Business News Today
Exxaro Resources Expands its Energy Assets
JSE listed mining group, Exxaro Resources, has entered into binding agreements with Acciona Energía to acquire majority interests in two fully operational renewable energy assets. The assets are the 138 MW Gouda Wind Farm in the Western Cape as well as the 75 MW Sishen Solar generation facility in the Northern Cape. The deal also involves Exxaro’s Cennergi, its wholly owned Cennergi subsidiary, will be the entity responsible for the full operational and maintenance management of both assets.
The deal positions Exxaro beyond a predominantly coal producing company, to being an energy company while also currently, strategically expanding its portfolio to include energy transition metals such as manganese and copper. Gouda and Sishen are held 54.9% by Acciona Energía, 25.1% by Celenex, 10% by Soul City – a broad based empowerment company, and 10% by local community trusts.This acquisition will see Cennergi’s net operating capacity increase by 117 MW, from 200 MW to approximately 317 MW.
Zimbabwe Introduces Sliding-scale Gold Royalty
Finance Minister Mthuli Ncube unveiled a sliding-scale gold royalty system in the 2026 National Budget to capitalise on record-high gold prices (currently ~$4,188/oz). This replaces the flat 7% royalty with tiered rates tied to spot prices:
- Below $1,800/oz: 4%
- $1,800–$2,000/oz: 5%
- $2,000–$2,300/oz: 6%
- Above $2,300/oz: 7%
The rationale is to boost fiscal revenue (projected at around $100–150M annually) amid 5% GDP growth forecast for 2026 (down from 6.6% in 2025), while incentivising production in Zimbabwe’s key sector (gold output ~30 tons/year, 90% of exports). It aligns with global bullion rally but has sparked miner concerns over cost hikes (e.g., potential 10–15% margin squeeze for small producers). Critics have warned of investment freeze if not balanced with incentives. Full rollout is expected as of January 1, 2026.
PPI Increases to 3-Month High in South Africa
South Africa’s Producer Price Index (PPI) inflation quickened for the fifth month to 2.9% in October 2025, the highest level since July 2024, from 2.3% in September, though below forecasts of 3.1%. The main positive contributors to the headline PPI annual inflation rate were food, beverages, and tobacco products (3.1%, adding 0.9 percentage points); coke, petroleum, chemical, rubber, and plastic products (2.5%, +0.5 points); and furniture and other manufacturing (11.2%, +0.5 points). On a monthly basis, producer prices edged down by 0.1% in October, after a similar decrease in the prior month.
Breaking News Shorts:
- Korea’s KOSPI fell 1.1% to around 3,940 on Friday, reversing gains from previous sessions as a sharp downturn in semiconductor production pressured heavyweight tech names. South Korea posted a notable decline in October industrial output, with chip production plunging 26.5% month-on-month. This major drop-of of tech production is a clear indicator of a slow down in AI tech developments.
- Bitcoin ETFs are on track for their worst month since launching in January 2024, with $3.5 billion in outflows during November. This nearly matching February’s record of $3.6 billion outflow. BlackRock’s IBIT fund alone has seen $2.2 billion in redemptions. Bitcoin itself is down -8% year-to-date.
- Japan’s 10-year government bond yield climbed above 1.81%, nearing fresh 17-year highs, supported by stronger-than-expected Retail sales in Japan which increased 1.7% year-on-year in October. industrial production and retail sales in October both beat forecasts, while the unemployment rate remained steady.
- Gold prices rose to around $4,190 per ounce on Friday, approaching a five-week high and on track for a fourth consecutive monthly gain, as investors grew more confident of a December Federal Reserve rate cut. A series of remarks from Fed officials supporting further monetary easing
Markets by Numbers
Currency markets indicate the US dollar marginally stronger today, with the Euro trading against the US dollar at 1.15892 while the Pound is trading at 1.32363 to the US dollar. The Yen is currently trading at 156.28 to the dollar. The rand (ZAR) is currently at R17.15 to the US dollar.
Commodities:
- Gold futures have gained momentum, up by around 0.60% today, and are currently trading around $4185.00 per ounce.
- Copper prices are trending higher today, with prices currently around $5.0967
- Silver futures prices are up by around 0.8% this morning, and currently trading around $5.3858
- Platinum futures have gained over 1.1 % this morning, and currently trading at $1637.30, While Palladium prices are marginally higher this morning and are currently trading around $1435.50 per ounce.
- Brent crude oil prices have gained momentum today after a steep drop yesterday and up by over 3.5%, and currently at $62.89 with WTI trading at $59.08
- Cocoa futures are flat but steady above the $5000 mark, and currently trading around $5068.35. per ton.
- Coffee futures are flat this morning, and are currently trading at around $4.1162 per pound
Crypto Currencies:
- Bitcoin prices are up slightly today, and trading at around $91481per coin currently
- Ether prices are trending slightly higher today, and are currently trading around $3019.64
- $Trumpcoin are trending lower today, and currently trading around $6.097
(All prices quoted at approximately 07H30 Central African Time)
Africa News Briefs:
- VSL Manufacturing officially unveiled its new R750 million, purpose-built manufacturing facility in the Eastern Cape, South Africa yesterday. The Facility sits adjacent to the Isuzu Motors South Africa(IMSAf) assembly plant in Struandale, marking a major milestone for South Africa’s automotive value chain. Addressing the launch, VSL Manufacturing Director Vuyo Skweyiya “This facility represents the culmination of years of rebuilding, of restoring jobs, and of proving that South African suppliers can compete at the highest level of global automotive manufacturing.”
- Guinea-Bissau’s military installed General Horta Nta Na Man as transitional president yesterday, an army statement said. This follows only a day after soldiers toppled President Umaro Sissoco Embalo in a power grab that followed a disputed election and widespread issues of corruption and maladministration.The self-appointed “High Military Command for the Restoration of Order” announced in a televised statement on Wednesday that they had ousted Embalo, in the latest episode of unrest in the coup-prone country. The Military Command has this appointment as president would only be for a transitional period lasting one year.
