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While the All Ordinaries (ASX: XAO) is in reverse today, the Kingsgate Consolidated Limited (ASX: KCN) share price has accelerated.

This comes after the company provided an update regarding the restart of its Chatree Gold Mine before midday trade.

At the time of writing, the gold miner’s shares are up 20% to $1.41 apiece.

In comparison, the All Ords is currently down 1.25% to 7,353.5 points.

Let’s take a look at what the company announced to the ASX today.

Kingsgate secures funding for Chatree Gold Mine

In its statement, Kingsgate advised it has secured a US$15 million (A$20 million) bridge facility from Taurus Mining Finance Fund.

With funding approved, Kingsgate will swing its plan in action to support the refurbishment and restart the Chatree Gold Mine.

In particular, the bridge facility will be used for the following:

• General working capital for the Kingsgate Group
• Costs associated with the recommissioning of the Chatree Project such as long lead items, and the recruitment of technical site personnel
• Chatree regional exploration programs

Kingsgate stated that it anticipates the first tranche of funds will be available for drawdown in April. This is, however, subject to the completion of certain conditions including final due diligence from the lender.

Under the terms of the agreement, the bridge facility must be repaid within 12 months of refinancing. The agreed interest rate is set at 9% per annum.

In addition, to ensure adequate funding, Kingsgate is currently negotiating a project facility of US$30 million (A$41 million) with the lender.

These funds will be allocated towards a number of items. This includes:

• Capital expenditures for the development and recommissioning of the project
• Fees, costs, expenses and capitalised interest due under the bridge facility or project facility
• Working capital
• Repayment of the bridge facility

Furthermore, a scoping study has been prepared by an international engineering firm that focuses on bringing plant #2 online.

Estimates from the study indicate that plant #2 could be operating within four to six months from commencement of refurbishment. This means that the first gold pour could be achieved before the end of this calendar year.

Kingsgate executive chair, Ross Smyth-Kirk commented:

Attaining this finance will enable the company to immediately start moving towards the restart of the Chatree Gold Mine as approved by the Thai Government, and it has been achieved without diluting shareholders.

Kingsgate share price snapshot

Since this time last year, the Kingsgate share price has rocketed by almost 50%. However, the same cannot be said for the year to date, with its shares down 30% so far.

Based on today’s price, Kingsgate presides a market capitalisation of about $297.68 million and has approximately 221.32 million shares outstanding.

The post Why this ASX gold mining share just leapt 20% appeared first on The Motley Fool Australia.

More reading

• This just sent the Kingsgate (ASX:KCN) share price tumbling 11%

Motley Fool contributor Aaron Teboneras has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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Shares in Boss Energy Ltd (ASX: BOE) are in the red on Friday, falling more than 17% to a low of $2.16 around noon today.

At the time of writing, the Boss Energy share price is down 13.7% trading at $2.33, the drop coming despite no market-sensitive information out of the company’s camp today.

However, we note that during the ongoing conflict in Ukraine, a fire has broken out at Europe’s largest nuclear power station, the Zaporizhzhia nuclear plant.

What in the world is happening?

It appears that much of the calamity in global energy markets right now is stemming from reports the Zaporizhzhia nuclear power plant is ablaze in Ukraine.

Ukraine foreign minister Dmytro Kuleba posted that the plant was on fire after shelling in the early hours of Friday morning European time, according to CNN live updates.

The nuclear plant is the biggest in Europe and among the largest in the world, supplying almost 30,000 Gw net annually.

A meltdown at the site has the potential to rock global energy markets – notwithstanding the environmental impacts – and has sent markets into turmoil today.

At the time of writing, the nuclear energy index is down less than 1%, whereas renewable indices for wind energy and solar energy are down more than 2% and 1% respectively.

Uranium is also flat today at US$51.6 per pound after charging from US$43/lbs in early February while key players in the ASX energy space suffer heavy losses today.

As such the S&P/ASX 200 Energy index (ASX: XEJ) is also faltering 2% to 9,607.6 points today amid the potential energy crisis that could surmount should the plant go under.

The Boss Energy share price closely tracks the ASX energy benchmark and even over-reaches the benchmark return/loss on most occasions (shown below), as in today’s case.

Prior to today’s trimming, the Boss Energy share price had climbed 37% in a week, backed by strong uranium prices and surging prices on oil contracts.

Boss Energy share price snapshot

In the last 12 months, the Boss Energy share price has surged more than 108% and is flying into the green this year to date.

During the past month of trading, shares have gained a further 15%, after galloping more than 24% higher this week.

The post Why is the Boss Energy (ASX:BOE) share price crashing 17% today? appeared first on The Motley Fool Australia.

More reading

• ASX uranium shares plummet amid Ukraine power station attack
• Here’s why the Boss Energy (ASX:BOE) share price has surged 37% in a week
• Here’s why the Boss Energy (ASX:BOE) share price is racing 8% higher today

Motley Fool contributor Zach Bristow has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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A message from our CIO, Scott Phillips:

“G’day Fools. If you’re like us, you’re dismayed by the events taking place in Ukraine. It is an unnecessary humanitarian tragedy. Times like these remind us that money is important, but other things are far more valuable. And yet the financial markets remain open, shares are trading, and our readers and members are looking to us for guidance. So we’ll do our best to continue to serve you, while also hoping for a swift and peaceful end to war in Ukraine.”

———— 

The S&P/ASX 200 Index (ASX: XJO) is suffering a red session on Friday amid an intensification of the situation in Ukraine. However, ASX uranium shares are showing up as some of the hardest-hit companies of all on the Australian share market.

At present, many uranium producers and explorers are trading 10% to 20% lower. This follows reports that one of Ukraine’s nuclear power stations — the largest in Europe — is on fire as a consequence of Russian attacks.

The shocking shelling of the Zaporizhzhia nuclear power plant (NPP) marks eight days since the beginning of Russia’s invasion of Ukraine.

What is going on with ASX uranium shares today?

It was only a few short months ago when we were reminiscing on the outstanding performances across ASX uranium shares in 2021.

At that time, uranium was beginning to step back into the spotlight as an answer to our climate changes woes. Though, with years of unattractive prices for the commodity, investments in creating new a new supply had been dampened.

However, with expectations of nuclear energy becoming a piece in the green transition puzzle, investors were willing to take a punt on ASX uranium shares.

That was until the latest development in the Ukraine-Russia conflict. Unfortunately, with fears of the Zaporizhzhia NPP evolving into another Chernobyl-like disaster, it seems people have been reminded of what soured nuclear energy’s momentum all those years ago.

#Ukraine: IAEA is aware of reports of shelling at #Zaporizhzhia Nuclear Power Plant (NPP), in contact with Ukrainian authorities about situation.

— IAEA – International Atomic Energy Agency (@iaeaorg) March 4, 2022

https://platform.twitter.com/widgets.js

While the power plant boasts better safety infrastructure than Chernobyl, the consequences of a fault could also be larger. According to Ukrainian foreign minister Dmytro Kuleba, “If it blows up, it will be 10 times larger than Chernobyl.”, he said in a Tweet calling for a ceasefire.

Companies copping the brunt of bad news

Currently, ASX uranium shares are being sold off hard. Here’s how some of these companies are tracking:

• Boss Energy Ltd (ASX: BOE) down 13.7%
• Paladin Energy Ltd (ASX: PDN) down 12.2%
• Deep Yellow Limited (ASX: DYL) down 14.9%
• Peninsula Energy Ltd (ASX: PEN) down 14%

Finally, the situation in Zaporizhzhia NPP is still evolving as more information transpires. The latest updates suggest firefighters have been unable to combat the fire due to the ongoing conflict.

The post ASX uranium shares plummet amid Ukraine power station attack appeared first on The Motley Fool Australia.

More reading

• Why is the Boss Energy (ASX:BOE) share price crashing 17% today?
• Here’s why the Boss Energy (ASX:BOE) share price has surged 37% in a week
• Here are the top 10 ASX shares today
• These 3 ASX 200 shares are topping the volume charts this Tuesday
• These 3 ASX 200 shares are topping the volume charts on Monday

Motley Fool contributor Mitchell Lawler has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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Friday is proving to be a rough day for ASX tech shares, with some of the sector’s most recognisable participants among its worst performers.

At the time of writing, the S&P/ASX All Technology Index (ASX: XTX) has slumped 3% while the S&P/ASX 200 Information Technology Index (ASX: XIJ) has fallen 3.95%.

For context, the S&P/ASX 200 Index (ASX: XJO) is also in the red, having slipped 0.82%. The All Ordinaries Index (ASX: XAO) is slightly worse off, slumping 0.92%.

Let’s take a look at which ASX tech shares are suffering and what might be weighing on the sector.

What’s dragging ASX tech shares lower today?

Shares in some of the market’s favourite tech shares are plummeting on Friday for no obvious reason.

The Zip Co Ltd (ASX: Z1P) share price is being pummelled. It’s currently falling 12.3% to trade at $1.64 – its lowest point in nearly 2 years.

The Block Inc CDI (ASX: SQ2) share price is also struggling today. It’s currently down 9.52% to $152.46.

Meanwhile, shares in EML Payments Ltd (ASX: EML), Tyro Payments Ltd (ASX: TYR), and Novonix Ltd (ASX: NVX) are down 6.3%, 5%, and 4% respectively.

The ASX tech sector’s suffering might be being driven by similar struggles in the US market overnight. The tech-heavy Nasdaq Composite (NASDAQ: .IXIC) slumped 1.6% on Thursday.

Block’s New York-based listing (Block Inc (NYSE: SQ)) also tumbled 8.1% while most of Australia slept.

The post ASX tech shares take a hammering on Friday appeared first on The Motley Fool Australia.

More reading

• Why Magellan, Nick Scali, Qantas, and Zip shares are tumbling today
• Tyro (ASX:TYR) share price continues its tumble, down 5% today
• 5 ASX 200 shares slumping to 52-week lows on Friday
• ASX 200 (ASX:XJO) midday update: Block, Zip tumble, QBE’s asset sale
• The 14% discount offered on the Zip (ASX:Z1P) share purchase plan has now vanished. What now for investors?

Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns and has recommended Block, Inc., EML Payments, Tyro Payments, and ZIPCOLTD FPO. The Motley Fool Australia owns and has recommended Block, Inc. and EML Payments. The Motley Fool Australia has recommended Tyro Payments. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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In afternoon trade, the S&P/ASX 200 Index (ASX: XJO) is off its intraday lows but still deep in the red. At the time of writing, the benchmark index is down 0.9% to 7,086.4 points.

Four ASX shares that are falling more than most today are listed below. Here’s why they are sinking:

Magellan Financial Group Ltd (ASX: MFG)

The Magellan share price has continued its slide and is down over 3% to $15.46. This decline means the fund manager’s shares have now fallen to another multi-year low. This has been caused by broad market weakness and concerns over its depleting funds under management (FUM). Its next FUM update is likely to be released on Monday morning and some investors don’t appear willing to stick around to find out what the damage is.

Nick Scali Limited (ASX: NCK)

The Nick Scali share price has tumbled 6% to $11.68. A good portion of this decline is attributable to the furniture retailer’s shares trading ex-dividend this morning. Last month the company released its half year results and declared a fully franked interim dividend of 35 cents per share. Eligible shareholders can now look forward to receiving this payment later this month on 28 March.

Qantas Airways Limited (ASX: QAN)

The Qantas share price is down 3% to $4.95. A number of travel shares have come under significant selling pressure today. This appears to have been caused by concerns that the Russia-Ukraine crisis could have an impact on the travel market.

Zip Co Ltd (ASX: Z1P)

The Zip share price is down 11% to $1.67. Investors have been selling this buy now pay later provider’s shares amid weakness in the tech sector. In addition, yesterday UBS downgraded the company’s shares to a sell rating and cut the price target on them by 80% to a lowly $1.00.

The post Why Magellan, Nick Scali, Qantas, and Zip shares are tumbling today appeared first on The Motley Fool Australia.

More reading

• 5 ASX 200 shares slumping to 52-week lows on Friday
• Qantas (ASX:QAN) share price dives 4% amid escalating Ukraine fears
• ASX 200 (ASX:XJO) midday update: Block, Zip tumble, QBE’s asset sale
• The 14% discount offered on the Zip (ASX:Z1P) share purchase plan has now vanished. What now for investors?
• Why is the Nick Scali (ASX:NCK) share price sliding 6% today?

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns and has recommended ZIPCOLTD FPO. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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Shares in Tyro Payments Ltd (ASX: TYR) are trading 5.02% down on Friday and now fetch for $1.60 apiece, despite no market-sensitive information out of the company’s camp.

Tyro shares have been gliding downwards these past 3 months, having tumbled off a high of $2.92 both in January and then before in December.

This year to date, shares are down more than 44%, meaning they need to almost double to return to that previous level.

Why’s the Tyro share price plunging today?

Whilst there’s been no market-sensitive information today, the ASX tech basket has taken a hit on Friday, amid a wider selloff in ASX shares.

The S&P/ASX All Technology Index (ASX: XTX) is also down 3.04% today, whereas the benchmark S&P/ASX 200 Index (ASX: XJO) is just 0.81% in the red.

Hence the tech sector is trailing the broader market today, undoubtedly adding into the selling pressure on Tyro shares.

Not even a positive update announcing a 44% increase in transaction value to $2.5 billion from last month was enough to get investors on board.

But the macro-economic climate has been fought with a risk-off attitude lately, and this has been reflected in the flow of funds into and out of equities in 2022.

Much of this is spurred on by the inflation narrative and the increasing yields on long-date government bonds that hurt stock valuations. There tends to be an inverse relationship between tech stocks and the yields on these bonds, as shown below.

Now with the geopolitical conflict in Europe, ASX shares continue to face challenges today and high-beta tech shares will feel the brunt of that pressure.

Alas, the stage is set for Tyro to continue its downward spiral today, seeing as the negative momentum has been in place for a number of months, and the macro-economic climate has seen high-growth tech shares take a beating in 2022.

Tyro was also one of the most shorted shares last week with a total of 8.4% of its float open to short interest, placing it in the top 10.

Suffice to say, the sentiment isn’t the best on the Tyro investment debate as of right now – much to the delight of those contrarian investors out there.

Tyro share price snapshot

In the last 12 months, the Tyro share price has collapsed over 50% and is down 44% this year to date.

During the past month of trading, shares have collapsed another 25%, meaning Tyro is trailing the broad indexes this year across all time frames.

The post Tyro (ASX:TYR) share price continues its tumble, down 5% today appeared first on The Motley Fool Australia.

More reading

• Why Betmakers, Fortescue, Suncorp, and Tyro shares are falling
• These are the 10 most shorted ASX shares
• Back on the horse! ASX tech shares stage stunning comeback following sell-off
• These 3 ASX 200 shares are topping the volume charts this Monday
• Why Altium, PointsBet, Tyro, and Zip shares are sinking today

Motley Fool contributor Zach Bristow has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns and has recommended Tyro Payments. The Motley Fool Australia has recommended Tyro Payments. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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The S&P/ASX 200 Index (ASX: XJO) is having a rather dreary finish to the week so far this Friday. At the time of writing, the ASX 200 has lost 0.82% and is back under 7,100 points.

With a move of this nature, it’s perhaps no surprise that many ASX 200 shares are feeling the burn and hitting new 52-week lows today. We take a look at five here.

5 ASX 200 shares touching new 52-week lows today

Australia and New Zealand Banking Group Ltd (ASX: ANZ)

ANZ is an ASX 200 share well known to most Australians. But its shares are not having a great time of it today. ANZ is currently down by 0.98% at the time of writing. It hit a low of $25.09 around midday today. That is the company’s new 52-week low. In some good news, this has pushed the ANZ dividend yield up to 5.6% for any new investors today.

Magellan Financial Group Limited (ASX: MFG)

ASX 200 fund manager Magellan has had a pretty awful 12 months, no way around it. From its star stock picker Hamish Douglass taking a leave of absence, to record fund outflows, the bad news just seems to keep coming.

Today is unfortunately no different, with Magellan hitting a new low point of $15.18 a share after lunch today. Magellan is currently asking $15.47 a share at the time of writing. Again, this has resulted in the company’s trailing dividend yield exploding to more than 14.5%.

Super Retail Group Ltd (ASX: SUL)

Super Retail Group, the ASX 200 company behind Rebel, Super Cheap Auto, and BCF, is next up. This company has not escaped the market’s woes today and is currently down by 1.85% to $10.61 a share. The stock hit a new low of $10.46 earlier in the trading session. This retailer has now lost 16% so far in 2022.

Pendal Group Ltd (ASX: PDL)

Another fund manager, Pendal Group, is next. This ASX 200 share has also had a painful day, losing more than 2% so far. The company is currently at $4.33 a share but descended as low as $4.29 just after midday. Market volatility is seldom good news for a fundie like Pendal. It has now lost 25% since the start of the year.

Zip Co Ltd (ASX: Z1P)

Our final ASX 200 share is none other than Zip Co. Zip is now the ASX’s largest buy now, pay later (BNPL) company after its rival Afterpay was absorbed by Block Inc (ASX: SQ2) earlier this year. But this is cold comfort to investors.

Zip has lost a depressing 11% so far this Friday and has plumbed new depths at $1.64 a share. This is the company’s new 52-week low. That puts Zip’s 12-month performance at a dismal 83.5%. Some investors have not taken kindly to Zip’s plans to acquire fellow BNPL share Sezzle Inc (ASX: SZL).

The post 5 ASX 200 shares slumping to 52-week lows on Friday appeared first on The Motley Fool Australia.

More reading

• Why Magellan, Nick Scali, Qantas, and Zip shares are tumbling today
• ASX 200 (ASX:XJO) midday update: Block, Zip tumble, QBE’s asset sale
• Why is the ANZ (ASX:ANZ) share price getting battered more than the other banks this week?
• The CSL (ASX:CSL) share price is falling today, but here’s what investors can look forward to next week
• The 14% discount offered on the Zip (ASX:Z1P) share purchase plan has now vanished. What now for investors?

Motley Fool contributor Sebastian Bowen has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns and has recommended Super Retail Group Limited and ZIPCOLTD FPO. The Motley Fool Australia owns and has recommended Super Retail Group Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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A message from our CIO, Scott Phillips:

“G’day Fools. If you’re like us, you’re dismayed by the events taking place in Ukraine. It is an unnecessary humanitarian tragedy. Times like these remind us that money is important, but other things are far more valuable. And yet the financial markets remain open, shares are trading, and our readers and members are looking to us for guidance. So we’ll do our best to continue to serve you, while also hoping for a swift and peaceful end to war in Ukraine.”

————–

The Qantas Airways Limited (ASX: QAN) share price is tumbling on Friday amid escalating tensions in Ukraine.

The airline’s stock is among many S&P/ASX 200 Index (ASX: XJO) constituents falling as the index plunges to a 4-day low.

At the time of writing, the Qantas share price is $4.935, 3.42% lower than its previous close.

For context, the ASX 200 Index is currently 0.74% lower while the All Ordinaries Index (ASX: XAO) has slumped 0.85%.

Let’s take a closer look at what could be driving the flying kangaroo’s stock downwards.

Qantas share price tumbles on Friday

The Qantas share price is plunging lower as Russia’s invasion of Ukraine intensifies.

Conflict has now reached the Zaporizhzhia nuclear power plant – the largest of its kind in Europe ­– with fire having broken out at the site.

Posting to Twitter Inc (NYSE: TWTR), Ukraine minister for foreign affairs, Dmytro Kuleba, has called for an urgent ceasefire, saying if the plant “blows up” it will be 10 times larger than the 1986 Chernobyl disaster.  

Russian army is firing from all sides upon Zaporizhzhia NPP, the largest nuclear power plant in Europe. Fire has already broke out. If it blows up, it will be 10 times larger than Chornobyl! Russians must IMMEDIATELY cease the fire, allow firefighters, establish a security zone!

— Dmytro Kuleba (@DmytroKuleba) March 4, 2022

https://platform.twitter.com/widgets.js

It follows overnight ceasefire talks between Russia and Ukraine that once again failed to achieve an outcome, according to reporting by ABC.

Today’s fall puts the Qantas share price 4% lower than it was at the start of 2022.

Though, it’s not the only ASX 200 travel stock to be suffering on Friday.

The share prices of Flight Centre Travel Group Ltd (ASX: FLT), Webjet Limited (ASX: WEB), and Corporate Travel Management Ltd (ASX: CTD) are currently down 2.6%, 3.4%, and 2.9% respectively.

The post Qantas (ASX:QAN) share price dives 4% amid escalating Ukraine fears appeared first on The Motley Fool Australia.

More reading

• Qantas (ASX:QAN) share price enjoying green start to the week as Joyce says ‘we’re seeing huge demand’
• Why is the Webjet (ASX:WEB) share price having such a lousy start to the week?
• Russia invades Ukraine and the ASX tanks. Scott Phillips on Nine’s Late News
• The oil price has just hit an 8-year high. What might this mean for ASX shares?
• ASX wipes out $73 billion as Russia invades Ukraine

Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns and has recommended Twitter. The Motley Fool Australia has recommended Corporate Travel Management Limited, Flight Centre Travel Group Limited, and Webjet Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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A message from our CIO, Scott Phillips:

“G’day Fools. If you’re like us, you’re dismayed by the events taking place in Ukraine. It is an unnecessary humanitarian tragedy. Times like these remind us that money is important, but other things are far more valuable. And yet the financial markets remain open, shares are trading, and our readers and members are looking to us for guidance. So we’ll do our best to continue to serve you, while also hoping for a swift and peaceful end to war in Ukraine.”

——–

The Origin Energy Ltd (ASX: ORG) share price has been wobbling this week as the company faces renewed pressure to cut indirect ties with a Russian oligarch.

It comes as previous moves to limit Russian interests in Origin’s Beetaloo Basin joint venture are criticised for not going far enough.

Earlier this week, Origin stated it is “appalled” by Russia’s invasion of Ukraine. In response, Origin pressured its joint venture partner, Falcon Oil & Gas Ltd. (TSX-V: FO.V) to have non-executive director Maxim Mayorets step down.

Mayorets represented Russian oligarch Viktor Vekselberg, who reportedly owns 16% of Falcon through his company, Lamesa Group Holdings. Mayorets resigned on 1 March.

But investor group, Australasian Centre for Corporate Responsibility (ACCR) is calling for Origin to suspend the venture.

At the time of writing, the Origin share price is $5.79, down 0.86% for the day.

Let’s take a closer look at the pressure facing the energy producer.

Origin share price wobbles amid pressure to suspend venture

Its been a rollercoaster of a week for Origin shares. They plunged 3.6% on Tuesday before surging 4.9% over Wednesday and Thursday.

Amid the craziness, the company has been facing calls to suspend its operations in the Beetaloo Basin.

Origin’s 77.5%-owned joint venture with Falcon is exploring the basin, which is a “key element” of the Australian Government’s gas-fired recovery plan.

Vekselberg’s Renova Group is currently sanctioned by the US Treasury Department.

In response to questions regarding Lamesa’s involvement with Falcon, Origin said it had put pressure on its JV partner. That pressure resulted in Mayorets’ resignation. But ACCR is advocating for more severe action. ACCR is asking Origin to pause the venture until Vekselberg’s interests are resolved.

ACCR director of climate and environment, Dan Gocher said Mayorets’ resignation is “simply window dressing”.

Gocher said:

Origin Energy may be hoping that the resignation of Maxim Mayorets from the board of Falcon Oil & Gas removes an undue influence on its joint venture in the Beetaloo Basin … [But] Vekselberg stands to personally benefit from any successful exploration that Origin is conducting in the Beetaloo Basin.

Origin has little choice but to suspend its joint venture with Falcon Oil & Gas until such time as Viktor Vekselberg’s interests in the company are resolved.

Origin has stated it has no direct contact with Lamesa. It also clarified Lamesa has no influence over the Beetaloo Basin operations.

Right now, Falcon doesn’t pay for exploration activities at Beetaloo. Additionally, there hasn’t been any production or earnings from the venture.  

International energy giants back out of Russia

Last week, BP plc (NYSE: BP) announced it will exit its near-20% holding in Russia’s state-owned enterprise Rosneft.

Rosneft was previously touted as the “first and the most important focus area of BP’s business in Russia”.

Shell PLC (NYSE: SHEL) followed BP’s lead, announcing on Monday that it is backing out of its joint ventures with Russian energy corporation Gazprom.

As of the end of 2021, Shell had around US$3 billion of non-current assets in these ventures in Russia. It expects the process of exiting said assets will result in impairments.

Shell also plans to end its involvement in the Nord Stream 2 pipeline project.

Shell CEO Ben van Beurden commented on the decision, saying: “We cannot – and we will not – stand by.”

Finally, on Tuesday, Exxon Mobil Corp (NYSE: XOM) announced it is stepping away from the Sakhalin-1 venture, which it operates.

It also vowed to not invest in any more developments in Russia under the current circumstances.

The post Own Origin (ASX:ORG) shares? The company is facing pressure over Russian interests in its projects appeared first on The Motley Fool Australia.

More reading

• All eyes on energy: Origin (ASX:ORG) share price surges 4%
• Why did AGL (ASX:AGL) shares smash Origin in February?
• Why is the Origin (ASX:ORG) share price edging lower today?
• Origin (ASX:ORG) share price lifts amid green hydrogen news
• Origin (ASX:ORG) share price slides 7% but UBS is still bullish. Here’s why

Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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The Santos Ltd (ASX: STO) share price is sinking today, along with a number of other ASX energy shares.

Many ASX energy share prices have seen substantial increases in recent weeks, due to soaring gas and oil prices as a result of Russia’s invasion of Ukraine. However, now many are seeing prices readjust as oil prices soften.

One of which is the Santos share price, which is down 1.34% to $7.735 at the time of writing. Also in the red is rival oil and gas company Woodside Petroleum Limited (ASX: WPL), which is falling 0.67% to $31.13.

In fact, all S&P/ASX 200 Energy Index (ASX: XEJ) shares are falling today. After a month of being the best performing sector on the ASX, it is the second-worst performing today, down 1.57% at the time of writing,

So, what’s going on with Santos today?

Dorado project update

Just yesterday, Santos shares hit a 52-week high of $8.11, alongside climbing oil prices. However, the price of oil eased overnight, which could be contributing to the drop in the Santos share price today.

Additionally, the company today provided an update on its Dorado project in Western Australia.

It has begun a financing process for the project and expects front-end engineering and design (FEED) to be “ready by mid-calendar 2022”.

Santos initially announced the Dorado project at the end of June last year, describing it as “an integrated oil and gas project“.

It is to be developed in two stages. “Detailed design and engineering work for the production facilities for the Dorado phase 1 liquids development continues to progress as expected,” Santos said.

The company added:

The Dorado liquids are an extra light, sweet product with externally provided market analysis indicating sales are likely to achieve a premium to Brent.

Final capital cost definition is being undertaken as part of the FEED process and will be finalised ahead of a Final Investment Decision (FID). Given the Dorado Project is in shallow water, near existing infrastructure and is an infantry-standard design, initial operating cost estimates have confirmed that this project will be a low unit cost operation.

In addition, Carnarvon Energy Limited (ASX: CVN) is starting to find ways to “fund its share” of the project, in which it holds a 20% stake. Santos holds the majority share of the project.

Carnarvon managing director and CEO Adrian Cook said:

Various sources of capital are being pursued to optimise the Company’s balance sheet and extract the most value from this high-quality asset. I look forward to sharing further progress updates in the coming months.

How has the Santos share price been performing?

Since the beginning of this year, the Santos share price has increased by around 23%. It is up 4.6% over the past 12 months, 5% over the past month, and more than 9% over the past week.

The company has a market capitalisation of $26.55 billion, a last reported revenue of $4.8 billion, and a price-to-earnings ratio (P/E) of 18.

The post Here’s why the Santos (ASX:STO) share price is struggling today appeared first on The Motley Fool Australia.

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Motley Fool contributor Alice de Bruin has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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