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1) Commodities trading company, Trafigura, said that it is facing a $577 million loss as it has uncovered a systemic fraud perpetrated against it, according to Bloomberg. The company says that it discovered that some cargoes it had bought didn't contain the nickel it was supposed to, which tool Trafigura 2 months to uncover. "Since late December 2022, a small proportion of the containers purchased from these companies have been inspected as they reached their destination, and were found not to contain nickel," Trafigura said in a statement, according to Bloomberg. "The majority of the shipments remain in transit awaiting further inspection." The company has begun legal action against Prateek Gupta and several companies associated with him such as TMT Metals and UD Trading Group.
Source: Commodity Trading Giant Faces $577 Million Loss From Nickel Fraud: Report (businessinsider.com)
2) According to S&P Global Market Intelligence, copper exploration budgets increased 21% to $2.79 billion in 2022. This is the highest level since 2014 as strong prices of the metal stayed high through much of 2021 and into 2022. These budgets are primarily focused on Latin America, which hosts the largest reserves. Even with the elevated copper exploration budgets and high copper prices, this has not led to a meaningful increase in the number of major discoveries.
3) The Canadian government said that it will not allow mining of its domestic seafloors without "rigorous regulatory structure." There has been growing optimism about the possible critical minerals on the bottom of the ocean that can help support the transition to green energy, with countries laying claim to some areas for exploration and mining. “Canada does not presently have a domestic legal framework that would permit seabed mining and, in the absence of a rigorous regulatory structure, will not authorize seabed mining in areas under its jurisdiction,” natural resources and oceans and fisheries ministers said in a joint statement. Canada is blessed with resources on land that it can capitalize on, and instead avoid mining the ocean floor.