Canada's Orca to Invest in Sudan's Gold

A man shows off his gold to potential buyers in Sudan (Reuters)
A man shows off his gold to potential buyers in Sudan (Reuters)
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Canada's Orca to Invest in Sudan's Gold

A man shows off his gold to potential buyers in Sudan (Reuters)
A man shows off his gold to potential buyers in Sudan (Reuters)

Canada's major gold producing company, Orca, discussed the great potential for gold production in Sudan, announcing a $350 million investment for explorations.

The company intends to produce about 60 tons of gold annually in its exploration area in northeastern Sudan.

Orca Gold CEO Richard Clark discussed the company's production plans in Sudan and said the geological potential in the country is enormous, making Sudan the second or third country to produce gold in Africa, Suna reported.

According to Clark, Orca is determined to produce more than 228,000 ounces of gold annually in its concession area in the far northeast of Sudan.

In a television interview reported by Bloomberg, Clark said that Sudan's geological potential is vast. The country's political and economic conditions witnessed a steady improvement following the transitional government's removal of extremist groups.

As a result, Sudan was removed from the list of state sponsors of terrorism and approved for debt relief.

He explained that Sudan expects to write off its over $55 billion debt as part of the Heavily Indebted Poor Countries initiative (HIPC), which means its eligibility for development aid and economic aid.

According to Clark, a feasibility study for the projects in Sudan revealed the possibility of producing about 228,000 ounces of gold annually at the cost of $751 per ounce.

He explained that Sudan currently produces more than 100 tons of gold, most of which comes from traditional mining.

Ocra company will invest $350 million in mining operations as the most prominent and first specialized company to enter this market in Sudan.

According to Clark, his company operates in a mining area located within the "Nubian Gold Belt," extending from Egypt to Saudi Arabia and Eritrea.

Ocra Gold is one of the largest gold mining companies globally and is working on developing the 14th project for gold in Sudan, which is about 200 km north of Dongola.



Oil Prices Rise as Israel-Iran Conflict Enters Seventh Day

FILE PHOTO: A view shows an oil pump jack outside Almetyevsk in the Republic of Tatarstan, Russia, June 4, 2023. REUTERS/Alexander Manzyuk/File Photo
FILE PHOTO: A view shows an oil pump jack outside Almetyevsk in the Republic of Tatarstan, Russia, June 4, 2023. REUTERS/Alexander Manzyuk/File Photo
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Oil Prices Rise as Israel-Iran Conflict Enters Seventh Day

FILE PHOTO: A view shows an oil pump jack outside Almetyevsk in the Republic of Tatarstan, Russia, June 4, 2023. REUTERS/Alexander Manzyuk/File Photo
FILE PHOTO: A view shows an oil pump jack outside Almetyevsk in the Republic of Tatarstan, Russia, June 4, 2023. REUTERS/Alexander Manzyuk/File Photo

Oil prices rose on Thursday after Israel and Iran continued to exchange missile attacks overnight and US President Donald Trump's stance on the conflict kept investors on edge.

Brent crude futures rose 36 cents, or 0.5%, to $77.06 a barrel by 0913 GMT. US West Texas Intermediate crude for July was up 54 cents, or 0.7%, at $75.68. Brent had surged to its highest in nearly five months at $78.50 on June 13, when Israel began its attacks. The conflict entered its seventh day on Thursday after Israel struck a key Iranian nuclear site and Iranian missiles hit an Israeli hospital, Reuters said.

There is still a "healthy risk premium baked into the price as traders wait to see whether the next stage of the Israel-Iran conflict is a US strike or peace talks", said Tony Sycamore, analyst at trading platform IG.

Goldman Sachs said on Wednesday that a geopolitical risk premium of about $10 a barrel is justified, given lower Iranian supply and risk of wider disruption that could push Brent crude above $90.

President Trump told reporters on Wednesday that he had yet to decide whether the US will join Israel in its attacks on Iran.

As a result of the unpredictability that has long characterized Trump's foreign policy, "markets remain jittery, awaiting firmer signals that could influence global oil supply and regional stability" said Priyanka Sachdeva, analyst at Phillip Nova.

The risk of major energy disruption will rise if Iran feels existentially threatened, and US entry into the conflict could trigger direct attacks on tankers and energy infrastructure, said RBC Capital analyst Helima Croft.

Iran is the third-largest producer among members of the Organization of the Petroleum Exporting Countries, extracting about 3.3 million barrels per day (bpd) of crude oil.

About 18 million to 21 million bpd of oil and oil products move through the Strait of Hormuz along Iran's southern coast and there is widespread concern the fighting could disrupt trade flows.

Separately, the US Federal Reserve kept interest rates steady on Wednesday but penciled in two cuts by the end of the year. Lower interest rates could stimulate the economy, helping to support demand for oil. On the supply side, US crude stockpiles fell sharply last week, registering the largest decline in a year, the Energy Information Administration said on Wednesday.