2024-11-29 20:58

Rosneft's 9-month profit down 13% to $8.7 billion Company critical of high interest rates, taxes Rosneft says OPEC+ deal pressured its oil output MOSCOW, Nov 29 (Reuters) - Rosneft (ROSN.MM) , opens new tab, Russia's largest oil producer, said on Friday it may delay modernizing its refineries due to high interest rates and taxes, as its nine-month profit fell 13.9% year on year to 926 billion roubles ($8.7 billion). Industry sources told Reuters this month that at least three Russian refineries, including Rosneft-owned Tuapse plant, had to halt processing or cut runs due to financial losses amid export curbs, rising crude prices and high borrowing costs. Rosneft's head Igor Sechin, a longstanding ally of President Vladimir Putin, has long criticised the central bank for its tight monetary policy. "In order to protect the shareholders' interests and avoid losses, Rosneft has been considering the need to suspend refinery modernization projects. At the same time, meeting the domestic demand for quality petroleum products remains a priority," the company said. The bank hiked its key interest rate by 200 basis points last month to 21%, the highest level since the early years of Putin's rule in the 2000s, when Russia was recovering from the chaos that followed the Soviet Union's collapse. Rosneft also said that a profit tax increase to 25% starting in 2025 had a negative impact on company results. The company said its oil and gas condensate production from January to September reached 138.3 million metric tons in total, or 3.753 million barrels per day on average. Rosneft did not provide production data from a year ago for comparison, but said output was pressured by an OPEC+ agreement to curb production. Rosneft said it had renewed its share buyback program amid high stock-market volatility. ($1 = 106.4955 roubles) Sign up here. https://www.reuters.com/business/energy/russias-rosneft-says-9-month-profit-down-139-high-interest-rates-taxes-2024-11-29/

2024-11-29 20:53

BRASILIA, Nov 29 (Reuters) - Brazilian President Luiz Inacio Lula da Silva nominated Nilton David, head trader at Bradesco bank, to serve as the next monetary policy director at the central bank starting in January, the institution said on Friday. The appointment was accompanied by two additional nominations, all of which must still be confirmed by the Senate. They will mark a shift in the makeup of the nine-member committee responsible for setting borrowing costs, as Lula's picks will secure a majority starting next year. According to the central bank statement, Lula selected Gilneu Vivan, the current head of the central bank's financial system regulation department, to succeed Otavio Damaso as director of regulation. Additionally, Izabela Correa, currently public integrity secretary at the Comptroller-General Office, was chosen to replace Carolina Barros as director of institutional relations. A law granting the central bank autonomy, passed in 2021, decoupled the terms of the president of the republic from those of the central bank's top officials. Currently, the committee is made up of four members chosen by Lula and five by his predecessor, former right-wing President Jair Bolsonaro. The balance will shift to 7-2 in January. If confirmed by senators, David will replace Gabriel Galipolo, who is set to take over as central bank governor from Roberto Campos Neto, also in January. Before joining Bradesco, David served as head of the Brazil and Mexico trading desk at Morgan Stanley and has also held positions at institutions such as Canvas Capital, Citi and Barclays. Lula has been a vocal critic of Campos Neto since taking office last year, with members of his Workers Party repeatedly calling for intervention in the foreign-exchange market to mitigate the sharp depreciation of the country's currency - a decision currently overseen by Galipolo and soon to be handled by his successor. Focus has largely centered on the monetary policy role, as it oversees the foreign-exchange desk and is typically filled by someone with extensive financial market experience. Sign up here. https://www.reuters.com/business/finance/brazils-lula-nominates-bradesco-head-trader-central-bank-monetary-policy-2024-11-29/

2024-11-29 20:41

BRASILIA, Nov 29 (Reuters) - Two senior police officers were arrested in Brazil on suspicion that they took bribes and provided security for illegal gold mining activity in the Amazon, according to a court document seen by Reuters on Friday. Brazilian authorities suspect they were receiving money to overlook and even provide private security for trading of gold illegally extracted from Indigenous lands and conservation areas, the court decision and a federal police statement showed. Another 36 police officers were removed from their jobs for suspected involvement in the protection scheme, according to the documents, which also said luxury cars, jewelry, cellphones and an unspecified amount of gold and cash were seized. Brazil is trying to crack down on illegal gold mining that has surged in recent years, fueled by record high world prices and the absence of enforcement during the country's previous far-right government. More than half the gold exported from Brazil is believed to be illegally produced. The police said it has found "strong evidence" that the gold traded by the criminal organization comes from locations near or within the Munduruku Indigenous land, a reservation in the Amazon rainforest the size of Switzerland. The two officers with northern Para state's military police, as well as two businessmen from the gold firm Gana Gold, were preventively arrested on Thursday, the court document said. Para state military police said in a statement that all the officers involved in the case have been dismissed and that all the military who held command positions have been fired. Reuters could not immediately find representatives from Gana Gold. The federal police statement said the Gana Gold had an estimated income of 1.1 billion reais ($182.9 million) between 2020 and 2021, adding that it has already been at the center of other official investigations into illegal mining. Brazilian authorities earlier this month began an operation to remove illegal gold miners from the Munduruku reservation, where agents found clandestine airstrips used by wildcat miners. Sign up here. https://www.reuters.com/world/americas/police-officers-arrested-brazil-taking-bribes-gold-miners-2024-11-29/

2024-11-29 20:21

Codelco boosts October output 2.9% above target, memo shows Company aims for 1.3 mln T in 2024, at lower end of target -sources That would be up 0.5% from last year's 25-year low Codelco would have to keep up a furious pace to meet goal SANTIAGO, Nov 29 (Reuters) - Chilean state-run Codelco is making a late dash to rev up its copper production in a bid to hit 2024 targets, two sources and an internal document show, potentially turning things around after a weak first half of the year. The world's top copper producer, which is battling to revive output from a 25-year low, hopes to close the year with some 1.331 million metric tons of the metal, the two company sources said, which would be up 0.5% from last year and at the lower end of its target range. In an internal memo seen by Reuters, the firm said its October output, already flagged by executives as strong, was 2.9% above target, the most concrete sign yet of its recent performance. Official data will be released in the coming days. The annual and October figures are previously unreported. The firm's official annual target is 1.325-1.352 million tons of copper, with the top-end of the range lowered from 1.39 million tons in July. Its 2024 plan targeted 116,500 tons in October, an internal document seen previously by Reuters showed. A 2.9% beat would suggest real production close to 120,000 tons. Codelco declined to comment. Copper is key for electric vehicles and the global green energy revolution, with rising demand pushing up prices. LEADERSHIP 'CONFIDENT' TO HIT TARGET RANGE The miner, which is also spearheading a state push into lithium, is battling to revive its copper production, hit by construction mistakes at key mines, accidents and a drop in ore grades, even as global demand for the metal rises. It faced a challenging start to the year, including delays on the Rajo Inca project at the small Salvador unit and the death of a truck driver at Radomiro Tomic, prompting analysts to flag risks to it hitting annual targets. The firm, however, has made a major production push in recent months, with executives growing more bullish. Chairman Maximo Pacheco said on Nov. 7 that October was the best month so far this year and would be ahead of target, without giving details. One of the company sources said the leadership was "confident" to land within the annual production target range. The person said key mines like El Teniente were ahead of target, while Salvador was behind. The giant Chuquicamata was on track. A second source confirmed the production numbers and expectations. The final figure will depend on how quickly Codelco can ramp up output in the final stretch of the year. To be sure, Codelco would have to keep up a furious pace to hit its goals. It would need over 400,000 tons of copper in the fourth quarter, 20% more than the third quarter. In the big picture, even if it succeeds, production is still way off peaks a decade ago, analysts said. "Whether or not it meets the goal, we can't lose sight that Codelco is going through a significant crisis," said Juan Ignacio Guzman, head of Chilean mining consultancy GEM. Sign up here. https://www.reuters.com/markets/commodities/chiles-codelco-boosts-copper-output-final-dash-meet-2024-target-sources-say-2024-11-29/

2024-11-29 19:21

Nov 29 (Reuters) - Coffee prices settled lower on Friday after hitting the highest in nearly half a century during the session, buoyed by tightening supplies as next year's crop in top grower Brazil struggles to recover fully from this year's drought. Dealers also said some Brazilian farmers have delayed deliveries of this year's crop in the hope of securing even higher prices, leading to short-term supply tightness and large financial losses for traders who had been expecting to receive the coffee. Arabica coffee futures on the ICE exchange fell by 1.5% to settle at $3.1805 per lb, having hit their highest since 1977 at $3.3545. Prices for arabica coffee have now risen by about 71% this year, making it one of the strongest performing commodities alongside cocoa, for which prices have more than doubled. "The price trend is now very similar to that of cocoa at the beginning of the year. The reasons are also comparable," Commerzbank said in a note on Friday. "In the case of cocoa, it was poor harvests in the two most important producer countries, Ivory Coast and Ghana. In the case of arabica coffee, it is concern about a poor crop in Brazil, the most important producer country, next year due to drought." Brazilian coffee traders Atlantica and Cafebras said on Wednesday that they will negotiate with their creditors in court, noting 900,000 60kg bags of coffee promised by farmers have not been received. The price of robusta coffee, a cheaper bean often used in instant coffee, also rose to its highest in about 47 years on Friday. Robusta coffee futures on ICE peaked at $5,694 a metric ton on Friday before turning lower to settle 2.7% down at $5,377. New York cocoa futures on ICE settled 3.9% higher at $9,425 a ton after setting a five-month high of $9,520. Cocoa prices soared to a record high of $11,722 a ton in April, with supplies tightened by poor crops in top producers Ivory Coast and Ghana. London cocoa futures on ICE settled 1.3% higher at 7,708 pounds a ton after hitting a five-month high of 7,772 pounds. Sugar prices fell, meanwhile, with March raw sugar ending the session down 2.8% at 21.08 cents per lb while March white sugar lost 1.5% to $547.70 a ton. Sign up here. https://www.reuters.com/markets/commodities/coffee-prices-47-year-high-brazil-crop-concerns-2024-11-29/

2024-11-29 19:14

PANAMA CITY, Nov 29 (Reuters) - Panama started the expedited cancellation process of six Panamanian vessels included in the "consolidated list of financial sanctions targets in the United Kingdom," the Panama Maritime Authority said in a statement on Friday. The move comes after new President Jose Raul Mulino issued a decree in October calling for vessels targeting by international sanctions to be removed from the country's ship registry, the largest in the world. The six ships targeted on Friday were added to the UK's sanctions targets list on Monday. "The state has the responsibility to ensure the well-being of the Panamanian Registry, (to keep it) free from international sanctions and ships linked or included in sanctions lists that can affect the prestige of the flag," said Panama's Merchant Marine director general Ramon Franco. "This is a priority issue for this administration." Sign up here. https://www.reuters.com/world/panama-begins-canceling-registration-six-uk-sanctioned-vessels-2024-11-29/