Iraq has asked the OPEC leadership for a significantly higher crude oil production baseline for future quotas, Bloomberg has reported, citing unnamed sources with knowledge of the matter.
According to these sources, Baghdad wants its future quotas in the group to be set on a daily production baseline of 6 million barrels of crude. This is substantially higher than the country’s current production rate, which, as of August, stood at some 3.37 million barrels daily. However, the August daily average was markedly higher than the July average, which stood at 2.77 million barrels daily.
Also in August, Iraq’s Prime Minister said the country will seek to boost oil production to between 8 and 10 million barrels daily in the next six years, despite current war-related disruptions. Before the war began, Iraq was producing some 4 million barrels daily. At the time, Iraq had sent a delegation to Saudi Arabia to negotiate a higher baseline for production quotas in OPEC.
The country has been among the producers hit hardest by Iran’s effective closure of the Strait of Hormuz, historically Iraq’s primary crude export route. Iraq has managed to push exports through Hormuz back to around 2 million bpd last month, but traffic through the chokepoint remains well below pre-war levels, especially in the past week after the United States and Iran began fighting again.
Still, Iraq has benefited from a special exemption granted by Iran to tankers carrying Iraqi crude, which were given the green light to pass through the Strait of Hormuz. It was unclear if the exemption concerned all tankers carrying Iraqi crude or only some, but the fact is that Iraqi flows out of the Persian Gulf have rebounded. However, due to the Hormuz blockage, Iraq has had to offer buyers substantial discounts to place its crude.
The Cabinet Committee on Economic Affairs, chaired by Prime Minister Narendra Modi, has approved five multitracking projects of the Ministry of Railways with a total estimated cost of around Rs 10,021 crore.
The projects will cover 17 districts across Tamil Nadu, Andhra Pradesh, Karnataka and Telangana and add around 540 km to the existing railway network.
The approved projects include the Arakkonam-Renigunta third and fourth lines covering 77 km, Whitefield-Bangarapet third and fourth lines covering 47 km, Hosur-Omalur doubling covering 147 km, Salem-Karur-Dindigul doubling covering 159 km and multitracking of the Secunderabad (Ghatkesar)-Kazipet section covering 110 km.
The capacity augmentation is expected to improve mobility, enhance operational efficiency and reliability of railway services, and help reduce congestion on key routes.
According to the government, the projects have been planned under the PM Gati Shakti National Master Plan, with a focus on integrated planning, multimodal connectivity and improved logistics efficiency.
The projects are expected to provide seamless rail connectivity for the movement of people, goods and services.
The expanded network will improve connectivity to around 2,121 villages with a combined population of approximately 52 lakh.
The projects will also strengthen rail connectivity to several important tourist and religious destinations, including Tirupati, Subramaniya Swamy Temple at Tiruttani, Sri Padmavati Ammavaari Temple at Tiruchanur, Kotilingeshwara Devaalaya, Bangaru Tirupati, Kolar Gold Fields, Hogenakkal Falls, Hosur Fort, Mettur Dam, Kodaikanal Hills, Sathyamangalam Wildlife Sanctuary, Namakkal Anjaneyar Temple, Yadagirigutta Temple and Bhongir Fort.
The routes are also important for the transportation of key commodities such as coal, cement, iron and steel, containers, automobiles, foodgrains, petroleum products and fertilisers.
The capacity augmentation is expected to facilitate additional freight traffic of around 47 million tonnes per annum (MTPA).
The government said the projects would also contribute to reducing logistics costs and supporting India’s climate goals, as rail transport is more energy-efficient and environmentally friendly compared with several other modes of freight transportation.
The projects are expected to help reduce oil consumption by around 8 crore litres and lower carbon dioxide emissions by approximately 42 crore kg, equivalent to the carbon absorption of around two crore trees, according to the government.
The approved projects are part of efforts to strengthen railway infrastructure and create additional capacity to meet growing passenger and freight demand while supporting regional economic development.
$100 is the big psychological level in oil and we've broken it today in brent, though not yet in WTI. Technically though, the $93.50 level oil was flirting with yesterday is the more-important level. For a moment, it looked like crude could reject it but today it has cruised through.
WTI is trading up $2.85 at a session high of $95.81 per barrel. That clears the July high and marks a distinct series of higher lows since MOU peace deal low in early July.
Fundamentally, Trump has a real problem here and it's now slowing down. The rumors of peace deals are being routinely ignored by the market now as it's abundantly clear that both sides are hunkering down.
For the Iranian side, this is an existential struggle. There is talk of regime collapse and you never know if that will unfold but if not, they have proven an ability to curb Hormuz flows. However even in a case where only Iran's oil is blocked by the US, that's still a material drain on global supplies that's starting to bite.
On the US side, it's a matter of guessing what Trump will do, which is near-impossible. Some of the recent messaging on higher oil prices is telling Americans that's the price they need to pay for a non-nuclear Iran, or blaming Russia-Ukaine but that's a tough platform for the midterms.
The gasoline on the fire is the price of gasoline, which is ratcheting higher. Diesel already hit records and gasoline is starting to take off, including a record for Labor Day this weekend.
RBOB wholesale gasoline (Oct):
There has to be a breaking point somewhere and it's almost beneficial if we can get a spike now, in order to create the pressure for peace. The risk is that Trump grows too proud -- particularly after the midterms -- and tried to a blind-eye to an oil spike.
The problem is that energy inflation can spill over into broader inflation expectations. Already, we're seeing rising sovereign yields everywhere and US 10-years are within striking distance of 5%. In Japan, 30-year yields are just 2 bps from 4%. At some point that also boomerangs back into stock markets.
Unfortunately, I think we're still a long ways away from the breaking point.
https://investinglive.com/commodities/the-oil-price-breakout-is-confirming-and-that-s-a-big-problem/
China’s oil demand is expected to fall by 600,000 barrels per day(bbl/d), or 8.9%, in 2026, marking the third consecutive annual decline, according to China Petroleum & Chemical Corporation (Sinopec)’s research arm. The drop reflects weaker gasoline and diesel consumption and signals a structural shift in the world’s largest oil‑importing market.
Transport fuels are set to lead the contraction, with gasoline demand forecast to fall 8.7% and diesel 11.4%. Jet fuel, by contrast, is projected to rise 1.3%, Reuters reported.
The downturn comes despite continued growth in China’s chemical sector, which recorded a 50% year‑on‑year profit surge in the first seven months of 2026.
Sinopec’s study also highlights mounting pressure on refiners, with crude throughput in 2026 forecast at 697 million tons against total refining capacity of about 952 million tons per year.
However, stricter policies and weaker domestic demand are expected to accelerate the closure of inefficient facilities. Between 80 million and 100 million tons per year of refining capacity, mainly at small and medium-sized refineries, could be phased out, bringing China’s total refining capacity down to between 900 million and 910 million tons by 2030, according to the research.
The anticipated closures could have implications for China’s crude imports and global oil markets, particularly as the country moves from rapid expansion of refining capacity toward a period of consolidation.
China’s weakening oil demand reflects a broader structural transformation in its energy and transportation sectors rather than simply a cyclical slowdown. The International Energy Agency (IEA) reported that China’s oil demand growth had already slowed sharply in 2025. Although Chinese GDP expanded by about 20% between 2021 and 2025, oil use in transportation remained broadly flat as the rapid electrification of road vehicles, increased use of natural gas-fueled trucks and greater high-speed rail ridership offset rising economic activity.
https://egyptoil-gas.com/news/sinopec-chinas-oil-demand-to-fall-8-9-in-2026/
UK natural gas prices rose to 200 pence per therm on Thursday for the first time since the end of 2022, amid rising concerns over the region’s gas supply outlook. European gas inventories remain below historical norms as escalating attacks in the Middle East continue to disrupt LNG shipments through the Strait of Hormuz, a critical route handling roughly 20% of global gas flows, mainly from Qatar. In the latest development, Iran said it had struck more than a dozen vessels attempting to pass through the strait and warned that it would step up attacks if Washington continued strikes on its territory, heightening fears of deeper and more prolonged supply disruptions. Meanwhile, maintenance in Norway and lower Algerian flows to Italy are also limiting pipeline supplies to Europe. These supply risks come as Europe nears the end of its summer storage injection season, threatening to further intensify competition for global gas supplies during the winter.
Sep 08, 2026
VANCOUVER, British Columbia, Sept. 08, 2026 (GLOBE NEWSWIRE) -- Eldorado Gold Corporation (TSX: ELD, NYSE: EGO) (“Eldorado” or the “Company”) is pleased to announce that first copper-gold concentrate has been produced at its wholly owned Skouries Project in northern Greece, marking a significant milestone in the transition of the project from construction to operations and a major step toward commercial production which is expected to be achieved in the fourth quarter of 2026.
First concentrate was produced on September 8 as part of the ongoing commissioning and ramp-up of the processing plant. This milestone follows the introduction of first ore to the crusher in July and reflects the successful commissioning of key process plant systems, including crushing, grinding, flotation and tailings thickening circuits. The ore stockpile currently exceeds 4.6 million tonnes above reserve grade, providing a strong foundation for ramp-up and underpinning more than seven months of processing throughput and concentrate production.
"This is a defining moment for Eldorado," said George Burns, Chief Executive Officer. "First concentrate at Skouries represents the culmination of years of development, construction and partnership and marks the beginning of a new chapter for our Company. Skouries is not only a transformational asset for Eldorado, but also one of the most significant investments in Greece and one of Europe's largest copper-gold projects. Together with McIlvenna Bay in Saskatchewan, Skouries is expected to transform Eldorado into a larger, more diversified precious metals and critical minerals producer with a stronger production base, meaningful copper and silver exposure and enhanced free cash flow generation. We are proud of what has been accomplished through our partnership with the Greek government and banks, local communities, our workforce and other stakeholders, and we look forward to creating long-term value and benefits for Greece and all stakeholders for decades to come."
Key infrastructure commissioning has steadily progressed with crushing, grinding, flotation, tailings thickening, and concentrate thickening systems operating successfully. Temporary on-site power generation continues to support early operations and ramp-up until connection to the national power grid is achieved, which remains subject to final inspections, testing and installation of metering equipment by the Greek transmission authority and is expected in September 2026.
Stockpile dome and process plant
Semi-autonomous grinding mill (SAG) & Ball mill
Flotation cells and regrind mill (in the foreground)
Skouries is expected to produce on average 140,000 ounces of gold and 67 million pounds of copper annually over the life of mine.
Rio Tinto has agreed a deal with Switzerland-based miner Glencore and Mitsubishi Development to acquire their Aurukun bauxite project in Queensland
Mining major Rio Tinto has agreed a deal with Switzerland-based miner Glencore and Mitsubishi Development to acquire their Aurukun bauxite project in Western Cape York in Queensland, Australia.
A Glencore company spokesperson confirmed the transaction, noting that the financial terms had not been disclosed, and the transaction remains subject to Government of Queensland and other Australian regulatory approvals.
A Rio Tinto spokesman confirmed the transaction. The project is currently held under a Mineral Development License with a Mining Lease yet to be granted.
Traditional Owner agreements
If the acquisition proceeds, Rio Tinto would also assess the appropriate regulatory approvals pathway, in consultation with State and Commonwealth agencies, and work closely with Traditional Owners throughout the next stages of planning and development. Mining Digital notes that Rio Tinto has successfully developed mines in the Cape York region and has experience managing community relations.
Rio Tinto bauxite operations
Rio Tinto already has a significant number of bauxite and downstream alumina and aluminium supply chain operations in the Cape York region of Northern Queensland.
Its operations in Far North Queensland include two bauxite mines, processing facilities, shiploaders, an export wharf, two ports, power stations, a rail network and ferry terminals.
In 2025, Rio Tinto began early works and conducted final engineering studies related to the Kangwinan project, a proposed 20 million tonnes per annum production capacity expansion at the Amrun bauxite mine on the Cape York Peninsula. If the project is approved and Rio Tinto takes FID, Rio Tinto aims for first output as early as 2029.
Rio Tinto began production at the Amrun bauxite mine in May 2020.
The capacity expansion at Amrun is expected to offset the closure of Rio Tinto’s existing mining assets in the region. Production from Rio Tinto’s East Weipa mine ceased in 2024; production from its existing Andoom mine on the Cape York Peninsula as well as the Gove mine in the Northern Territory are expected to cease by the end of the decade.
https://miningdigital.com/news/rio-tintos-queensland-bauxite-focus-in-australia
 "copper")
With copper prices surging to record levels, the Indian Primary Copper Producers Association (IPCPA) has warned that a growing mismatch between global mine supply and smelting capacity is putting severe financial pressure on copper smelters, with treatment and refining charges (TC/RCs) plunging to unprecedented negative levels.
These charges, which smelters typically earn for processing copper concentrates supplied by miners, have fallen from positive levels of around $300-400 per tonne to about negative $1,300 per tonne, according to IPCPA.
The sharp decline underscores the tightening availability of copper concentrates as mining output remains constrained while smelting capacity, particularly in China, continues to expand, the industry body said.
IPCPA is the industry body representing leading copper producers in India, including Hindalco Industries, Hindustan Copper Limited and Vedanta Limited.
In recent months, copper prices have jumped to unprecedented levels, with the London Metal Exchange (LME) price touching a record $14,737 per tonne in September 2026, up nearly 50 per cent over the past year.
According to IPCPA, copper’s price rally has been driven by expectations of US tariffs, tightening mine supply and significant shifts in global inventories.
Meanwhile, Vedanta Ltd said the company is uniquely positioned to benefit from higher copper prices.
Since the beginning of the year, hundreds of thousands of tonnes of copper have been shipped to the US to take advantage of the premium between Comex and LME prices, IPCPA said. Comex inventories have consequently surged to a record 675,000 tonnes, while LME warehouse stocks have fallen to critically low levels, resulting in a concentration of copper stocks in the US, it added.
The industry body said global mine output has also been slightly lower because of operational challenges at three to four key mines globally. At the same time, China has continued to add smelting capacity, increasing competition for an already constrained pool of copper concentrates.
The US Department of Commerce’s report on potential copper import tariffs is also overdue by nearly two months. However, markets continue to price in the possibility of trade restrictions, supporting elevated copper prices, IPCPA said.
The London Metal Exchange (LME) today confirmed that trading in its new LME Steel HRC Shanghai futures contract will commence on 27 October 2026.
This contract settles to the globally respected Shanghai Futures Exchange (SHFE) hot rolled coil (HRC) steel price and marks the first time that SHFE has made a metals price available for trading on another exchange.
The new LME contract will provide an additional access route to a key commodity contract for international firms and will be cash-settled against the SHFE HRC RMB price, converted into US dollars. The necessary currency conversions and other pricing tasks will be undertaken by Commodity Pricing and Analysis Limited (CPAL), a sister company to the LME.
MiRan Park, LME Chief Business Officer, said:
“I am thrilled to be able to confirm the launch date for our new contract. From next month, the LME will be providing the market with a straight-forward route to accessing what is widely regarded as the global benchmark for the flat steel sector, offering ease of access for offshore participants of the LME. With an average bid offer of one tick, hundreds of lots quoted on each side and an average daily volume of almost 700,000 lots per day, the SHFE HRC contract is one of the most successful commodity contracts in the world.”
Zhang Ming, Executive Vice President of SHFE, said:
“We are very much looking forward to the launch of the LME Steel HRC Shanghai contract in October. As a globally recognised exchange, the LME has a broad international market presence. By licensing the settlement price of SHFE HRC futures to the LME, we aim to provide Chinese and overseas companies engaged in global HRC trade with a more direct and effective risk-management tool, while further strengthening the links between China’s steel industry, the Shanghai price and global markets.”
Today the LME is also publishing the details of the dedicated incentive programme to provide quotes for the LME Steel HRC Shanghai contracts on the LME’s electronic trading platform, LMEselect, based around the active months that have the most liquidity on the SHFE market. The programme has been designed following positive engagement with several liquidity providers in China, Europe, America and the Middle East.
Trading activity in the European steel hot-rolled coil (HRC) market was quiet on Tuesday September 8, with buyers showing continued resistance to higher mill asking prices and limiting purchases to small volumes.
The Northern European market was relatively slow, with demand described as subdued and restocking ahead of the first quarter yet to materialize.
Small-volume deals were heard concluded at €750 ($862.82) per tonne ex-works.
“Demand remains very dull for the moment. Restocking for Q1 has not yet started,” a buyer told Fastmarkets.
A second buyer said tradable levels were within the range of €730-740 per tonne ex-works.
“The market is very slow and there is no demand, but small quantities on the market can be sold between €730 and €740 per tonne ex-works,” they told Fastmarkets. “€740 is the maximum, and it’s not possible to increase the price further.”
Buyers rejected suppliers’ higher asking prices of €770 per tonne ex-works as unworkable, and those levels were excluded from the daily pricing index.
Regional supply remained constrained, with major producer thyssenkrupp still absent from the market due to ongoing maintenance works.
Fastmarkets’ daily steel hot-rolled coil index domestic, exw Northern Europe, was calculated at €742.50 per tonne on September 8, unchanged from September 7. The index was down by €5.83 per tonne week on week and up by €25.00 per tonne month on month.
In Italy, trading activity remained limited amid persistent domestic supply constraints. While Metinvest’s Ferriera Valsider has restarted operations following a previous engine failure, it has yet to return to making offers.
Compounding availability concerns, Acciaierie d’Italia (ADI) faces a potential halt to its steelmaking operations by October following an August 27 Milan Court of Appeal ruling, which threatens to leave the domestic market with just a single operational HRC supplier.
Against this backdrop, workable price levels in Italy held firm at €720-730 per tonne ex-works on Tuesday.
“Higher offers sound in the market, but real deals are still flat,” an Italian-based buyer said. “I do expect more strength in price increases from EU producers in the next few weeks. The market is in trouble importing steel,” they added.
Fastmarkets’ daily steel hot-rolled coil index domestic, exw Italy, was calculated at €726.25 per tonne ex-works on September 8, down by €1.25 from €727.50 per tonne on September 7. The index was up by €13.75 per tonne week on week and up by €17.50 per tonne month on month.
https://eurometal.net/european-hrc-trading-subdued-as-buyers-resist-higher-mill-offers/
CMRG Advises Steelmakers to Halt Rio Tinto Pilbara Blend Purchases Amid Contract Talks
China's state-owned iron ore importer, China Mineral Resources Group (CMRG), has advised several steelmakers to suspend purchases of Rio Tinto Group's key Pilbara Blend ore, as reported by Bloomberg. The guidance comes amid critical contract negotiations with the Australian mining company, according to sources familiar with the matter.
CMRG, established in 2022 to consolidate iron ore procurement and enhance Beijing's influence over raw material pricing, has asked companies to hold off on new purchase discussions with Rio Tinto for now. The Chinese market is vital for Rio Tinto, accounting for nearly 60% of its revenue last year. Additionally, the miner counts China's Aluminium Corporation of China among its largest shareholders and is involved in a major Simandou ore project in Guinea with Chinese partners.
Contract talks with CMRG have historically been challenging for major industry players. BHP Group faced prolonged delays, eventually signing a one-year agreement valid until June 2027, which included an extension of settlements in yuan. Fortescue Ltd. is currently also facing sales restrictions to China while negotiating terms with the state-owned importer.
According to GMK Center, global iron ore shipments in August 2026 remained relatively stable. Despite subdued demand from China, leading producing countries showed mostly positive or neutral trends, except South Africa.
Iron ore futures traded firmer on Tuesday. The DCE most-traded I2701 contract settled at 744.5 yuan/mt, up 1.36% from the previous session. Qingdao port spot prices rose by an average of 6-7 yuan/mt, with traders showing only moderate enthusiasm in offering and mills largely holding to the sidelines. Overall spot trading activity was subdued.
Sustained gains in raw material prices have lifted production costs at steel mills and kept margins under pressure, prompting those with heavier losses to step up maintenance and trimming rigid demand for iron ore. SMM survey data showed hot metal output lost to blast furnace maintenance came to 1.3834 million mt this week, up 23,600 mt from the previous week.
On the supply side, however, tight vessel availability and higher diesel costs have kept international dry bulk freight rates climbing, lending cost support to iron ore prices. Coupled with strong market expectations for the traditional peak season in September and October, funds have pushed futures higher. Iron ore prices may therefore decouple from fundamentals for a time, holding a firm tone on sentiment in the near term. [SMM Steel]
