Business & Tech News
Libyan Oil Exploration to Commence:
The Chair of the National Oil Corporation (NOC) in Libya, Masoud Suleman, yesterday announced that they are preparing to initiate a round of oil exploration bidding. This would be the first such bidding round in over 17-years. Libya is the Second largest oil producing nation in Africa and a member of OPEC. The oil producing nations association. Military conflicts have left the area in an unstable state for decades after the over throwing of the Gaddafi regime in 2011. This has resulted in investors losing confidence in the region despite its large oil reserves.
In August last y, Libya lost more than half of its oil production and exports were halted at several ports. They lasted for over a month with production gradually resuming from early October. This new bidding round marks a pivotal moment for Libya, given its long break from exploration activities. It will give companies the opportunity to explore new oil fields, potentially increasing the country’s production capacity.
Harmony Releases Strong Results:
Harmony Gold, the South African based mining group released its half-year (H1) financial results this morning, indicating a 19% increase in group gold revenue to R35 447 million (US$1 976 million) from R29 705 million (US$1 590 million) and a 33% increase in headline earnings per share to 1 270 SA cents (71 US cents) from 956 SA cents (51 US cents). The group also announced an interim dividend of 227 SA cents (12 US cents) per share with a record interim dividend pay-out of R1 441 million (US$78 million). However, there was a drop in overall production of -4% compared to H1 in the previous year.
The average higher price for gold, however more than off-set the lower production and the group says that it is on track to meet their targeted production by year financial year end. Group CEO Beyers Nel, stated that they have reached a point of sustainable consistent production and have said that they will be spending capital of over R3 billion on upgrades to their South African mining assets, as well as new capital on its new Eva Copper mining project in Queensland Australia.
Chip Factory Investment Announced:
The Taiwan Semiconductor Manufacturing Co. (TSMC) has announced plans to invest $100 billion in processor chip manufacturing plants in the United States. This will be in addition to the $65 billion in investments the company had previously announced. TSMC, is globally the largest semiconductor manufacturer, and produces chips for major tech giants such as Apple, Intel and Nvidia. The company has begun construction of three plants in Arizona, with its first factory in Arizona having begun mass production of its 4-nanometer chips. US President Donald Trump, appeared with TSMC’s chief executive officer C. C. Wei at the White House, calling the investment a “tremendous move” and “a matter of economic security.” “Semiconductors are the backbone of the 21st century economy. And really, without the semiconductors, there is no economy,” the president said. “
Trump Tariffs Effective from Today– Creating Level Playing field – Goldman Sachs CEO:
Goldman Sachs CEO David Solomon has told the Australian Financial Review Business Summit in Sydney this morning, that U.S. President Donald Trump is executing on a plan to “level the playing field” that he deems to be unfair by imposing tariffs on goods from Mexico and Canada, although the end result remains uncertain, the Goldman Sachs CEO said. US President Donald Trump confirmed yesterday (3 March) that he will impose a 25% tariff on goods imported from Canada and Mexico, that will be effective from today, and there was “no room left” for a deal that would avert the tariffs by curbing fentanyl flows into the United States.
The US president also reaffirmed that he will increase tariffs on Chinese imports to 20% from the previous 10% levy to punish Beijing for failing to halt shipments of fentanyl to the U.S. “The president firmly believes that there are imbalances with respect to how trade exists, and he has a strong point of view that he wants to level the playing field aggressively.” “He’s executing on that view,” Solomon added.
Markets by Numbers
Currencies:
Currency markets are likely to be a roller-coaster today with the new US tariffs coming into effect with the US Dollar at 1.04875 against the Euro currently, and at 1.26989 against the Pound, and is up against the Yen at 149.32 Yen to the dollar currently. The rand has weakened further against a stronger dollar and is trading at R18.62 against the dollar currently.
Commodities:
- Gold prices have dropped by an overall -1% this week, and trading at $2,887 currently. Copper is trading up over 1,5% this week so far, and at 4.5483 currently. Silver has traded higher this morning, and at 31.692 currently.
- Platinum prices are at $962.90 currently, while Palladium prices are currently trading at $932
- Brent Oil prices are lower and at $71.07 currently with WTI also trading lower at $68.05 currently.
- Cocoa futures have once again dropped by over 10% this morning, to hit a four-month low over crop supply improvement data with prices currently at $7894 per ton.
- Coffee prices have remained buoyant, and trading upwards today at $390 currently.
Crypto Currencies:
- Bitcoin has dropped by -2,33% today after seeing a positive higher price around the 94 000 mark yesterday, with the coin currently trading lower at $84 080.
- Ether prices have lost over -2% this morning and at $2095 currently.
- $Trumpcoin has dropped by over 23% this morning, and currently trading at $12.67
(All prices quoted at approximately 08H30 – Central African Time)
Other News in Africa Today
ECOWAS Mission Expelled from Guinea-Bissau:
A team representing West African Regional bloc, ECOWAS, that had been in the country to assist in developing a plan towards holding elections this year, has left Guinea-Bissau saying the president had threatened to expel them. The group had reportedly completed a draft agreement and roadmap to holding elections, that had been presented to various political stakeholders when the decision was made over the weekend to leave Guinea-Bissau, due to president Umaro Sissoco Embalo’s threat.
The mission leadership says it will now present its report to the ECOWAS president, including a proposal for an agreement leading to “inclusive and peaceful elections”. So far president Embalo has not responded to the accusation. There has been political conflict regarding when the president’s five-year term officially ends with opposition parties claiming it expired last week, but the Supreme Court of Justice ruled that it ends on 4 September. Elections had been scheduled to take place last November, but this was postponed by the president and has since announced they will take place on the 30 November this year.
Suspects in British National’s Death Held in Nairobi:
Yesterday a Kenyan court ordered that two murder suspects were to be held in custody for a period of 21-days while police are concluding their investigation. This follows the death of a British national, 58-year old Campbell Scott, whose body was discovered days after arriving in the country for a conference. The deceased body was discovered, stuffed inside a bag, hidden in a shrub in the remote area of Mukuyuni in eastern Kenya, some 110 kilometers from Nairobi. Scott was last seen departing from his hotel with an unidentified person, when they took a taxi to a residential area in Nairobi, police said. on Feb. 22, only days after he was last seen alive. The two Kenyan men were arrested after an investigation linked them to his death.
