2025-09-12 07:59

JAKARTA, Sept 12 (Reuters) - An Indonesian task force has seized plots spanning hundreds of acres from miners PT Weda Bay Nickel and PT Tonia Mitra Sejahtera for lack of relevant forestry permits, officials said on Friday. The world's largest producer of nickel products is cracking down on illegal exploitation of natural resources, with President Prabowo Subianto saying last week that more than 1,000 such mining operations were identified. Sign up here. The crackdown boosted nickel prices, with benchmark three-month nickel on the London Metal Exchange up 1.32% at $15,350 a metric ton by 0801 GMT. The most-traded contract on the Shanghai Futures Exchange closed daytime trade up 1.28% at 121,800 yuan a ton. A 148-hectare (366-acre) area at PT Weda Bay Nickel's concession has been seized for the lack of a forestry licence needed to exploit the plot, mining ministry official Rilke Jeffri Huwae said. "They have the mining permit, but they don't have the borrow-to-use permit for the forest," Rilke said. Weda Bay Nickel, controlled by China's Tsingshan Holding Group, France's Eramet SA and Indonesia's Aneka Tambang, spans 45,000 hectares (111,000 acres) on Indonesia's island of Halmahera. Weda Bay is trying to seek clarification from the task force, said a company source who sought anonymity in the absence of authorisation to speak to media. Eramet Indonesia said it was fully committed to comply with all applicable rules, while assessing the situation. "We respect the decisions of the Indonesian authorities and fully support PT WBN in working closely with the authorities to ensure all activities undertaken meet the required legal and regulatory standards," it said in a statement. The seized plot was a rock quarry for construction material and did not cover the mining extraction site, Eramet said, adding that it did not expect significant impact on Weda Bay's operation. Images from a regional news channel showed authorities, some in military uniform, putting up a sign showing the area was now under government control. The government had closed off the area, Eramet said. The task force has also seized an area of 173 hectares (427 acres) managed by PT Tonia Mitra Sejahtera in Southeast Sulawesi, said Febrie Adriansyah, a senior prosecutor at the attorney general's office. Tonia's mining permit covers nearly 5,900 hectares (14,580 acres), ministry data showed. The task force has identified a total of 4.2 million hectares (10 million acres), managed by 51 companies, as lacking proper forestry permits, Febrie added. https://www.reuters.com/sustainability/indonesia-cites-lack-forestry-permits-land-seizures-nickel-miners-2025-09-12/

2025-09-12 07:28

IEA expects oversupply to increase with OPEC+ output boost US consumer prices rise, Fed likely to cut rates Sept 12 (Reuters) - Oil prices fell on Friday, extending the previous session's hefty losses as concerns about oversupply and weaker U.S. demand outweighed worries about the risk of supply disruption from conflict in the Middle East and Ukraine. Brent crude futures fell 55 cents, or 0.83%, to $65.82 a barrel by 0703 GMT, and U.S. West Texas Intermediate crude fell 57 cents, or 0.91%, to $61.80. Sign up here. "The (U.S.) inflation battle doesn't quite look won, which dampens the demand outlook for oil from the world's largest economy," said Priyanka Sachdeva, senior market analyst at brokerage Phillip Nova. "Even geopolitical unrest is failing to support oil prices, as fundamentals point to an oversupply and lacklustre demand," Sachdeva added. Government reports on Thursday showed U.S. consumer prices in August increased by the most in seven months and a surge in first-time applications for unemployment aid last week. The data fuelled expectations that the Federal Reserve will cut interest rates next week to try and boost economic growth, which would in turn drive up demand for oil. Oil prices had gained as much as 2% earlier this week on the potential for disruptions to output or trade flows from conflicts, but the benchmarks started tumbling on Thursday - wiping out those gains. The slide began after the International Energy Agency (IEA) said in a monthly report that world oil supply would rise more rapidly than expected this year due to planned output increases by the Organization of the Petroleum Exporting Countries and allies such as Russia, a grouping known as OPEC+. OPEC, in its own report, made no change to its relatively high global oil demand growth forecasts for 2025 and 2026, saying the world economy was maintaining a solid growth trend. The crude market keeps toggling between surplus supply pressures and concerns about short-term disruptions, but the geopolitical worries are providing diminishing support to prices, SDIC Futures said in a daily report. OPEC+ decided on Sunday to further raise its oil output quotas from October as the group's leader, Saudi Arabia, pushes to regain market share. Saudi Arabia's crude oil exports to China are set to surge, several trade sources told Reuters on Thursday, with state-controlled energy firm Aramco (2222.SE) , opens new tab shipping about 1.65 million barrels per day that way in October, up sharply from 1.43 million bpd allocated in September. In Russia, the world's second-biggest producer of crude behind the U.S. in 2024, revenue from crude and oil products sales declined in August to one of the lowest levels seen since the start of the war in Ukraine, the IEA said. An Energy Information Administration report on Wednesday said U.S. crude stocks rose last week by 3.9 million barrels to 424.6 million barrels. https://www.reuters.com/business/energy/oil-prices-extend-losses-oversupply-us-demand-concerns-2025-09-12/

2025-09-12 07:24

Australia aims to be key supplier for Western allies' supply chain Trip comes as US builds up domestic defence, battery industries Delegation will not include Australia's trade or resources ministers MELBOURNE, Sept 12 (Reuters) - More than 20 Australian critical minerals companies including Trafigura unit Nyrstar (NYR.BR) , opens new tab will head to the U.S. next week to explore areas for collaboration, four sources familiar with the matter told Reuters. The delegation led by the Australian Trade and Investment Commission (Austrade) will attend meetings in New York and Washington with senior officials from the Trump administration. Sign up here. Although sources described the trip as fairly routine, the companies will arrive after Australian Prime Minister Anthony Albanese and President Donald Trump last week spoke about opportunities for critical minerals companies in both countries to co-operate more closely. Australia has requested a meeting with Trump and Albanese will travel to the United Nations General Assembly in New York later this month although no meetings have been announced. Australia is striving to position itself as a key supplier to Western allies as they build an alternative supply chain to China while the U.S. is readying to deploy funding to build out its battery and defence industries. Reuters reported last month that the Trump administration was considering a plan to reallocate at least $2 billion from the CHIPS Act, which supports semiconductor research and chip factory construction, to fund critical minerals projects. Nyrstar last month won Australian government support to assess the possibility of producing four critical minerals across two aging smelters, including antimony which is used in ammunition and for which China has limited exports. But Nyrstar would need more funds to bring that plan into action. The meetings were described as a chance to better understand the Trump administration's priorities as well as meet administration officials and build relationships, with some attendees angling for funding opportunities. Among other miners going are Australia's top lithium producer Pilbara Minerals (PLS.AX) , opens new tab which largely supplies lithium to China and South Korea, International Graphite (IG6.AX) , opens new tab, which is building out processing capabilities from its Western Australian graphite mine, and Cobalt Blue (COB.AX) , opens new tab, which is developing its Broken Hill cobalt project in New South Wales. Spokespeople from Pilbara Minerals, International Graphite and Cobalt Blue confirmed that company representatives would be in attendance next week. The delegation will not include Australia's Trade Minister Don Farrell or Resources Minister Madeleine King. The ministers' offices did not immediately respond to requests for comment on prospects for major announcements. Australia already has a critical minerals partnership with the United States and under legislation passed in late 2023, Australian mineral deposits qualify as domestic supply for U.S. defence procurement. https://www.reuters.com/world/asia-pacific/australian-critical-minerals-companies-head-washington-2025-09-12/

2025-09-12 07:01

Government imposes 48 new rules to protect nearby ancient rock art Critics say decision will set back climate action Plant and its LNG to generate 4.3 bln tons of carbon emissions SYDNEY, Sept 12 (Reuters) - Australia gave final approval on Friday for Woodside (WDS.AX) , opens new tab to operate the country's oldest and second-largest liquefied natural gas plant until 2070, while imposing 48 "strict" new rules in a bid to limit its environmental impact. The decision to extend the life of the North West Shelf plant in Western Australia caps a seven-year approvals process dogged by appeals and backlash from green groups, who say it will imperil nearby ancient rock art and set back efforts to curb climate change. Sign up here. The federal and state governments had to balance those concerns with the interests of one of Australia's largest export industries, which is the biggest source of LNG for key ally Japan. Environment Minister Murray Watt said on Friday Woodside had agreed to 48 conditions that were "technically feasible" but would protect the Indigenous Murujuga rock art in the area by limiting emissions. "Some of the gases that are emitted at this facility, which if not controlled properly, could have a significant impact on the rock art," he told reporters. "We are confident that the conditions that we’ve set are the right ones to protect the jobs in and the economic opportunities arising from the plant but also importantly to protect the rock art." The rock art is estimated to be up to 50,000 years old and is of cultural and spiritual significance to Indigenous Australians. It was inscribed on the UNESCO World Heritage List in July. Watt also set additional legal protections for parts of the site under federal heritage law, while ensuring "this decision does not stop industry from operating". The North West Shelf plant's existing licence had been set to expire in 2030. The four-decade extension was given preliminary approval in May, but Woodside then battled with the government over the conditions for nearly four months. Watt said Woodside had agreed to specific limits on pollutants, including cutting levels of nitrogen oxide emissions by 60% in five years and 90% by 2061. Rock art experts have said such emissions risk degrading the petroglyphs by turning into acid rain. "This final approval provides certainty for the ongoing operation of the North West Shelf Project, so it can continue to provide reliable energy supplies as it has for more than 40 years," said Liz Westcott, Woodside's chief operating officer for Australia. The company was committed to protecting the rock art, she said. 'CARBON BOMB' Critics condemned the decision as a blow to Australia's efforts to curb climate change, with the plant and its LNG expected to generate up to 4.3 billion metric tons of carbon emissions over its lifetime. "It is a betrayal of Australians who voted for action on climate change, and of our Pacific neighbours," said Mark Ogge, principal advisor at The Australia Institute. The Australian Conservation Foundation said the conditions were inadequate in preventing “climate damage” caused by the plant, calling it a "carbon bomb". The North West Shelf LNG plant was Australia's largest until July, when Woodside shut one of its five processing trains, reducing its capacity to 14.3 million metric tons a year as the offshore gas fields that long fed the plant are drying up. The extension lays the groundwork for Woodside to bring online new supply, including its Browse offshore project, the country's biggest untapped conventional gas resource. Woodside's partners in the North West Shelf venture are units of BP (BP.L) , opens new tab, Chevron (CVX.N) , opens new tab, Shell (SHEL.L) , opens new tab, Japan's Mitsui & Co (8031.T) , opens new tab and Mitsubishi Corp (8058.T) , opens new tab, and China's CNOOC (600938.SS) , opens new tab. Woodside shares closed down 3.4% with oil prices falling. https://www.reuters.com/business/energy/australia-gives-north-west-shelf-gas-plant-final-approval-run-until-2070-2025-09-12/

2025-09-12 06:56

Sept 12 (Reuters) - UBS raised on Friday its gold price forecast by $300 to $3,800 per ounce by the end of 2025, and by $200 to $3,900 by mid-2026, citing anticipated Federal Reserve easing and U.S. dollar weakness linked to rate cuts and geopolitical risks. The Swiss bank also revised its estimate for gold exchange-traded fund (ETF) holdings, projecting levels to exceed 3,900 metric tons by the end of 2025, approaching the previous record of 3,915 tons set in October 2020. Sign up here. "We maintain an Attractive view on gold and stay long the metal in our global asset allocation. Moreover, our analysis suggests a mid-single-digit percentage allocation to gold is optimal," UBS said in a note. The bank highlighted geopolitical concerns and policy differences between the U.S. administration and the Federal Reserve as key factors boosting gold's appeal, along with U.S. President Donald Trump's stance favouring lower interest rates. UBS expects central bank purchases of gold to remain robust at around 900-950 tons this year, or slightly below last year's near-record purchases of just above 1,000 tons. "The key risk for gold is if the Fed is forced to raise rates due to inflation-related upside surprises," UBS added. Non-yielding bullion, often considered a safe-haven asset during periods of economic and geopolitical uncertainty and known to perform well in low-interest-rate environments, hit a record high of $3,673.95 on Tuesday and has gained more than 39% year-to-date. https://www.reuters.com/markets/commodities/ubs-raises-gold-price-target-3800oz-by-end-2025-2025-09-12/

2025-09-12 06:53

FRANKFURT, Sept 12 (Reuters) - European Central Bank policymaker Martins Kazaks on Friday singled out the ECB's December meeting as key to determining whether inflation was set to stray from the bank's 2% target. The European Central Bank left interest rates unchanged on Thursday and maintained an upbeat view on growth and inflation, dampening expectations for any further cut in borrowing costs. Sign up here. Kazaks said the ECB should avoid providing any guidance in an environment marred by geopolitical risks, but said the December 18 gathering, at which the central bank will update its economic projections, was "rich" in information. "Of course December is rich because we’ll get a new set of projections and we’ll see if there is a deviation from 2% and how large and persistent that is likely to be," Latvia's central bank governor told Reuters in an interview. Sources had also told Reuters policymakers would not have enough information by their next meeting in October 29 to assess the impact of U.S. tariffs, and saw the following gathering as key. The ECB's latest projections, published on Thursday, see inflation falling from around 2% currently to 1.7% next year and 1.9% in 2027. Kazaks added that a delay to the European Union's new Emissions Trading System 2 (ETS2), which has been baked into the ECB's projections for 2027, would have "quite a sizeable" downside impact on inflation. "The ETS 2 is baked into our projections for 2027 and is worth some 0.3 percentage points," Kazaks said. "If it doesn’t happen for political reasons, that would have quite a sizeable impact." The new EU carbon market will impose a CO2 price on suppliers of polluting fuels used in cars and buildings. But Germany, the Czech Republic and 14 other countries have demanded the European Union introduce stricter price controls to the bloc's new carbon market, over fears that the policy will raise consumers' bills. Kazaks also cited the euro's exchange rate, which pushes down import prices when it rises and vice-versa, and potentially "deflationary" Chinese exports into the euro zone as key risks. "So uncertainty is high and there are many risk scenarios," he said, adding that this reinforced the case for making rate decisions meeting-by-meeting, based on incoming data. https://www.reuters.com/business/finance/ecbs-kazaks-flags-rich-december-meeting-carbon-price-risk-2025-09-12/