South Korea's NOFI buys estimated 133,000 T corn, traders say

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• South Korea's NOFI buys estimated 133,000 T corn, traders say

  European traders reported that the leading South Korean animal feed manufacturer Nonghyup Feed Inc., (NOFI), bought approximately 133,000 metric tonnes of animal feed corn at an international auction on Tuesday. Two consignments of corn were purchased for South Korea. One was purchased at an estimated price of $259.99 per ton, cost and freight plus $1.50 for port unloading. Seller was thought to be Pan Ocean trading house. The second purchase was made at a premium of 157.49 U.S. Cents per bushel over Chicago corn futures, plus an additional $1.25 surcharge per ton for port unloading. The seller was thought to be ADM, a trading house. The reports reflect the assessments of traders, and it is still possible to estimate prices and volume later. Michael Hogan is reporting.

• South Korea's NOFI purchases approximately 133,000 T corn

  European traders reported that the leading South Korean animal feed manufacturer Nonghyup Feed Inc., (NOFI), bought approximately 133,000 metric tonnes of animal feed corn at an international auction on Tuesday. The corn was bought in two consignments. It was expected that the corn would be from the United States, South America, or South Africa. A 65,000-ton consignment due to arrive in South Korea on June 10 was purchased at an estimated price of $25.99 per ton, cost and freight plus $1.50 for port unloading. Seller was thought to be Pan Ocean. The second consignment of 68,000 tons for arrival on June 20 was purchased at a premium of 157.49 U.S. Cents per bushel over Chicago corn futures, plus an additional $1.25 surcharge per ton for port unloading. The seller was thought to be ADM, a trading house. The reports reflect the opinions of traders, and it is still possible to estimate prices and volume later. If the consignment for June 10 is coming from the U.S. Pacific Northwest Coast, the shipment must be received between May 8 and 27. If it is coming from the U.S. Gulf coast between April 18 and 7 or South America between 14 and 2 May, the shipment should arrive between these dates. If the consignment for June 20 is coming from the U.S. Pacific Northwest Coast, the shipment will be between May 18 and 6; from the U.S. Gulf of Mexico between April 28 and 17; from South America between the 23rd April and 12th May or from South Africa from May 3 to May 22. Only 55,000 tonnes are required if the consignment is sourced from South Africa. Some traders said that some Asian importers purchased ahead of the possible market turmoil caused by the U.S. Department of Agriculture's world supply and demands estimates later on Tuesday, which can traditionally cause market volatility. (Reporting and editing by David Evans, Michael Hogan)

• South Korea's NOFI offers to purchase up to 138,000 metric tonnes corn

  European traders reported on Tuesday that the leading South Korean feedmaker Nonghyup Feed Inc. (NOFI) had issued an international bid to purchase up 138,000 metric tonnes of animal feed corn. The deadline to submit price bids in the tender is March 11, Tuesday. Two consignments of between 45,000 and 69,000 tons of corn are required to arrive in South Korea. Around June 10, the first corn shipment was expected to arrive in South Korea. Shipping is required between May 8 and 27, if the shipment originates from the U.S. Pacific Northwest Coast, or if it comes from the U.S. Gulf coast between April 18 and may 7, South America between the dates of April 13 and 2 and South Africa between the dates of April 23 and 12. Around June 20, the second corn shipment is expected to arrive in South Korea. If you are sourcing from the U.S. Pacific Northwest Coast, shipment will be between May 18 and 6; from the U.S. Gulf of Mexico between April 28 and 17; from South America between the 23rd April and 12th May or from South Africa from May 3 to 22nd. The sellers have the right of choice in the origins they supply. Traders said that they were seeking offers in both outright prices for a ton of corn c&f as well as a premium on the Chicago mai 2025 corn contract. The U.S. Department of Agriculture's world supply and demand estimates are expected to cause some market turmoil on Tuesday.

• Wall Street Journal, March 11,

  These are the most popular stories from the Wall Street Journal. These stories have not been verified and we cannot vouch their accuracy. Alimentation Couche-Tard reaffirmed its plans to acquire Seven & I, and stated that there was uncertainty as to whether the 7-Eleven business owner's new plan would deliver value to investors. Rocket Mortgage has agreed to purchase real estate brokerage Redfin for $1.75 billion. San Diego-based Illumina has reduced its financial forecasts for this year and cut $100 million from spending due to China's ban on sales of the gene-sequencing machine. Eric Schiele, a leading dealmaker at Kirkland & Ellis is leaving the firm to lead the global mergers & acquisitions practice of Paul Hastings, in New York. Beacon Roofing Supply has begun discussions with QXO about a possible combination where Brad Jacobs would buy Beacon's company for approximately $7,7 billion. The collision between a tanker and a container ship, which was carrying jet fuel to the U.S. Military, caused multiple explosions on both vessels. Both crews were forced to abandon their ships.

• Panama Canal considers pipeline for gas transport with an eye towards Asian clients

  Canal administrator Ricuarte Vaquez announced on Monday that the Panama Canal is looking into the construction of an LPG pipeline across the trade passage. Japan was identified as the top client for U.S.-sourced gas. Why it's important After a court decision last year, the canal, which is one of the busiest passages for maritime trade in the world, wants to diversify its operation. A drought has limited crossings, and officials plan to build a nearby reservoir. Japan is the largest LPG consumer in the world, and uses the fuel both for domestic use and industrial purposes. KEY QUOTE Vasquez said after a press conference that "we're exploring the possibilities of rolling out an infrastructure with a capacity up to one million barrels per daily (bpd), however, the market is larger." Vasquez stated that "meeting the growing demand for gas through Panama" is a top priority but also a complex task. CONTEXT The move is a response to the escalating tensions that have been sparked between the U.S.A. and Panama by U.S.President Donald Trump's claims regarding reclaiming of the Panama Canal. Despite the pushback by Panamanian President Jose Raul Mulino, who rebuffed Trump's claim, the U.S. president and officials have praised a recent deal, led by U.S. company BlackRock, to purchase the majority of the ports business from Hong Kong conglomerate CK Hutchison. This includes its assets near Panama Canal. By the Numbers Vasquez said that initial studies indicate "possible capacity of traffic through the Panama Canal (of LPG in a decade) could reach 2,000,000 bpd." What's Next? Vasquez stated that the canal anticipates making a decision on the pipeline within the next year. The canal is already set to receive $8 billion worth of infrastructure and sustainability investments over the next ten years. (Reporting and writing by Elida Moreno, editing by Lincoln Feast.

• US LNG exporters are looking to renegotiate contracts to cover rising costs

  According to company statements and sources, several U.S. producers of LNG are trying to renegotiate with buyers higher prices due to rising construction, labor, and borrowing costs. The higher prices will reduce the competitiveness of U.S. LNG on the global markets, especially at a moment when President Donald Trump wants to expand this industry. Alex Munton is the director of Global Gas and LNG Research at Rapidan Energy Group. He said that "the competitiveness of U.S. Liquefied Natural Gas (LNG) could be affected by a double-whammy." Munton said that rising liquefaction prices, a tighter gas market at home, and declining prices for competing supplies index to oil, could all have an impact on the competitiveness of U.S. Liquefied Natural Gas. Energy Transfer's coCEO said on an earnings call, that negotiations are underway. According to four sources, Mexico Pacific and Venture Global have been seeking to renegotiate supply purchase agreements. Mexico Pacific is trying to renegotiate a higher liquefaction fee with Chinese buyers Zhejiang Energy, and Guangzhou Gas. This according to two Chinese officials who are familiar with the situation. Mexico Pacific is trying to negotiate the price because the U.S. engineering company Bechtel that is building the plant wants a construction cost which has made the project expensive. Mexico Pacific and Bechtel declined to comment. Sources claim that Zhejiang, Guangzhou and other cities have rejected Mexico Pacific’s proposal. The sources did not give any details on Mexico Pacific's costs of liquefaction or how much it wanted to pay for them. One of two sources who have direct knowledge of this matter said that Guangzhou has requested to reduce its share of the project's revenue from 1 MTPA per year to 700,000 tonnes per annum. Zhejiang Energy did not respond to requests for comments sent via email. Guangzhou Development Group (parent company of Guangzhou Gas) did not comment immediately. Venture Global, second largest U.S. exporter of LNG, is also trying to renegotiate a higher price for its CP2 Louisiana project, despite the fact that the plant has yet to begin construction and have not received the financial go ahead, according to separate sources. Venture Global declined to comment on a request. In January, the company told investors that fees for liquefaction could increase to $4 per million British Thermal Unit (mmBtu), up from $2.25. Energy Transfer, which has a 16.5 MTPA facility for LNG export in Louisiana under construction, stated on a February earnings call that it was also renegotiating liquefaction charges with customers to try and align higher construction costs with the offtake agreements. Everyone understands the cost increases. We are continuing to negotiate with the companies in order to reduce their fees, said Marshall McCrea. McCrea stated that customers stuck with their projects despite being asked to pay higher fees. Cheniere Energy, the largest U.S. exporter of LNG, announced in February that it would not be increasing fees. This is in part due to its prices already being linked to inflation, and because its projects are constructed on brownfields, which have cost advantages. Baker Hughes, one the biggest equipment suppliers to the U.S. gas sector, was able to control its inflation, but LNG developers have seen increases, according to Lorenzo Simonelli. Simonelli, who was referring to engineering, procurement and construction companies, said that the EPCs are the ones that we tend to see more of. If we looked at the external climate, we'd say that there was some inflation. In general, the liquefaction fee for U.S. LNG is on track to increase above $2.50/mmBtu because of a tight labor pool, rising construction costs and persistently high interest rates. Poten warned that higher liquefaction costs could reduce the cost-competitiveness for U.S. LNG project, particularly if they are coupled with an increase of U.S. gas prices or a fall in Brent crude oil, Poten stated that inflation, on top of the labor shortages, is driving up equipment and material prices.

• Increased Russian metal stock in LME warehouses due to Indian aluminium outflow

  LME data released on Monday showed that the proportion of aluminium with Russian origin registered in warehouses at the London Metal Exchange increased to 75% from 67%, and the share of Indian origin decreased to 24%. According to traders, the majority of the aluminium in LME registered warehouses at Port Klang in Malaysia is of Indian origin. This is what Western consumers are looking for, as many have refused to purchase metal made in Russia ever since Russia invaded Ukraine three years ago. Stocks of aluminium with Russian origin, or those on warrant At the end February, the total metric tonnage was 155,125, compared with 164,475 at the end January. The remaining Russian aluminum warrants, which are title documents conferring ownership, have all been cancelled. This means that they will be leaving the LME. Metal produced in Russia from April 13 to 2024 is banned by the LME. However, metals made before this date are still allowed to be traded. Many companies that held Russian aluminum before April 13 have deposited their stock in LME warehouses. LME data shows that the number of cancelled warrants and metals marked for delivery at ISTIM UK’s LME-approved Port Klang warehouses stood at 217 250 tons. The queue to receive this metal was 166 days long at the end of February. The LME data revealed that the queue for loading out of ISTIM's Gwangyang warehouses was shorter at the end of February - down from 81 to 59 days. At end-February, Indian-origin aluminum, which was 49,400 tonnes, represented 24% of the LME system's on-warrant stock, down from 75.225 tons. About half of the LME's available stocks were copper and nickel. (Reporting and editing by Shash Kuber; Polina Devitt)

• Companies warn that Trump's plan to build ships could disrupt the ocean cargo industry

  Executives warned that President Donald Trump's plan for revitalizing the U.S. maritime industry could impose massive costs on ocean transportation operators and create a new supply chain chaos in the rest of the world. According to a draft of an executive order, Trump's administration wants to fund a comeback in American shipbuilding by charging hefty fees to ports for Chinese-made ships and those from fleets that include Chinese-made ships. According to the World Shipping Council, which represents the liner ship industry, the levies would affect virtually all ships calling at U.S. port, impose up to $30 billion in annual costs to American consumers, and double the shipping cost for U.S. exported goods. WSC CEO Joe Kramek stated that policymakers should reconsider damaging proposals and find alternative solutions to support American industry. The gloomy outlook of industry executives illustrates how Trump's pro U.S. policies sometimes have unintended consequences which are contrary to his stated goals. Jeremy Nixon (CEO of Ocean Network Express, owner of container ships) said that the plan could have a negative impact on ocean carriers and customers. He made this statement at S&P Global’s TPM Container Shipping Conference in Long Beach, California. Ship owners may make fewer port calls in the U.S. to reduce fees. Executives said that a flood of additional cargo could cause congestion in these ports, making it difficult to ship exports and imports. Trump's plan could also force companies to redeploy global ship fleets, so that vessels not built in China can be re-focused on the United States - which could cost money and time. MSC's CEO, Soren Tofft, said that the world's biggest container carrier could avoid smaller ports, such as the Port of Oakland in California, which is an important gateway for the export of fresh beef, almonds, and dairy products. Executives warned that such moves could flood the nation's largest ports and isolate the smaller ones. This would risk a repetition of the early pandemic backlogs which hampered global trade. Beth Rooney said that it would be difficult for her and other partners to handle the volume increase. Punishing past mistakes that are not known MSC's Toft, speaking of fees associated with China-built vessels, said: "If a new regulation is introduced, we should at least be forward-looking, and not penalize ourselves for past mistakes that we didn't know were mistakes." CMA CGM is also expanding its fleet of American President Lines, which are under the U.S. flag, and looking into having ships built here. The French carrier has a vessel sharing alliance with China's COSCO Shipping, and Walmart is one of their top customers. In an interview published Friday, CEO Rodolphe Saade stated that "we are in discussions with several shipyards in order to determine how long and at what costs it would take". Maersk, a Danish shipping company, said that it is premature to comment about new tariffs and fees because they are constantly changing.

• Spain's lithium mine bid promises jobs but for who?

  The proposed lithium mine could provide batteries for thousands of electric cars Critics say that the job opportunities promised by mining companies are too limited. My proposal is moving through the approval process By Natalie Donback He hauled them to his farm near Caceres, where they were divided into baskets and then pressed into oil. While Palomo was working, his six-year-old son Olmo chased their two sheep dogs. Palomo stated, "I would like my son to have the opportunity to continue to enjoy our land as he grows older." The valley is located on top of Europe's second-largest hard rock lithium deposit. A new underground mine has been proposed to tap its wealth. According to Extremadura New Energies, the company that is seeking a license for it, the proposed San Jose Lithium Project would provide enough lithium each year to power 800,000 electric cars. Residents are concerned about air pollution, the impact on water supplies and the threat to wildlife like the Spanish imperial Eagle. The mine, owned by Australian Infinity Lithium, will not cause contamination or noise. After reviewing the proposal the government of the autonomous Region of Extremadura requested that the company provide further details by June. Some people in Extremadura (which borders Portugal on the west) hope that the European Union’s demand for Lithium -- a crucial raw material used to power everything from electric cars to cell phones -- will turn the region into an energetic hub, enabling Europe’s green energy transformation as it works to become carbon neutral in its energy system by 2050. Extremadura has few industries, and is suffering from depopulation, with a 14.4% unemployment rate - the fourth highest in Spain. Raquel Pastor is the director of the department for industry, energy, and mining in the Regional Government. The European Commission added lithium to its list of essential minerals for the continent’s energy transition. This will help it reduce its dependency on Chinese minerals, and achieve its climate goals. Lithium is an important component in batteries for electric cars, which emit fewer greenhouse gasses than traditional petrol or diesel powered vehicles. The EC’s Critical Raw Materials Act aims to extract 10% of these minerals from Europe by 2030. The EU is aiming to accelerate the permitting process for strategic projects that will be announced in this month. Caceres was on the first shortlist. According to CIC energiGUNE (a Basque research institute), 13% of Europe’s lithium deposits can be found in Spain. The largest deposits are concentrated in the southern part. Despite the fact that several companies are attempting to obtain licenses for Spain's lithium, none of them is approved or currently operational. Critics have been very vocal in their opposition to proposed projects, citing environmental risks as well as potential impacts on agriculture and tourism. Extremadura New Energies stated that the mine and processing facility would create 1,500 new jobs in a two-year phase of construction and 700 more jobs over its estimated 26 year operation. Ricardo Salaya Monsell, a local union leader, said that companies had made similar promises in the past and failed to deliver. Salaya, head of the Regional Federation for Industry, Construction and Agriculture, General Workers Union, said, "But we still see quality employment as valuable, so long as the necessary standard is met." Farmers such as Palomo want the local government to invest in agriculture instead. According to a new study from the University of Extremadura, agriculture could create the same number of local jobs, but with a longer-term perspective, in the next 60 year. According to data from the government, only 9% of the people in the region are involved in agriculture. 73% work in other sectors such as tourism and hospitality. What will happen to the workers of Caceres when the mine closes? Will they be forced to move to find employment? Palomo asked. It's not the average life expectancy of a human being." MINING JOBS Ramon Jimenez Serrano, CEO of Extremadura New Energies, said that he is confident the local community will benefit from these jobs. He said that the building phase would require mainly construction and assembly workers. However, degree-level positions such as administrators and technicians will be created during the exploitation phase. Others, however, question the suitability of these jobs for locals due to their highly specialized nature. Salaya said that if there is a large industrial project that requires a lot technical work, they may have to hire outsiders. Extremadura New Energies created online courses that were subsidised by regional government to train local workers on the production of renewable energies and lithium batteries. Jimenez stated that 500 people had taken part in the course. The mining company may dismiss the pollution risk, but "there are no precedents for modern industrial mines that have been operated and shut down without environmental contamination," stated Steve Emerman of the United States, a geophysics and mining specialist who testified in front of the European Parliament about the impact of mining on the EU. Palomo's sheep and olives, which depend on the pristine environment of the Dehesa wooded pastureland, simply do not justify the mine. He said that the 26-year, short-term project would threaten our ancient Dehesa landscape as well as centuries-old Olive trees.

• Marrakech Express Upgrade - French loan will help Morocco purchase 18 fast trains before World Cup

  The French Embassy in Rabat announced on Friday that France would lend Morocco 781 millions euros to finance the acquisition of 18 Alstom high-speed trains. The trains are part a plan that aims to extend the high speed rail network between Kenitra, on the west coast of Morocco, and Marrakech in time for the 2030 World Cup which Morocco will host with Spain and Portugal. Alstom has announced that it will provide the ONCF, the state-owned Moroccan rail operator, with Avelia double-decker Avelia trains capable of carrying 640 passengers at a maximum speed of 320km/h. ONCF also plans to expand its network by expanding the number of cities that it serves from 43 to 43 or 87% of Moroccans, by the year 2040. On February 1, ONCF announced that it would also purchase 150 trains from Spain and South Korea under concessional loan as it expands its urban, intercity, and high-speed railway networks. Hyundai Rotem, a South Korean company, will provide 110 urban trains valued at $1.5 billion. CAF in Spain will produce 40 intercity trains costing $813 million. Last month, ONCF announced that the deals included investments in the country’s fledgling rail industry. Reporting by Ahmed Eljechtimi, Editing by Angus MacSwan

• Asian spot LNG prices flat amid weak Europe gas sentiment

  The Asian spot price of liquefied gas (LNG), which is a product of liquefied gas, was flat this week. It held at a low for ten weeks amid Europe's gas price bearishness, but some spot demand from emerging markets has helped to limit losses. Average LNG price for delivery in April to northeast Asia Industry sources estimate that the price per million British Thermal Units (mmBtu) is $13.50. Go Katayama, analyst at Kpler, says that Asian LNG prices will decline due to the expected declines in Dutch Title Transfer Facility benchmark in Europe, and stable Pacific supplies. He said that "Asian LNG prices will likely decline next week due to the anticipated weakness of European TTF and continued soft Asian fundamentals." After a rapid inventory reduction by power utilities in January, warmer weather forecasts for northeast Asia are likely to curb gas-for energy demand in March. Rystad Energy said that spot demand has been seen from Korean and Japanese importers including Korea Gas Corp., JERA Tokyo Gas, and Osaka Gas as buyers replenish their stocks following a harsh winter. S&P Global Commodity Insights, a global commodity research firm, assessed the daily North West Europe (NWM) LNG Marker price benchmark on a basis of ex-ship (DES), for April cargoes at $11.402/mmBtu. This is based on data collected on March 6. The price was $0.55/mmBtu lower than the gas price in April at the Dutch TTF Hub. Argus estimated the price at $11.585/mmBtu for delivery in March. Spark Commodities estimated it at $11.589/mmBtu. Martin Senior, Argus' head of LNG pricing, said that multi-strategic funds are selling TTFs to de-risk their portfolios as equities fell. Venture Global announced that it expected to load between 219-239 containers from its Plaquemines Project this year. This was higher than anticipated and could have loosened a tight balance for the summer. Florence Schmit, energy strategist at Rabobank, added that a proposal by the European Commission to maintain gas storage targets and requirements for two additional years, but with more flexibility, reduced the pressure on summer demand. The proposal stated that the goal of filling EU gas caverns up to 90% capacity by November 1 will remain binding. However, targets from earlier months would be "indicative", which is typically non-binding. Schmit said that the sentiment has changed as a result of the gradual implementation of changes to the storage requirements and the growing expectation that Russian energy flows will be returned to the mix. According to Spark Commodities analyst Qasim Afghan, the Atlantic LNG freight rates fell to $19500/day last Friday while Pacific LNG rates increased to $17500/day. He said the U.S. Arbitrage to Northeast Asia via Cape of Good Hope has narrowed for the sixth consecutive week. U.S. cargoes are no longer strongly encouraged to deliver to Northwest Europe over Asia. (Reporting and editing by Shreya biswas; Emily Chow)

• Cosmo will launch Japan's sustainable aviation fuel production by April

  Cosmo Energy Holdings will launch Japan's domestic production of sustainable aviation in April. This is a major step towards the country's target of replacing 10% jet fuel with an alternative that's cleaner, but there are still challenges to be overcome. Cosmo, Japan's third largest refiner, will make SAF using used cooking oil in its Sakai refinery, located in western Japan. Takeshi Takada said, "Our goal is for SAF to reach 300,000 Kilolitres in 2030, through both domestic production and imported SAF." As Japan fights climate change, it must align with global efforts to reduce carbon dioxide (CO2) from aircrafts. According to a company official, 300,000 barrels (1.89 millions kl) of oil would be enough to cover 10% of Cosmo's jets sales. Takada stated that Cosmo will produce 30,000 kl annually of SAF at Sakai. It will also supply 150,000kl using bioethanol from its Sakaide facility in western Japan and import 120,000kl via Bangchak Thailand and other Asian suppliers. He said that the refiner wants to establish expertise and relationships with customers by launching sales and production ahead of its competitors. This is despite challenges such as reducing costs, locking in buyers and securing raw material. Sakai, a project that aims to produce 24,000 kl of material in fiscal 2025, after accounting for site maintenance and other costs, has secured the majority of customers including Japan Airlines, ANA, and DHL. Cosmo's goal for the next five years is to begin SAF production in Sakaide around 2029. The final investment decision will be made by fiscal 2026. Both projects received government subsidies covering approximately half of the capital expenditures. Cosmo refused to reveal Sakai’s production costs or SAF pricing, but the company anticipates making a profit through subsidies. SAF costs three to five time more than conventional jet-fuel. Takada stated that while a higher production volume may lower distribution costs in some cases, it is unlikely to result in significant cost savings due to the raw material shortages, which account for a large part of expenses. Takada stated that "Japan’s subsidy program is on a medium-level by global standards... Countries will compete with each other to offer attractive subsidies for SAF deployment in order to maintain hub status." The Sakaide plant, along with three other projects, received 340 billion yen (about $2.3 billion) over five years in government subsidies to support the local SAF production. Eneos, Idemitsu Kosan and Taiyo Oil are all in the design stage of their respective projects. Idemitsu also received a separate subsidy to fund a 100,000-kl project at its refinery in Chiba, near Tokyo. These projects will help boost domestic production to meet Japan's estimated SAF requirement of 1.7 millions kl by 2030.