Website: Europe.com

  • Europe’s Gabon-exposed stocks slide after military coup

    Europe’s Gabon-exposed stocks slide after military coup

    MILAN, Aug 30 (Reuters) – Shares in European oil producers, miners and other companies with large exposures to Gabon plummeted on Wednesday after a military coup raised concerns over their operations in the resource-rich African country.

    London-listed oil producer Tullow Oil (TLW.L) fell as much as 12% in afternoon trading, while French energy companies TotalEnergies Gabon (EGAB.PA) and Maurel et Prom (MAUP.PA) and miner Eramet (ERMT.PA) all dropped by more than 20% at one point.

    “Shares are reacting to concerns over the backdrop in Gabon,” said Investec equity analyst Alex Smith in London.

    Military officers in Gabon said they had seized power on Wednesday and put President Ali Bongo under house arrest, stepping in minutes after the state’s election body announced he had won a third term.

    France, Gabon’s former colonial ruler which has troops stationed in the African nation, condemned the coup.

    Eramet, the world’s No.1 producer of high-grade manganese ore thanks to its Moanda mine in Gabon, said it had suspended all operations in the country as a “precautionary measure”.

    The German share price index DAX graph is pictured at the stock exchange in Frankfurt

    The German share price index DAX graph is pictured at the stock exchange in Frankfurt, Germany, August 30, 2023. REUTERS/Staff/File Photo Acquire Licensing Rights

    Timber company Woodbois (WBI.L) also said production at its facilities in the Gabonese city of Mouila were suspended, sending its London-listed shares almost 16% lower.

    However, Assala Energy, which current owner Carlyle (CG.O) has agreed to sell to Maurel, said its oil production in Gabon was unaffected.

    Tullow Oil also told analysts its production was continuing as normal.

    “Note Gabon production represents around 20% of group production. However, assets are based offshore and importantly oil revenue is dollar denominated,” said Investec’s Smith.

    Gabon produces about 200,000 barrels a day (bpd) of crude oil, making it the second-smallest OPEC producer.

    Oslo-listed Panoro Energy (PENR.OL) and BW Energy (BWE.OL) were down 5% and 7%, respectively, and U.S.-based Vaalco Energy (EGY.N) fell 13.8%.

    According maritime sources, at least 30 commercial ships dropped anchor on Wednesday around Gabon’s waters.

  • Mundoro Announces Profitable H1-2023 Results

    Mundoro Announces Profitable H1-2023 Results

    Mundoro Capital Inc. (TSXV: MUN | OTCQB: MUNMF | www.mundoro.com) (“Mundoro” or the “Company“) is pleased to report profitable financial results from its operations in the first six months ending June 30, 2023 (“H1-2023”).

    Teo Dechev, CEO and President commented: “The Company has delivered a profitable first half of 2023 as a result of the generative business strategy which continues to operate 10 exploration programs, generating new exploration opportunities for partnering while maintaining low corporate expenses. Cash Flow from Operations increased by 561% to $1,263,215 which continues to improve the company’s balance sheet.  For the second half of 2023, Mundoro is on track to reach the forecasted $2 million to $2.5 million in fees earned with total corporate and generative expenses of $1.6 million. The company is projected to complete 17,000 meters of drilling as a result of the $15 million in partner funded exploration expenditures in 2023.”

    Follow our weekly updates on: LinkedIn and Twitter @Mundoro

    Financial Highlights and Outlook
    For complete details of the Company’s financial results, please refer to the condensed interim consolidated financial statements and MD&A for the six-month periods ended June 30, 2023, and 2022. The Company’s filings are available on SEDAR at www.sedar.com and on Mundoro’s website at www.mundoro.com.

    • Strong Cash Position: As of June 30, 2023, the Company held $8,398,601 in cash and cash equivalents (“Cash Position”) and no long-term debt.
    • Fees Earned:  In H1-2023, the Company generated $1,464,598 in Fees and Payments, up 298% compared to the same period in 2022.
      Corporate Expenses: General and administrative expenses of $625,164 were incurred in the H1-2023, up 38% compared to the same period in 2022.
      Net Income from Operations: Net income was $1,084,863 for H1-2023, compared to a net loss of $481,794 for the same period in 2022.
      Positive Cash flow from Operating Activities: Cash flow of $3,725,504 was generated from operating activities in H1-2023. Cash flow generated from operating activities, excluding changes in non-cash working capital, was $1,263,215, up 561% compared to the same period in 2022.

    Portfolio Outlook for 2023

    • Generation of Fees Guidance for 2023: For 2023, the Company estimates generating $2 – $2.5 million in fees from partner programs while the Corporate Expenses and Generative Exploration Costs are estimated to be approximately $1.6 million. As a result, the Company does not anticipate a need to raise capital in 2023.
    • Partner-Funded Exploration Expenditure Guidance in 2023: For 2023, the exploration  expenditures funded by partners estimated at approximately $11 million to $15 million. During 2023, Mundoro is the designated operator of six (6) exploration programs in Serbia, one (1) exploration program in Bulgaria and two (2) exploration programs in the USA. Total drilling across all programs is planned to be approximately 17,000 meters depending on various factors such as permitting.

    Project Portfolio Highlights for Q2-2023
    For complete details of the Company’s Summary of Operations, please refer to the MD&A for the six-month periods ended June 30, 2023, and 2022. The Company’s filings are available on SEDAR at www.sedar.com and on Mundoro’s website at www.mundoro.com.

    • Announcement of New Copper Project in Arizona: In Q2-2023, Mundoro announced the staking of the Picacho Project in Pinal County, Arizona. The Picacho project is situated within the Laramide Porphyry Belt, and has an approved work program and budget to be sole-funded by Vale, with Mundoro as the operator. The project will generate property payments, operator fees, and additional exploration potential for undercover copper porphyry systems in Arizona.
    • Commencement of Drilling with Vale in Arizona: In Q2-2023, Mundoro announced the commencement of a drill program at Mundoro’s Vale optioned project, Dos Cabezas, located in Cochise, Arizona. The drill program is planned for 3,000 meters to test five target areas with 5 drill holes.  These five drill holes represent a rare opportunity in Arizona to test an undrilled porphyry copper system.  The first two holes were drilled in Q2-2023 with the next three drill holes to be drilled in Q4-2023.
    • Commencement of Drilling with BHP in Serbia:  In Q2-2023, Mundoro commenced a drill program at Mundoro’s BHP option project, Borsko Jezero, which is located in the central portion of the Timok Magmatic Complex in eastern Serbia. The drill program was completed in Q2-2023 to test one target area with one 2,000 meter drill hole.
    • Commencement of Drilling with Vale in Timok, Serbia:  In Q2-2023, Mundoro announced the commencement of a drill program at Mundoro’s Vale optioned project area located in the southwest portion of the Timok Magmatic Complex in eastern Serbia. The drill program is planned for 8,000 meters to test five (5) target areas with nine (9) drill holes. The five main target areas for drill testing during the 2023 drill program are: (i) Tilva Rosh, (ii) Markov Kamen, (iii) Bacevica North, (iv) Orlovo, and (v) Prekostenski.
    • Advancing Exploration for upcoming Drill Program with JOGMEC: In Q2-2023, Mundoro submitted 8 drill hole locations for permitting to the responsible authorities.

    Qualified Person
    The scientific and technical information described in this Press Release has been prepared in accordance with National Instrument 43-101. The scientific and technical information for Serbia and Bulgaria exploration programs was reviewed and approved by Thomas Sant, FGS (EurGeol, CGeol) a Qualified Person as defined by NI 43-101 and Exploration Director to the Company. The scientific and technical information for the USA exploration programs has been reviewed and approved by T. Dechev, P.Eng (PEO, APEGBC), a Qualified Person as defined by NI 43-101, and the Company’s Chief Executive Officer.

    About Mundoro Capital Inc.
    Mundoro is a publicly listed company on the TSX-V in Canada and OTCQB in the USA with a portfolio of mineral properties focused primarily on base and precious metals.  To drive value for shareholders, Mundoro’s asset portfolio generates near-term cash payments to Mundoro from partners and creates royalties attached to each mineral property.  The portfolio of mineral properties is currently focused on predominantly copper in two mineral districts: Western Tethyan Belt in Eastern Europe and the Laramide Belt in the southwest USA.

    For further information about Mundoro, please contact Teo Dechev, Chief Executive Officer, President and Director, +1-604-669-8055, and Shamil Devji, Investor Relations Manager at +1-604-669-8055.  You can also visit Mundoro’s website www.mundoro.com.

    Caution Concerning Forward-Looking Statements
    This News Release contains forward-looking statements. Forward-looking statements can be identified by the use of forward-looking words such as “will”, “expect”, “intend”, “plan”, “estimate”, “anticipate”, “believe” or “continue” or similar words or the negative thereof, and include the following: completion of earn-in expenditures, options and completion of a definitive agreement by the parties. The material assumptions that were applied in making the forward looking statements in this News Release include expectations as to the mineral potential of the Company’s projects, the Company’s future strategy and business plan and execution of the Company’s existing plans. We caution readers of this News Release not to place undue reliance on forward looking statements contained in this News Release, as there can be no assurance that they will occur and they are subject to a number of uncertainties and other factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements. These factors include general economic and market conditions, exploration results, commodity prices, changes in law, regulatory processes, the status of Mundoro’s assets and financial condition, actions of competitors and the ability to implement business strategies and pursue business opportunities. The forward-looking statements contained in this News Release are expressly qualified in their entirety by this cautionary statement. The forward-looking statements included in this News Release are made as of the date of this News Release and the Board undertakes no obligation to publicly update such forward-looking statements, except as required by law. Shareholders are cautioned that all forward-looking statements involve risks and uncertainties and for a more detailed discussion of such risks and other factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements, refer to the Company’s filings with the Canadian securities regulators available on www.sedar.com.

    Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

  • Sweden to lift parliamentary ban on uranium mining

    Sweden to lift parliamentary ban on uranium mining

    Sweden’s Climate Minister Romina Pourmokhtari has announced plans to lift the country’s ban on uranium mining and make way for greater nuclear energy capacity.

    The Swedish Parliament has shown majority support for a lift on the ban, according to Pourmokhtari.

    The government plans to build at least ten large reactors in the next 20 years to meet the demand for low-carbon energy. Swedish Prime Minister Ulf Kristersson told reporters in January that the government is “changing the legislation”, which will increase nuclear investment in the country.

    Swedish ministers decided to phase out nuclear generation in 1980 and have historically taken an anti-nuclear stance. However, this policy was repealed in June 2010. Pourmokhtari is a public advocate of nuclear generation and says it should form a part of Sweden’s future energy mix.

    “The government is aiming at doubling electricity production in 20 years,” Pourmokhtari told The Times this weekend.

    “For our clean power system to function, a large part of this has to be dispatchable where nuclear power is the only non-fossil option. Nuclear power also has a reduced environmental footprint and requires limited resources in comparison with most energy sources.”

    Uranium mining has become a point of concern for Europe’s nuclear industry as Russia dominates the processing of the fuel. Following the country’s invasion of Ukraine last year, the EU has sought to reduce its energy dependence on Moscow.

    Kazakhstan, however, is by far the largest uranium miner. According to the World Nuclear Association, the country produced the largest share of mined uranium (43% of the global supply) in 2022, followed by Canada (15%) and Namibia (11%).

    The European Parliament has been the site of heated debate over the role of nuclear generation in a net-zero future. France, which generates around 70% of its energy from nuclear sources, has been vocally pro-nuclear. Meanwhile, Germany, which has shut down its final three nuclear power stations this year, says that the fuel is not renewable.

    Sweden accounts for 80% of the EU’s uranium deposits and already extracts uranium as a waste product when mining for other metals.

    Several companies, including Australia’s Aura Energy and Canada’s District Metals, have already expressed interest in developing uranium sites in Sweden.

  • The place where no humans will tread for 100,000 years

    The place where no humans will tread for 100,000 years

    In a few years, Finland will begin depositing spent nuclear fuel underground in Onkalo, where it will remain for millennia. Erika Benke describes her experience of visiting the site.
    I’m always upbeat on the way to interviews. To me they’re the most enjoyable part of the storytelling process.

    But this time I feel different. A tour at Onkalo, which lies 450m (1,480ft) below the ground, to see tunnels hewn in the living rock to store highly radioactive waste for 100,000 years, suddenly makes me nervous.

    I’m about to visit the world’s first permanent storage site for spent nuclear fuel.

    As I drive on a near-empty road in southwest Finland, I slow down trying to imagine what this picture-postcard Nordic countryside with huge pine trees would look like in 1,000 years. Or 10,000.

    Will there be any people in the pretty houses dotted around Olkiluoto island? If so, will they speak Finnish? Will they use a language at all? And, most crucially, will they know about the potential danger lurking in the ground under their feet at Onkalo? (Read more about how to communicate a nuclear warning 10,000 years into the future.)

    Spent fuel rods from nuclear power stations are currently kept in temporary storage facilities around the world.

    Finland is the first country implementing what it hopes is a permanent solution. Starting in two or three years, highly radioactive waste will be buried deep in the bedrock at Onkalo, after being encased in cast-iron and copper cylinders and wrapped in bentonite clay.

    I didn’t feel remotely anxious when I spoke to people at Onkalo on the phone. But I feel apprehensive now. It helps that our hosts from Posiva, the company running the site, show us a safety video first. I watch it with fellow visitors, two German TV crews.

    The video hits a tone of sensible down-to-earth pragmatism. Don’t get separated from the group. In an emergency, follow your guide’s instructions. It’s an active construction site so watch out for vehicles and machines. If there’s a fire, follow your guide to the nearest shelter. The video shows a group of people calmly walking into a fire-proof pod with its own oxygen supply. Once inside, their guide hands everybody a bottle of water. It all looks very organised.

    “Have you ever been in an emergency down there?”, I ask one of our guides, Johanna Hansen, research and development coordinator at Posiva.

    “Only one, but it was a false alarm,” she replies with a smile.

    I feel a moment of dread – I’m standing at a spot where, starting from 2025, no human should set foot for 100,000 years

    Next we’re asked to don our safety gear: a bright yellow high-visibility jacket, waterproof boots, a helmet with a visor and a belt with a torch. We’re each handed a small pack containing an escape hood that will protect us from fire-related gases for 15 minutes. I’m relieved to hear that the helmets have a tracking device so people in the control room above the ground will always know where I am in the tunnels.

    With that reassuring thought I walk through the turnstile at a security gate under the blazing midday sun and get into a car. Our guide drives into the service tunnel without hesitation. In a moment, everything turns very dark.

    It takes 15 minutes to drive down to Onkalo’s service station which lies 437m (1,430ft) below the ground. As the 4.5km-long (2.8 mile) tunnel begins to snake down, we see a standard traffic sign for a 20km/h (12mph) speed limit. There are also green signs on the tunnel wall at regular intervals indicating how far we are from the surface.

    No nuclear waste is yet stored at Onkalo – but it is an active building site so required Erika to don safety equipment (Credit: Erika Benke)

    No nuclear waste is yet stored at Onkalo – but it is an active building site so required Erika to don safety equipment (Credit: Erika Benke)

    It’s a lot less scary than I thought it would be. I think what makes me relax is to see that we’re not alone. The tunnel is narrow – it’s for one vehicle – but when we pass a bay, we catch glimpses of trucks and cars. It’s like driving in a busy construction site, just set in a cave.

    We arrive at the service station surprisingly quickly: a spacious, well-lit chamber with crushed stone underfoot. There’s a lot of heavy machinery and a row of large containers filled with construction materials. Two men standing on a cherry picker attached to harnesses are working on ventilation shafts in the ceiling. Two other workers are in conversation over containers surrounded by massive cables.

    It feels oddly normal: people are going about their jobs as if they were in a factory above the ground. It’s a pleasant 14C (57F) and the air is clean: a ventilation system has been installed and there’s no smell of dust or moisture.

    Our guides explain how nuclear waste canisters will arrive at the service area in a lift running straight down from the encapsulation plant on the surface. We can’t see the lift shaft – its construction is still underway. For now, it’s covered by a large door marked with two large red Xs.

    When the spent fuel starts being stored here, canisters will be lowered from this lift landing area further down to a deposition tunnel where they’ll be picked up by robotic vehicles to take them to vertical deposition holes – their final resting places.

    We’re shown a demonstration deposition tunnel. Its entrance is a lot darker than the service area and the floor is uneven and wet, muddy in places. The walls are bare bedrock that glints in the torchlight.

    I realise that I’ve lost a small pink cable that connects my camera to the radio mic and I go back to find it. This is when I feel a moment of dread.

    I’m alone in a dark tunnel where spent nuclear fuel will decay for millennia. I’m standing at a spot where, starting from 2025, no human should set foot for 100,000 years.

    It brings home so clearly how brief our lives are. I fleetingly contemplate how minuscule a part of 100,000 years my own life is.

    I find myself having a flashback from 30 years ago, skiing in the Alps, surrounded by fog so heavy that I didn’t know which way was up or down.

    That was my first powerful glimpse of how fragile we are when facing the power of Earth. Onkalo’s bedrock has given me the second.

  • Can Poland dismantle the EU Green Deal with legal challenges?

    Can Poland dismantle the EU Green Deal with legal challenges?

    For years, Poland’s right-wing government has been threatening to legally challenge the EU’s climate policy, and this summer it delivered on that threat. Climate and Environment Minister Anna Moskwa announced on 8 August the country has petitioned the European Court of Justice to strike down the recent revision to the EU’s Emissions Trading System (ETS) and the Carbon Border Adjustment Mechanism (CBAM), which is set to start levying a fee on climate-unfriendly imports on 1 October. Both are key components of the Fit for 55 package, the legislative toolbox designed to deliver on the goals of European Commission President Ursula von der Leyen’s Green Deal.

    “The introduction of CBAM fees will translate into an increase in the cost of imported products and electricity, as well as products manufactured in Poland for the end user,” Moskwa said in a statement. Regarding the ETS, Moskwa said Poland objects to the increase in allowances that will keep the price of carbon high, which “may reduce the level of energy security” of EU countries at a time when that security is being threatened by Russia.

    The substance of the laws was decided by majority votes of EU countries earlier this year, in which opposition by Poland and Hungary was overcome. Poland is not only challenging the substance of the laws based on their effects, but also the way the laws were adopted. Because the laws will affect the economy, they are “primarily of a fiscal nature”, Moskwa said, and therefore the ordinary voting system should not have been used but rather a special legislative procedure which requires unanimous approval by all EU member states. Were the EU’s high court to agree, the laws could be invalidated and sent back to the Council for another vote, at which time Poland and Hungary would veto them.

    Poland already challenged four other pillars of Fit for 55 earlier this summer: the ban on combustion engine car sales by 2035; the reduction of free allowances in the ETS; increased EU forest management; and the overall increase of the EU’s greenhouse gas emissions reduction target. Poland’s heavy use of coal and energy security concerns have made it the chief opponent of EU climate policy for two decades. They have tried and failed in the past to challenge EU climate policy with the high court. In 2016 they took the European Council and European Parliament to court for passing a law establishing a market stability reserve in the ETS to raise the price of carbon, which was drastically too low to be effective. They used the same argument – that the law needed to be decided by unanimity. This argument was rejected by the European Court of Justice.

    Uphill battle

    Legal experts say Poland’s chance of success at the European Court of Justice this time around is also not high – but there is a big question mark hovering over the CBAM legislation. “Such a justification, i.e. the protection of state interests presented as in the Polish government’s complaints, will not work – as confirmed by the court’s well-established previous jurisprudence in similar cases,” says Robert Grzeszczak, a professor of European law at the University of Warsaw.

    “Besides, it’s a double-edged weapon. If Poland managed to challenge EU law on the grounds of its state interests, so could any other state challenge any other arbitrary act, precisely on the grounds of protecting national interests. This is not sufficient on its own, specific infringements must be demonstrated which would cause the act to be annulled by the court.” He adds that Poland’s argument that the wrong voting method was used is also unlikely to hold water with the court since it is specifically taxation that needs unanimity votes, not all fiscal policy.

     

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    This is precisely why the Commission has been so insistent on not calling the levy a “carbon border tax” and rather using the cumbersome formulation of CBAM. A “tax” would have required unanimous approval, and the EU executive likely expected Poland to veto the proposal. That is what makes CBAM perhaps the most vulnerable of all the pieces of legislation challenged. If the high court were to rule it is in fact a tax and not an “adjustment mechanism”, it would be sent back to the Council, where Poland would kill it. Given that companies are already preparing for the start of the mechanism on 1 October, this could cause major disruption – especially if the court makes a ruling after CBAM has taken effect. A ruling before 1 October, or even by the end of the year, is unlikely.

    “Based on similar actions, it can take two years or more for a judgment to be rendered and the contested rules are generally not suspended during that period,” consultancy Ernst & Young said in a note to clients. “The action could have significant impact on CBAM and the EU’s Green Deal in the medium-term. Withdrawal of the CBAM Regulation, in full or part, could jeopardise the EU Commission’s plans for the EU economic zone’s competitiveness among industries that are subject to ETS regulations.”

    “Given the fast-approaching 31 January 2024 deadline for submitting the first CBAM report covering Q4 2023, businesses need to continue their efforts to prepare for their CBAM compliance obligations,” it added.

    Climate of hostility

    Although they do not believe Poland’s legal challenge will be successful, NGOs are warning that were the court to rule in Warsaw’s favour on CBAM, or the other pieces of legislation, it could cause the overall framework of the EU’s climate efforts to collapse. They say Poland is playing a dangerous political game.

    “Warsaw’s blanket opposition towards major Fit for 55 regulations should be mainly understood in the context of the quickly approaching parliamentary elections [in Poland],” says Michał Smoleń, head of the energy and climate programme at the NGO Instrat. “Hostility towards more ambitious EU climate policies have unfortunately become just another topic for the competition between different right-wing factions, both inside and outside the ruling coalition.”

     

    Read more from this author: Dave Keating

     

    This exploitation of anti-climate-laws sentiment is not limited to Poland’s far-right government. Europe’s centre-right has also been flirting with such populist messages ahead of the EU and UK elections next year. And this comes while the EU this week lost its green champion, Executive Vice President Frans Timmermans. On Tuesday, Timmermans officially resigned his post to run to become prime minister of the Netherlands in the upcoming Dutch election. He will be replaced by Maroš Šefčovič, the EU commissioner from Slovakia.

    Šefčovič, in charge of interinstitutional relations, has been a master at the art of compromise – the opposite of Timmermans’ sometimes hard-headed approach. Timmermans has been loathed by the Polish and Hungarian governments, and their domestic media, because of his actions against them for rule of law violations during the previous commission term of 2015–2019.

    The more compromise-minded Šefčovič, a neighbour of Poland and Hungary, could find a way to defuse the situation and convince Poland to drop its legal challenges – perhaps after the Polish election is over. But some worry that, with Timmermans gone and President von der Leyen looking ahead to her prospects of re-appointment next year, the Commission is now more likely to back down and weaken the remaining elements of the Fit for 55 package amid pressure from Europe’s right.

    It may be that Poland can succeed in at least partially dismantling the EU’s Green Deal without winning any of its legal challenges, simply by intimidating the EU executive against proposing and further ambitious legislation. Either way, these legal moves could have a major effect on the future of EU energy policy.

  • German industry slams burden of new EU carbon tariff

    German industry slams burden of new EU carbon tariff

    Meanwhile, analysis from consultancy Deloitte has revealed that many companies have failed to sufficiently perpare for the new rules, in these sectors and others.

    European manufacturers have previously been able to count on emitting about half of their CO2 without incurring extra charges under the EU’s carbon price (ETS) to maintain their competitiveness vis-à-vis foreign products.

    However, in 2021, the European Commission proposed to replace the free emissions rights with a protective carbon tariff – the Carbon Border Adjustment Mechanism (CBAM). The scheme was ultimately adopted, to be gradually phased in from 2026.

    Slowly, companies hoping to export their carbon-heavy products into Europe will have to pay up – incrementally matching the carbon avoidance costs of EU companies until 2032, when the scheme will take full effect.

    Initially, only steel, iron, cement, aluminium, electricity, hydrogen, and fertiliser – goods whose production is associated with a big share of global CO2 emissions – will be affected by the tariff.

    In mid-August, the Commission published the detailed reporting requirements that companies will have to comply with. The data gathering will have to start on 1 October this year and the first report is due for 31 January 2024, much to the dismay of Germany’s chemical industry.

    Bureaucratic burden 

    “The bureaucratic madness caused by CBAM is unbelievable,” said Wolfgang Große Entrup, chief of the German chemical industry association VCI, on LinkedIn, adding that it is “necessary to draw attention to the new EU ‘climate protection instrument’” and called for European and German politicians to “wake up” to the policy’s impacts.

    “CBAM should be the last resort,” said the industry association BDI, arguing that the threat of carbon levies should be used primarily to force foreign countries into compliance.

    Various consultancies have chimed in, too. “Many companies will not manage to comply with all the new obligations as of October,” Stephan Freismuth, tax expert of the auditors KPMG, told German paper WamS.

    As a consequence, penalties loom. Additionally, CBAM threatens to hit the German where it hurts most. Because of the CO2 levy on steel, “CBAM could contribute to making cars more expensive in the EU in the long run,” Freismuth said.

    Foreign companies may also refuse to report their emissions in order to comply with the rules, precluding them from exporting to the EU – resulting in a loss of suppliers, he noted.

    Deloitte, a competitor of KPMG, found a similar lack of preparedness among German firms.

    “60% of decision-makers in companies that import the products in question from countries outside the EU are not familiar with CBAM,” the company reported, based on findings from a survey of 700 companies.

    “Even if CBAM, with the corresponding financial implications, is not fully introduced until 2026, there is an acute need for action for many companies,” explained Michael Schäfer, a partner at Deloitte.

    In order to align with the phase-in of CBAM, companies would have to get their carbon accounting up to speed in order to ensure their conformity with EU rules, he added.

  • Neometals joint venture to build battery shredding plant for Mercedes

    Neometals joint venture to build battery shredding plant for Mercedes

    Australia’s Neometals Ltd said on Wednesday that its battery recycling joint venture will build a battery shredding plant in southern Germany for Mercedes-Benz.

    The deal by Primobius, which is 50% owned by Neometals and 50% by German engineering firm SMS Group, represents its first commercial recycling plant supply agreement to a global automaker, it said in a statement to the ASX.

    Using Primobius technology, the plant will provide shredded battery material to the Mercedes LIB Recycling Plant, which will recover materials including lithium, cobalt, nickel and manganese.

    This will be fed back into production of a targeted 50,000 battery modules for installation into new Mercedes vehicles.

    Primobius will be responsible for the engineering, equipment supply and installation of the plant, the company said in a statement.

  • Turkish construction giant buys Ukrainian granite mining business

    Turkish construction giant buys Ukrainian granite mining business

    Turkish multinational Onur Group has acquired Rokytnivskyi Spetskaryer LLC, a Ukrainian company that mines granite, granodiorite and gabbro-diabase at the Rokytne deposit in Rivne Oblast, the company’s Facebook page reported on Aug. 22.

    The project is a part of ONUR GROUP Mining & Quarrying.

    According to the YouControl data monitoring platform, Onur Construction International LLC became sole owner of Rokytnivskyi Spetskaryer LLC in May 2023. Turkish nationals Ihsan and Onur Çetinceviz were later named as final beneficiaries.

    The previous owners were Ihor Pastukh of Rokytne and Inna Samoylyk of Rivne.

    Journalist outlet Nadra.info estimates Onur now controls a number of Ukrainian subsurface assets through acquired companies:

    • Granite, granodiorite and gabbro-diabase: Rokytne deposit, Rivne Oblast – Rokytnivskyi Spetskaryer LLC (owners Ihsan and Onur Çetinceviz);
    • Migmatites: Yunashkivske deposit, Vinnytsia Oblast – Yunashkivskyi Spetskaryer LLC (owner Onur Çetinceviz);
    • Primary kaolin: Ivanivska area with Ivanivskyi occurrence, Dnipropetrovsk Oblast – Spys Ukraine LLC (owners Onur Çetinceviz and Murat Kavak);
    • Primary kaolin: Myroliubivsko-Dniprovska area (north-eastern part), Dnipropetrovsk Oblast – Kopie Ukraina LLC;
    • Primary kaolin, sand: Pavlivske deposit, Dnipropetrovsk Oblast – Kopie Ukraina LLC;
    • Gold ores: Zhovtovodska area, Dnipropetrovsk Oblast – Kopie Ukraine LLC;
    • Graphite: Horodnyavska area of Burtyn deposit, Khmelnytskyi Oblast – Kopie Ukraina LLC;
    • Sand: Pivdenno-Trostyanetske deposit, Lviv Oblast – Agrobudservice LLC (owner Onur Çetinceviz).
  • UK to provide £192m loan guarantee to boost Ukraine nuclear capabilities

    UK to provide £192m loan guarantee to boost Ukraine nuclear capabilities

    Energy secretary Grant Shapps has visited Ukraine to announce fresh financial support for its nuclear fuel supply in a bid to end its reliance on Russia.

    The UK will provide a £192m loan guarantee to Ukraine’s national nuclear company, Energoatom via the UK’s export credit agency, UK Export Finance.

    Through the deal, UK-headquartered Urenco will supply Energoatom with uranium enrichment services that are vital for nuclear fuel, with nuclear power generating over half of the country’s electricity.

    The government hopes this will strengthen Ukraine’s energy security and help end the country’s dependence on nuclear services and nuclear fuel from Russia, as well as further isolate Vladmir Putin.

    According to the Department for Energy Security and Net Zero, the new loan will take the UK’s non-military financial assistance to Ukraine close to £5bn.

    On his visit to Ukraine, Mr Shapps met senior Ukrainian ministers and energy industry figures and visited a power station that is undergoing repairs after it was damaged by Russian bombing.

    He also visited a children’s nursery attended by Nikita, the young son of the family he took in under the UK’s Homes for Ukraine scheme – where he played a recorded message from the boy.

  • PEJ Submits Location Decision Application For First Nuclear Power Plant

    PEJ Submits Location Decision Application For First Nuclear Power Plant

    Polskie Elektrownie Jądrowe (PEJ) has submitted an application to the government of the northern Pomerania province seeking a location decision for Poland’s first nuclear power plant.

    The company said the move is “one of the most important steps” in the administrative process preceding the construction of a nuclear power plant. The proposed site lies within the Choczewo municipality in Pomerania.

    The decision will give PEJ the rights to acquire necessary land both onshore and offshore for the project’s construction, the company said.

    It will also outline the real estate to be covered by the investment and set forth conditions for implementation, including technical, environmental, conservation, and fire protection considerations.

    In November 2022, Warsaw chose US-based Westinghouse Electric to supply its AP1000 reactor technology for a three-unit nuclear power station at the Lubiatowo-Kopalino site in the municipality of Choczewo near the Baltic coast of Pomerania.

    The first AP1000 unit is expected online in 2033 with others planned to follow into the 2040s.

    Several other crucial administrative requirements have already been completed, including a decision-in-principle from the ministry of climate and environment affirming the project’s alignment with state energy policies, and a general opinion confirming the validity of safety analysis verification conducted by the national atomic energy agency. The process to obtain a decision on environmental conditions is also at an advanced stage.

    Nuclear new-build plans are a central part of Poland’s drive to fundamentally realign its energy sector by 2040. The venture is one of Poland’s most significant public works projects ever and will provide both energy security and support for a growing economy.