Andy Home: Metal smelting will be the next major mineral crisis for the West.
The impact of China’s export controls on rare earths has already caused global supply chains to reel, but a more critical mineral threat is imminent. Western metal smelters face a crisis. China's rapid expansion in processing capacity is reducing margins for all metals. Recently, copper smelters located in Namibia and Philippines were placed under care and maintenance because their processing fees had fallen. There are more at risk. Glencore warned that the Mount Isa Copper Smelter in Australia was no longer financially viable after mining activities stopped this month.
Australia's Santos signs LNG deal with QatarEnergy unit
Santos, an Australian oil and natural gas producer, announced on Friday that it had signed a long-term contract for the supply of liquefied gas with QatarEnergy Trading. This is a unit owned by QatarEnergy which is the largest LNG exporter in the world. Santos has agreed to supply 0.5million tonnes of LNG annually over a two-year period starting in 2026. In a statement, the company said that it would supply the commodity from its wide portfolio of LNG assets. Qatar is the third largest liquefied gas exporter in the world after the U.S.A. and Australia.
Andy Home: Metal smelting will be the next major mineral crisis for the West.
The impact of China’s export controls on rare earths has already caused global supply chains to reel, but a greater threat from critical minerals is imminent. Western metal smelters face a crisis. China's rapid expansion in processing capacity is reducing margins for all metals. Recently, copper smelters located in Namibia and Philippines were placed under care and maintenance because their processing fees had fallen. There are more people at risk. Glencore warned that the Mount Isa Copper Smelter in Australia was no longer financially viable after mining activities ceased this month.
Users of rare earth magnets are compelled to pay premium prices for ex China supply
Rahim Suleman has been reaching out to automakers, and other potential customers, for years to sell the rare earth magnets produced by the factory his company is building in Estonia. It's one of only a few outside the dominant producer China. Suleman's sales pitch was retired after Beijing placed new restrictions on super-strong magnets in wind turbines and electric vehicles, effective April 4. He no longer needed it. Since China's export controls have tightened up some rare earth exports in the middle of a trade dispute with the U.S.
Report: Trade risks are reducing Australia's resource earnings.
A government report released on Monday said that Australia's mining exports and energy earnings will continue to decline over the next two-years due to increased risks of trade barriers and falling bulk commodity prices, as well as a weakening global economy. According to the June-quarter report of Australia's Department of Industry, Science and Resources, uncertainty over U.S. president Donald Trump's policy has disrupted international trade, forcing companies to delay investment decisions. The increased caution has led to a further decline in activity.
Report: Trade risks are reducing Australia's resource earnings.
A government report released on Monday said that Australia's mining exports and energy earnings will continue to decline over the next two-years due to increased risks of trade barriers and falling bulk commodity prices, as well as a weakening global economy. According to the June-quarter report of Australia's Department of Industry, Science and Resources, uncertainty over U.S. president Donald Trump's policy has disrupted international trade, forcing companies to delay investment decisions. The increased caution has led to a further decline in activity.
Sources: Canadian funds pull out of $6 billion deal with renewables company Cubico
Three people with knowledge of the situation said that LONDON/NEWYORK on June 26th, two Canadian pension funds halted an auction they were running for renewable energy developer Cubico Sustainable Investments, which was valued at over $6 billion including debt. Nearly two years ago, the Montreal-based Public Sector Pension Investment Board and Ontario Teachers' Pension Plan decided to investigate a possible sale of a company that operates solar and wind farms in Europe, North America, South America, and Australia. This was during a time when low-carbon companies enjoyed a period of increasing valuations.
Industry body: China is on track to surpass 2030 pumped-storage hydro target by 8 percent
The International Hydropower Association (IHA), which represents the hydropower industry, said that China will surpass its 2030 target for pumped-storage hydropower by more than 8 percent and could reach 130 gigawatts by the end decade. In a press release, the IHA stated that in 2024, the world's second largest economy will add 7.75 GW to its installed pumped-hydro capacity, bringing it up to 58.69GW. It added that more than 200 GW worth of these projects are currently under construction. This represents a third the total number of projects of this type under development worldwide.
Thermal Coal May Offer An Affordable Solution As LNG Prices Rise
Thermal coal may end up as a major beneficiary of escalating hostilities in the Middle East, as the fuel used to generate electricity becomes cheaper than one of its main competitors liquefied natural gas (LNG).Much of the focus of the potential fallout from the conflict between Israel, and now the United States, and Iran is the threat to crude oil and refined fuels shipped through the Strait of Hormuz.But all of Qatar's LNG also goes through the narrow waterway separating the gulfs of Persia and Oman…
Russell: Iran tensions are a factor in making thermal coal more affordable than LNG.
The escalating conflict in the Middle East may result in thermal coal being a major winner, since the fuel used for electricity generation is now cheaper than its main competitor, liquefied gas (LNG). The threat of crude oil and refined fuels being shipped through the Strait of Hormuz is a major concern of those who are concerned about the possible fallout of the conflict between Israel and the United States and Iran. All of Qatar's LNG is also transported through the narrow waterway that separates the Gulfs of Persia & Oman. This amounts to nearly 20% of global seaborne supplies of super-chilled diesel fuel.
Russell: Iran tensions are a factor in making thermal coal more affordable than LNG.
The escalating conflict in the Middle East may result in thermal coal being a major winner, since the fuel used for electricity generation is now cheaper than its main competitor liquefied gas (LNG). The threat of crude oil and refined fuels being shipped through the Strait of Hormuz is a major concern of those who are concerned about the possible fallout of the conflict between Israel and the United States and Iran. All of Qatar's LNG is also transported through the narrow waterway that separates the Gulfs of Persia & Oman. This amounts to nearly 20% of global seaborne supplies of super-chilled diesel fuel.
JERA and Woodside Energy reach agreement on winter supply during the winter months
The companies announced on Friday that Japan's largest power generator, JERA and Australia's Woodside Energy, have signed an agreement for Woodside Energy to supply JERA only with liquefied gas during the winter. The Heads of Agreement were signed in Tokyo at the LNG Producer-Consumer Conference. This event was co-hosted jointly by the Japanese industry ministry and International Energy Agency. A JERA spokesperson confirmed that Woodside would supply approximately 200,000 metric tonnes of LNG per year during the period December to February, beginning in the fiscal year 2027. The deal will last for five years.
Glencore asks government for help after claiming that the copper smelter in Australia is unviable
Glencore said that its Mount Isa copper-smelter is unviable, and it's waiting for the response to its requests from the state and federal governments in order to keep this facility open despite tough global conditions. The UK-listed company has been alarming local media regarding its Mount Isa Smelting Business in Queensland State as its mining operations will close next month. The company will have to purchase copper concentrates to process once global processing costs are at historic lows due to excess global smelting capacities.
INSIGHT-Oklahoma! How America hopes it can compete with China on critical minerals
A two-story warehouse nestled under Oklahoma's Wichita Mountains contains the only machine capable of refining Nickel, an important energy transition metal that is now dominated by China. The facility, which is owned by Westwin Elements a startup, hopes to make Oklahoma the epicenter of critical minerals processing in the United States, a field that was largely abandoned a few decades ago. To get there, the state must overcome many obstacles, such as a lack in major mineral deposits and a weak educational system, not to mention its central location, far from the international shipping routes.
Rural Oklahoma aims to become a hub of critical minerals processing in the United States
A two-story warehouse nestled under Oklahoma's Wichita Mountains contains the only machine capable of refining Nickel, an important energy transition metal that is now dominated by China. The facility, which is owned by Westwin Elements, hopes to make Oklahoma the epicenter of critical minerals processing in the United States, a field that was largely abandoned by the country decades ago. To get there, the state must overcome several obstacles, including the lack of important mineral deposits, the weak education system, and its central location in the United States, far from the international shipping lanes.
Tokyo Gas does not expect any direct impact from the conflict between Israel and Iran on LNG purchases by Tokyo Gas
Tokyo Gas, Japan's largest city gas supplier, said that the conflict between Israel and Iran has no impact on its LNG procurement. Nobuhiro Sugawara, Senior Managing Executive Officer, said on the sidelines the Japan Energy Summit that "since we do not import LNG from Qatar and UAE, our LNG acquisition is not directly affected" at this time. He said that the situation was being monitored with great interest, and noted that the rising tensions in the Middle East may cause LNG prices to rise and disrupt the global supply. On Wednesday, the conflict entered its sixth day with fears that it could expand. U.S.
Qatari Output at Gas Field Shared With Iran Is Steady
Qatar's gas production at the South Pars field is steady and supply is proceeding normally, it said on Tuesday, after the world's largest gas field was hit by an Israeli airstrike on Saturday, prompting Iran to partially suspend its production.Qatar, the world's third-biggest liquefied natural gas exporter after the U.S. and Australia, shares the South Pars gas field with Iran."So far, gas supplies are proceeding normally. However, the ill-advised targeting raises concerns for everyone regarding gas supplies," Qatar foreign ministry spokesperson Majed Al-Ansari said."This is a reckless move ...
Equinor Announces Shifts in Leadership
Danske Commodities CEO Helle Ostergaard Kristiansen will step down to become head of the gas and power unit of parent group Equinor, the trading house said on Tuesday.Danske Commodities' Chief Financial Officer Jakob Sorensen, who joined the company 20 years ago as a power trader, will take over as new CEO as of September 1, it said in a statement.Kristiansen replaces Helge Haugane who in April was named head of a new Equinor business area formed by the group's power assets.Danske Commodities, which specialises in power and gas trading, is active in more than 40 countries, including Australia, the United States,
Qatar confirms that its gas production at the field shared with Iran has remained steady following Israeli strikes
Qatar announced on Tuesday that its gas production is stable and the supply is proceeding as normal, following Israel's Saturday strike on the world's biggest gas field, which caused Iran to temporarily suspend its production. Qatar, which is the third largest liquefied gas exporter in the world after the U.S.A. and Australia shares the South Pars field with Iran. Iran has partially halted production on the field following an Israeli attack that caused a Saturday fire. Gas supplies have been going smoothly so far.
Analysts say that 'deep pockets' may help Abu Dhabi gain regulatory approval for Santos' bid.
Analysts say that the Australian regulators who are concerned about gas supplies in Australia will be closely monitoring Abu Dhabi National Oil Company's bid of $18,7 billion for Santos. However, they could be won over by promises to accelerate new projects. Analysts say that Santos' shares closed Tuesday at A$7.73, a far cry from the $5.76 per share (A$8.89), which was the proposed takeover bid for Australia's 2nd largest gas producer, announced on Monday. This indicates investors believe that the deal will be rejected by regulators.
