2024-04-23 20:54

SANTIAGO, April 23 (Reuters) - Chile is expected to produce a record 5.8 million metric tons of copper in 2025, the state-run Chilean Copper Commission (Cochilco) said on Tuesday. The projected output would represent a 6% increase from the 5.5 million tons expected this year, according to a Cochilco statement. The forecasts for this year and next are above the yearly average seen over the last decade and signal the beginning of a "recovery cycle" for Chilean copper mines, Cochilco's Executive Vice President Joaquin Morales said in the statement. Chile controls nearly a quarter of the global copper market, but production has suffered in the past two years with output from state-owned mining giant Codelco falling to its lowest level in a quarter century amid project delays. Morales credited the expected rebound this year to production gains from Canadian miner Teck Resources' (TECKb.TO) New Tab, opens new tab Quebrada Blanca mine, followed by operations from Australia's BHP Group (BHP.AX) New Tab, opens new tab. Late last year, Tech Resources inaugurated its Quebrada Blanca Phase 2 project, one of just a few large mine expansion projects in recent years. Sign up here. https://www.reuters.com/markets/commodities/chile-sees-record-copper-production-next-year-2024-04-23/

2024-04-23 20:51

NEW YORK, April 23 (Reuters) - Foreigners added about $32.7 billion to their emerging market portfolios in March, a fifth consecutive month of overall foreign net flows to EMs, the Institute of International Finance said on Tuesday. The IIF banking trade group said flows were positive for both bonds and equities last month, with equities absorbing $10.2 billion and debt $22.5 billion. The data showed it was the first time since September 2021 that China and ex China, bonds and equities, posted simultaneous monthly inflows. The overall monthly figure compares with inflows of $20.5 billion in February and a $9.1 billion outflow in March of 2023. Positive flows returned to both Chinese equities and debt for the first time since June, if only slightly. China stocks took in $1.7 billion and bonds $2.1 billion. "EM ex-China debt has seen stronger flows, sustained mainly by large issuance by a few selected EMs and a positive impact from carry trade," said IIF economist Jonathan Fortun. "Moreover, market appetite for local currency debt across the EM complex has also aided the overall figure." Yet the outlook is cloudy, the IIF said, given the uncertainty surrounding the pace and even the direction of monetary policy in the United States. "Emerging market currency returns will remain closely linked to the U.S. economy," Fortun wrote in a statement. "A great amount of risk in the outlook remains, mainly related to further escalation on geopolitical conflicts, the return of inflation spikes and consequent more hawkish stance of the Fed." Persistent inflation and higher-for-longer interest rates were cited as key risks to financial stability in the Federal Reserve's latest survey of U.S. central bank contacts. Sign up here. https://www.reuters.com/markets/foreigners-add-net-327-bln-em-portfolios-march-iif-2024-04-23/

2024-04-23 20:38

April 23 (Reuters) - Solar inverter maker Enphase Energy (ENPH.O) New Tab, opens new tab projected second-quarter revenue below analysts' estimates on Tuesday, in a sign of sluggish recovery in demand across its markets. The Fremont, California-based company forecast revenue in the range of $290 million to $330 million for the quarter ending June, compared with analysts' average estimate of $348.6 million, according to LSEG data. Rising inventory levels in Europe and a metering reform in top U.S. market California have dented demand for Enphase's inverters used in residential solar units. The metering reform has lowered credit that households with rooftop solar panels received for transferring excess power to the grid. Elevated interest rates, which have raised the payback period for investment in solar, are also hurting demand. Enphase said in February it expects inventory levels to normalize and demand for its products to pick up by the end of the second quarter. Microinverter shipments fell 71% to about 1.38 million in the first quarter from a year earlier. Revenue of $263.3 million missed analysts' average estimate of $279.8 million. The company had cut its workforce by 10% last year and reduced its manufacturing capacity to clear its excess inventory. Sign up here. https://www.reuters.com/business/energy/enphase-forecasts-revenue-below-estimates-inverter-market-stays-under-pressure-2024-04-23/

2024-04-23 20:20

SYDNEY, April 24 (Reuters) - Shareholders rejected Woodside Energy's (WDS.AX) New Tab, opens new tab climate plan on Wednesday, marking a symbolic victory for activists who have called for Australia's biggest gas producer to stop new fossil fuel projects, but its chairman survived a push to oust him. Following a lengthy campaign by activists, 58% of the votes opposed Woodside's climate transition plan in a demonstration of the growing unease over its strategy for curbing carbon emissions which critics say is unambitious and vague. Goyder said he was disappointed by the plan's rejection but the board respected the result and would keep talking to shareholders about its strategy. "The vote reflects the challenges and complexities of the energy transition, and today's outcome is one we take very seriously," he said. Opposition has grown since a vote two years ago, when 49% were against the climate plan, also in a non-binding vote. A related campaign to block Goyder's re-election and hold him accountable for the plan failed to unseat him but cut his margin of victory down to 83.4%, from the 99.2% support he secured in 2021, in a rare rebuke for an Australian company chairman. A vocal and public campaign against the plan and Goyder won support from major pension funds in the U.S., Norway and Australia along with proxy advisor Glass Lewis. The acrimony spilled over into a four-hour long meeting. In one testy exchange, Goyder said the company wanted to invest more in new energy projects but customers were not willing to pay for higher-priced products. "We cannot and won't be turning on a dime on this and nor should you or anyone else expect us to do that," he said. Activists want Woodside to shelve major new oil and gas projects and oppose its reliance on carbon credits to help meet its targets. "It would be belligerent for Woodside to front up to shareholders next year with the same old approach," said Harriet Kater, head of impact at the Australasian Centre for Corporate Responsibility (ACCR), which led the campaign against Goyder and the climate plan. Woodside has a $20 billion plus portfolio of new projects in various stages of development and is targeting net zero by 2050 for Scope 1 and 2 emissions, which refer to those produced directly or indirectly by its operations. Goyder said he had personally held 83 meetings about climate change with investors since last year and despite the public campaign against the company, there had been no high profile divestments. "I'd like to state very clearly that we are committed to conducting our business sustainably. This means responding to climate change," he said. Sign up here. https://www.reuters.com/sustainability/climate-energy/woodside-activist-investors-prepare-hotly-contested-climate-battle-agm-2024-04-23/

2024-04-23 20:03

TORONTO, April 23 (Reuters) - Canada and its Five Eyes Alliance partners are working on put forward a response to tackle the price manipulation of critical metals, Canada's Finance Minister Chrystia Freeland said on Tuesday. The U.S., Britain, Canada, Australia and New Zealand have what is called the Five Eyes intelligence sharing network and the finance ministers from these countries met last Thursday for the spring session of the International Monetary Fund (IMF) in Washington. Freeland said that she and her counterparts from the Five Eyes Alliance discussed last week on how these countries could "friendshore" their critical minerals supply chain to fight the dumping of critical minerals in the international market by large producing countries, such as China and Indonesia. The World Economic Forum describes 'friendshoring' as a trade practice where supply chain networks are focussed on countries that are regarded as political and economic allies. Freeland said Canada and its allies believe that nickel and other rare earth minerals are intentionally flooded in the market with the purpose of driving Canadian and companies from allied countries out of business. "Canada is actively working what we can do to discuss collective responses," she said, adding that economic security needs to be part of national security. Freeland was addressing the media at the annual First Nations Major Projects Coalition conference in Toronto. Canada has listed 31 metals as critical minerals, which are necessary towards future energy and technology transition. Dumping is an anti-competitive trade practice in which a country exports certain products at a price lower than what is sold in its home country. In March this year, Canada's Natural Resource Minister Jonathan Wilkinson had echoed similar concerns regarding price manipulation and dumping of metals used in electric vehicles. Canada as part of its effort to encourage investments in the critical metal and electric vehicle supply chain has offered investment tax credits in its recent annual budget that is set to attract interest from global car makers such as Honda (7267.T) New Tab, opens new tab. Freeland said that while the U.S. has the Inflation Reduction Act, legislation aimed at investments in clean energy that transformed the global investment landscape, Canada's investment policy is the only one in the world that gives the U.S. "a run for its money". Sign up here. https://www.reuters.com/markets/commodities/five-eyes-countries-working-fight-critical-minerals-dumping-canada-minister-says-2024-04-23/

2024-04-23 19:37

MONTREAL/OTTAWA, April 23 (Reuters) - Canada has granted Airbus a waiver to allow it to use Russian titanium in its manufacturing after becoming the first Western government to ban supplies of the strategic metal in its latest package of measures triggered by the war in Ukraine. The move gives Airbus flexibility in its Canadian plants and is expected to allay concerns that its core operations could be hit by effectively banning the import to Canada of its European-built jets that rely most heavily on lightweight titanium. "Airbus is aware of the Canadian government imposing sanctions on VSMPO and has obtained the necessary authorisation to secure Airbus operations in compliance with the applicable sanctions," Airbus Canada said in response to a Reuters query. It did not elaborate on the approvals or say how long they would remain in effect. The Canadian government did not respond to requests for comment. Sign up here. https://www.reuters.com/business/aerospace-defense/airbus-wins-reprieve-canadian-sanctions-russian-titanium-2024-04-23/