Eskom sought advisers to help implement government bailout

Eskom Holdings, the State-owned South African power utility with about $30-billion of debt, sought advisers on how to implement a government bailout seven months after President Cyril Ramaphosa said the company would be reorganised. Eskom issued an invitation to tender for “financial services for implementation for government support package” on Aug. 23, according to a document seen by Bloomberg. The tender, which closed on September 3, requires that the team provide its record in “providing holistic solutions to restore the viability of companies in financial distress for transaction values in excess of $1-billion.”

$11bn green-energy initiative takes shape in South Africa

A plan to establish the world’s largest green-energy financing initiative is being threshed out in South Africa, which needs to reduce its environmental footprint and find innovative ways to fund debt-stricken state power utility Eskom Holdings. The plan being formulated by Meridian Economics, a Cape Town-based think tank, is under consideration by the government. It envisions the establishment of an $11-billion facility backed by development finance institutions and private funders. The new entity would lend money to Eskom at slightly below commercial rates on condition it accelerates the closure of polluting coal plants to make way for renewable energy.

Oil jumps the most ever after attack cuts Saudi Arabian supplies

Global oil prices surged the most on record after a strike on a Saudi Arabian oil facility removed about 5% of global supplies, an attack the US has blamed on Iran. In an extraordinary start to trading, London’s Brent futures jumped almost $12 a barrel in the seconds after the open on Monday, the biggest intraday advance in dollar terms since they were launched in 1988. On the New York Mercantile Exchange, West Texas Intermediate contracts were frozen for about two minutes after the scale of the move delayed the market open.

Gold rallies on concern Saudi attack may presage wider conflict

Gold and silver rallied after a strike against Saudi Arabian oil facilities raised the possibility of retaliatory US military action in the Middle East, with investors seeking haven assets at the start of a week that’ll also see critical policy decisions from central banks including the Federal Reserve. Bullion jumped more than 1.5% as investors gauged the ramifications from the assault against the world’s biggest crude-processing facility in Abqaiq and kingdom’s second-biggest oil field in Khurais. Secretary of State Michael Pompeo blamed Iran for the disruption, a charge that was rejected by Tehran.

Gold rallies on concern Saudi Attack may presage wider conflict

Gold and silver rallied after a strike against Saudi Arabian oil facilities raised the possibility of retaliatory US military action in the Middle East, with investors seeking haven assets at the start of a week that’ll also see critical policy decisions from central banks including the Federal Reserve. Bullion jumped more than 1.5% as investors gauged the ramifications from the assault against the world’s biggest crude-processing facility in Abqaiq and kingdom’s second-biggest oil field in Khurais. Secretary of State Michael Pompeo blamed Iran for the disruption, a charge that was rejected by Tehran.

Indonesia sees China as ally as it weighs bans on exporting minerals

Indonesia, which is weighing an early ban on exports of bauxite and copper concentrates, is betting on Chinese companies to add to the billions of dollars of investment in building smelters and processing plants. Making a deal with China is “simple", as the country “is willing to meet any request from us,” said Coordinating Minister of Maritime Affairs Luhut Binsar Pandjaitan, who also oversees mining.

Gold investors see M&A, cost cuts unlocking $13bn

A group of investors including the hedge fund founded by billionaire John Paulson said “significantly mismanaged” gold companies could unlock $13 billion in value through mergers and cost cuts. The Shareholders’ Gold Council of 18 investors including Egyptian billionaire Naguib Sawiris’s La Mancha found that the median spending of senior gold producers is double that of mining companies that produce other metals, including Vale, the world’s largest iron-ore producer.

UASA says ballot rule to curb ‘wild strikes’

As wage negotiations with some South African platinum producers reach deadlock, one labour union welcomed a new rule for any strike to require backing from workers in a secret ballot. During the 2014 platinum strike, led by the Association of Mineworkers and Construction Union (AMCU), one mining boss called for such ballots to increase transparency. Smaller union UASA said the new rule, which came into effect on January 1, would help prevent prolonged and pointless strikes.

South African mining output rises for first time in nine months

South African mining output increased for the first time in nine months in July as coal and iron-ore production surged. Mining production rose 2.4% from a year earlier compared with a revised 4.1% decline in June, Pretoria-based Statistics South Africa said in a report on its website Thursday. The median estimate of five economists in a Bloomberg survey was for a 1% increase.

Zimbabwe holds diamond auction for 316 000 ct

Zimbabwe’s State-owned Minerals Marketing Corporation opened a 316 000 ct diamond auction, which will close at the end of the week, an official said. “This is the third auction we have conducted this year as there were some administrative issues which were taking place within the organization," MMCZ’s GM Tongai Muzenda said by phone on Wednesday. The last auction was held in July, he said.