2025-09-12 12:40

JAKARTA, Sept 12 (Reuters) - Indonesia is expected to experience a longer-than-usual peak period during its wet season this year, bringing a higher risk of floods and extreme rainfall in many areas of the Southeast Asian country, its weather agency forecast on Friday. The wet season in the archipelago of over 17,000 islands starts this month and ends in April 2026, Indonesia Meteorology and Geophysics Agency head Dwikorita Karnawati said in a news conference. Sign up here. The peak wet season will begin in November and December this year for Sumatera and Borneo islands, she said, while Java, Sulawesi, Maluku and Papua islands will experience the peak season from January to February 2026. "We must be cautious because the peak of the wet season is quite long and happens in almost all areas in Indonesia," she said. "The risk of floods is high between November this year and February next year," said Guswanto, another official at the agency. The agency also warned of extreme rainfall in a short period of time. Dwikorita said certain areas could see the equivalent of a month's rainfall in a single day. The holiday island of Bali had experienced the equivalent of a month's rainfall in two days over the last few days, the agency said. Heavy rains on Tuesday and Wednesday caused floods in Bali's capital Denpasar and six other regions, killing 18 people and forcing the evacuation of more than 500 people. "We must anticipate what will happen in the peak of wet season because of what happened in Bali" before the peak, Dwikorita said. The weather agency had previously predicted a shorter-than-expected dry season this year due to higher-than-normal precipitation. https://www.reuters.com/business/environment/indonesia-faces-greater-flood-risk-this-wet-season-says-weather-agency-2025-09-12/

2025-09-12 12:35

LONDON, Sept 12 (Reuters) - How can the West break its dependency on China for rare earth magnets? The question has taken on new urgency after China restricted exports earlier this year, sending shockwaves through Western manufacturing chains. Sign up here. The race to build domestic mine-to-magnet supply chains has accelerated, particularly in the United States, where the Department of Defense is taking a direct stake in MP Materials (MP.N) , opens new tab, operator of the country's only rare earths mine, and guaranteeing a floor price for its products. But part of the solution is lying in plain sight all around us in the form of old laptops, power tools and smartphones. Given the criticality of rare earths in today's high-tech world, it's astonishing that less than 1% are recycled. That may be about to change. TECHNICAL BREAKTHROUGHS The low recycling rate reflects a combination of technological and economic challenges. Dismantling magnet motors, removing the rare earths and reprocessing them can be both manually and energy intensive. The concentration of rare earth elements in the final product is often so low that it is simply not worth it. Automotive shredders, for example, will strip copper and aluminium out of end-of-life vehicles but the rare earth magnets end up in a steel mill, where they are lost to slag destined for landfill. Several companies, however, seem to have cracked the problem using an array of technologies. Canada's Cyclic Materials announced in June a $25-million investment in a recycling facility , opens new tab in Ontario to convert 500 metric tons per year of magnet-rich feed-stock into mixed rare earth oxide. Cyclic has signed deals for the supply of end-of-life motors with Lime , opens new tab, the company behind the ubiquitous shared e-bike, and SYNETIQ , opens new tab, the UK's leading automotive salvage operator. Proprietary dismantling and processing technologies recover not just the rare earths but all the other metals such as copper, which will be sent to Glencore's (GLEN.L) , opens new tab Horne smelter in Quebec for refining back into cathode. American Resources Corp's (AREC.O) , opens new tab ReElement Technologies division is pioneering the use of chromatography , opens new tab to separate metals from both rare earth magnets and end-of-life lithium-ion batteries at its plant in Indiana. The company, which has this month been awarded a $2-million grant , opens new tab from the Department of Defense, claims its technology , opens new tab uses 75% less energy and generates 70% less carbon emissions than existing recycling processes. A multi-party collaboration, including Western Digital (WDC.O) , opens new tab, Microsoft (MSFT.O) , opens new tab and Critical Materials Recycling, has piloted , opens new tab acid-free dissolution technology developed by the Department of Energy's Critical Materials Innovation Hub , opens new tab to recover rare earths from hard drives collected from Microsoft data centers. MP Materials itself is branching into the rare earths recycling business via a $500-million tie-up , opens new tab with Apple (AAPL.O) , opens new tab. MAGNET POWER This recycling revolution is only now starting to transition from pilot to commercial-scale operations. But the new technology comes with a much lower price tag than new mines and primary processing plants. It can also deliver units faster. Moreover, if the West wants to break free of China's rare earths chokehold, it will need both primary and secondary supply streams to have a hope of catching up with booming demand from the clean energy sector. Internal combustion vehicles need only a handful of small magnet motors for ancillary functions such as sensors and audio systems. But permanent magnets are core components for most electric and hybrid vehicles, translating into a five-fold increase in rare earth requirements. Rare earth magnets are also critical inputs for wind turbines, a sector that has been super-charged by the shift to renewable energy. Global demand for permanent magnets is expected to triple over the next decade, according to consultancy McKinsey. Usage of core magnet rare earth elements - neodymium, praseodymium, dysprosium and terbium - is forecast to grow from 59,000 tons in 2022 to 176,000 tons in 2035. TAPPING THE URBAN MINE On the basis of the currently announced project pipeline, magnet rare earths supply is set to fall short of demand by 60,000 tons, or roughly 30% of usage, in 2035, according to McKinsey. The caveat is that this assessment excludes China, which doesn't issue forecasts and regulates rare earths production via quotas. Even though the West is trying to loosen China's rare earths grip, McKinsey sees only a gradual diversification of supply, warning "current pipelines and trajectories are likely to fall short over the next five to ten years". Which leaves China as the most likely player to fill any global supply shortfall, extending the West's rare earths dilemma into the next decade. Scrap could be an important lever in the global balance of rare earths power. McKinsey expects the scrap pool both to keep accumulating and to shift from smaller magnets in electronic devices to larger magnets in electric vehicles and wind turbines. By 2035 the rare earth value stream could generate 40,000 tons of pre-consumer scrap and 41,000 tons of post-consumer scrap. The former will mostly reside in China, the world's largest processor, but the latter will be widely geographically distributed. Tapping that urban mine would both help the West meet burgeoning demand and build out domestic supply chains. Indeed, to quote McKinsey, "powering the energy transition's motor begins with understanding scrap pools" and the technology to exploit them. The race to do so is now on. The opinions expressed here are those of the author, a columnist for Reuters. https://www.reuters.com/markets/commodities/recycling-pioneers-race-close-rare-earths-scrap-gap-2025-09-12/

2025-09-12 12:31

Prices supported by Chinese buying and war risks Brent and WTI benchmarks fell sharply in previous session Sept 12 (Reuters) - Oil prices rose nearly 2% on Friday on renewed concern over Russian crude supply, outweighing pressure from oversupply and weaker U.S. demand risks. Brent crude futures rose $1.31, nearly 2%, to $67.68 a barrel by 1211 GMT and U.S. West Texas Intermediate crude gained $1.12, or 1.8%, to $63.49. Sign up here. The Kremlin said on Friday that there was a pause in peace negotiations between Russia and Ukraine. Negotiators have held three rounds of direct talks this year in Istanbul, most recently on July 23, but the two sides remain far apart on how a possible peace deal might look, which could trigger further Western sanctions against Russia. "Strong sanctions could potentially overshadow the underlying oversupply outlook," said SEB Research analyst Ole Hvalbye. Meanwhile, a drone attack on Russia's northwestern port of Primorsk - one of the country's largest oil and fuel export terminals - led to a suspension of oil loading operations overnight, an official from Ukraine's SBU security service told Reuters. "Those attacks on Russian energy infrastructure have room to drag down Russian crude and refined product exports," said UBS analyst Giovanni Staunovo. The Brent and WTI benchmarks had fallen by 1.7% and 2% respectively on Thursday. A monthly report from the International Energy Agency on Thursday said that global oil supply would rise more rapidly than expected this year because of planned output increases by the OPEC+ group comprising the Organization of the Petroleum Exporting Countries and allies such as Russia. However, OPEC's own report later in the day made no change to its relatively high forecasts for oil demand growth this year and next, saying the global economy was maintaining a solid growth trend. While there is a risk of a tumble in oil prices, factors such as tightness in the distillates market, sustained buying from China to fill inventories and potential sanctions on Russia and secondary sanctions on its customers are keeping the market supported, said PVM Oil Associates analyst John Evans. On the supply side, India's largest private port operator, Adani Group, has banned tankers sanctioned by Western countries from entering all of its ports, three sources told Reuters and documents show, potentially curbing Russian oil supplies. India is the biggest buyer of Russian seaborne oil, mostly shipped on tankers that are under sanctions by the European Union, United States and Britain. https://www.reuters.com/business/energy/oil-prices-jump-almost-2-risks-russian-output-2025-09-12/

2025-09-12 12:29

First reported drone strike on Primorsk, a key Baltic export hub Two vessels and pumping station caught fire; blaze extinguished No oil product spill risk, according to the governor Over 30 drones destroyed over the region, governor says MOSCOW, Sept 12 (Reuters) - A Ukrainian drone attack on Russia's northwestern port of Primorsk suspended loadings at the country's largest oil terminal for the first time, according to two industry sources and Ukraine's military. The drone strike, the first reported such attack on the port, set fire to two vessels, the industry sources said. The Russian governor of the region around the port said a drone attack had set fire to one vessel and a pumping station and did not report any suspension of operations. Sign up here. Kyiv has intensified drone attacks on Russian energy infrastructure as it pushes for talks to end the war in Ukraine, trying to cut Russia off from its main source of revenue - crude oil sales - by limiting export capabilities. Ukraine's SBU security agency said it had hit the Primorsk port with drones overnight leading to a fire and the suspension of loading operations. Oil loadings from Primorsk were suspended early on Friday, two industry sources familiar with oil loadings from the port said. It was not clear if the operations had resumed at the time of writing. WHICH TANKERS WERE HIT? The Transneft pipeline operator operating the port and Russia's Energy Ministry did not immediately respond to requests for comment. Two oil tankers, Kusto and Cai Yun, were hit by the attack, according to the industry sources. Kusto is an Aframax tanker owned and managed by Solstice Corp, according to LSEG. Cai Yun is an Aframax owned and managed by Acceronix Ltd. Both are registered in the Seychelles, public databases show. Since early August, Ukraine has intensified attacks on Russia's energy infrastructure, including refineries and pipelines, as peace talks remain stalled. Other ports, including nearby Ust-Luga and the Black Sea's Novorossiisk, have been repeatedly targeted in recent months. Russia has revised its September crude export plan from western ports to 2.1 million barrels per day (bpd), an 11% increase from the initial schedule, as drone strikes on domestic refineries have reduced local demand for crude. Governor Alexander Drozdenko said the fire on the vessel at Primorsk, which he did not identify, was extinguished, and there was no risk of an oil product spill. More than 30 drones were destroyed over the region, he added in the Telegram post, without mentioning the war in Ukraine. Comments under his post reflected local anxiety. "How long will this go on for? I haven't slept all night and all morning. I only wish everything would be okay. The child doesn't sleep, just tries to fall asleep, then bang, bang — it's just awful. I wish it would all end soon," wrote a user named Sashulya. Primorsk is located on the Gulf of Finland near St. Petersburg. Russia's air transport agency Rosaviatsia said Pulkovo Airport in St. Petersburg suspended operations for several hours on Friday morning. Russia's military said its air defense systems intercepted and destroyed 221 Ukrainian drones overnight, including nine over the Moscow region. Asked for comment, Ukraine's General Staff spokesperson said the military did not have immediate information on the reported strike. https://www.reuters.com/world/ukrainian-drones-strike-russias-largest-oil-terminal-first-time-2025-09-12/

2025-09-12 12:11

Gold prices have risen twofold since late 2022 Gunvor is developing trading from precious metal concentrates to refined bars Others like Mitsui's unit are expanding precious metals business LONDON, Sept 12 (Reuters) - Global commodity trading house Gunvor (GGL.UL) is expanding its precious metals business from trading derivatives into physical metal and has hired specialists in the London and Singapore trading hubs, the company told Reuters. Gunvor's expansion in the sector coincides with a rally that has seen gold prices rise twofold since late 2022 as investors sought shelter from global economic and geopolitical turbulence. Spot gold hit a record high of $3,674 per troy ounce on Tuesday. GOL/ Sign up here. Global gold market trading volumes averaged $329 billion a day in the first half of 2025, the highest semi-annual value in World Gold Council data going back to 2018. "We are developing the full value chain from gold and silver concentrates to refined bars. The team is coming together with several key traders in place now," said Seth Pietras, head of corporate affairs at Gunvor. FROM DERIVATIVES TO PHYSICAL METAL The core activity at privately-owned Gunvor is energy trading with liquefied natural gas being the main profit contributor. The group has been trading precious metals derivatives but not physical metal. The latest hire is Jonny Duncan, previously a precious metals sales manager at ICBC Standard Bank, one of the leading bullion banks. He joined the trading house in London this month. The precious metals business has been expanding over the last year since Oliver Martin, formerly a senior precious metals trader at mining giant Anglo American (AAL.L) , opens new tab, joined Gunvor in Singapore, Pietras said. He did not disclose the total size of the team. "Our quick growth in this market has resulted from our ability to leverage existing sourcing relationships globally, especially in South Africa," he said, without disclosing revenue from the precious metals business. Gunvor's first-half net profit fell 71% year- on-year to $121 million due to oil oversupply, increased competition, fewer arbitrage opportunities and thin margins. Other players have been expanding their precious metal businesses too. A subsidiary of major Japanese trading house Mitsui & Co (8031.T) , opens new tab hired a specialist earlier this year while French bank Societe Generale (SOGN.PA) , opens new tab is planning a partial comeback to gold trading after quitting the bullion market in 2019. Gunvor's developing physical bullion business is led from London by Gregory Frith - formerly on StoneX's precious metals sales desk. Pietras said he brought wealth of "relationships in the refinery and end-buyer markets.". London is home to the world's largest over-the-counter gold trading hub, where market players trade directly with each other rather than via an exchange. This sector is dominated by bullion banks including HSBC, ICBC Standard Bank and JP Morgan. Singapore is a major precious metals trading centre for Asian clients, while Switzerland, where Gunvor is based, is the world's biggest bullion refining and transit hub. https://www.reuters.com/business/gunvor-expands-precious-metals-business-into-physical-trading-2025-09-12/

2025-09-12 12:07

Sept 12 (Reuters) - Eni's (ENI.MI) , opens new tab Chief Executive Claudio Descalzi met the U.S. energy and interior secretaries on Friday as Washington pushes to seal energy supply deals that it hopes will strengthen its influence in the region while weakening Russia's. In a series of meetings on the sidelines of the Gastech conference in Milan, Descalzi hosted U.S. Secretary of Energy Chris Wright, Secretary of Interior Doug Burgum and Ambassador to Italy Tilman Fertitta, discussing energy security and Eni's expanding investments in the United States, Eni said in a statement. Sign up here. The parties reiterated their mutual satisfaction with a deal signed by Eni and Venture Global (VG.N) , opens new tab in July, the Italian group's first long-term liquefied natural gas deal with a U.S. producer. Italy and the U.S. vowed on Monday to deepen energy cooperation by boosting U.S. LNG exports to Italy, aiming to reinforce Europe's shift away from Russian gas after the Ukraine invasion. https://www.reuters.com/business/energy/eni-ceo-us-delegation-meet-bolster-energy-ties-2025-09-12/