Europe's Russian Gas Retreat Punishes Its Fertilizer Makers
By
Welcome to The Brink. I'm Edward Clark, a reporter in London, where I looked at how fertilizer makers are struggling against cheap Russian imports. We also have news on Carlyle's investment in iRobot, Cerba and Razor. Follow this link to subscribe. Send us feedback and tips at debtnews@bloomberg.net.
Europe's beleaguered fertilizer companies are waiting for policymakers in Brussels to throw them a lifeline before it's too late.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
CNBC
42 minutes ago
- CNBC
Why uranium mining is having a resurgence in the United States
From about the 1960s to the mid-1980s, the United States was a leader in uranium mining. But domestic production of the mineral, which is primarily used as fuel for nuclear reactors, has since fallen off a cliff. "A lot of this was because it was a government priority. And we strategically used government funding and subsidies to support it. However, what kind of started happening during the 90s is we saw a de-prioritization away from uranium," said Gracelin Baskaran, director of the Critical Minerals Security Program at the Center for Strategic and International Studies. Several high-profile nuclear accidents, including the 2011 Fukushima disaster in Japan, also negatively affected public perception of nuclear energy and tanked uranium prices, leading many domestic uranium producers to shutter their mines. The U.S. is the world's largest producer of nuclear power, but the latest available data from the U.S. Energy Information Administration shows that the U.S. imports over 95% of the uranium feedstock needed to power its 94 nuclear reactors. "The difficulty is we've prioritized nuclear, but deprioritized uranium, which we need to fuel our nuclear power and is creating an incongruence in our policy," Baskaran said. That's changing as electricity demand skyrockets thanks to power-hungry AI models being developed by tech giants including Microsoft, Google, Meta and Amazon, as well as a global push for cleaner energy. This emphasis on nuclear power is also driving demand for uranium. A recently released report by the Nuclear Energy Agency and the International Atomic Energy Agency estimates that if demand for nuclear energy continues to grow, known uranium deposits will run out by 2080. "Right now the uranium miners globally are not keeping up with demand," said John Cash, president and CEO of uranium mining company Ur-Energy. "It takes years from discovery to the time you produce. So it's going to take years for that gap to be closed between those two, and all the while, we see tremendous growing demand for nuclear power." The domestic uranium industry has received bipartisan support from the U.S. government. In 2024, the Biden administration banned the import of Russian uranium and unlocked $2.7 billion in federal funding to expand domestic uranium enrichment and conversion capacity. In May, President Trump signed four executive orders aimed at speeding up the deployment of nuclear reactors to quadruple the nation's nuclear energy capacity from 100 GW in 2024 to 400 GW by 2050. But even with all this support, experts say, the U.S. will continue to depend on other countries for uranium. "Even if all the uranium projects in the United States that are currently permitted and operable, we could not satisfy the demand of the United States of America," said Mark Chalmers, president and CEO of uranium mining company Energy Fuels. "The U.S. has a lot of room to increase its uranium production, but the difficulty is we have less than 1% of the world's reserves. So in the long term, we're really going to need uranium from other countries," Baskaran said. CNBC spoke to two uranium miners, Ur-Energy and Energy Fuels, about how they are working to restart and ramp up domestic production of uranium and the challenges they face in doing so. Watch the video to find out more.
Newsweek
an hour ago
- Newsweek
Europe Can Bypass Trump to Hit Putin's Oil Empire: Kallas
Based on facts, either observed and verified firsthand by the reporter, or reported and verified from knowledgeable sources. Newsweek AI is in beta. Translations may contain inaccuracies—please refer to the original content. The European Union may not need the Trump administration's support for its proposal to lower a price cap on Russian oil, the bloc's foreign policy chief has said. The comments by EU High Representative Kaja Kallas followed Brussels' latest sanctions package that included proposing to lower a G7-imposed price cap on seaborne Russian oil from $60 to $45, to curb funding for Vladimir Putin's military machine. Putin's spokesman Dmitry Peskov said lowering this price cap would not help stabilize global energy markets. Newsweek has contacted the White House for comment. This image from January 7, 2025 shows the oil tanker Eagle S which, thought to be part of Russia's "shadow fleet" anchored near the Kilpilahti port in Porvoo, on the Gulf of Finland. This image from January 7, 2025 shows the oil tanker Eagle S which, thought to be part of Russia's "shadow fleet" anchored near the Kilpilahti port in Porvoo, on the Gulf of Finland. ANTTI AIMO-KOIVISTO/Getty Images Why It Matters To cut export revenues for Moscow, the European Commission on Tuesday proposed to lower the G7-imposed price cap on Russian seaborne crude oil from $60 a barrel to $45. This was among the EU's latest sanctions proposals to force Putin to the negotiating table to end the war he started in Ukraine, a package that needs the backing of all 27 bloc members. EU Commission president Ursula von der Leyen said changing the cap would be discussed when the G7 meets in Alberta, Canada next week but Kallas' comments suggest the EU could proceed with the measure, regardless of the U.S. What To Know On Tuesday, the EU Commission announced its 18th package of sanctions on Russia to force it to the negotiating table and curb Putin's war machine. Kallas said the package would sanction firms linked to the Nord Stream gas pipelines between Russia and Germany that have been nonoperational since 2022 following suspected sabotage attacks. The package also targets Russian businesses and banking. The EU Commission suggested any change to the oil price cap would require the backing of the G7 members as the EU also seeks to clamp down on Russia's sanctions-busting "shadow fleet" of vessels transporting the product. However, Kallas told the Brussels Forum on Wednesday that most Russian oil goes via the Baltic and Black Seas. This meant that while U.S. backing was important, if it was not forthcoming, "we can still do it and have an impact." Russia's "shadow fleet" of often older vessels with less reliable insurance, has made the $60 price cap difficult to enforce. The cap also came into force in February 2023 when oil prices were much higher, which Kallas referred to when she said the agreement was intended to be 5 percent below the market price. Kimberly Donovan from the Atlantic Council's Geoeconomics Center, said reducing the price cap to $45 is an acknowledgment that oil prices have dropped considerably and reflects a commitment to restrict Russia's ability to generate revenue. Ivan Hortal Sanchez, European Union Campaigner at Razom We Stand, a Ukrainian campaign group, told Newsweek that the EU, ideally in full alignment with the U.S. and G7, must strictly enforce the price cap and closely coordinate to sanction more vessels. He also said there should be further listings of Russian shadow fleet tankers adding that without massive oil revenues, the Kremlin will not be able to sustain its aggression against Ukraine. What People Are Saying EU High Representative Kaja Kallas on lowering the price cap on Russian oil: "The oil going through the channels, it's mostly Europe, it's via the Baltic Sea, it's via the Black Sea. So even if the Americans are not on board, we can still do it." Kremlin spokesman Dmitry Peskov: "Such actions do not contribute to the stabilization of international energy markets and the oil market." Ivan Hortal Sanchez, European Union Campaigner at Razom We Stand: "The EU, ideally in full alignment with the USA and G7, must strictly enforce the price cap and closely coordinate to sanction more vessels." Kimberly Donovan, director of the Economic Statecraft Initiative Atlantic Council's Geoeconomics Center: "Russia still relies on revenue from oil exports, so lowering the price cap could negatively affect how much money they can bring in." "Of course, it is important the United States... is together with us, and we have been operating together for quite some time," she said, "but it is also equally important for us what we do alone, because we alone are also a player." What Happens Next The G7 summit will take place in Alberta, Canada from Sunday where the oil price cap and other aspects of the war in Ukraine will be discussed. Meanwhile, Brussels seems optimistic that its eighteenth sanctions package will pass although it requires the backing of all 27 EU members, and the leaders of Slovakia and Hungary have suggested they would block any further measures against Russia.
Bloomberg
2 hours ago
- Bloomberg
The Bond King Has a Warning for Private Credit: Feels Like 2006
By , Davide Scigliuzzo, and Luca Casiraghi Save Welcome to a special joint edition of Going Private and The Brink, Bloomberg's twice-weekly newsletters about private markets and corporate distress. Today, we are bringing you the highlights from the Los Angeles Global Credit Forum. If you're not already on our list, sign up here. Have feedback? Email us at goingprivate@ or at debtnews@ Private credit has no shortage of evangelists on Wall Street. Jeffrey Gundlach is not one of them.
