MARKET MOVEMENTS:
-- Brent crude oil is down 0.45% to $62.89 a barrel.
-- European benchmark gas is down 1.7% to 27.75 euros a megawatt-hour.
-- Gold futures are down 0.7% to $4,244.50 a troy ounce.
-- LME three-month copper futures are up 0.3% to $11,221.00 a metric ton.
TOP STORY:
TotalEnergies Says Mozambique LNG Partners Will Cover Cash Shortfall After U.K., Dutch Pullout
France's TotalEnergies said partners in its Mozambique liquefied natural-gas project agreed to provide additional equity after the British and Dutch governments withdrew financing from the much-delayed project amid security concerns.
OTHER STORIES:
BP Pulls Out of Hydrogen Project in Northern England
BP walked away from plans for a hydrogen hub in northern England, paving the way for a rival project to build a data center at a former steelworks site.
The U.K. energy group pulled its application for permission to develop the project--called H2Teesside--on Monday, citing a plan to bring forward a data center that resulted in a conflict over the same land.
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Endeavour Mining Targets Discovery of Up to 15 Million Ounces of Resources Over Next 5 Years
Endeavour Mining said it targets the discovery of 12 million to 15 million ounces of gold over the next five years.
The London- and Toronto-listed gold miner on Tuesday said it forecasts a total exploration expenditure of around $540 million over the period as part of its exploration outlook, and that it expects the discovery cost to come in at less than $40 per ounce.
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Energy Department Renames Renewable Energy Lab to Reflect Trump's Fossil Fuel Focus
The Energy Department is renaming its National Renewable Energy Laboratory to the National Laboratory of the Rockies, a symbolic rebranding of the storied institution to align it with the Trump administration's focus on fossil fuels.
MARKET TALKS:
Cocoa Futures Rally Stumbles -- Market Talk
1526 GMT - ICE cocoa futures are down 1% to $5,502 per metric ton, after the most-active futures contract gained 10% over the prior two trading sessions. Pressure comes from the sentiment that growing in West Africa has come back from the issues that wrecked crops in 2024, including swollen root disease and other health issues stemming from too much moisture. But as the International Cocoa Organisation points out in a monthly report, the size of crops leaving West African ports has been underwhelming. "Cocoa arrivals in Côte d'Ivoire since the start of the season have been sluggish," says the ICCO. (kirk.maltais@wsj.com)
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Silver Steps Back From Record Levels -- Market Talk
1438 GMT - Silver futures are down 0.4% after a run spanning the previous five sessions sent prices to a fresh all-time high. The most-active silver contract closed up 3.5% to $59.14 a troy ounce yesterday, a new high after the precious metal broke a level set over 40 years ago in October. Further upside is seen as limited, says Commerzbank in a note. "Since silver is no longer significantly undervalued relative to gold, its individual surge is likely to end soon and the price of silver will once again move more in line with the price of gold," the firm says. Physical demand continues to be supportive for silver, says Commerzbank, although industrial use of the metal is expected to slip thanks to its record run-up. (kirk.maltais@wsj.com)
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Oil Prices Fall as Markets Watch Peace Talks -- Market Talk
1410 GMT - Oil prices fall even as markets worry about Venezuela's supply while watching Russia-Ukraine peace talks. "As the energy complex slowly enters a reduced volume holiday trade during the next few weeks, the possibility of a major price swing...is further reduced short of a major break through in the Ukraine/Russian peace negotiations," Ritterbusch says in a note, adding it sees a resolution to the conflict "as a low probability occurrence." The API inventory report is due later today. The January WTI contract falls nearly 1%, to $58.92 a barrel. (paulo.trevisani@wsj.com; @ptrevisani)
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Barrick Could Cut Valuation Discount to Peers With Asset IPO -- Market Talk
1318 GMT - Barrick's board and management clearly are looking at ways to optimize the mix of the miner's assets, which hold out the promise of increased valuation multiples and a reduction in Barrick's valuation discount to its peers, says Raymond James' Brian MacArthur. The company is considering splitting its premier North American gold assets from the global operations, with a new company listed via an IPO of a small minority interest. MacArthur notes the exploration of an IPO is complementary to Barrick board's ongoing operational review. Raymond James lifts its target on the shares $3 to C$45. The stock last closed in New York at $42.33. (robb.stewart@wsj.com)
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Barrick Could Generate Value With IPO of North American Assets -- Market Talk
1313 GMT - Barrick Mining's exploration of a spin-out of its North American gold assets promises to be value-generating for shareholders, and could represent relative upside of 15%-20% on its current share price, RBC Capital Markets' Josh Wolfson reckons. The miner is considering an IPO of the assets, which make up about 60% of its current value. Wolfson notes Barrick's shares have historically traded at a substantial discount to the sum-of-its-parts valuation, in part due to above-average geopolitical risk exposure, where as "NewCo" would likely trade at the upper end of sector values. He forecasts NewCo would maintain a total net asset value at spot prices of $46.5 billion and would generate attributable production of 2 million gold ounces a year, ranking it as a top 5 global gold producer by value. (robb.stewart@wsj.com)
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Aluminum Could Hit $4,000 a Ton in 2027, BNP Says -- Market Talk
1210 GMT - Supply constraints could drive the price of aluminum to $4,000 a metric ton in 2027, analysts at BNP Paribas write. The potential closure of the Mozal smelter in Mozambique next year will add to tightening in European markets for the metal, compounding the impact of China's capped domestic production, they add. "We now think the aluminum price could see spikes during 2027 that take it close to $4,000/t should 2027 deliver a second consecutive annual market deficit," the analysts add. Aluminum futures on the London Metal Exchange rise 0.1% to $2,896.0 a ton. (josephmichael.stonor@wsj.com)
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Copper Futures Slide; Macro Outlook Key for Prices Next Year -- Market Talk
1159 GMT - Copper futures are down slightly after gaining over the previous four sessions on U.S. interest rate cut hopes and plans by Chinese smelters to cut supply over 10% next year. However, supply outages aren't expected to sustain copper prices, analysts at BNP Paribas say. "Any copper price support into 2026 is more likely to reflect potential macro-driven fund exuberance than compelling fundamentals," the analysts say, citing weak end-user demand. Futures on the London Metal Exchange are down 0.2% at $11,230.00 a metric ton. (josephmichael.stonor@wsj.com)
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Palm Oil Ends Higher on Production Concerns, Stronger Soybean Oil -- Market Talk
1021 GMT - Palm oil closed higher, driven by market participants' expectations that seasonal production has likely peaked, according to David Ng, a trader at Kuala Lumpur-based Iceberg X. Stronger soybean oil prices during Asian trading hours also lifted market sentiment, he adds. Ng sees support for CPO futures well above 4,050 ringgit a ton and resistance at 4,200 ringgit a ton. The Bursa Malaysia Derivatives contract for February delivery closed 63 ringgit higher at 4,157 ringgit a ton. (amanda.lee@wsj.com)
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Silver Falls from Record Highs; Gold Nudges Down -- Market Talk
0943 GMT - Gold and silver fall back slightly in early trading, with silver retreating from record highs Monday driven by U.S. rate-cut expectations next week and supply tightness. New York gold futures are down 1.2% at $4,225.25 a troy ounce, while gold spot is 0.9% lower at $4,192.16 an ounce. New York silver futures are down 2.8% at $57.52 a troy ounce and silver spot drops 1.9% to $56.92 an ounce. Gold hit a six-week high Monday, also driven by a weak dollar on Federal Reserve rate-cut hopes. (josephmichael.stonor@wsj.com)
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Oil Slips at Open as Investors Mind Political Risk -- Market Talk
0910 GMT - Brent crude falls slightly in early trading as investors track continuing geopolitical tensions in Venezuela and Eastern Europe. The international oil benchmark, which trades on the Intercontinental Exchange, falls 0.2% to $63.02 a barrel. WTI Futures are down 0.15% at $59.23. Unraveling of Russian supply chains in Eastern Europe and fears over supply from Venezuela continue to weigh on investors, while potential supply overhangs present a downside risk to prices looking ahead, Citi analyst Alastair Syme writes. However Syme says the OPEC+ group of oil-producing counties will act to protect prices after members agreed to hold output steady Sunday.(josephmichael.stonor@wsj.com)
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Silver Prices Have Likely Moved Too Fast, Too Far -- Market Talk
0828 GMT - Silver prices, up more than 20% from early November lows, could double for the first time since 1979, says Julius Baer. Triggers for the rise include silver's addition to the U.S. critical minerals list and rising expectations of a U.S. rate cut, says Carsten Menke, Head of Julius Baer's Next Generation Research. While many market participants reckon silver's addition to this list underpins its role as a metal at risk of structural shortages, Menke cautions the demand boost from the solar industry for silver is ebbing off. Also, the price reaction to a potential Fed rate cut seems outsized, he says. Rather than adding to the favorable fundamental backdrop, these triggers have fuelled a bullish market and silver prices have moved too fast, too far, he says. Menke downgrades his view on silver to neutral but lifts 3- and 12-month price targets to $56 per ounce. (monica.gupta@wsj.com)
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Palm Oil Gains on Potential Bargain Hunting -- Market Talk
0253 GMT - Palm oil climbs in early Asian trade, supported by potential bargain hunting after a recent decline and amid overnight strength in rival vegetable oils, say Kenanga Futures analysts. However, this upside could be limited by seasonal demand and concerns over supply disruptions in Indonesia, they add. The analysts peg support and resistance for the February futures contract at 4,055 ringgit and 4,160 ringgit, respectively. The Bursa Malaysia Derivatives contract for February delivery trades 12 ringgit higher at 4,106 ringgit a ton.(megan.cheah@wsj.com)
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BlueScope's New Zealand Market Headwinds Unlikely to Improve Just Yet -- Market Talk
0250 GMT - BlueScope Steel is unlikely to enjoy a recovery in New Zealand market conditions until FY 2027, say UBS analysts Will Wilson and Nathan Reilly. "Conditions are not getting worse, but also not any better and with an election expected in 2026, we do not expect any underlying demand improvement until FY27," the analysts say in a note. That said, a shift to electric arc furnace production sets BlueScope's business there "up for sustained success," say Wilson and Reilly. BlueScope has been losing money in New Zealand and the new EAF model will give it better flexibility to reduce production in line with demand, they say. UBS reiterates a buy rating and raises its target on BlueScope to A$27.50 from A$26.50. The stock is down 0.9% at A$24.13. (rhiannon.hoyle@wsj.com; @RhiannonHoyle)
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Iron Ore Prices Rise as Fundamentals Improve -- Market Talk
0211 GMT - Iron ore prices are higher in early Asia trade, supported by improving fundamentals. Supply and demand are getting better, Guangfa Futures analysts write in a note, adding that the market expects stronger demand to raise inventories. That said, some analysts remain neutral on the black metal, with Guotai Junan Futures analysts saying current market valuations are slightly high. The most actively traded January iron ore contract on the Dalian Commodity Exchange is 0.9% higher at CNY803.5 a ton.(jiahui.huang@wsj.com; @ivy_jiahuihuang)
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Base Metals Decline; Fresh Catalysts Likely Needed -- Market Talk
0149 GMT - Base metals fall in the Asian session. The three-month copper contract on the LME drops 1.1% to $11,130.50 a ton, aluminum declines 0.45% and zinc is 0.6% lower. The base metals complex likely needs fresh catalysts to boost prices above resistance levels, say Sucden Financial analysts in a note. These may include additional supply disruptions, or stronger macro signals such as U.S. dollar weakness. Without these catalysts, the market could consolidate, but price risk remains skewed to the upside thanks to tight spreads, they add. (megan.cheah@wsj.com)
Write to Barcelona Editors at barcelonaeditors@dowjones.com
(END) Dow Jones Newswires
December 02, 2025 11:09 ET (16:09 GMT)
Copyright (c) 2025 Dow Jones & Company, Inc.
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