Russell: The US-Australian critical minerals deal highlights the gap with China
It is not the game changer needed to reduce Western dependence on China. But it is a first important step. U.S. president Donald Trump and Australian prime minister Anthony Albanese signed a deal in Washington on Monday that could see up to $8 billion invested in projects for the development and refinement of metals essential to industries such as defence, advanced manufacturing, and energy transition. You can dismiss this as political hyperbole and spin, given China's dominance in the majority of global supply chains for critical minerals.
Russell: The US-Australian critical minerals deal highlights the gap with China
It is not the game changer needed to reduce Western dependence on China. But it is a first important step. U.S. president Donald Trump and Australian prime minister Anthony Albanese signed a deal in Washington on Monday that could see up to $8 billion invested in projects for the development and refinement of metals essential to industries such as defence, advanced manufacturing, and energy transition. You can dismiss this as political hyperbole and spin, given China's dominance in the majority of global supply chains for critical minerals.
Santos' GLNG facility will stop purchasing Australian domestic gas by 2027
Santos' Gladstone Liquefied Natural Gas plant (GLNG) in Australia will cease buying gas produced domestically to meet export contracts, according to its CEO on Tuesday. This could help ease the supply shortages on Australia's east coast. GLNG's CEO Stephen Harty stated that the company spent about A$1billion ($650m) a year on developing its own tenements, building its own supply and eventually would cease all domestic purchases of gas. "We have been on the path of phasing out purchases for a while…
Santos reduces 2025 production forecast on technical issue at Barossa Project
Santos Australia has lowered its output forecasts for the second time in this year after a technical problem delayed ramp-up at its Barossa project. Inclement weather also hampered recovery of the Cooper Basin project. No. 2 independent oil and gas producer in the country now expects to produce 89-91 million barrels of oil equivalent (mmboe) during fiscal 2025, compared with 90-95 mmboe previously forecast. The country's no. Visible Alpha's consensus forecast of 91.4 million barrels of oil equivalent (mmboe) was not met by the mid-point of this forecast.
Australia's Santos reduces its annual production forecast due to weather and vessel delays
Australia's Santos on Thursday narrowed its full-year output forecast due to a slower-than-anticipated start-up of the BW Opal floating production, storage and offloading vessel as well as a slow recovery from floods at its Cooper Basin project. Second-largest producer of gas in the country expects to produce between 89 and 91 million barrels (mmboe), as opposed to its previous projections of 90-95mmboe. Santos, recently the target of a $18.7 billion offer by a consortium headed by Abu Dhabi National Oil Company reported a 11% drop in sales revenue for the quarter ending September 30.
In its third-quarter trading report, Total highlights higher sales and rising refining profit margins.
TotalEnergies, a French oil company, expects to see an increase in its third-quarter earnings as increased upstream production and improved crude refining margins will offset lower oil prices. The group announced this on Wednesday. In a trading update, it stated that despite a $10 drop in the price of oil per barrel year-on-year the results and cash flows from the business segments would increase in the range of 0-5% due to the accretive growth in hydrocarbon production and the improved results in the downstream. At 0723 GMT, the group's shares had risen 2.3%.
Sherry Duhe, Santos' Finance Chief, resigns after one year in the role
Santos announced on Tuesday the resignation of CFO Sherry duhe, only one year after she assumed the position. The Australian gas producer is navigating a period of transition ahead of the start-up of its Barossa, and Pikka, projects. Duhe was appointed as Santos' new CEO in September of last year, amid speculation about a possible leadership change. Lachlan Harris, the current Deputy CFO of the company, has been appointed acting Finance Chief. Harris has experience in a variety of finance roles within the company.
EDP accelerates solar and battery projects in Australia following government awards
The Portuguese utility EDP said that it expects to speed up its solar and storage battery projects in Australia, after receiving government awards for revenue generation over the long term. EDP Renewables Australia, a subsidiary of EDP, was awarded two generation revenue schemes through the government's Capacity Investment Scheme. These projects will add over 1.7 gigawatts to the energy mix in Australia by adding solar and battery storage. EDP anticipates that the Punchs Creek Project located in Toowoomba, Queensland will reach financial close in 2026. The plant is expected to be commissioned in early 2029.
Vulcan Energy, Australia's lithium supplier, signs agreement with Glencore
Vulcan Energy announced on Monday that they have signed an agreement to supply Glencore with lithium monohydrate hydroxide from their Lionheart Project located in Europe. Vulcan will provide Glencore between 36,000 and 44,000 tonnes (or about 20 percent) of its current production over a period of eight years. Glencore's agreement will be the last offtake agreement to finance Lionheart Project Phase One. Vulcan also said that it was in talks with other European automakers. "Vulcan now has a good mixture of offtake partners in Phase One: an automaker and battery manufacturer…
Cricket-New Zealand Santner and Ravindra return to England T20 Series
The national cricket body, NZC, said that the return of Mitchell Santner, New Zealand's regular white-ball captain, and Rachin Ravindra, an all-rounder, will give New Zealand a boost in the three-match Twenty20 match series this month against England. However, Williamson will not be playing, a key batter, according to the NZC. Santner, Ravindra and Michael Bracewell were all absent from the T20 series played against Australia in the first half of this month. Ravindra missed the T20 series against Australia earlier this month due to facial injuries, while Santner recovered from abdominal surgery.
Australia announces $395 Million to Support Glencore Copper Smelter
Australia announced on Wednesday that it would provide A$600,000,000 ($395,000,000) in financial support to Glencore's Mount Isa Copper Smelter in Queensland and Townsville Refinery over the next three-year period. The bailout will be split 50-50 by the federal and Queensland governments. This comes amid increasing concerns about supply chain vulnerability tied to China, which have increased pressure on Western countries to secure access critical minerals for energy transition and defense. Glencore is to receive up to $200m in payments over the next 3 years.
Australia is set to earn more gold than any other resource
Australia announced on Tuesday that it expects gold to be its second-most valuable resource export this financial year after iron ore, dislodging the liquefied gas. Concerns over geopolitical instabilities fuel demand for safe-haven metal. The Department of Industry's September quarterly report stated that Australia's gold imports will increase by A$12 Billion ($7,9 Billion) to A$60 Billion in the current financial period ending June 2026 as it exports more gold for higher prices. This would be a huge increase in Australia's LNG export earnings…
US Natural Gas Prices Rise as LNG Exports Increase
U.S. natural gas futures climbed about 2% on Monday on near-record flows to liquefied natural gas (LNG) export plants and forecasts for more demand this week than previously expected.Front-month gas futures for November delivery on the New York Mercantile Exchange (NYMEX) rose 6.7 cents, or 2.0%, to $3.391 per million British thermal units (mmBtu) at 8:42 a.m. EDT (1242 GMT).In the cash market, average prices at the Waha Hub in West Texas, which fell to a record low of minus $7.07 per mmBtu on Thursday…
Australia's renewables drive powers a 'golden rush' of big battery bets
Investors in Australia’s battery energy storage industry are taking advantage of the chaos on the spot markets. They have been emboldened by Australia’s efforts to expand its renewable energy infrastructure. Investors in the sector are now funding projects that do not have a fully-guaranteed long-term revenue. The first two battery projects exposed to the market this year were funded. As the demand for renewable energy grows, analysts say that more flexible financing will make money available in this sector.
Andy Home: Depleted LME Zinc Stocks may Need a Chinese Booster
The market for zinc has only just realized that the London Metal Exchange's inventory is so low it could cover less than one day of global consumption. The LME spreads have become volatile, and the cash premium on the three-month price has increased. Last week, the price of a metric ton reached $60. This was a level that had not been exceeded since 2022. All signs point to a market in severe supply deficit. The International Lead and Zinc Study Group, however, estimates that there was a global surplus in the first seven month of this year of 72,000 tonnes.
Australia Gas Market Interventions Fail, Regulator Finds
The Australian Competition and Consumer Commission said that the government's recent efforts to increase gas supplies and lower prices in Australia have largely been unsuccessful and could even be increasing the risk of shortage, according to the regulator. In a recent report, the Australian Competition and Consumer Commission (ACCC), said that several market interventions undertaken in response to a global energy crisis in 2022 had "not led to a material improvement of market outcomes". These measures included changes to Australia's Domestic Gas Security Mechanism…
Australian shares fall as central bank keeps rates unchanged
The Australian share market fell on Tuesday, as financials and energy stocks were dragged down after the central banks kept interest rates unchanged as expected. They also struck a cautious policy tone that tempered risk appetite while clouding short-term easing expectations. The S&P/ASX 200 Index fell 0.2% to 8,848.8 after earlier rising up to 0.3% at a high of four weeks. The benchmark ended a five-month streak of gains, dropping 1.4% in the month of September. This was its worst performance since March.
Australian shares rise as gold and banks shine ahead of RBA's decision
Australian shares rose Monday, boosted by bank and gold stocks. This was ahead of the central bank's policy meeting scheduled for later this week. The markets expect the bank to maintain rates. S&P/ASX 200 rose 0.6% by 0028 GMT to 8,842.10. The benchmark index had closed Friday 0.2% higher. A poll shows that the Reserve Bank of Australia is likely to keep its cash rate at 3.60 percent on September 30. The tight labour market makes policymakers cautious, while they wait for clearer signs of inflation easing.
Russell: The Big Three Asian thermal coal producers look healthy while others are pale
Asia dominates global thermal coal markets, but the future looks increasingly divided between the robust domestic markets of the three heavyweights China, India and Indonesia as well as a slowly fading seaborne industry. In recent years, the three countries have increased their coal production rapidly to meet the rising demand for energy. Outside of these three nations, Australia, Russia, United States, and South Africa are the main exporters of seaborne products. While the domestic thermal coal market in China…
Russell: The Big Three Asian thermal coal producers look healthy while others are pale
Asia dominates global thermal coal markets, but the future looks increasingly divided between the robust domestic markets of the three heavyweights China, India and Indonesia as well as a slowly fading seaborne industry. In recent years, the three countries have increased their coal production rapidly to meet the rising demand for energy. Outside of these three nations, Australia, Russia, United States, and South Africa are the main exporters of seaborne products. While the domestic thermal coal market in China…