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The U.S. Department of Energy (DOE) has announced up to $65.5 million in federal funding for cost-shared research, development, and deployment projects aimed at strengthening domestic oil and natural gas production. The initiative focuses on improving the efficiency and reliability of critical energy infrastructure and converting underutilized resources into valuable products.

The funding supports technologies that maximize the productivity of existing infrastructure, expand the capacity and performance of energy delivery systems, and enhance the resilience of America’s oil and natural gas supply chain. It aligns with President Trump’s Executive Order to ensure affordable, reliable, and secure energy through responsible development of domestic oil and natural gas supplies.

The DOE is seeking proposals in three areas: developing technologies to transform stranded or flared resources into transportable products, enhancing infrastructure durability with advanced materials and equipment, and optimizing operations through digitalization and smart test sites. This follows a recent $150 million funding opportunity for improving recovery efficiency and managing produced water in unconventional oil and gas reservoirs.

Newmont, the world's largest gold producer, expects a nearshore barrier at its Lihir mine in Papua New Guinea to unlock more than 5 million ounces of gold starting in 2028. The company reported record quarterly free cash flow of $2.2 billion in the second quarter, driven by strong operational performance and higher gold prices. Production reached 1.3 million ounces of gold, 17,000 tonnes of copper, and 7 million ounces of silver. The company reaffirmed its 2026 production guidance after meeting targets in the first half of the year.

Chief executive Natascha Viljoen highlighted progress on several growth projects, including regulatory approvals for the Red Chris block cave project in Canada, which is advancing toward a feasibility study. At Cadia in Australia, production resumed after an April seismic event, with no impact on full-year guidance. The company's long-term growth pipeline also includes Ahafo North, Cerro Negro, Tanami, Boddington, and the Lihir nearshore barrier. Viljoen expressed optimism about operational improvements at Lihir, citing better mining stability and lower costs.

Investor concerns remain around inflation, project capital costs, and regulatory risks, particularly in Ghana and for the Red Chris project, where costs may exceed previous estimates. Discussions with Barrick over Nevada Gold Mines are unresolved. Newmont returned $1.9 billion to shareholders through dividends and buybacks and has repurchased over 100 million shares. The company expects to update its multi-year guidance early next year.

Fitzroy Minerals has reported exceptional drill results from its Buen Retiro copper project in Chile, with hole BRT-DDH072 intersecting 111.9 metres grading 0.97% copper starting at just 21.1 metres depth. The mineralization is shallow, broad, and extends along the Tenorita trend, confirming continuous copper zones over a 300-metre width. The company is targeting an initial resource estimate and prefeasibility study before moving to production by 2028.

The project is being evaluated for a heap-leach operation that could feed nearby solvent extraction-electrowinning facilities. Fitzroy has signed a letter of intent with Chilean miner Pucobre for a potential joint development, including access to an existing processing plant about 90 kilometres away. The prefeasibility study is due by mid-2025, and the likely partnership structure would give Fitzroy a 70% stake and Pucobre 30%.

Fitzroy currently has four drill rigs operating at Buen Retiro and aims to complete the drill-out of the 1.7-kilometre-long Tenorita trend by August. The project is located in Chile's Atacama Region, near Lundin Mining's Candelaria mine, and covers 132 square kilometres in the Punta del Cobre iron oxide copper-gold belt. Shares in Fitzroy rose 5.3% to 40 Canadian cents on the news, giving the company a market value of about C$130 million.

Agnico Eagle Mines, Canada's largest gold miner, has invested $60 million to increase its stake in Cadillac Mines, a company preparing for an initial public offering. The investment is part of a private placement alongside Cadillac's $385 million IPO, where Agnico will purchase about 8.7 million common shares at $6.90 per share. This will raise Agnico's ownership in Cadillac to around 11% from a previous 9.7% stake.

Cadillac Mines holds a large portfolio of gold exploration properties along the Cadillac-Larder Lake Break in Quebec's Abitibi greenstone belt, a prolific gold-producing region. Key assets include the historic Kerr-Addison mine, which produced 11 million ounces of gold, the Galloway gold project, and the Geminid nickel-sulphate project. The company recently changed its name from Gold Candle to reflect its focus on the area.

Agnico's move aligns with its strategy of supporting explorers in regions where it already operates, such as the Abitibi belt, where it runs mines like Canadian Malartic and LaRonde. Previous similar investments include stakes in Wallbridge Mining, Maple Gold Mines, and Cascadia Minerals. By providing capital, Agnico gains exposure to exploration assets that could supply future mill feed or acquisition opportunities.

Gold could rise to $6,000 per ounce as swelling U.S. debt and central-bank buying extend the metal's bull market. The forecast, from Toronto-based brokerage Maison Placements, highlights $39 trillion in U.S. federal debt and steady official-sector demand as key drivers.

The dollar's share of global reserves has fallen to 54% from 71% in 1999, and foreign investors hold nearly $10 trillion of U.S. Treasury debt. Central banks bought 244 tonnes of gold in the first quarter and 41 tonnes in May, with China adding nearly 15 tonnes for a 20th straight month. Some governments are also moving physical gold from New York and London vaults to reduce exposure to sanctions and political risk.

Maison Placements President John Ing rates several gold miners as buys, including Agnico Eagle Mines, B2Gold, Endeavour Mining, Barrick Gold, and Lundin Gold. Ing expects these companies to benefit from widening margins as gold prices rise, with production and cost estimates provided for each. Some miners like Kinross Gold are rated hold, while others like Newmont and Eldorado Gold are rated sell or lower.

Saudi Arabia has long relied on its East-West Pipeline to bypass the Strait of Hormuz, pumping crude to Yanbu on the Red Sea. However, the Houthi blockade at Bab El Mandab now threatens this route, as oil reaching Yanbu still needs to exit the Red Sea. The kingdom faces a logistical challenge that could disrupt global oil markets and shift strategic balances.

The alternative of shipping north through the Suez Canal is complicated. The Suez Canal and SUMED pipeline have limited capacity to handle a sudden diversion of millions of barrels per day. SUMED's effective throughput of 2.3-2.5 million bpd is insufficient, and the canal cannot accommodate fully loaded VLCCs. Congestion, demurrage, and longer transit times are inevitable.

Asian buyers, which consume most Saudi crude, would face dramatically longer voyages via the Cape of Good Hope, adding weeks to transit times and increasing costs. The tanker market would tighten as vessels are tied up on longer routes. The next energy crisis may not be about production but about the ability to move oil efficiently through maritime chokepoints.

Gold prices have surged dramatically, reaching over $5,200 per ounce in early 2025 before settling around $4,000. This boom has significantly impacted Central Asian countries like Uzbekistan, Kyrgyzstan, and Kazakhstan, where gold is a major export. The price increase has boosted state reserves, tax revenues, and wages for miners, contributing to higher living standards for some.

However, the gold rush brings concerns. Inflation is eroding wage gains, and governments are accumulating debt backed by gold reserves. There is also fear of over-dependence on a single commodity, reminiscent of the cotton-driven economy of the 1990s. Chinese involvement in gold mining is growing, raising geopolitical concerns, and illegal mining remains an issue.

Despite the benefits, the region has not seen widespread industrialization from the gold boom. A price crash could severely impact economies like Kyrgyzstan and Uzbekistan. Economists suggest that structural factors may keep prices elevated, but the fundamental economic vulnerabilities persist.

Russia's largest Black Sea oil export terminal at Novorossiysk, known as Sheskharis, has stopped loading crude tankers since July 21 after drone attacks. This disruption adds to the shutdown of the nearby Caspian Pipeline Consortium (CPC) terminal, which normally handles over 80% of Kazakhstan's crude exports. Together, these terminals form a critical export hub on the Black Sea.

Kazakhstan has already cut oil production due to the CPC outage, with Chevron's Tengiz field output dropping by half as storage fills. If Sheskharis remains idle, another major export route disappears from an already strained market. Ukraine has expanded drone attacks to commercial shipping and export infrastructure, prompting Russia to warn vessels that navigation in its Black Sea economic zone is unsafe.

The oil market is facing multiple supply threats, with Brent crude rising above $100 due to renewed tensions in the Strait of Hormuz and Houthi attacks in the Red Sea. Strategic reserves are depleted, commercial stocks are low, and refining margins remain high. The market, which earlier anticipated oversupply, is now watching another terminal go silent.

A potential 'super' El Niño event, combined with ongoing conflicts in the Middle East, is raising concerns about global inflation. JPMorgan estimates that a strong El Niño could disrupt agricultural production, particularly in Asia and Latin America, leading to a 0.7 percentage point increase in food inflation. When combined with higher oil prices, the total food inflation increase could reach 1.3% to 1.5%.

Oil prices have already surged, with Brent crude exceeding $100 per barrel due to tensions around the Strait of Hormuz and Houthi attacks in the Red Sea. Additionally, drone attacks have halted tanker loadings at the Caspian Pipeline Consortium terminal, further tightening supply. Diesel prices are under even greater pressure due to constraints in Middle Eastern refining capacity and Ukrainian drone strikes on Russian refineries.

Emerging markets like India, Indonesia, Brazil, and Colombia are most vulnerable to these inflation shocks because food represents a larger share of household spending. However, advanced economies like Europe and the United States will also feel the impact through higher costs for fuel, fertilizer, transportation, and global commodity markets.

The total number of active drilling rigs for oil and gas in the United States decreased this week, with the count falling to 587. This marks a decline from previous weeks, though it remains 45 rigs higher than the same period last year. The number of oil rigs dropped by 2 to 450, while gas rigs increased by 1 to 127. Miscellaneous rigs remained unchanged at 10.

Weekly U.S. crude oil production also saw a slight decline, averaging 13.798 million barrels per day, down from 13.861 million bpd the previous week. Additionally, the frac spread count, which measures crews completing wells, fell by 4 to 196 crews after a decline of 5 in the prior week. In the Permian Basin, active rigs decreased by 1 to 258, while the Eagle Ford count held steady at 47.

Oil prices dropped on Friday, with Brent crude trading at $95.96 per barrel, a decline of 4.70%, and West Texas Intermediate (WTI) at $88.30, down 4.22%. Despite the daily drop, Brent remains over $8 higher than the previous week.