BHP to Shutter Coal Mine, Cut 750 Jobs — Commodities Roundup

MARKET MOVEMENTS:

--Brent crude oil is down 0.7% at $67.98 a barrel

--European benchmark gas is up 0.8% to 32.59 euros a megawatt-hour

--Gold futures are down 0.6% to $3,702.10 a troy ounce

--LME three-month copper futures are down 1.5% to $9,965.50 a metric ton

TOP STORY:

BHP to Shutter Coal Mine, Cut 750 Jobs

BHP Group will shutter one of the coal mines it runs in Australia with Japan's Mitsubishi Corp. and lay off roughly 750 workers, in response to soft coal prices and high royalty rates in Queensland state.

BHP, the world's largest miner by market value, said Wednesday that the Saraji South mine--part of the Saraji Mine Complex run by BHP Mitsubishi Alliance--will be suspended from November. The BMA joint venture is Australia's largest exporter of steelmaking coal, which the companies ship mostly to mills across Asia.

BHP said it will also conduct a strategic review of its FutureFit Academy in the city of Mackay, putting a cloud over one of BHP's major training centers for people seeking to work in the mining industry.

OTHER STORIES:

Airlines Band Together to Create Bill Gates-Backed Sustainable Aviation Fuel Fund

A group of the world's leading airlines are investing in a new sustainable aviation fuel fund with the aim of bringing new technologies to the market and lowering the emissions of flying.

The oneworld BEV Fund will be managed by Bill Gates -backed Breakthrough Energy Ventures, a venture-capital fund dedicated to investing in startups that aim to decarbonize hard-to-abate technologies.

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Weatherford Wins $147 Million Petrobras Tubular Running Contract in Brazil

Weatherford International won a three-year, $147 million contract from Petróleo Brasileiro to provide tubular running services in Brazil.

The Houston-based oil-and-gas services company said Tuesday the award followed an open bidding process.

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San Antonio to Sell $297.9M of Water System Bonds

San Antonio, Texas, plans to sell $297.9 million of water system junior lien revenue and refunding bonds.

Proceeds are slated for San Antonio Water System capital improvements and to refund certain variable rate junior lien obligations into long-term fixed rate obligations.

MARKET TALKS:

New LNG Capacity to Push European Gas Prices Lower in 2026 -- Market Talk

1128 GMT - European natural-gas prices are forecast to trade in the high-20s euros a megawatt hour from the second quarter of next year due to new liquefied natural gas capacity coming online, says Rabobank's Florence Schmit. "The structural transformation of Europe's gas supply--marked by reduced pipeline reliance and increased LNG dependence--has introduced new vulnerabilities," the energy strategist says. "The continent's energy security will increasingly hinge on global LNG market dynamics, weather variability, and infrastructure bottlenecks, making price stability more sensitive to external shocks than in the pre-war era." According to Rabobank, the amount of new LNG capacity coming online is substantial, including an 8% increase in the U.S. alone, boosting global capacity by roughly 34 million tons a year. The benchmark Dutch TTF contract currently trades above 32 euros a megawatt hour. (giulia.petroni@wsj.com)

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Faster EU Phaseout of Russian Energy Expected to Hit Gas Harder Than Oil -- Market Talk

1113 GMT - A faster phaseout of Russian energy in the European Union would affect gas markets more significantly than oil, given Moscow still supplies a notable share of Europe's gas, Rabobank says. "With Russia still supplying around 14% of Europe's gas via pipeline and LNG, any move to bring forward the phaseout timeline would likely be a bullish signal for gas markets, given the limited short-term alternatives and the tighter supply-demand balance compared to oil," strategist Florence Schmit says. Plus, Russian volumes would likely be redirected to non-EU markets, particularly in Asia. For the EU, replacing Russian gas with U.S. volumes would come at a higher cost, due to more expensive production, liquefaction and transportation costs, according to the energy strategist. (giulia.petroni@wsj.com)

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Oil Falls as Markets Focus on Russian Supplies, Fed Signals

1050 GMT - Crude futures fall in midday trade, with Brent crude and WTI both down 0.8% to $67.91 and $63.98 a barrel, respectively. Russian supply risks from Ukrainian attacks on key facilities and potentially tougher Western sanctions remain in focus, but have so far failed to provide a sustained boost to prices, analysts say. However, the Federal Reserve's tone later on Wednesday could move oil markets, particularly if the U.S. central bank signals a pivot toward rate cuts that might further ease the U.S. dollar and bolster demand expectations at a time when global supplies risk tipping into excess. (giulia.petroni@wsj.com)

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Palm Oil Ended Higher on Strong Export Performance -- Market Talk

1036 GMT - Palm oil ended higher on strong export performance, according to David Ng, a trader at Kuala Lumpur-based Iceberg X, noting weaker soybean oil prices is weighing on market sentiment. He sees prices supported above 4,400 ringgit a ton and resistance at 4,550 ringgit a ton. Additionally, investor sentiment has also improved amid a broad rally in equities in Asia and the U.S. The Bursa Malaysia Derivatives contract for December delivery rises 0.1% to 4,474 ringgit a ton. (tracy.qu@wsj.com)

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Copper Down on Stronger Dollar, Market Focus on Powell Remarks -- Market Talk

0834 GMT - Copper prices fall in early trade, weighed down by a firmer dollar as investors await Fed Chair Jerome Powell's remarks on the central bank's policy path later Wednesday. Futures on the London Metal Exchange are down 1.3% to $9,985 a metric ton, while the dollar index trades 0.2% higher at 96.82, making dollar-denominated commodities more expensive for holders of other currencies. Meanwhile, LME three-month aluminum is down 0.3%, but holds above $2,700 a ton on rising physical demand and tightening inventories. (giulia.petroni@wsj.com)

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London, South African Gold Miners Fall as Gold Prices Slide From Record Highs -- Market Talk

0811 GMT - London- and Johannesburg-listed gold miners are lower in early morning trade as gold and silver prices slip. Gold prices have fallen slightly but hover near record highs. Gold is down 0.6% to $3,668.50 a troy ounce, while silver falls nearly 2% to $41.74 an ounce. Investor attention is turning to the Federal Reserve's decision on interest rates but most importantly on the dot plot for insight on where rates might go next, Interactive Investor analyst Richard Hunter writes. London's Hochschild Mining falls nearly 5%, while silver-and-gold miner Fresnillo drops 4%. In Johannesburg, Gold Fields, Harmony Gold and Sibanye-Stillwater all trade down nearly 2%. (adam.whittaker@wsj.com)

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Oil Stays in Narrow Range With Russian Supply Risks in Focus

0801 GMT - Oil prices ease after settling more than 1.5% higher in the previous session, as investors weigh risks to Russian supplies. European Commission President Ursula von der Leyen said on X that the bloc will soon unveil its 19th sanctions package and propose an accelerated phase-out of Russian fossil-fuel imports. The EU is also reportedly considering targeting Indian and Chinese companies facilitating Moscow's oil trade. Meanwhile, Ukraine struck Russia's Saratov crude refinery, according to the general staff of Ukraine's armed forces. In early trade, Brent crude and WTI are both down 0.3% to $68.27 and $64.34 a barrel, respectively. "While geopolitical tensions have supported prices, crude remains locked in a narrow $5 trading band seen over the past month, pressured by bearish fundamentals and expectations of a supply glut from the accelerated return of OPEC+ output," says MUFG's Soojin Kim. (giulia.petroni@wsj.com)

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Gold Slips But Holds Close to All-Time Highs Ahead of Fed Rate Decision -- Market Talk

0734 GMT - Gold prices slip in early trade on profit-taking pressures and a firmer U.S. dollar, but continue to hold near record highs ahead of the Fed's policy decision later on Wednesday. Futures are down 0.5% to $3,706.50 a troy ounce after settling at $3,725.10 in the previous session, while the dollar index trades 0.2% higher at 96.82.Investors expect the U.S. central bank to cut rates by 25 basis points, though attention will focus on Fed Chair Jerome Powell's remarks for cues on the pace of future monetary easing. "Markets have priced a deep easing path, leaving them vulnerable to disappointment if the Fed underdelivers," says Pepperstone's Ahmad Assiri. Meanwhile, retail sales rose for a third straight month in August, revealing healthy levels of spending despite concerns about lingering inflation and a weakening job market. (giulia.petroni@wsj.com)

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Iron Ore Edges Lower; Prices Likely to Remain Range Bound -- Market Talk

0316 GMT - Iron ore edges lower in early Asian trading. The black metal's fundamentals have softened in recent weeks, with steel demand remaining moderate, Nanhua Futures analysts say in a commentary. Iron ore is likely to have limited upside, with prices likely to remain range bound, the analysts say. The most-traded iron-ore contract on the Dalian Commodity Exchange is at 0.25% lower at 804.00 yuan a ton. (tracy.qu@wsj.com)

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Base Metals Little Changed as Investors Brace for Fed Decision -- Market Talk

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September 17, 2025 08:05 ET (12:05 GMT)

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