Diversified miners: Seeking Alpha Analysts vs. Wall Street
Impact of Tariff Policies on Mining Companies: President Trump's tariff policies are causing supply chain disruptions and increased costs for mining companies, leading to mixed performance in ETFs tracking the sector.
Analyst Ratings on Major Miners: Analysts show caution towards BHP Group and Rio Tinto while issuing sell calls on Anglo American and Tech Resources; however, there is a consensus on positive outlooks for Glencore, Lynas Rare Earth, MP Materials, Hudbay Minerals, and Materion Corp.
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Oil Is Not the Sole Commodity Involved in Mamdani's Removal in the U.S.
- Oil as a Factor: President Donald Trump's decision to remove Venezuelan President Nicolás Maduro is influenced by oil interests.
- Critical Minerals: The importance of Venezuela's critical minerals is also a significant motive for the push towards regime change.
Newmont Exits Orla Deal with $900 Million Cash Injection
Newmont Corp. Stake Sale: Newmont Corp. has sold its entire 13.3% stake in Orla Mining Ltd. for nearly $900 million, raising $439 million from the sale of 43 million shares at US$10.14 each on the Toronto Stock Exchange.
Strategic Focus: The sale is part of Newmont's strategy to streamline its equity portfolio and redirect cash towards capital allocation priorities, with CEO Tom Palmer emphasizing the company's commitment to efficiency and shareholder rewards.
US Establishes $5 Billion Fund for Critical Minerals
U.S. Fund for Critical Minerals: The U.S. is set to launch a $5 billion fund through the International Development Finance Corporation (DFC) in partnership with Orion Resource Partners to secure critical mineral supplies, with both parties committing at least $600 million.
Strategic Investments and Partnerships: This initiative aims to reduce dependence on Chinese supply chains and includes significant past investments, such as loans to Syrah Resources and upgrades to the Lobito Corridor rail line, highlighting the DFC's role in supporting strategic overseas investments.
Urgency and Long-term Concerns: The initiative addresses immediate concerns over China's dominance in processing key minerals and anticipates long-term shortages due to declining ore grades and underinvestment in mining.
Broader Government Involvement: The U.S. government is increasing its engagement in critical minerals through various agencies, including a recent $67 million financing interest from the Export-Import Bank for a major scandium project in Australia.
US Revamps Critical Minerals List, Focuses on Copper and Silver
Significant Overhaul of Critical Minerals List: The U.S. government is proposing to add six new minerals, including copper and potash, to its critical minerals list, expanding it to 54 commodities to enhance national security and economic stability.
New Methodology for Risk Assessment: The updated methodology assesses over 1,200 disruption scenarios across various industries, identifying key minerals that pose risks to supply chains, particularly in defense and semiconductor sectors.
Impact on Domestic Projects: This policy change could benefit domestic mining projects, such as those by Rio Tinto and Hudbay Minerals, while also addressing concerns about trade barriers and supply disruptions from neighboring countries.
Public Comment Period: The draft list will be published for public comment starting August 26, with potential additions of metallurgical coal and uranium before finalization later this year.
The $5 Billion Copper Trap: How One ETF Got Burned By Trump's Surprise Tariff Move
Tariff Impact on Copper Prices: President Trump's unexpected 50% tariff on semi-finished copper products, while exempting refined copper, led to a significant drop in copper prices and caused substantial losses for traders who had anticipated broader tariffs.
ETF Performance Decline: The fallout from the tariff announcement negatively affected various copper-related ETFs, including CPER, COPX, and XME, as traders rushed to sell overstocked copper at declining prices, resulting in considerable financial losses.
Royal Gold Acquires Sandstorm And Horizon In Bold Expansion Move
Royal Gold's Strategic Acquisitions: Royal Gold, Inc. is expanding its presence in the precious metals sector through a $3.5 billion merger with Sandstorm Gold and a $196 million acquisition of Horizon Copper Corp, aiming to create a dominant North American player with a diverse asset portfolio.
Financial Implications and Future Growth: The combined entity will have 393 streams and royalties, with 87% of revenue from precious metals, primarily gold. The deals are expected to enhance cash flow and lower risk through diversified assets, pending shareholder and regulatory approvals by late 2025.
Oil Is Not the Sole Commodity Involved in Mamdani's Removal in the U.S.
- Oil as a Factor: President Donald Trump's decision to remove Venezuelan President Nicolás Maduro is influenced by oil interests.
- Critical Minerals: The importance of Venezuela's critical minerals is also a significant motive for the push towards regime change.
Newmont Exits Orla Deal with $900 Million Cash Injection
Newmont Corp. Stake Sale: Newmont Corp. has sold its entire 13.3% stake in Orla Mining Ltd. for nearly $900 million, raising $439 million from the sale of 43 million shares at US$10.14 each on the Toronto Stock Exchange.
Strategic Focus: The sale is part of Newmont's strategy to streamline its equity portfolio and redirect cash towards capital allocation priorities, with CEO Tom Palmer emphasizing the company's commitment to efficiency and shareholder rewards.
US Establishes $5 Billion Fund for Critical Minerals
U.S. Fund for Critical Minerals: The U.S. is set to launch a $5 billion fund through the International Development Finance Corporation (DFC) in partnership with Orion Resource Partners to secure critical mineral supplies, with both parties committing at least $600 million.
Strategic Investments and Partnerships: This initiative aims to reduce dependence on Chinese supply chains and includes significant past investments, such as loans to Syrah Resources and upgrades to the Lobito Corridor rail line, highlighting the DFC's role in supporting strategic overseas investments.
Urgency and Long-term Concerns: The initiative addresses immediate concerns over China's dominance in processing key minerals and anticipates long-term shortages due to declining ore grades and underinvestment in mining.
Broader Government Involvement: The U.S. government is increasing its engagement in critical minerals through various agencies, including a recent $67 million financing interest from the Export-Import Bank for a major scandium project in Australia.
US Revamps Critical Minerals List, Focuses on Copper and Silver
Significant Overhaul of Critical Minerals List: The U.S. government is proposing to add six new minerals, including copper and potash, to its critical minerals list, expanding it to 54 commodities to enhance national security and economic stability.
New Methodology for Risk Assessment: The updated methodology assesses over 1,200 disruption scenarios across various industries, identifying key minerals that pose risks to supply chains, particularly in defense and semiconductor sectors.
Impact on Domestic Projects: This policy change could benefit domestic mining projects, such as those by Rio Tinto and Hudbay Minerals, while also addressing concerns about trade barriers and supply disruptions from neighboring countries.
Public Comment Period: The draft list will be published for public comment starting August 26, with potential additions of metallurgical coal and uranium before finalization later this year.
The $5 Billion Copper Trap: How One ETF Got Burned By Trump's Surprise Tariff Move
Tariff Impact on Copper Prices: President Trump's unexpected 50% tariff on semi-finished copper products, while exempting refined copper, led to a significant drop in copper prices and caused substantial losses for traders who had anticipated broader tariffs.
ETF Performance Decline: The fallout from the tariff announcement negatively affected various copper-related ETFs, including CPER, COPX, and XME, as traders rushed to sell overstocked copper at declining prices, resulting in considerable financial losses.
Royal Gold Acquires Sandstorm And Horizon In Bold Expansion Move
Royal Gold's Strategic Acquisitions: Royal Gold, Inc. is expanding its presence in the precious metals sector through a $3.5 billion merger with Sandstorm Gold and a $196 million acquisition of Horizon Copper Corp, aiming to create a dominant North American player with a diverse asset portfolio.
Financial Implications and Future Growth: The combined entity will have 393 streams and royalties, with 87% of revenue from precious metals, primarily gold. The deals are expected to enhance cash flow and lower risk through diversified assets, pending shareholder and regulatory approvals by late 2025.
