billion...

Climate specialists say that while El Nino conditions can 'hurt harvests around the world, it is more likely to boost agricultural production in Argentina during the second half of the year. The Climate Prediction Center of the United States said on Thursday that El Nino conditions would intensify in the second half 2026. El Nino is a phenomenon that causes ocean water to warm in the equatorial Pacific, causing lower rainfall across Asia and Australia. It also raises concerns about global food shortages and increased prices because of droughts. Climate specialists say that in Argentinia, an exporter of corn, soybeans...

The U.S. and Israel war against?Iran has not affected the price of iron ore, but this relative calm hides a shift in the dynamics of the steel raw material. China purchases about three quarters of the global seaborne iron ore and uses it to feed mills that produce just over half of the world's total steel. Iron ore for the United States is largely sourced by Australia and Brazil. Other producers such as South Africa and Guinea contribute a small amount. This trade bypasses the Strait of Hormuz. The narrow waterway that connects Iran to Oman has been closed off...