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https://www.bloomberg.com/news/articles/2018-06-15/hedge-funds-get-bullish-on-oil-again-as-opec-prepares-to-meet Longs up 4%

Surely that is good news. Us oil export sanctions . Premium for Brent

https://www.bloomberg.com/news/articles/2018-06-15/rosneft-says-70-80-oil-comfortable-ahead-of-opec-talks As profitable at 70 to 80 usd as it was when oil was 100 usd 70 to 80 is hardly bad is It?

Speaking to reporters after a meeting with Russia’s Energy Minister Alexander Novak, the minister of OPEC’s biggest producer Saudi Arabia, said, “I think it’s inevitable.” “I think it will be a reasonable, moderate agreement. It’s not going to be anything outlandish. We will be easing our ceilings back,” al-Falih said, as quoted by Platts. Asked about what he thinks the outcome of the much-anticipated meeting will be, al-Falih said: “I think we’ll come to an agreement that satisfies most importantly the market.” Russia and Saudi Arabia are leading a campaign to justify rolling back some of the OPEC/NOPEC production cuts, and are facing opposition from a bloc within OPEC consisting of Iran, Venezuela, and Iraq who oppose boosting production, also because those three don’t have the spare capacity to lift production, unlike Russia and the Saudis

It means buy mine for £2 Monday morning

Growth is at 3.5% I believe. Pmo in ftse 250 got a long way to go up

https://www.bloomberg.com/news/articles/2018-06-15/glencore-to-restart-payments-to-sanctioned-billionaire-gertler

The settlement of a dispute between Glencore and Gécamines, the state mining company in the Democratic Republic of Congo, will cost the world a great deal more than the $5.6bn debt write-off accepted by Glencore. It means that new mines, or major expansions to existing mines, cannot be paid for with project-finance structures. That and other developments in the metals-mining world will lead to much higher metals prices in the long term. Mining company profits have risen with prices and demand in the past year but have not yet reached the eye-watering level that will be needed to induce new long-term capital spending commitments. Unless the companies are Chinese. Conventional wisdom says that electric vehicles, clean energy and smart grids will replace fossil fuels. Only the Chinese, though, are willing to spend or lend to bring that about. It is difficult for even the most susceptible to feel sympathy for Glencore, whose management cannot be mistaken for saints. One of the company’s former connections in the DRC, Israeli billionaire Dan Gertler, is on the US sanctioned persons list for all sorts of reasons. Despite its failings on human rights protection or fair distribution of the country’s mineral wealth, the DRC/Gécamines had legitimate complaints about Glencore’s project-finance structure for the Kamoto Copper Company. The KCC, which is supposed to produce 300,000 tonnes of copper and 34,000 tonnes of cobalt by next year, was heavily financed by loans held by Glencore. Back principal payments and interest charges on those meant that Gécamines (and the DRC government, along with related parties) did not have what it considered a satisfactory share in the recovery in metals prices. The DRC/Gécamines cannot match Glencore’s grasp of world minerals trading and financial conditions. The DRC leadership, however, can impose force majeure on companies operating in the country. Using this without adequate compensation does have a reputational cost but the DRC seems willing to risk that. There was a time when mining companies could finance mine development with unrelated lenders but that is over. Banks are out of the project-finance business thanks to the capital requirements and restrictive accounting imposed by the Basel III rules. Given the risks made apparent by the DRC/Gécamines disputes with foreign companies, it is unlikely that non-bank lenders will commit to mine project finance in developing countries, so the only lenders available will be the finance subsidiaries of the mining companies. Paul Gait of Bernstein Research in London says: “These financing structures with shareholder loans may look abusive to the country but it is the only way for the mining company to recoup its initial capital cost. If the country wants a 20 per cent free carried interest in the mine, that will wipe out the net present value of the mining company’s equity (with existing project f

Glencore DRC judgment will jack up metals prices Settlement and demand for ‘electric future’ will have consequences for all miners Please use the sharing tools found via the email icon at the top of articles. Copying articles to share with others is a breach of FT.com T&Cs and Copyright Policy. Email licensing@ft.com to buy additional rights. Subscribers may share up to 10 or 20 articles per month using the gift article service. More information can be found at https://www.ft.com/tour. https://www.ft.com/content/1bfee9ea-6fb2-11e8-852d-d8b934ff5ffa The settlement of a dispute between Glencore and Gécamines, the state mining company in the Democratic Republic of Congo, will cost the world a great deal more than the $5.6bn debt write-off accepted by Glencore. It means that new mines, or major expansions to existing mines, cannot be paid for with project-finance structures. That and other developments in the metals-mining world will lead to much higher metals prices in the long term. Mining company profits have risen with prices and demand in the past year but have not yet reached the eye-watering level that will be needed to induce new long-term capital spending commitments. Unless the companies are Chinese. Conventional wisdom says that electric vehicles, clean energy and smart grids will replace fossil fuels. Only the Chinese, though, are willing to spend or lend to bring that about. It is difficult for even the most susceptible to feel sympathy for Glencore, whose management cannot be mistaken for saints. One of the company’s former connections in the DRC, Israeli billionaire Dan Gertler, is on the US sanctioned persons list for all sorts of reasons. Despite its failings on human rights protection or fair distribution of the country’s mineral wealth, the DRC/Gécamines had legitimate complaints about Glencore’s project-finance structure for the Kamoto Copper Company. The KCC, which is supposed to produce 300,000 tonnes of copper and 34,000 tonnes of cobalt by next year, was heavily financed by loans held by Glencore. Back principal payments and interest charges on those meant that Gécamines (and the DRC government, along with related parties) did not have what it considered a satisfactory share in the recovery in metals prices. www.ft.com/content/1bfee9ea-6fb2-11e8-852d-d8b934ff5ffa

Sincerely hope you make a full recovery from the tumour.

.............they must've known the disputes were near resolution....corrupt as always?

Great news - that is two DRC disputes settled within a few days...meaning that legal and operational uncertainty is taken out of equation. I can see this flying today....

Just my opinions I sympathise with the concerns about immigration. But we aren't the only country facing the issue

Glad to see on way to£4

Why should I waste time applying for a visa? Why are my existing long-held rights to free movement being taken away ? Most people moaning on here have no idea what the implications of leaving the single market are. Referenda are imbecilic ways of deciding important strategic decisions, as Ken Clarke has articulated very well. The economic arguments for Brexit don't stack up either.

Did the leavers on here notice that leave supporting politicians are quite keen on retaining freedom of movement for themselves....but not for others. Personally I don't want half the population depriving me of my right to free movement.

Leaving the single market isn't a very good idea. Mind you, neither is leaving the EU

Glencore PLC Katanga Mining announces settlement with G mines Source: UK Regulatory (RNS & others) TIDMGLEN RNS Number : 1870R Glencore PLC 13 June 2018 Glencore plc Baar, Switzerland 12 June, 2018 Katanga Mining announces settlement of DRC Legal Dispute with Gécamines and Agreement for the Resolution of KCC's Capital Deficiency Glencore refers to the announcement today by Katanga Mining Limited ("Katanga") in which it announced the settlement of the DRC legal dispute with La Générale des Carrières et des Mines ("Gécamines") and an agreement for the resolution of the capital deficiency at Katanga's 75% owned DRC operating subsidiary Kamoto Copper Company ("KCC"). Glencore is pleased that this matter has now been resolved and looks forward to supporting KCC's closer partnership with Gécamines as the parties work together to ensure that the Joint Venture reaches its full potential for the benefit of all stakeholders. The key highlights of Katanga's settlement agreement with Gécamines are as follows: -- Conversion of US$5.6 billion of KCC's total debt of approximately US$9 billion into new KCC equity such that, with retroactive effect as at January 1(st) , 2018, KCC has $3.45 billion of debt to KML Group, bearing interest at the lower of US$ Libor 6 month + 3% and 6% per annum; -- Katanga and Gécamines' shareholdings in KCC remain unchanged at 75% and 25% respectively; -- a one-time payment to Gécamines of US$150 million relating to historical commercial disputes; -- certain amendments to the dividend payment and free cash flow provisions of KCC including an amortization schedule for the repayment of the residual debt; -- payment of approx. $US 41 million to Gécamines in relation to outstanding expenses incurred as part of an exploration program; -- waiver by KCC of its entitlement (or financial equivalent) to replacement reserves and associated incurring of drilling costs on Gecamines' behalf, amounting to US$285 million and US$57 million respectively, and -- withdrawal of all legal action by Gécamines.

Anybody have any idea how mkt will react to this news? Am thinking above £4?

Glencore writes off $5.6bn in debt to end dispute with DRC’s state mining company June 12, 2018 6:33 pm by Neil Hume Glencore has agreed to write off $5.6bn of debt to safeguard a joint venture in the Democratic Republic of Congo, which is set to become the world’s biggest producer of cobalt, a key battery material. The debt-for-equity swap announced on Tuesday evening will plug a capital shortfall at the Kamoto Copper Company and end a dispute with Gécamines, the DRC’s state-owned mining company. Gécamines launched legal action in April to dissolve KCC and take control of its mining licenses. It claimed Glencore had failed to reduce billions of dollars of intercompany debt, reducing KCC’s ability to pay dividends. The heavy levels of debt carried by mining companies has become a heated issue in the DRC, where the government is also seeking greater share of industry profits. KCC is one of Glencore’s most important growth assets, expected to produce 300,000 tonnes of copper and 34,000 tonnes of cobalt in 2019. It is 75 per cent owned by Katanga Mining, a Glencore subsidiary listed in Canada, and 25 per cent by Gécamines. The agreement announced on Tuesday by Katanga will see KCC’s debt fall from more than $9bn to $3.45bn and the intercompany loans bear a new interest that is the lower of US six-month Libor plus 3 per cent, or 6 per cent. As part of the deal, which is expected to be close in the next couple of weeks, Katanga has also agreed to make a one-off payment to Gécamines of $150m relating to historical commercial disputes as well as $41m to cover expenses incurred as part of an exploration programme. Gécamines will also be freed of an obligation to repay $57m of contractor costs and to replace or provide financial compensation for mineral reserves valued at $285m. “Glencore is pleased that this matter has now been resolved and looks forward to supporting KCC’s closer partnership with Gécamines as the parties work together to ensure that the joint venture reaches its full potential for the benefit of all stakeholders,” the company said in a statement. The deal with Gécamines over KCC solves one of the legal problems facing Glencore in the DRC, which have piled up in recent months. Alongside other international mining companies Glencore is fighting the government of Joseph Kabila over a new mining code that will impose higher royalties and taxes. At the same time ex-partner in the DRC, Israeli businessman Dan Gertler, is suing the company over unpaid royalties, while a former shareholder in another of its DRC mines is seeking billions of dollars in compensation. Glencore could face a bribery probe by the UK’s Serious Fraud Office over its ties to Mr Gertler, who was sanctioned by the US in December for“opaque and corrupt mining and oil deals,” in DRC Unlike its peers, Glencore has invest