Category Archives: Commodities

Rio Tinto faces US probe over $3bn Mozambique coal writedowns

The US Securities and Exchange Commission is examining the timing of $3bn of impairment charges that Rio Tinto booked on a disastrous Mozambique coal deal, sources close to the company have confirmed. The Anglo-Australian miner was already facing scrutiny from US regulators when it contacted law enforcement authorities this month about a questionable payment made to a consultant operating in…

Opec heavy hitters scramble to rescue supply deal

Opec’s most powerful members were scrambling on Tuesday to rescue a supply deal designed to end the longest oil price crash in a generation. Saudi Arabia, Opec’s largest producer, and its arch rival Iran have both set out their positions ahead of Wednesday’s ministerial meeting in Vienna, with the kingdom hinting it could walk away from a deal if its…

Opec heavy hitters scramble for deal

Opec’s most powerful members scrambling to rescue a supply deal designed to end the longest oil price slide in a generation. Saudi Arabia, Opec’s largest producer, and its arch rival Iran have both set out their positions ahead of Wednesday’s ministerial meeting, with Riyadh hinting it could walk away from a deal if its conditions are not met and Tehran…

Glencore chief under pressure over dividend policy

Glencore chief executive Ivan Glasenberg will come under pressure to clarify the company’s dividend policy on Thursday when he faces analysts and investors for a strategy update. The miner-cum-trader suspended its dividend just over a year ago as part of a wide-ranging deleveraging plan that involved a $2.5bn share sale, cost cutting and divestments. Boosted by a sharp rebound in…

Saudi Arabia sets high bar for Opec supply deal

Saudi Arabia has set a high bar for any oil supply deal ahead of Wednesday’s Opec meeting in Vienna, as it attempts to put pressure on regional rivals Iran and Iraq to accept a larger share of output cuts. The oil production cartel is trying to reach an agreement to curb supplies for the first time since the financial crisis…

Tata agrees £100m specialty steel sale to Liberty House

Tata Steel has entered into exclusive negotiations to sell its specialty UK steel business for £100m to Liberty House, the metals group controlled by Indian-born commodities tycoon Sanjeev Gupta. The sale is expected to close in the first quarter of next year and could protect about 1,700 jobs, Liberty said in a statement. Tata’s mainly northern England operations will be…

Lithium supply predicted to keep up with demand

The global market for battery chemical lithium is likely to remain “fairly balanced” for the next four to five years with supply rising to meet increased demand from electric vehicles, according to Albemarle, one of the biggest producers. Demand for lithium is likely to rise by 20,000 tonnes a year until 2021, Luke Kissam, chief executive of the US-listed company…

China coal prices still high after output curbs loosened

Beijing may have recently eased coal mines’ working day curbs in a bid to depress rising prices, but domestic futures contracts are sending mixed signals about the impact on China’s domestic market. The cost of a tonne of coking coal on the Dalian Commodity Exchange rose as much as 3.9 per cent to Rmb1,618 in Monday morning trade, having closed…

DRW set for court showdown with US derivatives regulator

Don Wilson is a boldfaced name in derivatives markets, a place where many big traders prize anonymity. The head of DRW, one of the world’s largest proprietary traders, speaks on expert panels and belonged to an advisory committee to the US regulator for futures, options and swaps. This week he is due to make another public appearance — in a…

Christmas pudding pricier after Brexit hits pound

Tuck into the turkey but hold the Christmas pudding. Britons are facing a jump in prices for traditional pudding ingredients as the Brexit vote has sharply weakened the pound. However, the cost of Christmas dinners is almost unchanged from a year ago despite a rise in pork and vegetables. The slumping pound has helped push up the cost of key…