LNG Canada, a Shell-led initiative, is facing technical difficulties as it increases production at its Kitimat liquefied natural gas plant. 

This has led to at least one LNG tanker being diverted from the facility recently without its superchilled fuel, Reuters quoted four sources and LSEG ship tracking data in a report.

The plant is Canada’s first major LNG export facility, and North America’s first on the west coast, offering direct access to Asia, the world’s largest LNG market.

When fully operational, the facility is anticipated to convert approximately 2 billion cubic feet of gas per day (bcfd) to LNG. This is expected by market participants to positively impact Canadian natural gas prices.

Despite fresh demand from LNG Canada’s July 1 startup, Western Canadian natural gas prices remain depressed due to a persistent supply glut.

On Tuesday, the daily spot price at the AECO storage hub in Alberta Energy Company was $0.22 per mmBtu. This contrasts with the US Henry Hub benchmark price of $3.12, according to LSEG data.

LNG Canada’s ambitious project, which consumed nearly seven years in its construction phase, is currently facing operational challenges. 

Operational challenges

According to two of the four available sources, the first plant, also referred to as a “train,” is functioning at less than half of its intended capacity. 

This underperformance raises questions about the project’s efficiency and its ability to meet initial production targets. 

The extended construction timeline and the subsequent operational limitations highlight potential complexities in large-scale energy infrastructure development, encompassing unforeseen technical hurdles, supply chain disruptions, or market shifts that might impact the project’s output. 

According to the report, the facility’s Train 1 has encountered technical problems with both a gas turbine and a Refrigerant Production Unit (RPU).

An LNG Canada spokesperson indicated that a new facility of the joint venture’s size and scale might encounter operational challenges during its production ramp-up and stabilisation phases.

Diverted shipments and technical issues

LSEG ship tracking data indicated that Shell has diverted at least one empty LNG vessel to Peru, while other tankers are still in the vicinity of the facility.

According to LSEG ship tracking data, the LNG tanker Ferrol Knutsen, with a capacity of 170,520 cubic meters, initially indicated it was en route to the Kitimat port. However, it has since altered its course and is now off the coast of California, heading towards Peru.

LNG Canada is a joint venture comprising several international companies: Shell, Malaysia’s Petronas, PetroChina, Japan’s Mitsubishi Corp, and South Korea’s KOGAS.

Export projections

LNG Canada is projected to have an export capacity of 14 million metric tonnes per annum (mtpa) when it reaches full operational status, according to company statements.

The facility has already exported four cargoes, with the inaugural shipment occurring on July 1. An LNG Canada spokesperson announced that an additional shipment is anticipated soon.

As the plant transitions from its initial operational phase to a consistent shipping schedule, the rate of exports is expected to accelerate, according to the spokesperson.

The spokesperson said:

In regular operations in Phase 1, we anticipate loading one export cargo from our facility every two days.

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Rolls-Royce share price pumped on Tuesday and was hovering near its all-time high of 1,013p. It has increased by 75% this year, surpassing the FTSE 100 Index, which has risen by 11%. 

RR stock price has jumped by over 1,000% in the last five years, while the Footsie has soared by 55% in the same period. This surge has increased its market capitalization to over $113.26 billion, making it the eighth-largest company in the UK. 

High bar before Rolls Royce earnings

The Rolls-Royce share price will be in the spotlight on Thursday after the company publishes its financial results. These earnings come at a time when its stock is at an all-time high and its valuation multiples are in an uptrend.

Rolls-Royce stock now trades at a substantial premium compared to its peers and its history. The company trades at a forward price-to-earnings ratio of 42, much higher than the sector median of 23.

Therefore, these multiples mean that the company needs to publish strong half-year results and upgrade its financial estimates. 

Some analysts are still optimistic that the company has more upside to go in the coming months. For example, in a statement, an analyst at Panmure Liberum said more upside will depend on its profit upgrade. 

The analyst believes that the company’s half-year sales and operating profit will account for a similar share as they did for the full-year in 2024. 

Analysts are upbeat about RR growth

The consensus figures published on its website indicate that analysts anticipate continued growth. They expect that the underlying revenue will be £19.2 billion this year, while the underlying EBIT and profit before tax will jump to £2.87 billion and £2.73 billion, respectively.

These numbers will then continue growing, with its revenue hitting £23.7 billion in 2028 and the EBIT and PBT moving to £4.013 billion and £4.015 billion, respectively. 

Rolls-Royce’s free cash flow is expected to be £4.49 billion in 2028, up from the expected £2.8 billion.

There are indications that Rolls-Royce may publish strong results on Thursday. For one, some of its biggest competitors have recently published strong numbers, pushing their shares much higher. 

For example, GE Vernova stock surged to a record high after saying that its revenue jumped by 11% to $9.1 billion in the second quarter. GEV competes with Rolls-Royce in the power segment

Similarly, GE Aerospace, its biggest competitor, soared to $273, up by 71% from its lowest point this year. Its stock jumped after it published strong results and boosted its forward guidance.

GE’s orders jumped by 27% to $14.2 billion, while its adjusted revenue and operating profits jumped to $10.2 billion and $2.3 billion, respectively. Therefore, since these two companies operate in the same industry, there is a likelihood that it too will release good numbers. 

In its recent trading update, the company maintained its forward operating profit and free cash flow of between £2.7 billion and £2.9 billion. 

Rolls-Royce share price technical analysis

RR stock price chart | Source: TradingView

The daily chart shows that the RR stock price has been in a strong bull run in the past few years. It has crossed the important milestone of 1,000p, as we predicted here and here. 

On the positive side, the stock is much higher than the 50-day and 100-day moving averages, a sign that bulls are in control. However, on the other hand, the Relative Strength Index (RSI) has formed a descending channel, a sign of bearish diverge pattern.

Therefore, the stock’s outlook is neutral, with the bearish divergence pointing to a pullback to 950p. The alternative scenario is where the stock continues to rally, with the next target being at 1,100p.

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Starbucks stock price rose by over 4% after Brian Niccol, its CEO, hailed its turnaround efforts, even as its financial results continued to deteriorate. It rose to $97.20, up by over 25% from its lowest point this year. This article explores its financial results and whether it is a good buy today.

Starbucks financial results download

Starbucks, the world’s largest coffee chain, published weak financial results on Tuesday. Its numbers showed that its same-store sales dropped by 2% in the third quarter, driven by a 2% drop in its comparable transactions.

The North American business continued to deteriorate, with its comparable store sales falling by 2%. Still, despite its ongoing deterioration, the Niccol, who led the turnaround at Chipotle said:

“We’ve fixed a lot and done the hard work on the hard things to build a strong operating foundation, and based on my experience of turnarounds, we are ahead of schedule.”

Niccol has announced several measures to reinvigorate the company’s growth. He has cut costs, and is now working on launching the Green Apron Service program that emphasizes on customer interactions.

At the same time, Niccol is opening fewer stores in the United States and is instead focusing on improving its existing operations. Most importantly, it is returning more seats in its stores as it seeks to make its stores more comfortable again. He said:

“In the U.S., partner engagement is rising, customer connection scores are up, shift completion is at a record high, non-Starbucks Reward customer transactions returned to growth, and more coffeehouses are delivering positive transaction comps.”

Niccol also expects to launch new products, a refreshed application, and an improved reward program. 

Challenges remain

Starbucks is a well-known brand that will return to growth over time. However, it is facing major challenges that are hard to fix. 

First, China, its second-biggest market, continues to face competition, which has led to pricing issues. Most of this competition is coming from brands like Luckin Coffee, which has over 24,000 stores, and Cotti Coffee, which has over 10,000 locations. 

The surging competition means that Starbucks is no longer in the drivers seat in terms of pricing. It is being forced to reduce prices, which is affecting its revenues and margins. 

Its Chinese operations had the same store sales of 2%, while its transactions rose by 6%. However, the average ticket fell during the quarter. These numbers explain why there have been rumors that it would sell its Chinese business. Analysts see the business attracting a valuation of about $10 billion.

The other risk is that some of these Chinese rivals are starting to expand overseas and applying the same model they used in China. Luckin Coffee recently launched its operations in the United States and is expected to keep growing there. 

Starbucks stock price analysis

SBUX price chart | Source: TradingView

The daily chart shows that the SBUX price bottomed at $75 and has now bounced back to $96 . It has just formed the highly bullish golden cross pattern as the 50-day and 200-day Weighted Moving Averages (EMA) crossed each other. This cross is one of the most bullish patterns in technical analysis. 

The stock has also formed a bullish flag pattern. Therefore, the most likely scenario is where the stock continues rising as bulls target the 2024 high of $116, up by 20% from the current level. 

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South Korea’s LG Energy Solution has entered into a $4.3 billion battery supply agreement with an undisclosed customer, as per a regulatory filing submitted on Wednesday.

The contract, which became effective on 28 July 2025, will run until July 2030.

This development follows closely on the heels of Tesla’s confirmed $16.5 billion chip deal with Samsung Electronics, signalling deepening commercial ties between US EV makers and South Korean tech firms.

Deal boosts LG Energy’s lithium iron phosphate output

The agreement represents one of LG Energy Solution’s largest lithium iron phosphate (LFP) battery contracts to date.

The contract’s total value exceeds LGES’s second-quarter revenue of 5.6 trillion won ($4.05 billion), highlighting its importance to the firm’s financial performance.

The battery maker noted in its filing with the Korea Exchange that key terms of the deal — including price and duration — may be adjusted, and that the contract could be extended by up to seven years.

The scope of the battery order has not been clarified, and LGES did not disclose whether the LFP batteries are intended for use in electric vehicles or energy storage systems (ESS).

However, LG Energy’s current major customers include Tesla and General Motors, both of whom require high-capacity battery modules for their growing EV and energy storage needs.

US expansion plays a key role in fulfilling the contract

LG Energy Solution has been aggressively ramping up its US-based manufacturing.

Its first North American energy storage battery hub in Michigan began operations in the second quarter of this year.

It is building a new plant in Arizona that will manufacture LFP batteries.

Analysts suggest the $4.3 billion order is closely linked to the Michigan facility, which has now commenced production.

With this contract, LGES aims to boost its presence in the US energy storage market — a segment traditionally dominated by Chinese battery firms.

The new deal may help LGES reduce its lag in LFP battery competitiveness and align with American buyers’ goals of diversifying supply chains away from Chinese manufacturers.

Market implications and confidentiality clause

In its disclosure, LG Energy Solution stated that it would not reveal the identity of the counterparty due to business confidentiality.

This is a standard clause in many long-term supply agreements. Investors have been cautioned to factor in the possibility of revisions or cancellations when making portfolio decisions.

Although LGES shares edged up 0.26% following the announcement, market analysts suggest the real effects of the deal will be felt over time, especially if the contract is indeed with Tesla.

The EV giant has previously stated intentions to source more ESS batteries from outside China, in line with US policy and strategic sourcing goals.

Industry trends and competitive landscape

According to industry data, LG Energy Solution trails Chinese competitors in the LFP battery space.

However, its growing traction in North America may offset this disadvantage.

If the Tesla link is confirmed, it would strengthen LGES’s positioning in the US market and give it a competitive edge against regional rivals.

The new deal reflects a broader industry trend where American EV and ESS firms are diversifying their supplier base amidst rising geopolitical and trade tensions.

It also reinforces South Korea’s role as a strategic battery manufacturing hub, particularly in the context of US supply chain realignment.

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India has set an ambitious target of achieving 500 GW of non-fossil fuel capacity by 2030, including 280 GW from solar energy, as part of its commitment under the Paris Agreement and its broader aim to achieve net-zero emissions by 2070.

The country has made substantial progress in adding solar and wind capacity, emerging as one of the world’s leading renewable energy markets.

The government claims the country is on track to fulfilling the goal, having crossed 223 GW of non-fossil fuel capacity already.

SAEL- a leading player in the country’s renewable energy industry, is playing a crucial role by providing services in both solar and waste to energy projects.

“We firmly believe that a solar-plus-biomass hybrid model can be highly effective, provided there is an enabling policy framework to support its growth,” Laxit Awla, CEO of SAEL told Invezz in an interview.

Awla opens up about the company’s 5-year plans, a planned IPO and what differentiates the approach of Indian institutional investors from their foreign counterparts when it comes to investing in clean energy.

Awla also details why the agri-waste-to-energy sector remains underdeveloped despite the abundance of agri-residue, how storage infrastructure is key to India’s solar growth, and the challenges and opportunities that US reciprocal tariffs against Indian solar PV modules could produce.

Excerpts:

Aim to multiple current portfolio by 2030 betting on solar plus biomass hybrid model

Invezz: SAEL has grown rapidly in both renewable energy and agri-waste-to-energy. What’s the long-term vision for the company over the next 5–10 years?

With the expansion of India’s renewable energy base and the introduction of supportive policy interventions, SAEL Industries Limited remains confident in maintaining a robust growth trajectory.

We have recently announced plans to establish an integrated 5 GW solar cell and 5 GW solar module manufacturing facility in Uttar Pradesh.

In the solar IPP segment, our portfolio exceeds 7.5 GW, with projects strategically located across the country.

We are also focused on scaling our agri waste-to-energy business, with a strong focus to grow in additional states, while further expanding our presence in Punjab, Rajasthan, and Haryana.

SAEL is recognized among the leading manufacturers of TOPCon solar modules in India, currently operating 3.7 GW of solar module assembly lines in Rajasthan and Punjab.

Furthermore, we remain proactive in exploring new market opportunities within the clean energy sector, particularly as generation technologies advance and become increasingly cost-effective.

Our future strategic interests include battery storage solutions and hybrid power plants.

We firmly believe that a solar-plus-biomass hybrid model can be highly effective, provided there is an enabling policy framework to support its growth.

Looking ahead, and based on our consolidated projections, SAEL aims to multiply its current portfolio by 2030.

Collaboration with government agencies

Invezz: How is SAEL leveraging vertical integration across solar manufacturing, power generation, and agri-waste-to-energy to build an ecosystem aligned with India’s energy transition goals?

SAEL Industries Limited is committed to delivering enhanced value to our stakeholders throughout the energy value chain, which remains central to our business strategy.

We collaborate actively with government agencies and local bodies to advance workforce skills and foster sustainable community engagement and development.

Our dedication to a sustainable future is demonstrated by our initiatives to reduce emissions, convert waste into energy, promote energy self-sufficiency, financially empower rural communities, advance solar PV module manufacturing, and optimize resource utilization.

As an Independent Power Producer (IPP), we develop, construct, own, and operate utility-scale solar projects and currently these projects are located in Maharashtra, Karnataka, Haryana, Delhi, Assam, Punjab, Uttar Pradesh, and Mizoram, with upcoming projects in Rajasthan, Gujarat, and Andhra Pradesh.

We possess robust in-house capabilities for the operations and maintenance of these solar power plants.

We have established long-term Power Purchase Agreements (PPAs) with distribution companies (DISCOMs), ensuring predictable returns on investment.

Furthermore, we are actively engaged in strengthening the agri waste-to-energy supply chain to ensure a consistent year-round fuel supply.

We source boiler components designed to rigorous European standards – from reputable local manufacturers, ensuring high-quality and compliance.

On fundraising, planned IPO and international expansion plans

Invezz: You have rasied over ₹8,500 crore raised from global investors and have an IPO planned IPO- what opportunities do these unlock for you?

As stated previously, we remain open to exploring emerging technologies in power sector that support the delivery of cleaner, more sustainable electricity for all.

We adopt a prudent approach to business expansion, prioritizing long-term value creation for our investors while ensuring that every initiative aligns with both commercial viability and India’s net-zero ambitions.

We are confident in our ability to drive new synergies within the energy ecosystem, drawing on our solid track record of consistent organic growth in recent years.

Our unwavering focus on safety, quality, cost efficiency, and timely delivery has enabled us to successfully extend our operations across new regions within India, and we are prepared to leverage our expertise to pursue international expansion opportunities as well.

Gaps in government initiatives to reduce stubble burning and how SAEL is mitigating the issue

Invezz: Agri-waste to energy has tremendous potential in India but remains a comparatively untapped business opportunity. What do you think are the challenges in the business sector and what are the factors that have worked for SAEL?

India annually produces over 200 million tonnes of agricultural residue, a significant portion of which is burned, thereby exacerbating climate change and contributing to severe air pollution.

Despite this abundant resource, the agri-waste-to-energy sector remains underdeveloped due to challenges such as fragmented biomass supply chains and policy gaps.

SAEL Industries Limited is distinguished as world’s first 100% paddy-based agricultural waste-to-energy operators, processing nearly 2 million tonnes of paddy straw annually across 11 plants with a total capacity of 165 MW nationwide.

As India’s largest single industrial offtaker of paddy straw, SAEL’s operations directly contribute to reducing stubble burning by empowering farmers to generate additional income through the sale of paddy waste for biomass power generation.

This practice concurrently aids in mitigating the severe air pollution that affects Northern India during the winter months.

Addressing these challenges, it is apparent that government initiatives have primarily focused on subsidizing equipment for stubble management (such as baling), but have yet to streamline the agri-waste-to-energy sector comprehensively.

Effectively managing 200 million tonnes of agricultural residue necessitates the development of a robust ecosystem for its conversion into clean electricity.

Promoting the establishment of waste-to-energy power plants, like those operated by SAEL, would facilitate the efficient and timely utilization of agricultural residue.

These power plants provide sustainable alternatives to stubble burning and help preserve soil fertility, supporting environmental and economic sustainability.

How energy storage is emerging as the missing link in India’s solar ambitions

Invezz: Some experts have predicted a tepid growth in solar power output for the next 4-5 years until India has sufficient energy storage capacity. What are your thoughts and views?

As of mid-2025, India’s cumulative solar capacity has surpassed 80 GW, marking significant progress in the country’s renewable energy transition.

However, the expansion of solar power output is expected to be moderate over the next four to five years, primarily due to a critical deficit in energy storage infrastructure.

The inherent intermittency of solar generation necessitates adequate storage solutions to match supply with demand; without this, a substantial portion of generated solar power remains unusable when needed.

Grid congestion and limited storage buffers have already resulted in curtailment rates ranging between 15–20% in high solar generation states such as Gujarat and Rajasthan, directly impacting renewable energy utilization and revenue streams.

India’s National Energy Storage Mission ambitiously targets the deployment of 50 GW of battery storage capacity by 2030.

Presently, the installed battery capacity stands at under 5 GW, complemented by approximately 4.7 GW from pumped hydro storage.

Government initiatives to address the issue and what needs to be done

This current scale of storage infrastructure is insufficient to meet the demands of the government’s broader renewable energy goal of 500 GW of installed non-fossil fuel capacity by 2030.

To address this challenge, Government initiatives such as Viability Gap Funding (VGF) have been launched to incentivize investments in energy storage solutions.

Industry leaders, including SAEL Industries Limited, are actively exploring investments in hybrid power systems – particularly solar-plus-storage models – and utility-scale projects that integrate peak-demand management and time-of-day (ToD) tariff considerations into their design and operation.

Encouragingly, a near 15% annual decline in global battery costs underpins a positive outlook for scaling energy storage deployment, improving project economics and accelerating adoption rates.

In summary, the critical bottleneck in India’s solar energy growth is not generation capacity or demand but rather the lack of synchronized and adequate storage infrastructure.

Bridging this gap within the next four to five years will be essential to unlocking the full potential of India’s renewable energy transition and achieving national decarbonization targets.

How Indian and foreign institutions differ in their approach towards investing in clean energy

Invezz: You have attracted funding from both Indian and foreign institutions. How would you differentiate the two when it comes to their outlook towards investing in clean energy?

We see a clear distinction between how Indian and international organizations approach investments in clean energy.

Foreign investors, especially DFIs and ESG funds, contribute a long-term, impact-driven viewpoint with a focus on sustainability, carbon reduction, and scalable climate solutions.

In general, they are more open to patient capital and blended finance models.

Our Indian institutions, on the other hand, provide crucial commercial discipline.

They ground our work with a sharp focus on financial viability, steady cash flows, and proven technologies.

They are more return-focused. However, their interest in green finance is growing, especially in relation to hybrid models and green bonds.

This combination of global climate capital and local market depth has been largely responsible for SAEL’s growth.

Tackling US tariff on solar PV module exports from India: challenges and opportunities

Invezz: The US has imposed a new reciprocal tariff on solar PV modules imported from India. While this is a significant increase, India still faces lower tariffs than major exporting nations to the USA. What kind of export challenges and opportunities does this open up for the industry ?

The recent 26% US tariff on Indian solar PV modules adds cost pressure, but India still enjoys a relative edge over major exporters like China, which faces over 60% duties and import restrictions.

While this move may temporarily slow Indian exports – especially as domestic module prices remain higher (around $0.30/Wp vs $0.17–0.19/Wp from Southeast Asia) – it also opens strategic opportunities.

With China constrained, India is well-placed to fill the supply gap, backed by its fast-growing manufacturing base projected to reach 100 GW modules and 50 GW cells by 2026.

The tariff could act as a catalyst, pushing Indian players to diversify beyond the US, tap markets in the EU, Middle East, and Africa, and move up the value chain with advanced technologies like TOPCon and HJT.

In short, while the tariff is a near-term challenge, it reinforces the case for India to emerge as a resilient, next-gen global solar manufacturing hub.

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For two years, the American consumer has carried the economy.

Even with interest rates at their highest level in two decades, spending kept climbing, job losses never came, and talk of recession faded.

But the latest data and company earnings are clear: the engine is no longer revving.

Although consumers are still spending, they are now doing it differently.

Some big earnings this week offered a rare look at what happens when the single most important force in the US economy starts to change direction.

A slowdown that is starting to stick

The headline numbers leave little room for debate.

Real personal consumption expenditures (PCE) grew just 1.2% annualised in the first quarter of 2025, sharply down from roughly 4% in the final quarter of 2024, according to a report by Deloitte.

Income is slipping, too. According to the Bureau of Economic Analysis, Personal income fell 0.4% in May, disposable income dropped 0.6%, and the savings rate is now just 4.5%.

This is the lowest since 2022, indicating that households are depleting their cash buffers rather than building them up.

While spending remains positive in aggregate, it is softening sharply in discretionary categories.

The data now matches what companies are reporting: households are cautious, selective, and prioritising only what they need.

Inflation and tariffs reshape household priorities

Inflation has cooled to around 2.7% year-over-year, but tariffs remain a potential shock.

A McKinsey survey shows 43% of consumers cite rising prices as their biggest worry, and 29% point directly to tariffs.

This sharp shift in sentiment is changing how households spend.

Consumers are delaying electronics and home goods purchases.

They are trading down to private-label products and buying cheaper “dupes” instead of premium brands, according to The Washington Post.

Even consumer staples are not immune. Procter & Gamble says shoppers are stretching the time between purchases and drawing down pantry stock before buying again.

This indicates a defensive posture from the US consumer.

Lower-income households are feeling it the most. Buy Now, Pay Later usage for groceries has spiked.

In fact, BNPL spend is set to reach record highs, surveys have shown that almost 1 in 4 users are relying on such payment methods to buy essential items.