Latest news with #Sumitomo
Yahoo
3 days ago
- Business
- Yahoo
Sumitomo receives FIRB nod for investment in Tivan's Speewah Fluorite Project
Sumitomo has announced that its joint venture (JV) partner, Tivan, has received the Australian Government's Foreign Investment Review Board (FIRB) approval for its initial investment in the Speewah Fluorite Project through Sumitomo's subsidiary Japan Fluorite. The Speewah Fluorite Project in Western Australia's Kimberley region aims to establish a new mining and processing operation. In May 2025, Tivan disclosed binding agreements with Sumitomo and Japan Fluorite to form an incorporated JV for the Speewah Fluorite Project. Japan Fluorite may invest up to A$60.3m ($39.2m) in three tranches for a 22.5% equity interest in the JV. The initial investment of $5.3m (Y767.55m) from Japan Fluorite will secure a 7.5% equity interest and fund a feasibility study for the project. This study will focus on mining and processing operations to produce acid-grade fluorspar, which is essential for semiconductor and electric vehicle battery manufacturing. The investment was contingent upon several conditions including the FIRB approval, which has now been met. Tivan executive chairman Grant Wilson said: 'We are very pleased that FIRB Approval has been provided for our joint venture with Sumitomo Corporation. At a complex moment for the global critical minerals sector, this timely approval reflects the abiding strength of the bilateral relationship between Australia and Japan.' Additionally, Tivan is required to apply for the novation of a grant from the Australian Government's International Partnerships in Critical Minerals Programme and complete the project restructuring, which involves transferring project tenements to the JV company. With FIRB approval secured and the application for grant novation under way, Tivan is finalising the project restructuring. The formal establishment of the JV and the initial investment from Japan Fluorite Corporation are set to occur in the first half of July. In December 2024, Tivan was awarded a A$7.4m cash grant from the Australian Government to support the Speewah Fluorite Project, part of a broader effort to bolster international supply chain partnerships for critical minerals. "Sumitomo receives FIRB nod for investment in Tivan's Speewah Fluorite Project" was originally created and published by Mining Technology, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site.
ABC News
4 days ago
- Business
- ABC News
Claims WA's main power grid 'slowly collapsing' as its biggest gas plant teeters on edge
One of Western Australia's biggest gas-fired power plants has been teetering on the edge of bankruptcy, fuelling worries its failure could spark a wider crisis in the state's electricity system. It is understood former WA energy minister Reece Whitby last year sought a bailout of more than $30 million for the Newgen power station in Kwinana, south of Perth, as the generator battled to keep its head above water. With a capacity of more than 310 megawatts, Newgen is one of the most important units in WA's main power grid and supplies a significant share of the energy contracted by state-owned utility Synergy. Ian Porter, a 50-year veteran of the energy industry who now runs his own consultancy, said the importance of a plant such as Newgen should not be underestimated. He said it represented anything up to 15 per cent of the production in the state's main grid, which covers the south-western corner of the continent. The Newgen plant is owned by Japanese conglomerate Sumitomo and UK infrastructure group Foresight. Sumitomo is also the owner and operator of another troubled WA plant — the coal-fired Bluewaters near Collie, 180 kilometres south of Perth. Amid the pleas for a bailout, it is believed Mr Whitby argued that a failure by Newgen would directly expose Synergy to the wholesale electricity market, where prices have been soaring in recent times. Such an exposure would come as a further blow to Synergy, which sought its own billion-dollar bailout last year as its financial position continued to deteriorate. But the government is believed to have rebuffed the request, instead saying Synergy should fund any lifeline out of its own pocket. Mr Porter backed the government's decision to reject the bailout proposal, saying it should not be up to taxpayers to rescue privately owned companies. What's more, he said even if the plant became insolvent, that did not necessarily mean it would stop operating. "The company may go, but the assets remain," he said. Central to Newgen's troubles was a big shake-up in late 2023 of WA's biggest electricity market. The revamp was aimed at helping the grid cope with the transition towards renewable energy, which now accounts for about 40 per cent of WA's power. Mr Porter said the rise and rise of renewable energy in the west had been successful in many ways but he noted it had not been without its challenges. Chief among them, he said, was the way in which renewable energy could force out virtually all other generators when the sun was shining and the wind was blowing. Mr Porter said this presented a major problem for thermal generators such as coal and gas plants, which still provided most of the so-called essential system services that kept the grid stable and reliable. To maintain those services, he said the market had been redesigned to ensure market players were better paid for providing them. The problem was, he said, payments only benefited some generators and not others such as Newgen, even though the costs were spread across all market players. "I'm surprised that this would affect a gas generator," he said. "It would certainly affect renewables generators and how they're affected by that. I'm rather puzzled." On top of these problems, it is understood Newgen has also been affected by hurried moves to buttress the grid through back-up services such as large-scale batteries. Financial disclosures by Newgen show the plant has been losing money for some time. According to filings with the Australian Securities and Investments Commission, the generator was underwater to the tune of $1.67 million in the 12 months to June 30 last year. This followed on the heels of a $2.9 million reverse the previous financial year. Its financial health for the current period — the year in which Mr Whitby made his pitch for a bailout — will not be revealed for months yet. Summit Kwinana Power, the operating company behind Newgen, declined to comment. WA Energy Minister Amber-Jade Sanderson also declined a request to be interviewed about Newgen's predicament. Instead, the new minister provided a statement in which she said Newgen's finances were a matter between it and Synergy. "Synergy's contractual arrangements are commercial in confidence," Ms Sanderson said. Shadow Energy Minister Steve Thomas was more forthcoming, saying the problems at Newgen were just the latest sign of distress in the state's main electricity market. Dr Thomas said Newgen was a vital cog in what was arguably the state's most important machine — the grid — and letting the generator fail was a dangerous option. "I'm worried about Newgen, but I'm worried about the entire energy system," Dr Thomas said. "I'm worried about all of the generators who seem to be struggling. "I'm worried that the lights will not stay on in the fullness of time. "And I'm worried that the price for consumers, business and families will be beyond their capacity to pay." Critically, Dr Thomas said the government was facing a reckoning over its plans to get out of coal by 2029. He noted the government was already falling way behind in its efforts to build the new capacity needed to replace its giant Muja and Collie coal plants. If critical gas plants such as Newgen started falling over, too, he said, the state's plans and the broader energy system would end up in tatters. "We're going to see more of this," he said. "As the pressure comes on the government to provide the energy that's required at a cost that business and families can afford, the government is going to be under enormous pressure. "And this may well be just the first step. "The result will be prices through the roof as the system slowly collapses."
Yahoo
12-06-2025
- Business
- Yahoo
$700M Asset Purge? Elliott Forces Japan's Real Estate Giant to Break Tradition
Sumitomo Realty & Development (SURDF) just got a knock on the doorfrom Elliott Investment Management. And it wasn't a polite one. The Japanese real estate giant is now reportedly weighing the sale of 19 midsized office buildings in Tokyo, targeting at least 100 billion (roughly $700 million), according to people familiar with the matter. It's also eyeing eight apartment buildings. That's a big shift for a company known for building and holding assets for the long haul. Sumitomo denied plans to sell those specific offices but confirmed it's looking to trim non-core assets as part of its mid-term strategy. Warning! GuruFocus has detected 6 Warning Signs with SURDF. The heat is coming from Elliott, which has built a 3%+ stake and isn't pulling punches. In a rare public letter, the activist investor said Sumitomo is sitting on massive untapped value and needs to changefast. Their demands? Unwind cross-shareholdings, boost payout ratios to 50%+, and hit at least 10% return on equity. Elliott estimates the stock should be worth over 8,000. That's a sharp contrast to Thursday's close of 5,838, which still popped 2.4% on the news. The firm also warned it would vote against management at the June 27 shareholder meeting if things don't move. This could be more than just a portfolio reshuffleit's potentially the first real crack in Sumitomo's decades-old playbook. The old strategy of slow and steady rental income might be giving way to a leaner, capital-gains-driven modelif Elliott gets its way. For investors? A rare opening in Japan's famously conservative property market. The stock jumped as much as 6% intraday. The message is clear: there may be value hiding behind those wallsand someone's finally rattling them. This article first appeared on GuruFocus. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
The South African
09-06-2025
- Automotive
- The South African
Large multinational company shuts factory in South Africa
It's sad news for the 78-year old Goodyear factory in South Africa. Last week it was announced that the large multinational will be close its Kariega plant in Nelson Mandela Bay. Without Goodyear, there will only be three international companies with a factory in South Africa: Continental, Sumitomo (Dunlop) and Bridgestone. The trading environment is becoming increasingly difficult for international tyre companies with manufacturing in South Africa. This is primarily due to high energy costs and cheap, sub-par Chinese imports being dumped in the country. Back in 2020, Bridgestone came close to shutting its Brits factory in South Africa. Likewise, Sumitomo was forced into restructuring at its Ladysmith plant in KwaZulu-Natal earlier this year, in February. Nevertheless, the local tyre manufacturers that remain are all part of larger global organisations that feed the rest of Africa. As such, they employ around 5 000 workers collectively, and are responsible for more than 7-million tyres annually, says the South African Tyre Manufacturing Conference (SATMCC). Sadly, the Goodyear factory in South Africa has been in operation since 1947. It employs in the region of 900 workers. The firm announced the closure in a general statement last week, on Thursday 5 June 2025. It said Goodyear South Africa will transform to a 'go-to-market' to optimise its footprint and portfolio, reports TopAuto. Cheap Chinese imports are being challenged by the competition commission. Image: File 'As part of that transformation, Goodyear South Africa is launching a restructuring process in accordance with the provisions of the Labour Relations Act. To address the closure of the factory in South Africa, it will realign sales, administration and general management functions. As such, Goodyear South Africa will continue to maintain sales, distribution and retail presence in South Africa through Hi-Q,' confirms the statement. Goodyear says closing the factory in South Africa is in no way a reflection of the efforts and years of dedication. Therefore, it says it is committed to acting fairly and providing affected employees with appropriate support. As such, the reorganisation process will be overseen by the Commission for Conciliation, Mediation, and Arbitration (CCMA). There are also job loss mitigation initiatives in place with the Nelson Mandela Bay Business Chamber to assist those who have been made redundant. Experts says unreliable electricity supply, above-inflation cost increases and cheap Chinese imports have all contributed to tough trading conditions for local tyre manufacturers over the last five years. It's a shame to see hard-working South Africans losing jobs … Let us know by leaving a comment below, or send a WhatsApp to 060 011 021 1. Subscribe to The South African website's newsletters and follow us on WhatsApp, Facebook, X and Bluesky for the latest news.
Mint
05-06-2025
- Business
- Mint
Global firms Hines, Sumitomo form joint venture for Mumbai luxury condo project
Bengaluru: US-based global developer and investment manager Hines and Japan's Sumitomo Corp. have entered into a joint venture for a luxury condominium project in the high-value Mumbai property market. In India, this project marks Hines' entry into the Mumbai residential market as a developer, Amit Diwan, senior managing director and head of India at Hines, said. The project, which will be developed in suburban Mumbai's Powai locality, is yet to be launched. Hines is the developer and equity investor in the project and manages day-to-day development activities in collaboration with Sumitomo, which is also an equity investor. Read more: DLF's Q1 launches to set the tone for FY26 pre-sales trajectory Hines expands Mumbai footprint Last week, Hines and Kanakia Group said they have struck an alliance to develop an office project on a 3-acre land parcel near the business district Bandra Kurla Complex (BKC) with a total investment of around ₹3,000 crore. Sumitomo and Japanese real estate firm Mitsubishi Estate Co. Ltd are also partners in the project. Hines is the lead developer and equity investor along with the two Japanese entities, while Kanakia is the land partner. 'The living sector is a high-conviction theme for Hines globally. In Powai, we will bring international-standard homes in a well-established yet supply-constrained micro-market. This development reflects our long-term commitment to Mumbai and our ambition to grow via investments and developments across India," Diwani told Mint. The Powai residential project is a 3.4-acre lake-facing gated community, with six 20-storey towers comprising 321 units. Hines didn't disclose the investment in the project. Besides the new Powai and Kalina projects, Hines also has an ongoing 1 million sq. ft office and retail development in suburban Mumbai's Borivali area. Powai is a premium residential location known for its commercial office supply. The most prominent development in the suburb is Hiranandani Group's flagship integrated township, Hiranandani Gardens. In 2017, the developer sold its offices and retail space in Powai to Brookfield Asset Management for around $1 billion in one of the largest commercial realty deals in the sector. Read more: Close to its Navi Mumbai airport, Adani is building a jumbo township "Powai has established itself as an institutional-grade micro market within the Mumbai Metropolitan Region. With a thriving tenant mix across IT, banking and financial services, and emerging tech, steady rental yields, and limited new supply, it offers long-term value visibility for both domestic and offshore investors," Nishant Kabra, head–Land & Capital Markets (North and West) India, JLL. 'Developers view Powai as a rare urban precinct that offers both scale and sustained demand. Its evolution into a mixed-use hub is driven by integrated planning, premium developments, and strong occupier traction," Kabra added. Since establishing its presence in India in 2006, Hines has expanded its portfolio to 13 live projects across the office and residential sectors, in addition to completed or exited projects. It now operates in Delhi-National Capital Region (NCR), Mumbai, Bengaluru, Pune and Ahmedabad.
