Energy and Oil Sector

Tata Power Renewable Energy commissioned a 190.5MW solar plant with battery storage in Kalasar, Rajasthan, part of a larger 460MW firm and dispatchable renewable energy (FDRE) project awarded under SJVN Tranche-1. The plant includes a 115MWh advanced battery energy storage system designed to supply dispatchable power to three distribution companies: Haryana Power Purchase Centre, Maharashtra State Electricity Distribution Company, and Noida Power Company. The project was built despite global supply chain disruptions and compressed timelines—the switchyard was completed in three months and the Harmonic Filter Bank in one month. With this commissioning, TPREL's total renewable utility capacity reached 12.4GW, of which 6.9GW is now operational (5.6GW solar, 1.3GW wind) and 5.5GW is under implementation over the next 24 months. The company's parent, Tata Power, operates more than 26GW of total capacity across all segments, with approximately 17.7GW from clean energy and 8.8GW from thermal generation. The project supports India's target of 500GW of non-fossil fuel capacity by 2030 and Tata Power's Net Zero by 2045 commitment.

Oil prices fell Monday as investors took profits and awaited Treasury Secretary Scott Bessent's announcement of what the Trump administration has called the "toughest sanctions in history" against Iran. Brent crude dropped $1.55, or 1.64%, to $92.84 a barrel, while West Texas Intermediate fell $2.04, or 2.34%, to $85.02. The pullback came after both contracts had posted a second consecutive weekly gain of more than 5% last week, driven by stalled U.S.-Iran peace negotiations and concerns that disruptions through the Strait of Hormuz—which once carried a fifth of global supplies—could persist. Bessent, scheduled to hold a press conference at 1 p.m. EDT Monday, has threatened to "collapse" the Islamic Republic through economic isolation and warned of penalties for countries that help Tehran evade sanctions. Fewer than 20 commodity vessels transited the strait over the weekend as Iranian and U.S. blockades restricted traffic; offers of Iranian crude to Chinese buyers have declined and prices have jumped as shipments have been cut. Iran's state media condemned the planned sanctions and called for diplomacy, while the Islamic Revolutionary Guard Corps said Tehran has ways to counter the pressure and can establish economic relations with other countries. Analysts expect volatility to persist: Morgan Stanley projects Brent could peak at $100 in the fourth quarter, while Commonwealth Bank of Australia forecasts a range of $70 to $100 for the second half of 2026, with prices potentially falling toward the bottom if flows through the strait recover even modestly.

South32 raised its ore reserve estimate for the Sierra Gorda copper mine in Chile by 61% to 1,100 million tonnes, according to mining.com, reflecting infill drilling completed between 2023 and 2025. The updated estimate, as of July 31, 2026, extends the mine's reserve life by approximately five years to 2045 and increases the mineral resource estimate to 1,870 million tonnes. The ore grades 0.39% total copper, 0.016% total molybdenum and 0.06 g/t gold at a copper equivalent grade of 0.46%. South32 holds a 45% stake in the open-pit operation in Chile's Antofagasta region alongside joint venture partner KGHM Polska Miedź, which owns 55%. The company approved a fourth grinding line project in July expected to boost copper production by approximately 30% from 2031. CEO Matt Daley said the update demonstrates "the scale, quality and long-life orebody at Sierra Gorda, which we expect will be a significant source of copper for decades to come." The mine's Catabela Northeast exploration project has intersected significant copper mineralisation in exploration holes, signalling potential for further reserve life extension beyond the current increase.