Ask The Desk, 27 October
A Tuesday that rewarded direct questions more than narrative.
What's paying for the insurgency in eastern Congo?
Gold, mostly. A new report finds the Allied Democratic Forces, the Islamic State-aligned group operating in eastern DRC, earns between $1 million and $1.6 million a year from gold production and smuggling. The metal moves through trading hubs in the east before reaching refiners and export networks across the border in Uganda, financing the group's own operations without need of outside patronage.
Who just bought into Mozambique's biggest flour miller?
Helios Investment Partners. The London-based private equity firm has agreed to acquire up to 49% of Stratton Africa Holdings, the parent of Merec Industries, from Dubai's Invictus Investment, which stays on as majority holder. Merec is the only miller with plants in all three of Mozambique's main port cities, Beira, Maputo and Nacala, and owns its own grain terminal at Maputo. The deal is expected to close by the end of 2026.
Where is the next new potash mine going up?
Gabon, on current plans. Millennial Potash is targeting construction by late 2027 for an enlarged version of its project there, with US financial backing lining up behind growing buyer interest in West African supply.
What new steel corridor just opened across the Atlantic?
Canada Nickel and Swiss Steel are planning a partnership under which Canada Nickel would supply Swiss Steel with about one million tonnes of semi-finished steel products a year, starting in 2030.
Loose ends
Copper had its own Tuesday regardless: COMEX futures jumped 4.5% to 14,661 USD/t as Freeport posted $1.2 billion in net income, up 74% on the year, on the back of the Grasberg recovery. Codelco's Ministro Hales took a six-hour workforce blockade over unpaid bonuses, and Capstone separately pledged $3 billion to double output at Santo Domingo and Mantoverde. Freight softened as the Baltic Dry slipped to 2,603, down 25 points on the day. Fertilizer prints were quiet: sulphur eased to 836 USD/t and urea to 447.5 USD/t, both down roughly a point on the week, while DAP held flat. Brazil signed a lease for the Port of Santana grain terminal, and Zambia's private sector association put the 2027 national budget at K300 billion, up from K253 billion this year.