Shell Chemical Assets Draw Bidders; Warren Advances Riverfront Redevelopment

Apollo Global Management is discussing a $9B loan with SoftBank, secured by Vision Fund 2 holdings, up from $5.4B. SoftBank, a major AI backer, may issue $10B-$20B in junk bonds. It has also secured a $10B loan using its OpenAI stake as collateral. OpenAI's IPO is planned for 2027, according to CEO Sam Altman.

Shell-led LNG Canada may decide on Phase 2 expansion by October, adding 14 mtpa capacity. The project, backed by global energy firms, aims to meet Asia's growing LNG demand. Phase 1 cost C$40 billion and is Canada's first large-scale LNG export terminal. Indigenous communities have also invested.

Apollo Global Management (APO) is in talks to increase its loan to SoftBank’s Vision Fund II from $5.4B to $9B, potentially aiding SoftBank's $64.6B investment in OpenAI. SoftBank has previously invested $30B in OpenAI, holding a 13% stake. S&P downgraded SoftBank’s credit rating in March, citing reduced financial capacity due to the OpenAI investment.

ExxonMobil received approval for its Rose carbon-capture project in Texas, allowing storage of up to 53 million tons of CO2 over 13 years. The Railroad Commission of Texas voted 2-1 in favor, with dissent from one commissioner. The project aims to reduce emissions and is among the largest of its kind.

On September 17, Brent crude oil was around $103/barrel, WTI near $100. Chevron (CVX) reported Q2 earnings of $12.1B, with 20% year-over-year production growth. Chevron, Exxon (XOM), and ConocoPhillips (COP) are highlighted as strong energy sector investments due to their financial strength and production capabilities.

ExxonMobil has started a carbon capture project at Nucor's Louisiana facility, aiming to store 800,000 metric tons of CO2 annually. This is the company's third CCS project for a third party and part of its expanding Gulf Coast network, which could reduce emissions by over 100 million metric tons yearly. The project supports Nucor's carbon-reduction goals and follows regulatory approval for ExxonMobil's Rose carbon storage project.