NewzIntel.com

Category: Latin America

  • MIL-OSI Africa: South Africa’s debt has skyrocketed – new rules are needed to manage it

    Source: The Conversation – Africa – By Robert Botha, Research Fellow at the Impumelelo Economic Growth Lab. The Impumelelo Economic Growth Lab is a unit of the Bureau for Economic Research (BER), Stellenbosch University

    South Africa’s fiscal trajectory paints a concerning picture. Public expenditure exceeds revenue. As a result sovereign debt is building up and interest on this debt is increasing.

    This raises concerns over the South African government’s financial sustainability. The debt-to-GDP ratio has skyrocketed from 23.6% in 2008/09 to a projected 74.7% in 2024/25. The International Monetary Fund has recommended that, over the long term, South Africa should reduce its debt-to-GDP ratio to 60% of GDP, in line with that of peers.

    Arguably more important than the debt level is how quickly debt has accumulated. Debt servicing costs, which consist of the interest on government debt and other costs directly associated with borrowing, have been the fastest-growing line item in the national budget. Rising interest payments have been crowding out critical expenditures on services such as health, education and infrastructure.

    As I argue in a recently published report titled “A fiscal anchor for South Africa: Avoiding the mistakes of the past”, establishing a credible fiscal anchor (or fiscal rule) could be step towards avoiding a debt spiral and regaining fiscal sustainability and credibility.

    Fiscal rules are constraints on fiscal policy, designed to impose numerical limits. For example, a limit on the allowable debt-to-GDP ratio, or the allowable balance after accounting for government expenditure and revenue. Fiscal rules are widely used – 105 countries have adopted them so far.

    Failing to address the country’s fiscal challenges risks plunging South Africa into a debt trap. This happens when a country finds it difficult to escape a cycle of debt and has to borrow more to pay off old debt. If debt-servicing costs continue to rise, essential public services will come under even greater strain.

    Several emerging markets have experienced the severe consequences of unchecked debt accumulation and debt servicing costs. Argentina is one example. Without a credible plan to stabilise and reduce debt and debt servicing costs, the risk of economic stagnation and financial instability grows quickly.

    Fiscal erosion and credibility concerns

    The roots of South Africa’s current predicament lie in years of mistakes. These include:

    • spending beyond its means

    • questionable political decisions like bailing out state-owned entities

    • poor governance and oversight at municipal and local government level, which led to inefficient public spending.

    These factors were underpinned by an underperforming economy, unrealised forecasts and arguably weak institutional checks.

    For the last 15 years South Africa’s National Treasury has undertaken to stabilise the country’s debt-to-GDP ratio. This would have required keeping the ratio constant. But these commitments have consistently been deferred. Debt stabilisation targets have been revised upwards 13 times, from 40% in 2015/16 to the current 75.5%. The stabilisation year has been pushed back 10 times, from the initial year of 2015/16 to the current target of 2025/26. This has created a perception of inconsistent policy.

    Over-optimistic macroeconomic forecasting has undermined credibility. Over the last ten years, GDP growth projections have routinely overshot actual performance by an average of 0.5 percentage points in the first year of forecasts and even more in subsequent years. In defence of the National Treasury, the South African economy has performed worse than more forecasters expected in recent years.

    Adding to the fiscal strain are rising social expenditures, the public sector wage bill and repeated bailouts of state-owned enterprises. This spending relieves short-term political and social pressures, but undermines the country’s long-term fiscal health.

    Without credible mechanisms to constrain spending, South Africa’s fiscal framework lacks the discipline needed to ensure sustainability, and to restore credibility.

    Why fiscal rules matter

    Fiscal rules are there to promote discipline, ensure that debt can be paid and enhance credibility. The experience in the 105 countries that have adopted them suggests that strong, well-designed rules can signal a government’s commitment to fiscal prudence.

    It’s difficult to establish whether there is a causal relationship between fiscal rules and fiscal performance. But there’s at least a correlation. As a practical example of enforcing fiscal rules, in November 2023, the German constitutional court overruled a budget that was passed in the Bundestag but breached Germany’s fiscal rules.

    However, fiscal rules are not a panacea. Poorly designed or inadequately enforced rules can make the problems worse. For South Africa, this risk is acute.

    Political commitment and strong institutional frameworks are needed too. Also, a shift in how fiscal policy is conceived and implemented.

    Designing new rules

    Drawing lessons from global best practices, South Africa’s fiscal rules must be enforceable, flexible and simple. A well-designed rule should:

    • stabilise and eventually reduce the debt-to-GDP ratio

    • target government spending as a share of GDP, emphasising consumption spending like salaries and goods and services, rather than capital expenditure

    • have political buy-in

    • be overseen independently

    • be legally binding and enforceable.

    Context

    South Africa’s low economic growth rate is a complication. Average interest rates on government debt are higher than the nominal GDP growth rate. But reining in spending too much could stifle growth, creating a vicious cycle.

    That’s why stabilising debt first would make more sense than aiming to reduce debt too rapidly.

    South Africa’s fiscal rules must also have some flexibility. For instance, they could allow for shocks such as natural disasters or global economic crises.

    Fiscal rules could follow a phased approach to initially focus on stabilising debt, and then to move towards reducing debt. Both of these phases would entail expenditure rules to guide annual budget processes and to place limits on spending.

    The benefits

    Credible fiscal rules could have a number of benefits.

    Firstly, they could improve South Africa’s credibility by signalling to markets and international institutions that South Africa is committed to fiscal discipline.

    Secondly, fiscal credibility is associated with reduced sovereign risk premiums, which translates into lower debt-servicing costs. In turn this would free up resources for critical development priorities.

    Third, they can foster a more stable economic environment for investment and growth.

    Fourth, they would help coordinate policies. South Africa enjoys rule-based monetary policy in the form of inflation targeting but lacks the same for fiscal policy. This can lead to sub-optimal outcomes. For example, the central bank can keep interest rates too high, not necessarily because it thinks the treasury’s policies are inflationary, but because it cannot predict the treasury’s actions.

    The way forward

    Adopting fiscal rules in South Africa comes with risks. Weak institutional capacity, especially in oversight bodies like the Parliamentary Budget Office, could undermine rule enforcement.

    To shield against these risks, South Africa should have stronger institutions. It could create an independent statutory fiscal council, possibly falling under Parliament, the National Treasury or as an independent constitutional advisory body.

    Oversight bodies would also need to build their capacity.

    – South Africa’s debt has skyrocketed – new rules are needed to manage it
    – https://theconversation.com/south-africas-debt-has-skyrocketed-new-rules-are-needed-to-manage-it-248355

    MIL OSI Africa –

  • MIL-OSI: Patria Investments Announces Sale of Aguas Pacifico

    Source: GlobeNewswire (MIL-OSI)

    GRAND CAYMAN, Cayman Islands, Jan. 31, 2025 (GLOBE NEWSWIRE) — Patria Investments Limited (“Patria”) (NASDAQ: PAX), a global alternative asset manager, announced that Patria Infrastructure Fund III (“IS Fund III”) has substantially met the conditions precedent necessary for the sale of Aguas Pacifico, a multi-client water desalination project under construction in Chile, to Patria Infrastructure Fund V (“IS Fund V”) and other investors. The agreement for the transaction was signed in December 2024.

    The sale of this asset is expected to be completed in 1Q25 and will be supported by a number of global investors, including sovereign wealth funds and institutional investors, in addition to IS Fund V, highlighting the long-term attractiveness of this platform.

    The transaction reflects Patria’s long-term commitment to investing across infrastructure sectors in Latin America that address structural bottlenecks and generate positive impact on local economies and populations. Aguas Pacifico is located in Chile’s central region and is positioned for additional growth considering the strong demand and severe water scarcity in the region. It also illustrates the power of Patria’s strategic approach to infrastructure investment in the region, demonstrating our ability to develop and de-risk high-quality assets, partner with global investors, and generate attractive investment returns.

    About Patria Investments
    Crafting attractive returns for its clients and building a legacy in the regions where it operates. Patria is a leading alternative investment firm with over 35 years of history specializing in key resilient sectors. Its unique approach combines the knowledge from macro analysts, investment leaders, operating partners and on the ground team. With over U$44 billion in assets under management and a global presence, it aims to provide consistent returns in attractive long term investment opportunities while creating sustainable value for society.

    Asset Classes: Private Equity, Infrastructure, Credit, Public Equities, Real Estate and Global Private Markets Solutions
    Investment Regions: Latin America, Europe and United States

    Forward-Looking Statements
    This press release may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. You can identify these forward-looking statements by the use of words such as “outlook,” “indicator,” “believes,” “expects,” “potential,” “continues,” “may,” “can,” “will,” “should,” “seeks,” “approximately,” “predicts,” “intends,” “plans,” “estimates,” “anticipates” or the negative version of these words or other comparable words. Such forward-looking statements are subject to various risks and uncertainties. Accordingly, there are or will be important factors that could cause actual outcomes or results to differ materially from those indicated in these statements. We believe these factors include but are not limited to those described under the section entitled “Risk Factors” in our annual report on Form 20-F, as such factors may be updated from time to time in our periodic filings with the United States Securities and Exchange Commission (“SEC”), which are accessible on the SEC’s website at www.sec.gov. These factors should not be construed as exhaustive and should be read in conjunction with the other cautionary statements that are included in our periodic filings. The forward-looking statements speak only as of the date of this press release, and we undertake no obligation to publicly update or review any forward-looking statement, whether as a result of new information, future developments or otherwise.

    Media Contact:
    Burson / +44 20 7113 3468 / patria@hillandknowlton.com

    Patria Shareholder Relations:
    +1 917 769 1611 / PatriaShareholderRelations@patria.com

    The MIL Network –

  • MIL-OSI Global: South Africa’s debt has skyrocketed – new rules are needed to manage it

    Source: The Conversation – Africa – By Robert Botha, Research Fellow at the Impumelelo Economic Growth Lab. The Impumelelo Economic Growth Lab is a unit of the Bureau for Economic Research (BER), Stellenbosch University

    South Africa’s fiscal trajectory paints a concerning picture. Public expenditure exceeds revenue. As a result sovereign debt is building up and interest on this debt is increasing.

    This raises concerns over the South African government’s financial sustainability. The debt-to-GDP ratio has skyrocketed from 23.6% in 2008/09 to a projected 74.7% in 2024/25. The International Monetary Fund has recommended that, over the long term, South Africa should reduce its debt-to-GDP ratio to 60% of GDP, in line with that of peers.

    Arguably more important than the debt level is how quickly debt has accumulated. Debt servicing costs, which consist of the interest on government debt and other costs directly associated with borrowing, have been the fastest-growing line item in the national budget. Rising interest payments have been crowding out critical expenditures on services such as health, education and infrastructure.

    As I argue in a recently published report titled “A fiscal anchor for South Africa: Avoiding the mistakes of the past”, establishing a credible fiscal anchor (or fiscal rule) could be step towards avoiding a debt spiral and regaining fiscal sustainability and credibility.

    Fiscal rules are constraints on fiscal policy, designed to impose numerical limits. For example, a limit on the allowable debt-to-GDP ratio, or the allowable balance after accounting for government expenditure and revenue. Fiscal rules are widely used – 105 countries have adopted them so far.

    Failing to address the country’s fiscal challenges risks plunging South Africa into a debt trap. This happens when a country finds it difficult to escape a cycle of debt and has to borrow more to pay off old debt. If debt-servicing costs continue to rise, essential public services will come under even greater strain.

    Several emerging markets have experienced the severe consequences of unchecked debt accumulation and debt servicing costs. Argentina is one example. Without a credible plan to stabilise and reduce debt and debt servicing costs, the risk of economic stagnation and financial instability grows quickly.

    Fiscal erosion and credibility concerns

    The roots of South Africa’s current predicament lie in years of mistakes. These include:

    • spending beyond its means

    • questionable political decisions like bailing out state-owned entities

    • poor governance and oversight at municipal and local government level, which led to inefficient public spending.

    These factors were underpinned by an underperforming economy, unrealised forecasts and arguably weak institutional checks.

    For the last 15 years South Africa’s National Treasury has undertaken to stabilise the country’s debt-to-GDP ratio. This would have required keeping the ratio constant. But these commitments have consistently been deferred. Debt stabilisation targets have been revised upwards 13 times, from 40% in 2015/16 to the current 75.5%. The stabilisation year has been pushed back 10 times, from the initial year of 2015/16 to the current target of 2025/26. This has created a perception of inconsistent policy.

    Over-optimistic macroeconomic forecasting has undermined credibility. Over the last ten years, GDP growth projections have routinely overshot actual performance by an average of 0.5 percentage points in the first year of forecasts and even more in subsequent years. In defence of the National Treasury, the South African economy has performed worse than more forecasters expected in recent years.

    Adding to the fiscal strain are rising social expenditures, the public sector wage bill and repeated bailouts of state-owned enterprises. This spending relieves short-term political and social pressures, but undermines the country’s long-term fiscal health.

    Without credible mechanisms to constrain spending, South Africa’s fiscal framework lacks the discipline needed to ensure sustainability, and to restore credibility.

    Why fiscal rules matter

    Fiscal rules are there to promote discipline, ensure that debt can be paid and enhance credibility. The experience in the 105 countries that have adopted them suggests that strong, well-designed rules can signal a government’s commitment to fiscal prudence.

    It’s difficult to establish whether there is a causal relationship between fiscal rules and fiscal performance. But there’s at least a correlation. As a practical example of enforcing fiscal rules, in November 2023, the German constitutional court overruled a budget that was passed in the Bundestag but breached Germany’s fiscal rules.

    However, fiscal rules are not a panacea. Poorly designed or inadequately enforced rules can make the problems worse. For South Africa, this risk is acute.

    Political commitment and strong institutional frameworks are needed too. Also, a shift in how fiscal policy is conceived and implemented.

    Designing new rules

    Drawing lessons from global best practices, South Africa’s fiscal rules must be enforceable, flexible and simple. A well-designed rule should:

    • stabilise and eventually reduce the debt-to-GDP ratio

    • target government spending as a share of GDP, emphasising consumption spending like salaries and goods and services, rather than capital expenditure

    • have political buy-in

    • be overseen independently

    • be legally binding and enforceable.

    Context

    South Africa’s low economic growth rate is a complication. Average interest rates on government debt are higher than the nominal GDP growth rate. But reining in spending too much could stifle growth, creating a vicious cycle.

    That’s why stabilising debt first would make more sense than aiming to reduce debt too rapidly.

    South Africa’s fiscal rules must also have some flexibility. For instance, they could allow for shocks such as natural disasters or global economic crises.

    Fiscal rules could follow a phased approach to initially focus on stabilising debt, and then to move towards reducing debt. Both of these phases would entail expenditure rules to guide annual budget processes and to place limits on spending.

    The benefits

    Credible fiscal rules could have a number of benefits.

    Firstly, they could improve South Africa’s credibility by signalling to markets and international institutions that South Africa is committed to fiscal discipline.

    Secondly, fiscal credibility is associated with reduced sovereign risk premiums, which translates into lower debt-servicing costs. In turn this would free up resources for critical development priorities.

    Third, they can foster a more stable economic environment for investment and growth.

    Fourth, they would help coordinate policies. South Africa enjoys rule-based monetary policy in the form of inflation targeting but lacks the same for fiscal policy. This can lead to sub-optimal outcomes. For example, the central bank can keep interest rates too high, not necessarily because it thinks the treasury’s policies are inflationary, but because it cannot predict the treasury’s actions.

    The way forward

    Adopting fiscal rules in South Africa comes with risks. Weak institutional capacity, especially in oversight bodies like the Parliamentary Budget Office, could undermine rule enforcement.

    To shield against these risks, South Africa should have stronger institutions. It could create an independent statutory fiscal council, possibly falling under Parliament, the National Treasury or as an independent constitutional advisory body.

    Oversight bodies would also need to build their capacity.

    Robert Botha is a Research Fellow at the Impumelelo Economic Growth Lab. The Impumelelo Economic Growth Lab is a unit of the Bureau for Economic Research (BER)

    – ref. South Africa’s debt has skyrocketed – new rules are needed to manage it – https://theconversation.com/south-africas-debt-has-skyrocketed-new-rules-are-needed-to-manage-it-248355

    MIL OSI – Global Reports –

  • MIL-OSI Europe: Press release – Polish Presidency debriefs EP committees on priorities

    Source: European Parliament

    Poland holds the Presidency of the Council until the end of June 2025. This text will be updated regularly as the hearings take place.

    Environment, Climate and Food Safety

    On 23 January, Paulina Hennig-Kloska, Minister of Climate and Environment, highlighted the need for climate adaptation measures, combating climate disinformation, and to advance key legislative files such as the waste framework directive on textiles and food, the European soil monitoring law, and the “One Substance, One Assessment” chemicals package. The Presidency also plans to secure agreement with Parliament on plastic pellet losses, water pollutants, and detergents rules.

    MEPs asked about the Presidency’s stance on the new emissions trading system ETS II, the 2040 emissions target, renewable energy, and soil monitoring. They also debated the impact of climate regulations on competitiveness, and raised concerns about agricultural pollution and the role of genomic technologies.

    Security and defence

    On 27 January, Secretary of State at the Ministry of National Defence Paweł Zalewski said the Presidency’s first priority is to strengthen EU support for Ukraine by using all the tools at the EU’s disposal, including the European Peace Facility and the profits from frozen Russian assets or loans guaranteed from Moscow. He also highlighted the need to reinforce the EU’s defence industries by ensuring adequate financing as well as deepening EU-U.S. cooperation, including between the EU and NATO.

    MEPs quizzed Mr Zalewski on several issues, including the EU’s role in possible future peace talks between Ukraine and Russia, developing an EU defence pillar, reforming the EU Investment Bank to allow for more investment in the defence sector and establishing viable “European champions” (i.e. large corporations) in the defence sector.

    Women’s rights and gender equality

    On 28 January, Minister for Equality Katarzyna Kotula emphasised enhancing digital security for women and girls, particularly in the context of the rapid development of AI, as a Presidency priority. She pledged to follow up on the Digital Services Act to make sure that AI accelerates rather than undermines gender equality. The Presidency is also determined to advance the work on the Anti-discrimination Directive.

    MEPS welcomed her commitment on strengthening the digital protection of women and girls, particularly concerning deepfakes, revenge porn and hate speech. They also raised women’s sexual and reproductive health and rights, the protection of LGBTQI+ communities, the challenges faced by ageing women and the prospect for an EU-wide definition of rape including the notion of consent.

    Internal market and consumer protection

    On 28 January, Economic Development and Technology Minister Krzysztof Paszyk focused on the need to eliminate the remaining barriers in the single market, as well as highlighting issues around security, competitiveness, and reducing red tape. The Presidency will look for a compromise on the e-declaration of posted workers file, on late payments, and on the travel package proposals. They will also, he said, try to reach political agreements on toy safety, the Green Claims Directive and on the alternative dispute resolution file.

    On digital policy, Secretary of State, Ministry of Digitalisation Dariusz Standerski outlined plans for an informal meeting on cybersecurity to focus on defence, the application of the Artificial Intelligence Act, and new initiatives on AI factories and the “AI Apply Strategy”. On customs, Undersecretary of State, Ministry of Finance Małgorzata Krok stated the Presidency’s intention was to reach a common position in the Council on the reform of the Union Customs Code.

    MEPs asked about reducing reporting obligations, e-declarations of posted workers, the implementation of digital services act and the AI Act, including in the context of EU-US relations. Several members wanted to hear more about cutting red tape, unblocking progress on late payments, and the need for an AI liability act. Questions also focused on issues around unfair trading practices, single market on defence and climate disinformation.

    Fisheries

    On 28 January, Jacek Czerniak, Secretary of State at the Ministry of Agriculture and Rural Development, which includes fisheries, identified improving EU fisheries competitiveness and defending EU interests in regional fisheries organisations and international agreements as Presidency priorities. Poland will also launch discussions on the review of the Common Fisheries Policy (CFP) and start negotiations to introduce measures against non-EU countries that allow unsustainable fishing practices.

    MEPs questioned Mr Czerniak on addressing the critical state of fish stocks in the Baltic Sea, in addition to issues of security and reducing the complexity of regulations. Others supported a reform of the CFP to better balance the interests of the fishery sector with the EU’s environmental goals. MEPs also argued that trade policies should be aligned with fisheries policies.

    Employment and social affairs

    On 28 January, Minister of Family, Labour and Social Policy Agnieszka Dziemianowicz-Bąk and Minister of Senior Policy Marzena Okła-Drewnowicz said the Presidency would focus on the future of employment in the digital transformation, a Europe of equality, cohesion and inclusion, and the challenges prompted by the EU’s aging population.

    MEPs quizzed the ministers on their plans for the regulation on the coordination of social security systems, emphasising the importance of finalising negotiations on the file. They also raised the impact of AI in the workplace, and the importance of addressing demographic issues in the EU. MEPs also raised the importance of social dialogue, upcoming negotiations on European Work Councils, and the expected Commission initiative on the “Right to Disconnect”.

    Transport and tourism

    On 29 January, Dariusz Klimczak, Minister of Infrastructure, said the Presidency will focus on resilience and competitiveness in the transport sector, the protection of transport operators, dual use infrastructure, and military mobility. He committed to reaching a deal with Parliament on new railway infrastructure, road and maritime safety rules as well advancing negotiations on air passenger rights rules that have been stalled in the Council since 2013. Piotr Borys, Secretary of State at the Ministry of Sport and Tourism added that the Presidency will focus on making Europe a safe and more popular destination for tourism despite Russia’s war in Ukraine and the challenges posed by climate change.

    MEPs asked the Presidency to secure adequate financing for transport policies within the next EU long-term budget, and want them to secure a Council position on the maximum weights and dimensions directive, and address labour shortages and working conditions in all transport modes. Completing Trans-European transport networks, developing high speed rail, and ensuring connectivity for Europe’s islands were also raised.

    Constitutional affairs

    On 29 January, Minister for European Affairs Adam Szłapka said the Presidency wants to promote institutional reforms, stressing at the same time that EU Treaties could prove difficult to revise. The Presidency wants to complete work on the new rules on European political parties and foundations and the electoral rights of mobile citizens. They will work on the transparency of interest representation and on the EU’s accession to the European Convention on Human Rights.

    Most MEPs asked questions about the need to reform the EU’s institutional architecture, especially in light of imminent enlargement, with many of them highlighting the need to overcome what they saw as the obstacle of unanimity in key policy areas either through Treaty revision or using existing rules. Some called for progress on Parliament’s right of initiative, its right of inquiry, and rules on European elections.

    Agriculture and Rural Development

    On 29 January, Czesław Siekierski, Minister of Agriculture and Rural Development said that the Council will discuss the future shape of the Common Agricultural Policy (CAP) beyond 2027. The Presidency wants to simplify the green architecture of the CAP and assess the impact of current EU trade agreements on agriculture.

    Questions from MEPs focused on ensuring fair income for farmers and adapting the CAP to the future enlargement of the EU. A number of MEPs also asked about the position of the Presidency on the EU-Mercosur Partnership Agreement and stressed the need to invest in European food sovereignty.

    International trade

    On 29 January, Krzysztof Paszyk, Minister of Economic Development and Technology, said the Presidency will continue working on ambitious, sustainable and mutually profitable trade agreements. He hopes to finalise the legislation on the screening of foreign direct investment and resume talks on the Generalised System of Preferences (GSP) scheme, the EU’s preferential trade arrangement with developing countries. On Ukraine, Mr Paszyk said support for Ukraine remains steadfast, while the Presidency prefers not to extend the current temporary trade liberalisation measures with the country, but rather reach a new agreement.

    MEPs asked about possible timelines for the adoption of trade deals with Mercosur and Mexico, possible shift in US trade policy as well as on trade with Ukraine and safeguards for the agricultural market. Some MEPs argued that GSP should not be a migration tool, others demanded a clear link between migration and the scheme.

    Industry, Research and Energy

    On 29 January, Minister of Economics, Development and Technology, Krzysztof Paszyk said the Presidency’s priorities include boosting Europe’s industrial competitiveness with a new instrument and advancing the Clean Industry Act to support businesses, address high energy prices, and cut red tape and tax burdens for SMEs. They also plan to maximize the use of spaceimaging and AI algorithms for crisis management, and improve cooperation during natural disasters.

    During the debate, MEPs stressed the need to support innovative businesses through a unified capital market, and to combine environmental policies with industrial policies to achieve the ecological transition. Others focused on the importance of transatlantic relations and the need to secure European tech sovereignty.

    Dariusz Stenderski, Secretary of State in the Ministry of Digital Affairs, said that his key focus areas would be cyber security, with a revised blueprint for coordinated EU response to cyber attacks and an informal Council on its civilian and military aspects.He also referred to the boosting of AI development through shared investment and simplified rules to support startups.

    On 30 January Marcin Kulasek, Minister of Science and Higher Education, outlined three main focus areas: openness and inclusivity, synergies between EU and national programs, and AI and science.He stressed the need to develop EU cooperation networks without losing top talents, and the value of synergies between EU and national research programs.

    MEPs called for the full implementation of the 5G toolbox and for the simplification of administrative procedures to foster innovation. Others highlighted the need to improve EU cooperation in research and innovation, retain top talent, and ensure an inclusive access to funds. The discussions also covered the need for ethical standards in AI, a strong support for scientists, as well as academic freedom and the free flow of scientific knowledge.

    Culture, Education, Youth and Sport

    On 30 January, Education Minister Barbara Nowacka said the Presidency wants to include young people – as part of a new cycle of the EU Youth Dialogue – in EU-level debates and projects to strengthen EU values of democracy, freedom and rule of law, thereby making them more resilient against the risk of disinformation and manipulation. Providing better support to teachers is also a priority, she said, and EU education ministers will gather in May to discuss what they can do to improve this.

    The Presidency wants to advance work on the “European degree” – a degree awarded jointly by several universities in different EU countries – by adopting a roadmap to implement it. A European quality assurance system to guarantee trust among universities and improve the recognition of higher education diplomas will also be discussed, Minister of Science and High Education Marcin Kulasek said.

    Culture Minister Hanna Wróblewska said the Presidency will present proposals to support young artists and creators, and will launch discussions on the future of the Creative Europe programme beyond 2027. Audiovisual and intellectual property rights, security and AI, and a possible revision of the Audiovisual Media Services Directive are also among the Presidency’s priorities, she said.

    Piotr Borys, Secretary of State of Sport, will focus on pushing EU countries to better promote sport in schools, address mental health, and adopt a common methodology to gather statistics on sport.

    MEPs questioned the ministers on countering Russian disinformation under the European Media Freedom Act, as well as on delays in the creation of the European degree, pleading for EU-wide recognition of diplomas, including Erasmus+ and vocational education training. MEPs also raised concerns about possible reductions in Erasmus+ funding, which ensures the financial sustainability of the European Education Area, which in turn is essential for the “Union of Skills”.

    MIL OSI Europe News –

  • MIL-OSI Europe: Federal Councillor Ignazio Cassis to visit Paraguay, Bolivia and Brazil

    Source: Switzerland – Federal Administration in English

    Federal Councillor Ignazio Cassis will visit Paraguay, Bolivia and Brazil from 3 to 7 February 2025. As part of its Americas Strategy 2022–25, Switzerland aims to strengthen its political relations with the countries of the Americas in the areas of foreign policy, the economy, innovation and culture. The agenda for the trip includes the finalisation of the EFTA-Mercosur free trade agreement, Switzerland’s economic interests, and bilateral relations between Switzerland and these three Latin American countries.

    MIL OSI Europe News –

  • MIL-OSI: Banco Santander-Chile Announces Fourth Quarter 2024 Earnings

    Source: GlobeNewswire (MIL-OSI)

    SANTIAGO, Chile, Jan. 31, 2025 (GLOBE NEWSWIRE) — Banco Santander Chile (NYSE: BSAC; SSE: Bsantander) announced today its results1 for the twelve-month period ended December 31, 2024, and fourth quarter 2024 (4Q24).

    Strong Financial Performance with ROAE2of 26.0% in 4Q243and 20.2% in 12M244.

    As of December 31, 2024, the Bank’s net income attributable to shareholders totaled $858 billion ($4.55 per share and US$1.83 per ADR), marking a 72.8% increase compared to the same period of the previous year and with an ROAE of 20.2%.

    In 4Q24, net income attributable to shareholders of the Bank totaled $277 billion, increasing 13.7% in the quarter with a quarterly ROAE of 26.0%. This marks the third consecutive quarter with an ROAE above 20%.

    The improvement in results is explained by an increase in the Bank’s main revenue lines. Operating income increased by 34.5% YoY, supported by a stronger interest margin and readjustments.

    Robust NIM5recovery, reaching 3.6% in 2024 and 4.2% in 4Q24.

    Net interest and readjustment income (NII) for the year ended December 31, 2024 increased by 62.1% compared to the same period in 2023. This growth was primarily due to higher net interest income, resulting from a lower monetary policy rate that reduced our funding costs from 6.8% to 4.7% in 12M24. This was partially offset by lower readjustment income due to a smaller variation in the UF compared to the previous year. Consequently, the NIM improved from 2.2% in 2023 to 3.6% in 2024, and further to 4.2% in 4Q24.

    Continued Expansion of Customer Base with a 6.4% YoY Increase in Total Customers and a 5.9% YoY Increase in Digital Customers

    Our strategy to enhance digital products has led to a continued growth in our customer base reaching approximately 4.3 million customers, with over 2.2 million digital customers (88% of our active customers).

    The Bank’s market share in current accounts remains robust at 23.2% as of October 2024, driven by increased customer demand for US dollar current accounts which can be easily opened digitally by our customers. It also demonstrates the success of Getnet’s strategy in encouraging cross-selling of other products such as the Cuenta Pyme Life.

    Customer funds increased 4.7% QoQ and 12.6% since December 2023.

    Customer funds (demand deposits, time deposits and mutual funds) increased by 4.7% QoQ and 12.6% from December 2023, reflecting client growth and fund accumulation. The Bank’s total deposits increased by 5.7% from December 31, 2023, explained by the 5.3% increase in demand deposits and the 6.0% increase in time deposits. In the quarter, total deposits grew by 5.9%, with demand deposits up by 8.7% and time deposits by 3.7%. The strong growth in the quarter is explained by the seasonality of deposits at the end of the year, especially among corporate clients.

    Our customer’s investments through mutual funds intermediated by the Bank also grew in the quarter, reaching an increase of 2.2% QoQ and 32.6% since December 31, 2023, given the clients’ preference for mutual funds in this scenario of falling rates.

    Net fees and commissions increase 8.8% in 12M24, achieving a recurrence6level of 60.3%.

    Net fees increased 8.8% in the twelve months ended December 31, 2024 compared to the same period in 2023 due to increased client numbers and higher product usage. As a result, the recurrence ratio (total net fees divided by structural support expenses) increased from 57.4% YTD as of December 2023 to 60.3% YTD as of December 2024, demonstrating that more than half of the Bank’s expenses are financed by fees generated by our clients.

    Efficiency ratio of 36.5% in 4Q24 and 39.0% in 4Q24

    The Bank’s efficiency ratio reached 39.0% as of December 31, 2024, compared to the 46.6% of the same period last year, with a quarterly efficiency ratio of 36.5%. On the other hand, the cost to assets ratio increased to 1.5% in 12M24 vs. 1.3% in the same period of the previous year.

    Structural support expenses (salaries, administration and amortization) grew 3.5% in 12M24 compared to 12M23, below inflation, and in line with the guidance provided previously and a slight decrease of 1.8% compared to 3Q24 mainly due to lower salary expenses.

    Total operating expenses (which includes other expenses) increased 12.4% in 12M24 compared to 12M23 driven by higher other operating expenses, related to a provision for the restructuring of our branch network and the transformation to Work/Café and also advances in digital banking.

    Cost of credit of 1.29% in 12M24, and NPL coverage at 115.4%

    During the Covid-19 pandemic, asset quality benefited from state aid and pension fund withdrawals, which led to a positive performance in assets during that period, before normalizing in line with the performance of the economy and the drainage of excess liquidity from households. Currently, our clients’ performance is reflecting the state of the economy and the labor market, where delinquency is higher than the levels we saw before the pandemic with the non-performing loans (NPL) ratio increasing to 3.2% and the impaired portfolio to 6.7% at December 2024. Overall the cost of credit remained stable at 1.29% in the quarter.

    Solid capital levels with a BIS7ratio of 17.1% and a CET18of 10.5%.

    Our CET1 (Common Equity Tier 1) ratio remains at solid levels of 10.5% and the total Basel III ratio reaches 17.1% at the end of December 2024, which includes a provision of dividend payment of 70% of 2024 earnings.

    We made significant progress in our Chile First strategy in 2024

    • Largest bank in terms of loans and deposits (16.9% market share according to latest information from the CMF).
    • More than US$ 450 million committed to invest in infrastructure and technology between 2023 and 2026.
    • A total of 99 Workcafés in Chile, serving our clients and the community in their different formats.
    • Recognized by Euromoney as the Best Bank in the Country in the SME and ESG Categories.
    • The only Chilean bank included in the DJSI emerging markets and within the top 3% of the most sustainable banks in the world.
    • Top Employer Certification January 2025 (seventh consecutive year).
    • Recognized as the Best Bank in Chile for SMEs by Global Finance.
    • ALAS20: First place in the category of leading company in sustainability.
    • Institutional Investor: “Most Honored Company.”

    Banco Santander Chile is one of the companies with the highest risk ratings in Latin America, with an A2 rating from Moody’s, A- from Standard and Poor’s, A+ from Japan Credit Rating Agency, AA- from HR Ratings and A from KBRA. All our ratings as of the date of this report have a stable outlook.

    As of December 31, 2024, the Bank has total assets of $68,458,933 million (US$68,865 million), total gross loans (including loans to banks) at amortized cost of $41,323,844 million (US$41,569 million), total deposits of $31,359,234 million (US$31,545 million) and shareholders’ equity of $4,292,440 million (US$4,318 million). The BIS capital ratio was 17.1%, with a core capital ratio of 10.5%. As of December 31, 2024, Santander Chile employs 8,757 people and has 236 branches throughout Chile.

    CONTACT INFORMATION
    Cristian Vicuña
    Chief Strategy Officer and Head of Investor Relations
    Banco Santander Chile
    Bandera 140, Floor 20
    Santiago, Chile
    Email: irelations@santander.cl Website: www.santander.cl

    1 The information contained in this report is presented in accordance with Chilean Bank GAAP as defined by the Financial Markets Commission (FMC).
    2 Annualized net income attributable to shareholders of the Bank divided by the average equity attributable to equity holders
    3 The fourth quarter of 2024
    4 The twelve months accumulated as of December31, 2024
    5 NIM: Net interest margin. Annualized net interest income and annualized readjustments divided by interest-earning assets
    6Recurrence: Net commissions divided by structural operating expenses (excludes other operating expenses).
    7 Regulatory capital divided by risk-weighted assets, according to CMF BIS III definitions
    8 Core capital divided by risk-weighted assets, according to CMF BIS III definitions.

    The MIL Network –

  • MIL-OSI: SBM Offshore completes the Share Purchase Agreements with MISC Berhad

    Source: GlobeNewswire (MIL-OSI)

    Amsterdam, January 31, 2025

    SBM Offshore confirms it has completed the transactions related to the Share Purchase Agreements announced on September 6, 2024 with its partner MISC Berhad for:

    i)   the acquisition of MISC Berhad’s entire effective equity interest in the lease and operating entities related to the FPSO Espirito Santo in Brazil; and

    ii)   the full divestment to MISC Berhad of SBM Offshore’s effective equity interest in the lease and operating entities of the FPSO Kikeh in Malaysia.

    This transaction furthers SBM Offshore’s efforts to rationalize our portfolio to ‘maintain focus and excellence’ of our operations.        

    Corporate Profile

    SBM Offshore is the world’s deepwater ocean-infrastructure expert. Through the design, construction, installation, and operation of offshore floating facilities, we play a pivotal role in a just transition. By advancing our core, we deliver cleaner, more efficient energy production. By pioneering more, we unlock new markets within the blue economy. 
    More than 7,400 SBMers collaborate worldwide to deliver innovative solutions as a responsible partner towards a sustainable future, balancing ocean protection with progress.
    For further information, please visit our website at www.sbmoffshore.com.

    Financial Calendar   Date Year
    Full Year 2024 Earnings   February 20 2025
    Annual General Meeting   April 9 2025
    First Quarter 2025 Trading Update   May 15 2025
    Half Year 2025 Earnings   August 7 2025
    Third Quarter 2025 Trading Update   November 13 2025

    For further information, please contact:
    Investor Relations

    Wouter Holties
    Corporate Finance & Investor Relations Manager

    Media Relations

    Giampaolo Arghittu
    Head of External Relations

    Market Abuse Regulation
    This press release may contain inside information within the meaning of Article 7(1) of the EU Market Abuse Regulation.

    Disclaimer
    Some of the statements contained in this release that are not historical facts are statements of future expectations and other forward-looking statements based on management’s current views and assumptions and involve known and unknown risks and uncertainties that could cause actual results, performance, or events to differ materially from those in such statements. These statements may be identified by words such as ‘expect’, ‘should’, ‘could’, ‘shall’ and similar expressions. Such forward-looking statements are subject to various risks and uncertainties. The principal risks which could affect the future operations of SBM Offshore N.V. are described in the ‘Impact, Risk and Opportunity Management’ section of the 2023 Annual Report.

    Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results and performance of the Company’s business may vary materially and adversely from the forward-looking statements described in this release. SBM Offshore does not intend and does not assume any obligation to update any industry information or forward-looking statements set forth in this release to reflect new information, subsequent events or otherwise.

    This release contains certain alternative performance measures (APMs) as defined by the ESMA guidelines which are not defined under IFRS. Further information on these APMs is included in the Half-Year Management Report accompanying the Half Year Earnings 2024 report, available on our website https://www.sbmoffshore.com/investors/financial-disclosures.

    Nothing in this release shall be deemed an offer to sell, or a solicitation of an offer to buy, any securities. The companies in which SBM Offshore N.V. directly and indirectly owns investments are separate legal entities. In this release “SBM Offshore” and “SBM” are sometimes used for convenience where references are made to SBM Offshore N.V. and its subsidiaries in general. These expressions are also used where no useful purpose is served by identifying the particular company or companies.

    “SBM Offshore®“, the SBM logomark, “Fast4Ward®”, “emissionZERO®” and “F4W®” are proprietary marks owned by SBM Offshore.

    Attachment

    The MIL Network –

  • MIL-OSI Global: Astronomers have spied an asteroid that may be heading for Earth. Here’s what we know so far

    Source: The Conversation – Global Perspectives – By Jonti Horner, Professor (Astrophysics), University of Southern Queensland

    Artist’s impression of an asteroid with Earth in the background. Buradaki / Shutterstock

    On 27 December last year, astronomers using the ATLAS survey telescope in Chile discovered a small asteroid moving away from Earth. Follow up observations have revealed that the asteroid, 2024 YR4, is on a path that might lead to a collision with our planet on 22 December 2032.

    In other words, the newly-discovered space rock poses a significant impact threat to our planet.

    It sounds like something from a bad Hollywood movie. But in reality, there’s no need to panic – this is just another day living on a target in a celestial shooting gallery.

    So what’s the story? What do we know about 2024 YR4? And what would happen if it did collide with Earth?

    A target in the celestial shooting gallery

    As Earth moves around the Sun, it is continually encountering dust and debris that dates back to the birth of the Solar system. The system is littered with such debris, and the meteors and fireballs seen every night are evidence of just how polluted our local neighbourhood is.

    But most of the debris is far too small to cause problems to life on Earth. There is far more tiny debris out there than larger chunks – so impacts from objects that could imperil life on Earth’s surface are much less frequent.

    The most famous impact came some 66 million years ago. A giant rock from space, at least 10 kilometres in diameter, crashed into Earth – causing a mass extinction that wiped out something like 75% of all species on Earth.

    Impacts that large are, fortunately, very rare events. Current estimates suggest that objects like the one which killed the dinosaurs only hit Earth every 50 million years or so. Smaller impacts, though, are more common.

    On 30 June 1908, there was a vast explosion in a sparsely populated part of Siberia. When explorers later reached the location of the explosion, they found an astonishing site: a forest levelled, with all the trees fallen in the same direction. As they moved around, the direction of the fallen trees changed – all pointing inwards towards the epicentre of the explosion.

    The Tunguska event flattened trees over an area of around 2,200 square kilometres.
    Leonid Kulik / Wikimedia

    In total, the Tunguska event levelled an area of almost 2,200 square kilometres – roughly equivalent to the area of greater Sydney. Fortunately, that forest was extremely remote. While plants and animals were killed in the blast zone, it is thought that, at most, only three people perished.

    Estimates vary of how frequent such large collisions should be. Some argue that Earth should experience a similar impact, on average, once per century. Others suggest such collisions might only happen every 10,000 years or so. The truth is we don’t know – but that’s part of the fun of science.

    More recently, a smaller impact created global excitement. On 15 February 2013, a small asteroid (likely about 18 metres in diameter) detonated near the Russian city of Chelyabinsk.

    The explosion, about 30 kilometres above the Earth’s surface, generated a powerful shock-wave and extremely bright flash of light. Buildings were damaged, windows smashed, and almost 1,500 people were injured – although there were no fatalities.

    It served as a reminder, however, that Earth will be hit again. It’s only a question of when.

    Which brings us to our latest contender – asteroid 2024 YR4.

    The 1-in-77 chance of collision to watch

    2024 YR4 has been under close observation by astronomers for a little over a month. It was discovered just a few days after making a relatively close approach to our planet, and it is now receding into the dark depths of the Solar system. By April, it will be lost to even the world’s largest telescopes.

    The observations carried out over the past month have allowed astronomers to extrapolate the asteroid’s motion forward over time, working out its orbit around the Sun. As a result, it has become clear that, on 22 December 2032, it will pass very close to our planet – and may even collide with us.

    The area at risk of a strike, based on current (highly uncertain) data.
    Daniel Bamberger / Wikimedia, CC BY-SA

    At present, our best models of the asteroid’s motion have an uncertainty of around 100,000 kilometres in its position at the time it would be closest to the Earth. At around 12,000 kilometres in diameter, our planet falls inside that region of uncertainty.

    Calculations suggest there is currently around a 1-in-77 chance that the asteroid will crash into our planet at that time. Of course, that means there is still a 76-in-77 chance it will miss us.

    When will we know for sure?

    With every new observation of 2024 YR4, astronomers’ knowledge of its orbit improves slightly – which is why the collision likelihoods you might see quoted online keep changing. We’ll be able to follow the asteroid as it recedes from Earth for another couple of months, by which time we’ll have a better idea of exactly where it will be on that fateful day in December 2032.

    But it is unlikely we’ll be able to say for sure whether we’re in the clear at that point.

    Recent observations of 2024 YR4 – the faint unmoving dot in the centre of the image.
    ESO, CC BY

    Fortunately, the asteroid will make another close approach to the Earth in December 2028 – passing around 8 million kilometres from our planet. Astronomers will be ready to perform a wide raft of observations that will help us to understand the size and shape of the asteroid, as well as giving an incredibly accurate overview of where it will be in 2032.

    At the end of that encounter, we will know for sure whether there will be a collision in 2032. And if there is to be a collision that year, we’ll be able to predict where on Earth that collision will be – likely to a precision of a few tens of kilometres.

    How big would the impact be?

    At the moment, we don’t know the exact size of 2024 YR4. Even through Earth’s largest telescopes, it is just a single tiny speck in the sky. So we have to estimate its size based on its brightness. Depending on how reflective the asteroid is, current estimates place it as being somewhere between 40 and 100 metres across.

    What does that mean for a potential impact? Well, it would depend on exactly what the asteroid is made of.

    The most likely scenario is that the asteroid is a rocky pile of rubble. If that turns out to be the case, then the impact would be very similar to the Tunguska event in 1908.

    The asteroid would detonate in the atmosphere, with a shockwave blasting Earth’s surface as a result. The Tunguska impact was a “city killer” type event, levelling forest across a city-sized patch of land.

    Meteor Crater in Arizona is believed to have been created by a 50m metallic meteorite impact around 50,000 years ago.
    NASA Earth Observatory / Wikimedia

    A less likely possibility is that the asteroid is made of metal. Based on its orbit around the Sun, this seems unlikely – but we can’t rule it out.

    In that case, the asteroid would make it through the atmosphere intact, and crash into Earth’s surface. If it hit on the land, it would carve out a new impact crater, probably more than a kilometre across and a couple of hundred metres deep – something similar to Meteor Crater in Arizona.

    Again, this would be quite spectacular for the region around the impact – but that would be about it.

    Living in a remarkable time

    This all sounds like doom and gloom. After all, we know that the Earth will be hit again – either by 2024 YR4 or something else. But there’s a real positive to take out of all this.

    There has been life on Earth for more than 3 billion years. In all that time, impacts have come along and caused destruction and devastation many times.

    But there has never been a species, to our knowledge, that understood the risk, could detect potential threats in advance, and even do something about the threat. Until now.

    In just the past few years, we have discovered 11 asteroids before they hit our planet. In each case, we have predicted where they would hit, and watched the results.

    We have also, in recent years, demonstrated a growing capacity to deflect potentially threatening asteroids. NASA’s DART mission (the Double Asteroid Redirection Test) was an astounding success.

    For the first time in more than 3 billion years of life on Earth, we can do something about the risk posed by rocks from space. So don’t panic! But instead, sit back and watch the show.

    Jonti Horner does not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment.

    – ref. Astronomers have spied an asteroid that may be heading for Earth. Here’s what we know so far – https://theconversation.com/astronomers-have-spied-an-asteroid-that-may-be-heading-for-earth-heres-what-we-know-so-far-248753

    MIL OSI – Global Reports –

  • MIL-OSI: BW Energy: Fourth Quarter Results 2024

    Source: GlobeNewswire (MIL-OSI)

    BW ENERGY FOURTH QUARTER RESULTS 2024

    HIGHLIGHTS

    •          Record Q4 EBITDA of USD 141.6 million, net profit of USD 56.8 million
    •          Full-year revenue of USD 0.8 billion (+57%), EBITDA of USD 457.4 million (+90%) and net profit of USD 165.9 million (+105%)
    •          Operational cash-flow of USD 117.7 million in the quarter
    •          Q4 gross production of 4.0 mmbbls with 3.1 mmbbls net to BW Energy
    •          Highest quarterly production since inception from the Dussafu licence
    •          ESP replacement program completed as planned with 8 producing Hibiscus / Ruche wells from early 2025
    •          Current gross production at Dussafu above 40,000 bbls/day
    •          Maintained a strong balance sheet with cash position of USD 221.8 million

    BW Energy, operator of the Dussafu Marin licence in Gabon and the Golfinho cluster offshore Brazil, reported a record quarterly EBITDA of USD 141.6 million for the fourth quarter of 2024. This was up from USD 130 million in the previous quarter on increased oil sales following all-time-high production in Gabon. The net production was 33,600 bbls/day, including the Tortue, Hibiscus, and Hibiscus South fields in the Dussafu licence (73.5% working interest or “WI”) and the Golfinho field (100% WI).

    Full-year 2024 net production was approximately 10.1 million barrels of oil, up 69% from 2023. EBITDA was USD 457.4 million (USD 241.0 million). The full-year figures are preliminary and unaudited. BW Energy will publish audited 2024 figures on 26 February 2025.

    “BW Energy delivers strong production growth, increased reserves and record financial performance in the fourth quarter and full year 2024 supported by new ESPs, successful appraisal wells and the completion of the Hibiscus / Ruche development,” said Carl K. Arnet, the CEO of BW Energy. “We have a pivotal 2025 ahead, executing on our strategy for growth and long-term value creation. Appraisal of the Bourdon structure in Gabon is ongoing, and we plan to sanction the Maromba development in Brazil in coming weeks. Then, in the second half we will drill the first Kudu appraisal in Namibia, a high impact well which may help unlock secure access to energy in a part of Southern Africa with unstable supply.”

    DUSSAFU
    BW Energy completed three liftings in the fourth quarter at an average realised price of USD 72.5/bbl. Net production was approximately 2.5 mmbbls of oil and the net sold volume, the basis for revenue recognition, was approximately 2.7 mmbbls including 97,500 bbls of DMO deliveries and 311,429 bbls of state profit oil with an under-lift position of 248,700 bbls at period-end.

    Net production from the Dussafu licence averaged ~27,300 bbls/day, an increase of 36% from the previous quarter. Operating cost (excluding royalties) decreased to USD 18.5/bbl from USD 20.5/bbl in the third quarter due to operational efficiencies and increased production. Further cost savings are expected as BW Energy is preparing to take over the operations of the BW Adolo FPSO during the first half of 2025.

    All ESP change outs were completed as planned and on 2 January 2025, Phase 1 of the Hibiscus / Ruche development was completed with eight producing wells, two more than planned at project sanction. 

    GOLFINHO
    Net production from the Golfinho field averaged ~6,400 bbls/day equivalent to a total production of 585,000 bbls in the quarter, up 17% from the previous quarter. A planned shutdown of a Petrobras gas plant restricted gaslift capacity for approximately 40 days, with only ESP wells producing. One lifting was carried out of ~500,000 bbls at a realised price of USD 73.5/bbl. Remaining inventory was approximately 440,500 bbls at the end of the period. Operating cost (excluding royalties) averaged USD 56.4/bbl barrel, down from 63.3/bbl in the third quarter, primarily due to higher production.

    OTHER ITEMS
    At 31 December 2024, BW Energy had a cash balance of USD 221.8 million, compared to USD 209.8 million at end-September. The increase reflects cash flow from operations, debt repayment and investments. The Company had a total drawn debt balance of USD 563 million including the MaBoMo lease, the Dussafu RBL, the Golfinho prepayment facility and bond debt.

    Production guidance for 2025 is between 11 and 12 mmbbls net to BW Energy. Full-year operating cost is expected to be USD 18 to 22/bbl (the basis for calculating unit operating cost has been revised from 2025 onwards to exclude royalties, tariffs, workovers, domestic market obligation purchases, production sharing costs, and incorporates the impact of IFRS 16 adjustments, primarily impacting Gabon operations). Net capital expenditures are expected at USD 260 to 285 million, including the appraisal well in Namibia. The capex guidance is excluding the Maromba development and the Golfinho Boosting project, both awaiting FID. 

    DEVELOPMENT PLANS
    In Gabon, the Bourdon appraisal prospect, targeting potential gross recoverable reserves of ~30 million barrels in Gamba and Dentale formations, was spud earlier this month and results are expected during the first quarter. At end-October, BW Energy (37.5% WI and operator) signed production sharing contracts (PSCs) for the Niosi Marin and Guduma Marin exploration blocks, which are adjacent to the Dussafu licence and significantly expands the resource base for infrastructure-led exploration. Planning for a 3D seismic campaign is ongoing. 

    Work on optimising Golfinho production continued to focus on stabilising FPSO performance and selected future well workovers. BW Energy is preparing to commence the Golfinho Boosting project to replace current gaslift with ESPs in two wells to increase production and production regularity from mid-2026.

    The Maromba development, targeting low-risk barrels in an oil-rich area with multiple producing assets, is progressing towards planned final investment decision (FID) next month based on the sustainable re-use of an FPSO and a jack-up with drilling capacity and dry trees. This enables a cost-efficient development with an investment budget of USD 1.2 billion and short pay-back time. Project financing is close to completion 

    In Namibia, BW Energy has sanctioned the drilling of an appraisal well targeting the Kharas Prospect northwest in the Kudu licence with planned start-up drilling operations in the third quarter. Long-lead items have been secured and the Company is reviewing offers for rig capacity. There is a close dialogue with other operators in the Orange Basin on exploring common use available resources. Development planning and concept selection for the Kudu gas-to-power project also continued with relevant stakeholders.

    REPORTS AND PRESENTATION
    Please find the fourth-quarter earnings presentation attached. The reports are also available at:

    www.bwenergy.no/investors/reports-and-presentations

     BW Energy will today hold a conference call followed by a Q&A hosted by CEO Carl K. Arnet, CFO Brice Morlot and COO Lin G. Espey at 15:00 CET.

    You can follow the presentation via webcast with supporting slides, available on:

    VIEWER REGISTRATION • Q4 2024

    Call-in information:

    Participants dial in numbers:

    DK: +45 7876 8490
    SE: +46 8 1241 0952
    NO: +47 2195 6342
    UK: +44 203 769 6819
    US: +1 646-787-0157
    Singapore: 65-3-1591097
    France: 33-1-81221259

    PIN code: 980877

    Please note, that if you follow the webcast via the above URL, you will experience a 30 second delay compared to the main conference call. The web page works best in an updated browser – Chrome is recommended.

    BW Energy will publish the audited 2024 annual report, the reserves report and the report on payments to governments on 26 February 2025.

    For further information, please contact:
    Brice Morlot, CFO BW Energy, +33.7.81.11.41.16
    ir@bwenergy.no

    About BW Energy:
    BW Energy is a growth E&P company with a differentiated strategy targeting proven offshore oil and gas reservoirs through low risk phased developments. The Company has access to existing production facilities to reduce time to first oil and cashflow with lower investments than traditional offshore developments. The Company’s assets are 73.5% of the producing Dussafu Marine licence offshore Gabon, 100% interest in the Golfinho and Camarupim fields, a 76.5% interest in the BM-ES-23 block, a 95% interest in the Maromba field in Brazil, a 95% interest in the Kudu field in Namibia, all operated by BW Energy. In addition, BW Energy holds approximately 6.6% of the common shares in Reconnaissance Energy Africa Ltd. and a 20% non-operating interest in the onshore Petroleum Exploration License 73 (“PEL 73”) in Namibia. Total net 2P+2C reserves and resources were 580 million barrels of oil equivalent at the start of 2024.

    This information is subject to the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.

    Attachments

    The MIL Network –

  • MIL-Evening Report: Astronomers have spied an asteroid that may be heading for Earth. Here’s what we know so far

    Source: The Conversation (Au and NZ) – By Jonti Horner, Professor (Astrophysics), University of Southern Queensland

    Artist’s impression of an asteroid with Earth in the background. Buradaki / Shutterstock

    On 27 December last year, astronomers using the ATLAS survey telescope in Chile discovered a small asteroid moving away from Earth. Follow up observations have revealed that the asteroid, 2024 YR4, is on a path that might lead to a collision with our planet on 22 December 2032.

    In other words, the newly-discovered space rock poses a significant impact threat to our planet.

    It sounds like something from a bad Hollywood movie. But in reality, there’s no need to panic – this is just another day living on a target in a celestial shooting gallery.

    So what’s the story? What do we know about 2024 YR4? And what would happen if it did collide with Earth?

    A target in the celestial shooting gallery

    As Earth moves around the Sun, it is continually encountering dust and debris that dates back to the birth of the Solar system. The system is littered with such debris, and the meteors and fireballs seen every night are evidence of just how polluted our local neighbourhood is.

    But most of the debris is far too small to cause problems to life on Earth. There is far more tiny debris out there than larger chunks – so impacts from objects that could imperil life on Earth’s surface are much less frequent.

    The most famous impact came some 66 million years ago. A giant rock from space, at least 10 kilometres in diameter, crashed into Earth – causing a mass extinction that wiped out something like 75% of all species on Earth.

    Impacts that large are, fortunately, very rare events. Current estimates suggest that objects like the one which killed the dinosaurs only hit Earth every 50 million years or so. Smaller impacts, though, are more common.

    On 30 June 1908, there was a vast explosion in a sparsely populated part of Siberia. When explorers later reached the location of the explosion, they found an astonishing site: a forest levelled, with all the trees fallen in the same direction. As they moved around, the direction of the fallen trees changed – all pointing inwards towards the epicentre of the explosion.

    The Tunguska event flattened trees over an area of around 2,200 square kilometres.
    Leonid Kulik / Wikimedia

    In total, the Tunguska event levelled an area of almost 2,200 square kilometres – roughly equivalent to the area of greater Sydney. Fortunately, that forest was extremely remote. While plants and animals were killed in the blast zone, it is thought that, at most, only three people perished.

    Estimates vary of how frequent such large collisions should be. Some argue that Earth should experience a similar impact, on average, once per century. Others suggest such collisions might only happen every 10,000 years or so. The truth is we don’t know – but that’s part of the fun of science.

    More recently, a smaller impact created global excitement. On 15 February 2013, a small asteroid (likely about 18 metres in diameter) detonated near the Russian city of Chelyabinsk.

    The explosion, about 30 kilometres above the Earth’s surface, generated a powerful shock-wave and extremely bright flash of light. Buildings were damaged, windows smashed, and almost 1,500 people were injured – although there were no fatalities.

    It served as a reminder, however, that Earth will be hit again. It’s only a question of when.

    Which brings us to our latest contender – asteroid 2024 YR4.

    The 1-in-77 chance of collision to watch

    2024 YR4 has been under close observation by astronomers for a little over a month. It was discovered just a few days after making a relatively close approach to our planet, and it is now receding into the dark depths of the Solar system. By April, it will be lost to even the world’s largest telescopes.

    The observations carried out over the past month have allowed astronomers to extrapolate the asteroid’s motion forward over time, working out its orbit around the Sun. As a result, it has become clear that, on 22 December 2032, it will pass very close to our planet – and may even collide with us.

    The area at risk of a strike, based on current (highly uncertain) data.
    Daniel Bamberger / Wikimedia, CC BY-SA

    At present, our best models of the asteroid’s motion have an uncertainty of around 100,000 kilometres in its position at the time it would be closest to the Earth. At around 12,000 kilometres in diameter, our planet falls inside that region of uncertainty.

    Calculations suggest there is currently around a 1-in-77 chance that the asteroid will crash into our planet at that time. Of course, that means there is still a 76-in-77 chance it will miss us.

    When will we know for sure?

    With every new observation of 2024 YR4, astronomers’ knowledge of its orbit improves slightly – which is why the collision likelihoods you might see quoted online keep changing. We’ll be able to follow the asteroid as it recedes from Earth for another couple of months, by which time we’ll have a better idea of exactly where it will be on that fateful day in December 2032.

    But it is unlikely we’ll be able to say for sure whether we’re in the clear at that point.

    Recent observations of 2024 YR4 – the faint unmoving dot in the centre of the image.
    ESO, CC BY

    Fortunately, the asteroid will make another close approach to the Earth in December 2028 – passing around 8 million kilometres from our planet. Astronomers will be ready to perform a wide raft of observations that will help us to understand the size and shape of the asteroid, as well as giving an incredibly accurate overview of where it will be in 2032.

    At the end of that encounter, we will know for sure whether there will be a collision in 2032. And if there is to be a collision that year, we’ll be able to predict where on Earth that collision will be – likely to a precision of a few tens of kilometres.

    How big would the impact be?

    At the moment, we don’t know the exact size of 2024 YR4. Even through Earth’s largest telescopes, it is just a single tiny speck in the sky. So we have to estimate its size based on its brightness. Depending on how reflective the asteroid is, current estimates place it as being somewhere between 40 and 100 metres across.

    What does that mean for a potential impact? Well, it would depend on exactly what the asteroid is made of.

    The most likely scenario is that the asteroid is a rocky pile of rubble. If that turns out to be the case, then the impact would be very similar to the Tunguska event in 1908.

    The asteroid would detonate in the atmosphere, with a shockwave blasting Earth’s surface as a result. The Tunguska impact was a “city killer” type event, levelling forest across a city-sized patch of land.

    Meteor Crater in Arizona is believed to have been created by a 50m metallic meteorite impact around 50,000 years ago.
    NASA Earth Observatory / Wikimedia

    A less likely possibility is that the asteroid is made of metal. Based on its orbit around the Sun, this seems unlikely – but we can’t rule it out.

    In that case, the asteroid would make it through the atmosphere intact, and crash into Earth’s surface. If it hit on the land, it would carve out a new impact crater, probably more than a kilometre across and a couple of hundred metres deep – something similar to Meteor Crater in Arizona.

    Again, this would be quite spectacular for the region around the impact – but that would be about it.

    Living in a remarkable time

    This all sounds like doom and gloom. After all, we know that the Earth will be hit again – either by 2024 YR4 or something else. But there’s a real positive to take out of all this.

    There has been life on Earth for more than 3 billion years. In all that time, impacts have come along and caused destruction and devastation many times.

    But there has never been a species, to our knowledge, that understood the risk, could detect potential threats in advance, and even do something about the threat. Until now.

    In just the past few years, we have discovered 11 asteroids before they hit our planet. In each case, we have predicted where they would hit, and watched the results.

    We have also, in recent years, demonstrated a growing capacity to deflect potentially threatening asteroids. NASA’s DART mission (the Double Asteroid Redirection Test) was an astounding success.

    For the first time in more than 3 billion years of life on Earth, we can do something about the risk posed by rocks from space. So don’t panic! But instead, sit back and watch the show.

    Jonti Horner does not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment.

    – ref. Astronomers have spied an asteroid that may be heading for Earth. Here’s what we know so far – https://theconversation.com/astronomers-have-spied-an-asteroid-that-may-be-heading-for-earth-heres-what-we-know-so-far-248753

    MIL OSI Analysis – EveningReport.nz –

  • MIL-OSI NGOs: Libre determinación y unidad nacional popular ante el irredentismo imperial

    Source: Council on Hemispheric Affairs –

    Opinion

    By Abdiel Rodríguez Reyes

    Ciudad de Panamá

    A los pueblos les asiste el derecho a decidir su propio destino colectivo según lo estableció la Conferencia de Bandung en 1955 y el Pacto Internacional de Derechos Civiles y Políticos de 1966, lo cual no fue gratuito, sino producto de la lucha de los países periféricos por su descolonización. Ante esta realidad, Estados Unidos nunca renunció a extender la doctrina Monroe hasta el presente. Empeorando la situación, el irredentismo imperial con el presidente Donald Trump se hace explícito. La desconfianza de la población hacia la élite política en esta coyuntura se está reproduciendo en el imaginario colectivo en un marcado desinterés por el irredentismo imperial de Trump. Esto último, busca la anexión y recuperación de territorios, aunque no compartan fronteras, como el caso de Groenlandia y Panamá. Y, no se trata del capricho de una persona, en este caso Trump, sino de una racionalidad imperial.

    Ante las amenazas de Trump de anexarse territorios, recuperar otros, como el Canal de Panamá y, ultrajar a países como Canada, Colombia, México, Cuba y Venezuela con falacias y sanciones, una vía para resistir es la organización de los pueblos y la puesta en marcha de una agenda en común cuyo contenido sea la autodeterminación de los pueblos, la integración regional y la unidad nacional popular. La élite política panameña no necesariamente va a defender los más caros intereses del pueblo. Estados Unidos es nuestro principal socio comercial y con el coloso del Norte mantenemos una relación de dependencia. Nuestra élite es cipaya en esa conjunción. Lo demuestra cada vez que puede, con la soga al cuello patea el banco. Recientemente ante el altercado en redes sociales entre los presidentes Gustavo Petro y Trump, el Gobierno de la República de Honduras, ocupando la presidencia Pro Tempore de la CELAC, convocó a una reunión urgente para atender la situación, pero fue cancelada por “falta de consenso” (https://surl.li/ctjijs).

    En el caso particular de Panamá, las élites políticas panameñas tienen más de un siglo negociando con los estadounidenses en beneficio propio. Al pueblo le tocará organizarse para garantizar los suyos, así como lo hizo el 9 de enero de 1964. Los intereses del pueblo no necesariamente son los mismos de la élite, aunque por momentos puedan coincidir. El problema de fondo no es Trump, sino, el irredentismo imperial. Hoy es Trump, mañana será otro presidente y, en el fondo, subyace esa racionalidad irredentista. Por lo tanto, es necesario diseñar mecanismos de defensa y resistencia, táctica y estratégicamente. Es imperativo enrumbar las acciones hacia una correlación regional de fuerza distinta en función de la unidad latinoamericana hasta la constitución de un nuevo “bloque histórico” como diría Gramsci.

    Siguiendo con el espíritu irredentista expresado por el presidente Trump en su red social Truth Social y, en su discurso presidencial, la Comisión Marítima Federal de los Estados Unidos convocó a una audiencia para discutir la supuesta presencia China en el Canal. El internacionalista Julio Yao hizo un análisis de la resolución de la Comisión y concluye con la necesidad de consultar a la Corte Internacional de Justicia si las peticiones de Estados Unidos no constituyen una violación al derecho internacional. Peticiones a todas luces injerencistas. En particular: “EE. UU. no puede instar a Panamá “a reafirmar su compromiso con el Tratado de Neutralidad permanente del Canal”, ya que Panamá lo ha hecho siempre, contrario a EE. UU. que lo ha violado cada vez y exclusivamente para satisfacer sus intereses de seguridad para sus fuerzas armadas” (https://surl.li/mwpuos).

    Ese es el argumento de fondo del irredentismo imperial, invocar el Tratado Concerniente a la Neutralidad Permanente del Canal y el Funcionamiento del Canal de Panamá, en particular la Enmienda DeConcini: la cual posibilita que Estados Unidos “pueda tomar medidas militares en suelo panameño sin el consentimiento del Gobierno de Panamá” (https://surl.li/kvxhkh). Para justificar esta acción han recurrido a falacias sobre la presencia China en Panamá hasta la cantidad de muertos en la construcción del Canal por los estadounidenses en 1914. El historiador y diplomático Omar Jaén Suarez aclaró este último punto en uno de sus recientes artículos, “La mortalidad durante la construcción del Canal interoceánico […] entre 1904 y 1914, sólo hay 350 estadounidenses (6 %) según la Comisión del Canal Ístmico, mientras que los empleados afroantillanos muertos fueron 4.049 (72 %) […] los datos no señalan más de 6.280 muertes entre los empleados de las compañías del canal francés desde 1881 hasta 1903” (https://surl.li/kybccq). Y, así sucesivamente el irredentismo imperial se sostiene sobre falacias para justificar su interés de recuperar el Canal.

    Como señala Greg Grandin, profesor en Yale, en un reciente artículo en el New York Times: el “lenguaje desinhibido [que utiliza Trump] aumenta la volatilidad de un mundo ya de por sí volátil” (https://surl.li/oziinq), esa táctica de choque, en la cual una de sus principales armas son las redes sociales, busca desestabilizar para alcanzar sus objetivos. En última instancia, MAGA (Make America Great Again) es su sueño por “un nuevo imperio estadounidense”, como lo planteó Grandin. Para ese cometido, necesitará doblegar aún más a sus ya arrodillados socios. Allí cobra importancia las posiciones antiimperialistas y descolonizadoras, cuando ya muchos la daban por muertas. No se trata de sacar una bandera panameña a última hora e invocar un patriotismo abstracto; a diferencia del pueblo panameño consciente y organizado de su historia de lucha, que recuerda a sus mártires de la lucha generacional por la recuperación de nuestra soberanía.

    En esa misma línea de Grandin, el abogado y académico panameño Alonso Illueca, escribió en el El País: “Parado sobre una tradición sepultada a mediados del siglo XX, Trump relanzó el pasado 20 de enero de 2025 la política expansionista del destino manifiesto y la doctrina Monroe” (https://surl.li/zzqzdx), en detrimento nuestro, particularmente por sus “criterios” en torno al manejo del Canal; pero, también como policía del mundo, inicia una cruzada contra la izquierda como en los grises días de la guerra fría. No es casualidad que los presidentes en la asunción de Trump tengan algo en común: odian a la izquierda. Su toma de posesión fue un retrato a cuerpo entero, rodeado de los milmillonarios magnates de la tecnología. Veremos un despliegue del fetichismo del capitalismo digital, hostigamiento hacia las izquierdas y contra defensores de Derechos Humanos.

    No vemos a una élite política defendiendo los más caros intereses del pueblo panameño ante la afrenta imperial, en cambio sí sus privilegios. La unidad popular no es otra cosa que la unidad en base a intereses colectivos. Sin la autodeterminación de los pueblos, la integración regional y la unidad nacional popular sobre la mesa, el patriotismo abstracto de la élite política negociará sus privilegios en el marco del irredentismo imperial.

    Photo credit: Pedro Silva

    Abdiel Rodríguez Reyes es Doctor en filosofía por la Universidad del País Vasco y profesor e investigador en la Universidad de Panamá

    MIL OSI NGO –

  • MIL-OSI Security: CEO of Financial Firm Pleads Guilty to Running a Multimillion Dollar Fraud

    Source: Office of United States Attorneys

    SAN DIEGO – Carlos Manuel da Silva Santos, the founder and chief executive officer of San Diego-based Ethos Asset Management, Inc., which offered financing to domestic and international businesses, pleaded guilty to wire fraud conspiracy and aggravated identity theft today in federal court.

    Santos, a Portuguese national, has been in custody since his arrest on November 13, 2023, in Newark, New Jersey, after arriving in the United States from abroad.

    According to his plea agreement, Santos admitted he and co-conspirators held Ethos out to the public as a “full-service project financing” company that offered loans to prospective borrowers in exchange for an upfront fee as collateral for Ethos to use. However, on many occasions when a borrower gave Ethos the upfront fee as collateral, Ethos’ funding never materialized.

    To induce prospective borrowers to send Ethos an upfront fee as collateral and enter into loan agreements, Santos and his co-conspirators lied about Ethos’ history of funding projects, the source of Ethos’ money, the amount of capital available to disburse loans, and how Ethos used the collateral upfront fees. For instance, Santos admitted that  he used money from the upfront collateral fees to release collateral deposited by other borrowers and to disburse loans to other borrowers.

    Santos also admitted that he and others altered otherwise legitimate financial account statements to inflate the amount of money Ethos appeared to have at its disposal to finance projects for the purpose of luring prospective borrowers to provide collateral and financial institutions to lend money. For example, in August 2021, Santos successfully induced a borrower to wire money as a collateral upfront fee by sending a bank statement that falsely represented Ethos having $100,304,447.46 when, in fact, it did not.

    In February and May 2023, Santos again induced borrowers to provide collateral upfront fees by emailing a copy of Ethos’ annual financial statements reflecting falsely that Ethos had over $2.2 billion in total assets and that an accounting firm had audited the statements. Indeed, Santos admitted that he knowingly forged the signature of an employee at a bookkeeping firm on Ethos’s 2022 annual financial statement to falsely indicate that the firm had audited the statement. In each noted example, Ethos fraudulently obtained upfront fees and failed to disburse loan payments as promised.

    Santos further admitted Ethos’ project financing scheme was international in nature, with a presence in the United States, Brazil, Turkey, and elsewhere. Santos admitted his scheme resulted in $17,125,000 in losses to certain U.S. based victims. The plea agreement also explains that the parties will request a restitution hearing allowing the United States to offer evidence that Santos owes significantly more money to various other victims.

    According to the plea agreement, Santos also forged the signature of an employee at an accounting firm to make it appear that the firm had audited Ethos’ annual financial reports.

    “Untold numbers of people fall victim to fraud schemes every year,” said U.S. Attorney Tara McGrath.  “Whether it’s a simple email scam or an elaborate investment scheme, the U.S. Attorney’s Office will relentlessly pursue accountability for the defendants and restitution for the victims.”

    “Today’s guilty plea underscores Homeland Security Investigation’s (HSI) unwavering commitment to combating financial crimes,” said Shawn Gibson, Special Agent in Charge for HSI San Diego. “This successful outcome is the result of an extensive, long-term investigation where our dedicated agents and partners assigned to the Costa Pacifico Financial Task Force worked tirelessly and diligently to gather all the evidence and bring this individual to justice. Their unwavering commitment and thorough efforts have been instrumental in protecting our community and upholding the law.

    Sentencing is scheduled for April 18, 2025, before U.S. District Judge Robert S. Huie.

    This case is being prosecuted by Assistant U.S. Attorneys E. Christopher Beeler, Carl F. Brooker IV, and Amy B. Wang.

    If you believe you are a victim of Carlos Santos and his company Ethos Asset Management, Inc., contact Homeland Security Investigations at ethos-victim@hsi.dhs.gov.

    DEFENDANT

    Carlos Manuel da Silva Santos                  Age: 30                                  Portugal

    SUMMARY OF CHARGES

    Wire Fraud Conspiracy – Title 18, U.S.C., Section 1349

    Maximum penalty: Thirty years in prison and $250,000 fine

    Aggravated Identity Theft – Title 18, U.S.C. Section 1028A

    Maximum penalty: Mandatory two years in prison consecutive to the term for the underlying felony

    INVESTIGATING AGENCY

    Homeland Security Investigations

    MIL Security OSI –

  • MIL-OSI USA: Senator Collins Applauds Signing of Laken Riley Act

    US Senate News:

    Source: United States Senator for Maine Susan Collins
    Published: January 30, 2025

    Washington, D.C. – U.S. Senator Susan Collins applauded the signing of the Laken Riley Act into law. Senator Collins joined 52 of her Senate colleagues as cosponsors of this bipartisan legislation, which passed the House of Representatives and the Senate by votes of 263-156 and 64-35, respectively. The bill will require U.S. Immigration and Customs Enforcement to detain illegal immigrants who are charged with, arrested for, or convicted of certain crimes including theft or burglary, and was amended to expand the list of crimes to include assault of a police officer or an offense that resulted in serious bodily harm or death.
    “The horrific murder of Laken Riley by an illegal immigrant who had a criminal record was preventable,” said Senator Collins. “The Laken Riley Act will provide immigration and law enforcement authorities with the legal tools they need to help prevent such tragedies in the future.”
    Laken Hope Riley was a 22-year-old nursing student who was brutally killed during a jog around the University of Georgia’s intramural fields. Her killer is a 26-year-old Venezuelan citizen who unlawfully entered the United States in 2022, had no personal connection to Laken, and had been arrested for criminal activity – including acting in a manner to injure a child less than 17, shoplifting, and other violations – after illegally entering the country. Despite these arrests, he was not detained and subsequently murdered Laken.
    The complete text of the bill can be read here.

    MIL OSI USA News –

  • MIL-OSI USA: Cortez Masto Cosponsors Bipartisan Bill to Combat Illegal Fentanyl

    US Senate News:

    Source: United States Senator for Nevada Cortez Masto
    Washington, D.C. – Today, U.S. Senator Catherine Cortez Masto (D-Nev.) joined Senators Bill Cassidy, M.D. (R-La.), Chuck Grassley (R-Iowa), Martin Heinrich (D-N.M.) and 10 colleagues in introducing the Halt Lethal Trafficking (HALT) Fentanyl Act to combat illegal fentanyl and keep communities safe.
    This legislation makes permanent the temporary classification of fentanyl-related substances as Schedule I of the Controlled Substances Act (CSA). This permanent scheduling will give law enforcement the tools they need to keep extremely lethal and dangerous drugs off our streets and ensure scientists can research and better understand these substances. Overdoses, largely driven by fentanyl, are the leading cause of death among young adults 18 to 45 years old. Synthetic opioids like fentanyl account for 66 percent of the total U.S. overdose deaths.
    “Far too many Nevadans have lost their lives due to fentanyl, and we need to give law enforcement the tools they need to keep our communities safe,” said Senator Cortez Masto. “My bipartisan bill will keep this deadly drug off our streets, save lives, and make it easier for law enforcement to bring drug traffickers to justice.”
    The HALT Fentanyl Act would permanently schedule illicitly produced fentanyl-related substances as Schedule I drugs and streamline the regulatory process for scientists seeking approval from the U.S. Department of Health and Human Services (HHS) to research Schedule I substances. The drug’s Schedule I classification is set to expire on March 31, 2025.  Senators Cortez Masto, Cassidy, Grassley, and Heinrich were joined by U.S. Senators Roger Marshall (R-Kan.), Todd Young (R-Ind.), Steve Daines (R-Mont.), Eric Schmitt (R-Mo.), Maggie Hassan (D-N.H.), Shelley Moore Capito (R-V.W.), Ruben Gallego (D-Ariz.), Mike Rounds (R-S.D.), John Kennedy (R-La.), and Jeanne Shaheen (D-N.H.) in introducing the legislation. A one-pager can be found here and the bill text can be found here.
    According to the U.S. Centers for Disease Control and Prevention (CDC), there were an estimated 107,543 drug overdose deaths in the U.S. in 2023. This was primarily fueled by synthetic opioids, including illegal fentanyl, which are largely manufactured in Mexico from raw materials supplied by China. The U.S. House of Representatives passed the HALT Fentanyl Act in March 2023. 

    MIL OSI USA News –

  • MIL-OSI Security: U.S. Attorney’s Office Secures Conviction of California Man for Wire Fraud and Federal Indian Arts Violations

    Source: Office of United States Attorneys

    ALBUQUERQUE – A federal jury in New Mexico has found Robert Haack guilty of wire fraud, mail fraud, and violating the Indian Arts and Crafts Act for selling counterfeit Charles Loloma jewelry on eBay, following a 4-day trial that concluded after approximately 4 hours of deliberation.

    Charles Loloma is one of the most well-known Native American jewelry-makers of the 20th century.  Today, his work is featured in many galleries and museums across the southwest.  His authentic pieces can cost tens of thousands of dollars.

    Evidence presented at trial revealed that Haack engaged in a sophisticated scheme to defraud buyers by creating counterfeit Loloma jewelry pieces in his California home and selling them for several thousands of dollars per piece on eBay.  As part of the investigation into Haack, undercover federal agents purchased two pieces, pictured below, from him off of eBay in order to have them analyzed for authenticity.

    Loloma’s niece, Verma Nequatewa, a jeweler who studied under her famous uncle, examined the two pieces purchased from Haack by U.S. Fish and Wildlife Agents and testified at trial that they were fakes.

    The jury was also presented with evidence seized from Haack‘s home, including raw materials for jewelry-making, unfinished Loloma-style jewelry, engraving tools hidden in a boot, practice Loloma signatures on metal shards, and design sketches.

    It is estimated that Haack sold more than four-hundred thousand dollars’ worth of fake Loloma jewelry before he was charged. The scheme spanned several years, causing significant harm not only to the victims who were defrauded but also to Loloma’s legacy and the broader Native American art community.

    “We will protect the sacred cultural heritage and unique history of authentic Native American artistry as well as consumers from scammers,” said U.S Attorney Uballez.

    “Robert Haack’s counterfeit operation significantly impacted the Native American art and craft marketplace,” said Doug Ault, Assistant Director of the U.S. Fish and Wildlife Service Office of Law Enforcement. “Native American art fraud is a serious crime that exploits consumers and severely undermines the economic and cultural livelihood of Native American artists and Tribes. The U.S. Fish and Wildlife Service is equipped with a dedicated team of special agents focused on enforcing the Indian Art and Crafts Act on behalf of the U.S. Department of the Interior and the Indian Arts and Crafts Board. Through these investigations, the Service endeavors to protect and preserve the authenticity of art produced by our Nation’s Native American artisans. We thank our partners at the U.S. Department of Justice and the Indian Arts and Crafts Board for their assistance with this investigation.”

    “Native American art fraud is a serious crime that exploits consumers and severely undermines the economic and cultural livelihood of Native American artists and tribes,” said Doug Ault, Assistant Director of the U.S. Fish and Wildlife Service Office of Law Enforcement. “We thank our partners at the U.S. Department of Justice and the Indian Arts and Crafts Board for their assistance with this investigation.”

    “Counterfeit Indian art – like Robert Haack’s jewelry that he misrepresented and sold as made by Charles Loloma — the father of contemporary Indian jewelry — tears at the very fabric of Indian culture, livelihoods, and communities,” said Meridith Stanton, Director of the U.S. Department of the Interior’s Indian Arts and Crafts Board (IACB).  “The IACB by statute is responsible for administering the Indian Arts and Crafts Act (IACA), an anti-counterfeiting law that protects Indian artists and consumers.  Mr. Haack’s actions demean and rob authentic Indian artists who rely on the creation and sale of their artwork to put food on the table, make ends meet, and pass along these important cultural traditions and skills from one generation to the next.  His actions undermine consumers’ confidence in the Indian art market in the Southwest and nationwide.  Due to the outstanding work of the Office of the U.S. Attorney-District of New Mexico and the U.S. Fish and Wildlife Service IACA Investigative Unit, Mr. Haack is being held accountable and the message is clear. For those selling counterfeit Indian art and craftwork it is important to know that wherever you are we will diligently work to find you and prosecute you under the Indian Arts and Crafts Act.”

    Following the verdict, the Court ordered that Haack remain on conditions of release pending sentencing, which has not been scheduled. At sentencing, Haack faces up to 20 years in prison.

    There is no parole in the federal system.

    U.S. Attorney Alexander M.M. Uballez and Amy Lueders, Southwest Region Director for the U.S. Fish and Wildlife Service, made the announcement today.

    The U.S. Department of Fish and Wildlife, Office of Law Enforcement investigated this case with assistance from the Indians Arts and Crafts Board. The United States Attorney’s Office for the District of New Mexico is prosecuting the case.

    # # #

    MIL Security OSI –

  • MIL-OSI China: China’s exports to over 160 countries, regions achieve growth in 2024

    Source: China State Council Information Office

    China’s exports to over 160 countries and regions saw growth in 2024, according to the General Administration of Customs (GAC).

    The country’s exports grew 7.1 percent year on year, reaching 25.45 trillion yuan (about 3.55 trillion U.S. dollars) last year, marking the eighth consecutive year of growth, according to the latest data released by the GAC.

    Exports to Brazil, the United Arab Emirates and Saudi Arabia increased by 23.3 percent, 19.2 percent and 18.2 percent year on year, respectively. Exports to ASEAN countries and nations participating in the Belt and Road Initiative grew by 13.4 percent and 9.6 percent, respectively. Meanwhile, exports to traditional markets, such as the European Union and the United States, rose by 4.3 percent and 6.1 percent, respectively.

    Lyu Daliang, a GAC official, said that despite growing uncertainties and challenges, China’s exports — characterized by a wide range of products — are expected to remain resilient and dynamic, supported by both incremental and existing policies. 

    MIL OSI China News –

  • MIL-OSI Security: Two Indicted for Kidnapping Mother and Child, Transporting Them from Fresno to Mexico Against Their Will

    Source: Office of United States Attorneys

    FRESNO, Calif. — A federal grand jury returned a three-count indictment today against Rosa Ventura, 34, of Fresno, and Claudia Gonzales, 38, of Fresno, charging them with conspiracy to kidnap, kidnapping, and kidnapping involving a child, Acting U.S. Attorney Michele Beckwith announced.

    According to court documents, on May 8, 2024, a woman reported her boyfriend after a domestic violence incident, which resulted in his arrest. In retaliation for calling the police, the boyfriend’s sister, Rosa Ventura, took the woman’s 5-month-old daughter away and drove her and her 9-year-old daughter to an unknown field outside Fresno.

    At the field, Ventura’s friend and accomplice, Claudia Gonzales, revealed herself after hiding in the car’s trunk area. Ventura and Gonzales then drove the mother and child straight to Tijuana, Mexico, and stranded them at an unknown bus station in order to dissuade the mother from testifying in the state domestic violence case where she was a victim. The mother and child were held against their will during the drive. At one point, the mother and child attempted to flee at a gas station, but Ventura and Gonzales chased them down and physically forced them back into the car.

    This case is the product of an investigation by Homeland Security Investigations and the Fresno Police Department. Assistant United States Attorneys Robert Veneman-Hughes and Cody S. Chapple are prosecuting the case.

    The defendants are in custody pending trial. Their next appearance is Feb. 5, 2025, before U.S. Magistrate Judge Erica P. Grosjean for their initial appearance on the indictment.

    If convicted, Ventura and Gonzales face a statutory minimum of 20 years to a maximum of life in prison and a $250,000 fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendants are presumed innocent until and unless proven guilty beyond a reasonable doubt.

    MIL Security OSI –

  • MIL-OSI Security: Luchese Crime Family Solider and Four Associates Plead Guilty to Crimes Including Racketeering, Money Laundering and Illegal Gambling

    Source: Office of United States Attorneys

    Earlier today and throughout the past few weeks, in federal court in Brooklyn, five members and associates of the Luchese organized crime family of La Cosa Nostra pleaded guilty to multiple crimes, including racketeering, money laundering and illegal gambling related to criminal activities throughout New York City. The proceedings were held before United States District Judge Kiyo A. Matsumoto.  Today, Luchese crime family soldier Anthony Villani pleaded guilty to racketeering, money laundering and illegal gambling.  As part of Villani’s plea agreement, he will pay $4 million in forfeiture.  His co-defendants have agreed to pay an additional approximately $1 million in forfeiture.  Villani and his co-defendants operated a large-scale, illegal online gambling business (the Gambling Business) that operated under the protection of the Luchese crime family across the New York metropolitan area.  The gambling business, known as “Rhino Sports,” operated since the early 2000s and brought millions in illicit profits annually.   

    John J. Durham, United States Attorney for the Eastern District of New York and James E. Dennehy, Assistant Director in Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the guilty pleas.

    “These guilty pleas represent a victory for the rule of law over the pernicious activities of organized crime that undermine the safety of our communities,” stated United States Attorney Durham.  “Illegal gambling businesses require enforcement and protection from mob rivals that carry the persistent threat of violence.  However, the defendants’ luck ran out and, thanks to the hard work of the team of prosecutors and investigators, they will be held accountable for their crimes and pay their debt to society.”

    FBI Assistant Director in Charge Dennehy stated: “Our investigations involving members of the Five Families don’t make the same headlines as they have historically. However, the men pleading guilty in this case illustrate how entrenched the traditional mafia are in their noxious and familiar criminality. They are less flashy these days – and a lot of that is due to the incredible cunning and tenacity agents and investigators on our FBI New York Westchester Organized Crime Task Force use to pursue members of these organizations.”

    As detailed in the indictment and court filings, for over 25 years, Villani has been involved in significant gambling operations, principally based in the Bronx and Westchester, New York, that were affiliated with multiple organized crime families.  Villani owned and operated the Gambling Business since at least 2004.  The Gambling Business was hosted using servers in Costa Rica and employed local bookmakers to pay and collect winnings.  Villani’s bookmakers included members and associates of the Luchese crime family and other La Cosa Nostra families.  As part of the scheme, Villani employed trusted individuals, including defendants Louis Tucci, Jr. and Dennis Filizzola, to assist in operating the business and collecting at least $1 million annually.  Records obtained of the Gambling Business’s website indicated that Villani’s illegal gambling operation regularly took bets from between 400 and 1,300 bettors each week, most of whom were based in New York City and the metropolitan area. At Villani’s direction, Filizzola took proceeds from the Gambling Business and used them to purchase U.S. Postal Service money orders in false names, which were then made payable to one of Villani’s property companies to appear as legitimate rental payments.   

    When sentenced, Villani faces up to 20 years in prison.  Louis Tucci, Jr., pleaded guilty on January 27, 2025 to illegal sports betting and faces up to five years in prison.  Filizzola pleaded guilty on January 21, 2025 to illegal sports betting and money laundering and faces up to five years in prison and up to 20 years in prison on those counts respectively.  James Coumoutsos pleaded guilty on January 21, 2025 to illegal sports betting and faces up to five years in prison.  Michael Praino pleaded guilty on January 10, 2025 to illegal sports gambling and faces up to five years in prison.  A sixth defendant remains at large.

    The government’s case is being handled by the Office’s Organized Crime and Gangs Section.  Assistant United States Attorney Antoinette N. Rangel is in charge of the prosecution.  Assistant United States Attorney Claire S. Kedeshian of the Office’s Asset Recovery Section is handling forfeiture matters.

    The Defendants:

    ANTHONY VILLANI
    Age:  60
    Elmsford, NY

    JAMES COUMOUTSOS (also known as “Quick”)
    Age:  62
    Bronx, NY

    DENNIS FILIZZOLA
    Age:  61
    Cortlandt Manor, NY

    MICHAEL PRAINO (also known as “Platinum”)
    Age:  47
    Lake Worth, Florida

    LOUIS TUCCI, JR. (also known as “Tooch”)
    Age:  61
    Tuckahoe, NY

    E.D.N.Y. Docket No. 22-CR-405 (KAM)

    MIL Security OSI –

  • MIL-OSI Security: Guatemala Man Sentenced to Federal Prison for 10 Years for Attempted Enticement of a Minor

    Source: Office of United States Attorneys

    SIOUX FALLS – United States Attorney Alison J. Ramsdell announced today that U.S. District Judge Roberto A. Lange has sentenced a Guatemala man who resided in Sioux Falls, South Dakota, for Attempted Enticement of a Minor Using the Internet. The sentencing took place on January 27, 2025.

    Jorge Manuel Rodriguez-Marroquin, age 48, was sentenced to the mandatory minimum sentence of ten years in federal prison, followed by five years of supervised release, and is required to pay a special assessment to the Federal Crime Victims Fund in the amount of $100. Rodriguez-Marroquin must register as a sex offender upon release from federal prison.

    Rodriguez-Marroquin was indicted by a federal grand jury in April 2024. He pleaded guilty on November 12, 2024.

    The conviction stemmed from an incident on March 9, 2024, when Rodriguez-Marroquin used Facebook to start a conversation with who he believed was a 15-year-old girl. He steered the conversation to sexual matters and enticed her to meet up with him for sexual activity. Unbeknownst to Rodriguez-Marroquin, the 15-year-old was an undercover law enforcement agent. Rodriguez-Marroquin was arrested when he showed up at the meet location.

    This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.

    This case was investigated by Homeland Security Investigations. Assistant U.S. Attorney Elizabeth A. Ebert-Webb prosecuted the case.

    Rodriguez-Marroquin was immediately remanded to the custody of the U.S. Marshals Service. 

    MIL Security OSI –

  • MIL-OSI USA: ICE Boston arrests Salvadoran national charged with raping Massachusetts resident

    Source: US Immigration and Customs Enforcement

    BOSTON — U.S. Immigration and Customs Enforcement apprehended an illegally present Salvadoran national charged with raping a Massachusetts resident when officers arrested Jose Garcia-Salmeron, 34, in Boston Jan. 22.

    “Jose Garcia-Salmeron is charged with victimizing one of our Massachusetts residents and represents a significant threat to the safety of Massachusetts neighborhoods,” said ICE Enforcement and Removal Operations Boston acting Field Office Director Patricia H. Hyde. “We will not tolerate such threats to our neighbors. ERO Boston will continue to prioritize public safety by targeting, arresting, and removing any illegally present individuals who present such a threat to our New England communities.”

    U.S. Border Patrol agents arrested Garcia July 16, 2007, after he illegally entered the United States and issued him a notice to appear before a Department of Justice immigration judge. They then transferred Garcia to the Office of Refugee Resettlement, which released him from custody Aug. 31, 2007.

    An immigration judge ordered Garcia removed from the United States to El Salvador on Nov. 11, 2007.

    ERO Boston encountered Garcia July 2, 2024, following his arrest by the Revere Police Department in Massachusetts, and issued an immigration detainer against him with the Nashua Street Jail in Boston.

    The Chelsea District Court arraigned Garcia July 3, 2024, on a charge of rape, which was indicted to Suffolk Superior Court, Boston.

    The Chelsea District Court in Massachusetts,ignored ERO Boston’s immigration detainer and released Garcia from custody July 26, 2024.

    Garcia remains in ERO custody.

    Members of the public with information regarding child sex offenders can report crimes or suspicious activity by dialing the ICE Tip Line at 866-DHS-2-ICE (866-347-2423) or completing the online tip form.

    Learn more about ERO Boston’s mission to increase public safety in our New England communities on X at @EROBoston.

    MIL OSI USA News –

  • MIL-OSI USA: January 29th, 2025 Heinrich Delivers Floor Remarks on President Trump’s Unlawful Federal Funding Blockade

    US Senate News:

    Source: United States Senator for New Mexico Martin Heinrich

    VIDEO

    WASHINGTON — U.S. Senator Martin Heinrich (D-N.M.) delivered remarks on the Senate floor uplifting stories from communities across New Mexico on how President Trump’s unlawful unilateral blockade of all federal grant funding is creating chaos and harming the lives of New Mexicans.

    VIDEO: U.S. Senator Martin Heinrich (D-N.M.) delivers hour-long remarks on the Senate floor uplifting New Mexicans voices and highlighting how President Trump’s unlawful federal funding blockade threw the entire country into chaos, January 29, 2025.

    “In an overnight maneuver on Monday, President Trump unlawfully and unilaterally blockaded much of the federal budget,” Heinrich said. “Hitting “send” on a two-page memo, the Trump administration triggered a chaotic 24-hours that threw every town, county, Tribe, nonprofit, doctor’s office, hospital, nursing home, school, and preschool into total disarray.”

    “We need to call out Trump’s brazen action for what it really was: a power grab, and it was a test run to see just how much he can get away with,” Heinrich continued. “President Trump and his cronies are testing how far they can go to dismantle and dismember our democracy in service of his strongman impulses and ideological agenda.

    As a member of the Senate Appropriations Committee, I know how much work goes in to writing and passing our funding laws. I am here now talking on the Senate floor because I will fight like hell to stop this – or any – of Trump’s brazen, illegal funding blockades.”

    In his remarks, Heinrich uplifted New Mexicans’ voices by reading letters he has received over the last 48 hours from constituents. Find the video of Heinrich reading letters from New Mexicans here.

    He detailed a number of federal funding programs that impact New Mexico and were thrown into uncertainty by Trump’s funding freeze. Find the video of Heinrich detailing those programs here.

    Heinrich provided specific examples of New Mexico organizations that were disrupted by Trump’s funding freeze. Find the video of Heinrich providing those specific examples here.

    Heinrich also detailed how the Trump administration’s ongoing unlawful hold on Infrastructure Law and Inflation Reduction Act federal funds is harming New Mexico’s Communities. Find the video of Heinrich detailing the Infrastructure Law and Inflation Reduction Act federal funds here.

    Heinrich concluded his remarks by calling on his Republican colleagues to demand that President Trump work together with Democrats on the challenges Americans want them to solve, saying, “This type of chaos and uncertainty is not what Americans elected President Trump to deliver. It’s certainly not what New Mexicans sent me to Washington to deliver. Americans are calling on us — all of us — to work together on policies that will bring down the cost of their groceries, rent, internet, and health care. They want us to help get fentanyl off our streets, make our communities safer, and support survivors of sexual assault, and put our veterans in safe housing. They want us to help the small businesses, support the public lands that are the beating heart of their local economies, and create jobs they can build their families around, in their home communities. What they don’t want is all of this chaos.”

    He finished, “I would hope that my Republican and Democratic colleagues alike would join me in calling on the President to get back to following the laws we passed together. Let’s get back to creating certainty that our communities — and our democracy itself — depend upon. As Benjamin Franklin put it years ago, this is a Republic — If We Can Keep It. I will fight like hell to keep it. And I know I am not alone.”

    To share how Trump’s blockade is affecting you, write to Senator Heinrich here.

    Earlier today, Heinrich joined a press conference with Senate Democratic Leader Chuck Schumer (D-N.Y.) to highlight how President Trump’s unlawful federal grant funding freeze threw the lives of New Mexicans into chaos. Find the video of that press conference here.

    Yesterday, Heinrich delivered remarks on the Senate floor slamming Trump’s unlawful federal funding blockade. In his remarks, Heinrich pointed to the illegality of this action, citing the law that Congress passed — the Impoundment Control Act of 1974 — after President Richard Nixon tried to withhold Congressionally appropriated funds.

    Heinrich also hosted a press conference with the N.M. Delegation on the federal funding blockade and released a statement condemning Trump’s unlawful direction.

    MIL OSI USA News –

  • MIL-OSI USA: January 30th, 2025 Heinrich, Cassidy, Grassley Introduce Bipartisan Halt All Lethal Trafficking of Fentanyl Act

    US Senate News:

    Source: United States Senator for New Mexico Martin Heinrich

    Bipartisan legislation would permanently place fentanyl-related substances into Schedule I of the Controlled Substances Act, helping law enforcement combat fentanyl trafficking, while advancing scientific and medical research

    WASHINGTON — Today, U.S. Senators Martin Heinrich (D-N.M.), Bill Cassidy (R-La.), and Chuck Grassley (R-Iowa) introduced the bipartisan Halt All Lethal Trafficking of (HALT) Fentanyl Act to permanently classify fentanyl-related substances (FRS) as Schedule I drugs under the Controlled Substances Act. This permanent scheduling will give law enforcement the tools they need to keep extremely lethal and dangerous drugs off our streets and ensure scientists can research and better understand these substances.

    “We’re losing nearly 75,000 Americans each year to illicit fentanyl overdoses. I refuse to accept this reality, and that’s why I’m working to deliver tools law enforcement personnel need to keep deadly fentanyl off our streets and out of our communities,”said Heinrich. “Permanently scheduling fentanyl and its analogues will help federal and local law enforcement crack down on illegal trafficking and allow prosecutors to build stronger, longer-term criminal cases. Our HALT Fentanyl Act will help stop the flow of these deadly drugs into our communities and save lives.”

    Background:

    The Centers for Disease Control and Prevention (CDC) estimates that there were 107,543 overdose deaths in the United States in 2023. Fentanyl and fentanyl-related substances accounted for nearly 75,000 of those deaths. Since 1999, the overdose crisis has increasingly been characterized by deaths involving these illicitly manufactured synthetic opioids, such as fentanyl-related substances (FRS), which are commonly sold through illicit drug markets for their fentanyl-like effect, and are often mixed with heroin or other drugs, such as cocaine, or pressed in to counterfeit prescription pills. During this same period, overdose deaths involving synthetic opioids (excluding methadone) increased 103-fold. By comparison, overdose deaths involving heroin and prescription opioids increased 2.5-fold and 4.1-fold, respectively.

    Traffickers are continually altering the chemical structure of fentanyl to evade regulation and prosecution, sometimes with tragic results. Since 2013, China has been the principal source of fentanyl, fentanyl-related substances, and the precursor chemicals from which they are produced. Chinese product is commonly shipped to Mexico and smuggled into the U.S’s illicit drug market. Traffickers have favored fentanyl-related substances to skirt around committing the crime of trafficking fentanyl and fentanyl analogues. In 2023, the Drug Enforcement Administration (DEA) seized nearly 12,000 pounds of illicit fentanyl, including fentanyl powder and more than 78 million pills laced with illicit fentanyl. The 2023 seizures were equivalent to more than 388.8 million lethal doses of fentanyl.

    In 2018, as an initial response to this unprecedented crisis, the DEA issued a temporary scheduling order that placed FRS in Schedule I, under the Controlled Substances Act (CSA), after classifying it as an imminent hazard to public safety. Previously, Congress has only closed this loophole temporarily by designating fentanyl-related substances as Schedule I drugs. Congress has extended the FRS temporary scheduling order several times, most recently on December 21, 2024, with a measure that expires on March 31, 2025.

    Heinrich’s HALT Fentanyl Act would finally make permanent the scheduling of illicitly produced fentanyl-related substances as Schedule I drugs and streamline the regulatory process for scientists seeking approval from the U.S. Department of Health and Human Services (HHS) to research Schedule I substances.

    Clear and Enforceable Criminal Penalties for Fentanyl Trafficking:

    A permanent scheduling of FRS is necessary to make penalties for criminals clear and enforceable under the Drug Enforcement Administration (DEA), reducing the supply and availability of illicitly manufactured FRS. The HALT Fentanyl Act places the strongest controls and penalties on FRS, which have no accepted medical use and a high abuse potential.

    Specifically, the HALT Fentanyl Act will permanently impose the following quantity-based federal trafficking penalties on FRS:

    • Mandatory minimum penalties: 5 years for 10 grams or more (10 years for second offense); and 10 years for 100 grams or more (20 years for second offense).
    • Discretionary maximum penalties: 40 years for 10 grams or more (life for second offense); and life for 100 grams or more.

    Expanded Scientific and Medical Research

    More closely aligning the research and registration process for schedule I substances, including FRS, with Schedule II substances will facilitate increased FRS research. By accommodating more medical research into fentanyl-related substances, the bill would establish a new, streamlined registration process for research funded by the Department of Health and Human Services (HHS), the Department of Veterans Affairs (VA), or under an Investigative New Drug (IND) exemption from the Food and Drug Administration (FDA).

    Specifically, the HALT Fentanyl Act will enhance our understanding of these illicitly manufactured substances by:

    • Allowing researchers in the same institution to participate in multiple scientific studies.
    • Permitting researchers with ongoing studies to examine newly added schedule I substances.
    • Allowing researchers to manufacture small quantities of FRS without a separate registration.

    Support for the HALT Fentanyl Act

    The HALT Fentanyl Act is led by Heinrich, Cassidy, and Grassley. The legislation is cosponsored by U.S. Senators Maggie Hassan (D-N.H.), Ruben Gallego (D-Ariz.), Roger Marshall (R-Kan), Todd Young (R-Ind.), Steve Daines (R-Mont.), Eric Schmitt (R-Mo.), Shelley Moore Capito (R-W.Va,), Catherine Cortez Masto (D-Nev.), Mike Rounds (R-S.D.), John Kennedy (R-La.), Jeanne Shaheen (D-N.H.), Angus King (I-Maine), and Mark Kelly (D-Ariz.).

    Full text of the HALT Fentanyl Act can be found here.

    A section-by-section summary of the HALT Fentanyl Act can be found here.

    MIL OSI USA News –

  • MIL-OSI Security: Phoenix Woman Sentenced to 87 Months in Prison for Possession of a Machinegun and Conspiracy to Commit Money Laundering

    Source: United States Bureau of Alcohol Tobacco Firearms and Explosives (ATF)

    PHOENIX, Ariz. – Cynthia Solano, 40, of Phoenix, was sentenced this week by United States District Judge G. Murray Snow to 87 months in prison, followed by 36 months of supervised release, for her involvement in a transnational firearm smuggling organization. On August 14, 2024, Solano pleaded guilty to Possession of a Machinegun and Conspiracy to Commit Money Laundering.

    Between February 2022 and January 2023, Solano conspired with others to conduct financial transactions which were designed to conceal proceeds generated from the sale of firearms trafficked from the United States into Canada. After the proceeds were received, Solano used the proceeds to purchase additional firearms.

    Beginning in late December 2022, Solano gathered 87 firearms in Phoenix which she intended to deliver to other members of the organization in Michigan.  

    On January 3, 2023, Solano was driving near Springfield, Illinois when she was contacted by the Illinois State Police. The Illinois State Police troopers searched her vehicle and found 87 firearms, individually wrapped in Christmas wrapping paper. One of the firearms was equipped with a machinegun conversion device (also known as a “Switch”) attached. A machinegun conversion device converts a semi-automatic firearm into a fully automatic firearm.

    After Solano was arraigned in Arizona, she was placed on pretrial release. She later removed her electronic monitoring device and fled to Mexico. Through the efforts of the United States Marshals’ Office, she was captured by law enforcement in Mexico and removed to the United States to face prosecution.

    This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) Strike Force Initiative, which provides for the establishment of permanent multi-agency task force teams that work side-by-side in the same location. This co-located model enables agents from different agencies to collaborate on intelligence-driven, multi-jurisdictional operations to disrupt and dismantle the most significant drug traffickers, money launderers, gangs, and transnational criminal organizations.

    The OCDETF Arizona Strike Force is comprised of agents and officers from Customs and Border Protection, the Department of Homeland Security, Homeland Security Investigations, the Drug Enforcement Administration, the Federal Bureau of Investigation, Internal Revenue Service Criminal Investigation, the United States Marshals Service, the United States Postal Service, United States Postal Inspection Service, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Arizona Army National Guard, the Maricopa County Sheriff’s Office, Pima County Sheriff’s Office, and the Scottsdale Police Department. The United States Attorney’s Office, District of Arizona, Phoenix, handled the prosecution.
     

    CASE NUMBER:           CR-23-00408-PHX-GMS
    RELEASE NUMBER:    2025-012_Solano

    # # #

    For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
    Follow the U.S. Attorney’s Office, District of Arizona, on X @USAO_AZ for the latest news.

    MIL Security OSI –

  • MIL-OSI: Baker Hughes Announces Fourth-Quarter and Full-Year 2024 Results

    Source: GlobeNewswire (MIL-OSI)

    Fourth-quarter highlights

    • Orders of $7.5 billion, including $3.8 billion of IET orders.
    • RPO of $33.1 billion, including IET RPO of $30.1 billion.
    • Revenue of $7.4 billion, up 8% year-over-year.
    • GAAP diluted EPS of $1.18 and adjusted diluted EPS* of $0.70.
    • Adjusted EBITDA* of $1,310 million, up 20% year-over-year.
    • Cash flows from operating activities of $1,189 million and free cash flow* of $894 million.

    Full-year highlights

    • Orders of $28.2 billion, including $13.0 billion of IET orders.
    • Revenue of $27.8 billion, up 9% year-over-year.
    • Attributable net income of $2,979 million.
    • GAAP diluted EPS of $2.98 and adjusted diluted EPS* of $2.35.
    • Adjusted EBITDA* of $4,591 million, up 22% year-over-year.
    • Cash flows from operating activities of $3,332 million and free cash flow* of $2,257 million.
    • Returns to shareholders of $1,320 million, including $484 million of share repurchases.

    HOUSTON and LONDON, Jan. 30, 2025 (GLOBE NEWSWIRE) — Baker Hughes Company (Nasdaq: BKR) (“Baker Hughes” or the “Company”) announced results today for the fourth-quarter and full-year 2024.

    “2024 proved to be a momentous year for Baker Hughes. We closed out the year with exceptional fourth-quarter results, setting new quarterly and annual records for revenue, free cash flow and our adjusted measures of EPS, EBITDA, and EBITDA margin. Our strategy to drive profitable growth and continuous margin improvement is working. Looking forward, we will continue our journey to transform the Company, and we expect 2025 to demonstrate another strong year of EBITDA growth, led by our IET segment,” said Lorenzo Simonelli, Baker Hughes Chairman and Chief Executive Officer.

    “IET booked $3.8 billion of orders in the fourth quarter, supported by strong LNG orders and another gas infrastructure award. Including this strong end to the year, 2024 orders totaled $13 billion, the second highest order year ever. This order performance highlights the end-market diversity and versatility of our portfolio.”

    “Overall, our margin increase across both segments continues to demonstrate strong progress on the journey toward 20% segment EBITDA margins. Transformation actions will continue to be a major driver of our margin improvements as we progress through 2025 and beyond. We remain confident in achieving our 20% EBITDA margin targets for OFSE this year and IET in 2026.”

    “As reflected in our strong 2024 results and our exceptional margin improvement, Baker Hughes has evolved into a more profitable energy and industrial technology company. Company results are benefiting from strong execution, sharpened commercial focus and improved productivity gains. Our confidence in the durability and growth of our earnings and free cash flow positions us to continue growing our dividend, highlighted by the announcement to increase our quarterly dividend by 10% to $0.23.”

    “I would like to thank the Baker Hughes team for yet again delivering outstanding results. As we continue our journey to move Baker Hughes forward, we remain committed to our customers, shareholders, and employees,” concluded Simonelli.

    * Non-GAAP measure. See reconciliations in the section titled “Reconciliation of GAAP to non-GAAP Financial Measures.”

      Three Months Ended   Variance
    (in millions except per share amounts) December 31,
    2024    		 September 30,
    2024    		 December 31,
    2023    		   Sequential Year-over-year
    Orders $ 7,496 $ 6,676 $ 6,904   12 % 9 %
    Revenue   7,364   6,908   6,835   7 % 8 %
    Net income attributable to Baker Hughes   1,179   766   439   54 % 168 %
    Adjusted net income attributable to Baker Hughes*   694   666   511   4 % 36 %
    Operating income   665   930   651   (29 )% 2 %
    Adjusted operating income*   1,019   930   816   10 % 25 %
    Adjusted EBITDA*   1,310   1,208   1,091   8 % 20 %
    Diluted earnings per share (EPS)   1.18   0.77   0.43   54 % 171 %
    Adjusted diluted EPS*   0.70   0.67   0.51   4 % 37 %
    Cash flow from operating activities   1,189   1,010   932   18 % 28 %
    Free cash flow*   894   754   633   19 % 41 %

    * Non-GAAP measure. See reconciliations in the section titled “Reconciliation of GAAP to non-GAAP Financial Measures.”

    Certain columns and rows in our tables and financial statements may not sum up due to the use of rounded numbers.

    Quarter Highlights

    Industrial & Energy Technology (“IET”) recorded another strong quarter of gas infrastructure orders, booking an equipment award from Tecnicas Reunidas for the third expansion phase of the Jafurah unconventional gas field in the Kingdom of Saudi Arabia. Gas Technology Equipment (“GTE”) will supply a total of 12 electric motor-driven compression trains and auxiliary treatment equipment for gas processing. This contract builds upon Baker Hughes’ long-standing relationship with Aramco and follows previous contract awards in 2022, bringing the total to 24 electric motor-driven compressors and an additional 14 compressors supplied by Baker Hughes for multiple Jafurah gas processing plants.

    In demonstration of its well-established leadership position in liquefied natural gas (“LNG”) technology solutions, Baker Hughes received multiple project awards in the fourth quarter. As part of a master equipment supply agreement, IET received a major contract to provide a modularized LNG system and power island to Venture Global. IET also received, from Bechtel Energy, a GTE award to supply eight LM6000 PF+ driven main refrigeration compressors and eight expander compressors across two LNG trains for a nameplate capacity of approximately 11 million ton per annum for Phase 1 of Woodside Energy’s Louisiana project.

    Gas Technology Services (“GTS”) continues to demonstrate leadership in turbomachinery aftermarket service, booking several notable service and upgrade awards to backlog. GTS signed a long-term services agreement to support Phases 1 and 2 of Venture Global’s Plaquemines LNG project, and also signed a 25-year services agreement with a NextDecade affiliate to support its Rio Grande LNG facility. Additionally, GTS received an award from an energy operator to provide planned maintenance activities to assure reliability, availability, and efficiency of turbomachinery at their LNG facility in Asia Pacific. The capabilities of IET’s iCenter™ will also be utilized to drive improved outcomes for the customer. Finally, GTS booked multiple upgrade awards for gas infrastructure projects in the Middle East and Europe.

    Climate Technology Solutions (“CTS”) secured multiple awards targeting flare reduction. As announced at COP29 in Baku, Azerbaijan, CTS will provide SOCAR, the state-owned oil company of Azerbaijan, with an integrated gas recovery and hydrogen sulfide removal system to significantly reduce downstream flaring at the Heydar Aliyev Oil Refinery. Separately in the Middle East, CTS will supply electric-driven centrifugal compressors for one of the largest gas processing and flare gas recovery projects globally.

    Oilfield Services & Equipment (“OFSE”), through its Mature Assets Solutions (“MAS”) offering, received a multi-year contract from Eni to help unlock bypassed reserves in one of Europe’s largest developments. Baker Hughes will utilize its AutoTrak eXact™ rotary steerable drilling system to reduce risks and execution costs for Eni. OFSE also booked another MAS award in the Middle East to provide artificial lift services in a super-giant oilfield, including advanced permanent magnet motors for improved electric submersible pump efficiency.

    Baker Hughes experienced a strong order quarter for flexible pipe systems in Brazil. Following a third-quarter 2024 award, OFSE received another flexible pipe systems award from Petrobras after an open tender, reinforcing this important relationship and Baker Hughes’ leading position in the product line. The capability of Baker Hughes’ flexible pipe systems to address the critical issue of stress-induced corrosion cracking from CO2 resulted in this significant award for approximately 48 miles of flexible pipe systems to be installed across four different fields. Additionally, OFSE received an order from Brava Energia to supply 9 miles of flexible pipe systems to be deployed in the Campos Basin.

    OFSE also advanced its digitalization and artificial intelligence capabilities, signing an agreement with AIQ, ADNOC and CORVA to launch the AI Rate of Penetration (ROP) Optimization initiative. The project aims to enhance drilling efficiency in real-time by providing insights and recommendations for optimizing weight on bit, rotations per minute and other critical parameters.

    Consolidated Revenue and Operating Income by Reporting Segment

    (in millions) Three Months Ended   Variance
      December 31,
    2024    		 September 30,
    2024    		 December 31,
    2023    		   Sequential Year-over-year
    Oilfield Services & Equipment $ 3,871   $ 3,963   $ 3,956     (2 )% (2 )%
    Industrial & Energy Technology   3,492     2,945     2,879     19  % 21  %
    Segment revenue   7,364     6,908     6,835     7  % 8  %
                 
    Oilfield Services & Equipment   526     547     492     (4 )% 7  %
    Industrial & Energy Technology   584     474     412     23  % 42  %
    Corporate(1)   (91 )   (91 )   (88 )   —  % (3 )%
    Inventory impairment(2)   (73 )   —     (2 )   NM    NM   
    Restructuring, impairment and other   (281 )   —     (163 )   NM     (73 )%
    Operating income   665     930     651     (29 )% 2  %
    Adjusted operating income*   1,019     930     816     10  % 25  %
    Depreciation & amortization   291     278     274     5  % 6  %
    Adjusted EBITDA* $ 1,310   $ 1,208   $ 1,091     8  % 20  %

    * Non-GAAP measure. See reconciliations in the section titled “Reconciliation of GAAP to non-GAAP Financial Measures.”

    “NM” is used when the percentage variance is not meaningful.

    (1)   Corporate costs are primarily reported in “Selling, general and administrative” in the consolidated statements of income (loss).

    (2)   Charges for inventory impairments are reported in “Cost of goods sold” in the consolidated statements of income (loss).

    Revenue for the fourth quarter of 2024 was $7,364 million, an increase of 7% sequentially and an increase of 8% year-over-year. The increase in revenue year-over-year was driven by IET.

    The Company’s total book-to-bill ratio in the fourth quarter of 2024 was 1.0; the IET book-to-bill ratio was 1.1.

    Operating income as determined in accordance with accounting principles generally accepted in the United States of America (“GAAP”), for the fourth quarter of 2024 was $665 million. Operating income decreased $265 million sequentially and increased $13 million year-over-year. Restructuring, impairment, and other charges were $281 million in the fourth quarter of 2024, primarily related to streamlining of the OFSE operating model.

    Adjusted operating income (a non-GAAP financial measure) for the fourth quarter of 2024 was $1,019 million, which excludes adjustments totaling $354 million. A list of the adjusting items and associated reconciliation from GAAP has been provided in Table 1a in the section titled “Reconciliation of GAAP to non-GAAP Financial Measures.” Adjusted operating income for the fourth quarter of 2024 was up 10% sequentially and up 25% year-over-year.

    Depreciation and amortization for the fourth quarter of 2024 was $291 million.

    Adjusted EBITDA (a non-GAAP financial measure) for the fourth quarter of 2024 was $1,310 million, which excludes adjustments totaling $354 million. See Table 1b in the section titled “Reconciliation of GAAP to non-GAAP Financial Measures.” Adjusted EBITDA for the fourth quarter was up 8% sequentially and up 20% year-over-year.

    The sequential increase in adjusted operating income and adjusted EBITDA was driven by higher volume in IET and structural cost-out initiatives in both segments, primarily offset by lower volume in OFSE. The year-over-year increase in adjusted operating income and adjusted EBITDA was driven by higher pricing and structural cost-out initiatives in both segments, and increased volume in IET primarily from higher proportionate growth in GTE, partially offset by decreased volume in OFSE and cost inflation in both segments.

    Other Financial Items

    Remaining Performance Obligations (“RPO”) in the fourth quarter of 2024 ended at $33.1 billion, a decrease of $0.3 billion from the third quarter of 2024. OFSE RPO was $3.0 billion, down 6% sequentially, while IET RPO was $30.1 billion, down $100 million sequentially. Within IET RPO, GTE RPO was $11.8 billion and GTS RPO was $15.0 billion.

    Income tax benefit in the fourth quarter of 2024 was $398 million reflecting the impact of a valuation allowance release in the U.S. The valuation allowance has been released primarily as a result of the U.S. moving into a cumulative three-year profit position.

    Other non-operating income in the fourth quarter of 2024 was $181 million. Included in other non-operating income were net mark-to-market gains in fair value and gains from sale for certain equity investments of $196 million.

    GAAP diluted earnings per share was $1.18. Adjusted diluted earnings per share (a non-GAAP financial measure) was $0.70. Excluded from adjusted diluted earnings per share were all items listed in Table 1c in the section titled “Reconciliation of GAAP to non-GAAP Financial Measures.”

    Cash flow from operating activities was $1,189 million for the fourth quarter of 2024. Free cash flow (a non-GAAP financial measure) for the quarter was $894 million. A reconciliation from GAAP has been provided in Table 1d in the section titled “Reconciliation of GAAP to non-GAAP Financial Measures.”

    Capital expenditures, net of proceeds from disposal of assets, were $295 million for the fourth quarter of 2024, of which $195 million was for OFSE and $87 million was for IET.

    Results by Reporting Segment
     

    The following segment discussions and variance explanations are intended to reflect management’s view of the relevant comparisons of financial results on a sequential or year-over-year basis, depending on the business dynamics of the reporting segments.

    Oilfield Services & Equipment

    (in millions) Three Months Ended   Variance
    Segment results December 31,
    2024    		 September 30,
    2024    		 December 31,
    2023    		   Sequential Year-over-year
    Orders $ 3,740   $ 3,807   $ 3,874     (2 )% (3 )%
    Revenue $ 3,871   $ 3,963   $ 3,956     (2 )% (2 )%
    Operating income $ 526   $ 547   $ 492     (4 )% 7  %
    Operating margin   13.6 %   13.8 %   12.4 %   -0.2pts   1.1pts  
    Depreciation & amortization $ 229   $ 218   $ 217     5  % 6  %
    EBITDA* $ 755   $ 765   $ 709     (1 )% 7  %
    EBITDA margin*   19.5 %   19.3 %   17.9 %   0.2pts   1.6pts  
    (in millions) Three Months Ended   Variance
    Revenue by Product Line December 31,
    2024    		 September 30,
    2024    		 December 31,
    2023    		   Sequential Year-over-year
    Well Construction $ 943 $ 1,050 $ 1,122   (10 )% (16 )%
    Completions, Intervention, and Measurements   1,022   1,009   1,086   1  % (6 )%
    Production Solutions   974   983   990   (1 )% (2 )%
    Subsea & Surface Pressure Systems   932   921   758   1  % 23  %
    Total Revenue $ 3,871 $ 3,963 $ 3,956   (2 )% (2 )%
    (in millions) Three Months Ended   Variance
    Revenue by Geographic Region December 31,
    2024    		 September 30,
    2024    		 December 31,
    2023    		   Sequential Year-over-year
    North America $ 971 $ 971 $ 1,018   —  % (5 )%
    Latin America   661   648   708   2  % (7 )%
    Europe/CIS/Sub-Saharan Africa   740   933   707   (21 )% 5  %
    Middle East/Asia   1,499   1,411   1,522   6  % (2 )%
    Total Revenue $ 3,871 $ 3,963 $ 3,956   (2 )% (2 )%
                 
    North America $ 971 $ 971 $ 1,018   —  % (5 )%
    International   2,900   2,992   2,938   (3 )% (1 )%

    * Non-GAAP measure. See reconciliations in the section titled “Reconciliation of GAAP to non-GAAP Financial Measures.” EBITDA margin is defined as EBITDA divided by revenue.

    OFSE orders of $3,740 million for the fourth quarter of 2024 decreased by $67 million sequentially. Subsea and Surface Pressure Systems orders were $802 million, up 3% sequentially, and up 23% year-over-year.

    OFSE revenue of $3,871 million for the fourth quarter of 2024 was down 2% sequentially, and down 2% year-over-year.

    North America revenue was $971 million, flat sequentially. International revenue was $2,900 million, down 3% sequentially, driven by declines in Europe/CIS/Sub-Saharan Africa region partially offset by growth in Middle East/Asia and Latin America.

    Segment operating income for the fourth quarter was $526 million, a decrease of $22 million, or 4%, sequentially. Segment EBITDA for the fourth quarter of 2024 was $755 million, a decrease of $10 million, or 1% sequentially. The sequential decrease in segment operating income and EBITDA was driven by lower volume, partially mitigated by positive price and productivity from structural cost-out initiatives.

    Industrial & Energy Technology

    (in millions) Three Months Ended   Variance
    Segment results December 31,
    2024    		 September 30,
    2024    		 December 31,
    2023    		   Sequential Year-over-year
    Orders $ 3,756   $ 2,868   $ 3,030     31 % 24 %
    Revenue $ 3,492   $ 2,945   $ 2,879     19 % 21 %
    Operating income $ 584   $ 474   $ 412     23 % 42 %
    Operating margin   16.7 %   16.1 %   14.3 %   0.6pts 2.4pts
    Depreciation & amortization $ 56   $ 54   $ 51     4 % 8 %
    EBITDA* $ 639   $ 528   $ 463     21 % 38 %
    EBITDA margin*   18.3 %   17.9 %   16.1 %   0.4pts 2.2pts
    (in millions) Three Months Ended   Variance
    Orders by Product Line December 31,
    2024    		 September 30,
    2024    		 December 31,
    2023    		   Sequential Year-over-year
    Gas Technology Equipment $ 1,865 $ 1,088 $ 1,297   71  % 44  %
    Gas Technology Services   902   778   808   16  % 12  %
    Total Gas Technology   2,767   1,866   2,105   48  % 31  %
    Industrial Products   515   494   514   4  % —  %
    Industrial Solutions   320   293   288   9  % 11  %
    Total Industrial Technology   835   787   802   6  % 4  %
    Climate Technology Solutions   154   215   123   (28 )% 25  %
    Total Orders $ 3,756 $ 2,868 $ 3,030   31  % 24  %
    (in millions) Three Months Ended   Variance
    Revenue by Product Line December 31,
    2024    		 September 30,
    2024    		 December 31,
    2023    		   Sequential Year-over-year
    Gas Technology Equipment $ 1,663 $ 1,281 $ 1,206   30 % 38 %
    Gas Technology Services   796   697   714   14 % 11 %
    Total Gas Technology   2,459   1,978   1,920   24 % 28 %
    Industrial Products   548   520   513   5 % 7 %
    Industrial Solutions   282   257   276   10 % 2 %
    Total Industrial Technology   830   777   789   7 % 5 %
    Climate Technology Solutions   204   191   170   7 % 20 %
    Total Revenue $ 3,492 $ 2,945 $ 2,879   19 % 21 %

    * Non-GAAP measure. See reconciliations in the section titled “Reconciliation of GAAP to non-GAAP Financial Measures.” EBITDA margin is defined as EBITDA divided by revenue.

    IET orders of $3,756 million for the fourth quarter of 2024 increased by $726 million, or 24% year-over-year. The increase was driven primarily by GTE orders which were up $568 million, or 44% year-over-year.

    IET revenue of $3,492 million for the fourth quarter of 2024 increased $613 million, or 21% year-over-year. The increase was driven primarily by Gas Technology, up 28% year-over-year.

    Segment operating income for the quarter was $584 million, an increase of $172 million, or 42% year-over-year. Segment EBITDA for the quarter was $639 million, an increase of $176 million, or 38% year-over-year. The year-over-year increase in segment operating income and segment EBITDA was driven by increased volume primarily from higher proportionate growth in GTE, positive pricing, and productivity, partially offset by cost inflation.

    2024 Total Year Results

    (in millions) Twelve Months Ended   Variance
      December 31, 2024 December 31, 2023   Year-over-year
    Oilfield Services & Equipment $ 15,240   $ 16,344     (7)%
    Industrial & Energy Technology   13,000     14,178     (8)%
    Orders $ 28,240   $ 30,522     (7)%
             
    Oilfield Services & Equipment $ 15,628   $ 15,361     2%
    Industrial & Energy Technology   12,201     10,145     20%
    Segment Revenue $ 27,829   $ 25,506     9%
             
    Oilfield Services & Equipment $ 1,988   $ 1,746     14%
    Industrial & Energy Technology   1,830     1,310     40%
    Corporate(1)   (363 )   (380 )   5%
    Inventory impairment(2)   (73 )   (35 )   (110)%
    Restructuring, impairment & other   (301 )   (323 )   7%
    Operating income   3,081     2,317     33%
    Adjusted operating income *   3,455     2,676     29%
    Depreciation & amortization   1,136     1,087     4%
    Adjusted EBITDA * $ 4,591   $ 3,763     22%

    * Non-GAAP measure. See reconciliations in the section titled “Reconciliation of GAAP to non-GAAP Financial Measures.”

    (1)   Corporate costs are primarily reported in “Selling, general and administrative” in the consolidated statements of income (loss).

    (2)   Charges for inventory impairments are reported in “Cost of goods sold” in the consolidated statements of income (loss). 

    Reconciliation of GAAP to non-GAAP Financial Measures

    Management provides non-GAAP financial measures because it believes such measures are widely accepted financial indicators used by investors and analysts to analyze and compare companies on the basis of operating performance (including adjusted operating income; EBITDA; EBITDA margin; adjusted EBITDA; adjusted net income attributable to Baker Hughes; and adjusted diluted earnings per share) and liquidity (free cash flow) and that these measures may be used by investors to make informed investment decisions. Management believes that the exclusion of certain identified items from several key operating performance measures enables us to evaluate our operations more effectively, to identify underlying trends in the business, and to establish operational goals for certain management compensation purposes. Management also believes that free cash flow is an important supplemental measure of our cash performance but should not be considered as a measure of residual cash flow available for discretionary purposes, or as an alternative to cash flow from operating activities presented in accordance with GAAP.

    Table 1a. Reconciliation of GAAP and Adjusted Operating Income

      Three Months Ended   Twelve Months Ended
      December 31, September 30, December 31,   December 31,
    (in millions)   2024   2024   2023     2024   2023
    Operating income (GAAP) $ 665 $ 930 $ 651   $ 3,081 $ 2,317
    Restructuring, impairment & other   281   —   163     301   323
    Inventory impairment(1)   73   —   2     73   35
    Total operating income adjustments   354   —   165     375   358
    Adjusted operating income (non-GAAP) $ 1,019 $ 930 $ 816   $ 3,455 $ 2,676

    (1)   Charges for inventory impairments are reported in “Cost of goods sold” in the consolidated statements of income (loss).

    Table 1a reconciles operating income, which is the directly comparable financial result determined in accordance with GAAP, to adjusted operating income. Adjusted operating income excludes the impact of certain identified items.

    Table 1b. Reconciliation of Net Income Attributable to Baker Hughes to EBITDA and Adjusted EBITDA

      Three Months Ended   Twelve Months Ended
      December 31, September 30, December 31,   December 31,
    (in millions)   2024     2024     2023     2024     2023  
    Net income attributable to Baker Hughes (GAAP) $ 1,179   $ 766   $ 439   $ 2,979   $ 1,943  
    Net income attributable to noncontrolling interests   11     8     11     29     27  
    Provision (benefit) for income taxes   (398 )   235     72     257     685  
    Interest expense, net   54     55     45     198     216  
    Other non-operating (income) loss, net   (181 )   (134 )   84     (382 )   (554 )
    Operating income (GAAP)   665     930     651     3,081     2,317  
    Depreciation & amortization   291     278     274     1,136     1,087  
    EBITDA (non-GAAP)   956     1,208     926     4,216     3,405  
    Total operating income adjustments(1)   354     —     165     375     358  
    Adjusted EBITDA (non-GAAP) $ 1,310   $ 1,208   $ 1,091   $ 4,591   $ 3,763  

    (1)   See Table 1a for the identified adjustments to operating income.

    Table 1b reconciles net income attributable to Baker Hughes, which is the directly comparable financial result determined in accordance with GAAP, to EBITDA. Adjusted EBITDA excludes the impact of certain identified items.

    Table 1c. Reconciliation of Net Income Attributable to Baker Hughes to Adjusted Net Income Attributable to Baker Hughes

      Three Months Ended   Twelve Months Ended
      December 31, September 30, December 31,   December 31,
    (in millions, except per share amounts)   2024     2024     2023       2024     2023  
    Net income attributable to Baker Hughes (GAAP) $ 1,179   $ 766   $ 439     $ 2,979   $ 1,943  
    Total operating income adjustments(1)   354     —     165       375     358  
    Other adjustments (non-operating)(2)   (189 )   (99 )   89       (335 )   (554 )
    Tax adjustments(3)   (650 )   (1 )   (181 )     (663 )   (124 )
    Total adjustments, net of income tax   (485 )   (100 )   72       (623 )   (320 )
    Less: adjustments attributable to noncontrolling interests   —     —     —       —     —  
    Adjustments attributable to Baker Hughes   (485 )   (100 )   72       (623 )   (320 )
    Adjusted net income attributable to Baker Hughes (non-GAAP) $ 694   $ 666   $ 511     $ 2,356   $ 1,622  
                 
                 
    Denominator:            
    Weighted-average shares of Class A common stock outstanding diluted   999     999     1,010       1,001     1,015  
    Adjusted earnings per share – diluted (non-GAAP) $ 0.70   $ 0.67   $ 0.51     $ 2.35   $ 1.60  

    (1)   See Table 1a for the identified adjustments to operating income.

    (2)   All periods primarily reflect the net gain or loss on changes in fair value for certain equity investments.

    (3)   All periods reflect the tax associated with the other operating and non-operating adjustments. 4Q’24 and fiscal year 2024 include $664 million and 4Q’23 and fiscal year 2023 include $81 million, respectively, related to the release of valuation allowances for certain deferred tax assets.

    Table 1c reconciles net income attributable to Baker Hughes, which is the directly comparable financial result determined in accordance with GAAP, to adjusted net income attributable to Baker Hughes. Adjusted net income attributable to Baker Hughes excludes the impact of certain identified items.

    Table 1d. Reconciliation of Net Cash Flows From Operating Activities to Free Cash Flow

      Three Months Ended   Twelve Months Ended
      December 31, September 30, December 31,   December 31,
    (in millions)   2024     2024     2023       2024     2023  
    Net cash flows from operating activities (GAAP) $ 1,189   $ 1,010   $ 932     $ 3,332   $ 3,062  
    Add: cash used for capital expenditures, net of proceeds from disposal of assets   (295 )   (256 )   (298 )     (1,075 )   (1,016 )
    Free cash flow (non-GAAP) $ 894   $ 754   $ 633     $ 2,257   $ 2,045  

    Table 1d reconciles net cash flows from operating activities, which is the directly comparable financial result determined in accordance with GAAP, to free cash flow. Free cash flow is defined as net cash flows from operating activities less expenditures for capital assets plus proceeds from disposal of assets.

    Financial Tables (GAAP)
     
    Condensed Consolidated Statements of Income (Loss)
    (Unaudited)
     
      Three Months Ended
    (In millions, except per share amounts) December 31, 2024 September 30, 2024 December 31, 2023
    Revenue $ 7,364   $ 6,908   $ 6,835  
    Costs and expenses:      
    Cost of revenue   5,833     5,366     5,386  
    Selling, general and administrative   585     612     634  
    Restructuring, impairment and other   281     —     163  
    Total costs and expenses   6,699     5,978     6,183  
    Operating income   665     930     651  
    Other non-operating income (loss), net   181     134     (84 )
    Interest expense, net   (54 )   (55 )   (45 )
    Income before income taxes   792     1,009     522  
    Benefit (provision) for income taxes   398     (235 )   (72 )
    Net income   1,190     774     450  
    Less: Net income attributable to noncontrolling interests   11     8     11  
    Net income attributable to Baker Hughes Company $ 1,179   $ 766   $ 439  
           
    Per share amounts:    
    Basic income per Class A common share $ 1.19   $ 0.77   $ 0.44  
    Diluted income per Class A common share $ 1.18   $ 0.77   $ 0.43  
           
    Weighted average shares:      
    Class A basic   990     993     1,001  
    Class A diluted   999     999     1,010  
           
    Cash dividend per Class A common share $ 0.21   $ 0.21   $ 0.20  
           
     
    Condensed Consolidated Statements of Income (Loss)
    (Unaudited)
     
      Year Ended December 31,
    (In millions, except per share amounts)   2024     2023     2022  
    Revenue $ 27,829   $ 25,506   $ 21,156  
    Costs and expenses:      
    Cost of revenue   21,989     20,255     16,756  
    Selling, general and administrative   2,458     2,611     2,510  
    Restructuring, impairment and other   301     323     705  
    Total costs and expenses   24,748     23,189     19,971  
    Operating income   3,081     2,317     1,185  
    Other non-operating income (loss), net   382     554     (911 )
    Interest expense, net   (198 )   (216 )   (252 )
    Income before income taxes   3,265     2,655     22  
    Provision for income taxes   (257 )   (685 )   (600 )
    Net income (loss)   3,008     1,970     (578 )
    Less: Net income attributable to noncontrolling interests   29     27     23  
    Net income (loss) attributable to Baker Hughes Company $ 2,979   $ 1,943   $ (601 )
           
    Per share amounts:      
    Basic income (loss) per Class A common share $ 3.00   $ 1.93   $ (0.61 )
    Diluted income (loss) per Class A common share $ 2.98   $ 1.91   $ (0.61 )
           
    Weighted average shares:      
    Class A basic   994     1,008     987  
    Class A diluted   1,001     1,015     987  
           
    Cash dividend per Class A common share $ 0.84   $ 0.78   $ 0.73  
     
    Condensed Consolidated Statements of Financial Position
    (Unaudited)
     
      December 31,
    (In millions)   2024   2023
    ASSETS
    Current Assets:    
    Cash and cash equivalents $ 3,364 $ 2,646
    Current receivables, net   7,122   7,075
    Inventories, net   4,954   5,094
    All other current assets   1,771   1,486
    Total current assets   17,211   16,301
    Property, plant and equipment, less accumulated depreciation   5,127   4,893
    Goodwill   6,078   6,137
    Other intangible assets, net   3,951   4,093
    Contract and other deferred assets   1,730   1,756
    All other assets   4,266   3,765
    Total assets $ 38,363 $ 36,945
    LIABILITIES AND EQUITY
    Current Liabilities:    
    Accounts payable $ 4,542 $ 4,471
    Short-term and current portion of long-term debt   53   148
    Progress collections and deferred income   5,672   5,542
    All other current liabilities   2,724   2,830
    Total current liabilities   12,991   12,991
    Long-term debt   5,970   5,872
    Liabilities for pensions and other postretirement benefits   988   978
    All other liabilities   1,359   1,585
    Equity   17,055   15,519
    Total liabilities and equity $ 38,363 $ 36,945
         
    Outstanding Baker Hughes Company shares:    
    Class A common stock   990   998
     
    Condensed Consolidated Statements of Cash Flows
    (Unaudited)
     
      Three Months
    Ended
    December 31,    		 Twelve Months Ended
    December 31,
    (In millions)   2024     2024     2023  
    Cash flows from operating activities:      
    Net income $ 1,190   $ 3,008   $ 1,970  
    Adjustments to reconcile net income to net cash flows from operating activities:      
    Depreciation and amortization   291     1,136     1,087  
    Benefit for deferred income taxes   (706 )   (671 )   (59 )
    Gain on equity securities   (196 )   (367 )   (555 )
    Stock-based compensation cost   49     202     197  
    Property, plant and equipment impairment, net   77     77     (1 )
    Gain on business dispositions   —     —     (40 )
    Working capital   63     7     42  
    Other operating items, net   421     (60 )   421  
    Net cash flows provided by operating activities   1,189     3,332     3,062  
    Cash flows from investing activities:      
    Expenditures for capital assets   (353 )   (1,278 )   (1,224 )
    Proceeds from disposal of assets   58     203     208  
    Proceeds from sale of equity securities   71     92     372  
    Proceeds from business dispositions   —     —     293  
    Net cash paid for acquisitions   —     —     (301 )
    Other investing items, net   6     (33 )   (165 )
    Net cash flows used in investing activities   (218 )   (1,016 )   (817 )
    Cash flows from financing activities:      
    Repayment of long-term debt   (9 )   (143 )   (651 )
    Dividends paid   (208 )   (836 )   (786 )
    Repurchase of Class A common stock   (9 )   (484 )   (538 )
    Other financing items, net   (8 )   (64 )   (53 )
    Net cash flows used in financing activities   (234 )   (1,527 )   (2,028 )
    Effect of currency exchange rate changes on cash and cash equivalents   (37 )   (71 )   (59 )
    Increase in cash and cash equivalents   700     718     158  
    Cash and cash equivalents, beginning of period   2,664     2,646     2,488  
    Cash and cash equivalents, end of period $ 3,364   $ 3,364   $ 2,646  
    Supplemental cash flows disclosures:      
    Income taxes paid, net of refunds $ 307   $ 1,040   $ 595  
    Interest paid $ 99   $ 298   $ 309  
     

    Supplemental Financial Information

    Supplemental financial information can be found on the Company’s website at: investors.bakerhughes.com in the Financial Information section under Quarterly Results.

    Conference Call and Webcast

    The Company has scheduled an investor conference call to discuss management’s outlook and the results reported in today’s earnings announcement. The call will begin at 9:30 a.m. Eastern time, 8:30 a.m. Central time on Friday, January 31, 2025, the content of which is not part of this earnings release. The conference call will be broadcast live via a webcast and can be accessed by visiting the Events and Presentations page on the Company’s website at: investors.bakerhughes.com. An archived version of the webcast will be available on the website for one month following the webcast.

    Forward-Looking Statements

    This news release (and oral statements made regarding the subjects of this release) may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, (each a “forward-looking statement”). Forward-looking statements concern future circumstances and results and other statements that are not historical facts and are sometimes identified by the words “may,” “will,” “should,” “potential,” “intend,” “expect,” “would,” “seek,” “anticipate,” “estimate,” “overestimate,” “underestimate,” “believe,” “could,” “project,” “predict,” “continue,” “target”, “goal” or other similar words or expressions. There are many risks and uncertainties that could cause actual results to differ materially from our forward-looking statements. These forward-looking statements are also affected by the risk factors described in the Company’s annual report on Form 10-K for the annual period ended December 31,2024; and those set forth from time to time in other filings with the Securities and Exchange Commission (“SEC”). The documents are available through the Company’s website at: www.investors.bakerhughes.com or through the SEC’s Electronic Data Gathering and Analysis Retrieval system at: www.sec.gov. We undertake no obligation to publicly update or revise any forward-looking statement, except as required by law. Readers are cautioned not to place undue reliance on any of these forward-looking statements.

    Our expectations regarding our business outlook and business plans; the business plans of our customers; oil and natural gas market conditions; cost and availability of resources; economic, legal and regulatory conditions, and other matters are only our forecasts regarding these matters.

    These forward-looking statements, including forecasts, may be substantially different from actual results, which are affected by many risks, along with the following risk factors and the timing of any of these risk factors:

    • Economic and political conditions – the impact of worldwide economic conditions and rising inflation; the impact of tariffs and the potential for significant increases thereto; the effect that declines in credit availability may have on worldwide economic growth and demand for hydrocarbons; foreign currency exchange fluctuations and changes in the capital markets in locations where we operate; and the impact of government disruptions and sanctions.
    • Orders and RPO – our ability to execute on orders and RPO in accordance with agreed specifications, terms and conditions and convert those orders and RPO to revenue and cash.
    • Oil and gas market conditions – the level of petroleum industry exploration, development and production expenditures; the price of, volatility in pricing of, and the demand for crude oil and natural gas; drilling activity; drilling permits for and regulation of the shelf and the deepwater drilling; excess productive capacity; crude and product inventories; liquefied natural gas supply and demand; seasonal and other adverse weather conditions that affect the demand for energy; severe weather conditions, such as tornadoes and hurricanes, that affect exploration and production activities; Organization of Petroleum Exporting Countries (“OPEC”) policy and the adherence by OPEC nations to their OPEC production quotas.
    • Terrorism and geopolitical risks – war, military action, terrorist activities or extended periods of international conflict, particularly involving any petroleum-producing or consuming regions, including Russia and Ukraine; and the recent conflict in the Middle East; labor disruptions, civil unrest or security conditions where we operate; potentially burdensome taxation, expropriation of assets by governmental action; cybersecurity risks and cyber incidents or attacks; epidemic outbreaks.

    About Baker Hughes:

    Baker Hughes (Nasdaq: BKR) is an energy technology company that provides solutions for energy and industrial customers worldwide. Built on a century of experience and conducting business in over 120 countries, our innovative technologies and services are taking energy forward – making it safer, cleaner and more efficient for people and the planet. Visit us at bakerhughes.com

    For more information, please contact:

    Investor Relations

    Chase Mulvehill
    +1 346-297-2561
    investor.relations@bakerhughes.com

    Media Relations

    Adrienne Lynch
    +1 713-906-8407
    adrienne.lynch@bakerhughes.com

    The MIL Network –

  • MIL-OSI USA: Cassidy, Grassley, Heinrich Lead Reintroduction of Legislation to Combat Illegal Fentanyl

    US Senate News:

    Source: United States Senator for Louisiana Bill Cassidy
    WASHINGTON – U.S. Senators Bill Cassidy, M.D. (R-LA), Chuck Grassley (R-IA), and Martin Heinrich (D-NM) led 11 colleagues in reintroducing the Halt Lethal Trafficking (HALT) Fentanyl Act. This legislation makes permanent the temporary classification of fentanyl-related substances as Schedule I of the Controlled Substances Act (CSA). Drug overdoses, largely driven by fentanyl, are the leading cause of death among young adults 18 to 45 years old. Synthetic opioids like fentanyl account for 66 percent of the total U.S. overdose deaths. The drug’s Schedule I classification is set to expire on March 31, 2025. 
    “The Biden administration’s open border was an invitation to drug cartels smuggling Chinese fentanyl into the U.S., fueling the U.S. overdose epidemic,” said Dr. Cassidy. “Law enforcement must have the tools necessary to combat this trend. We cannot let this Schedule I classification lapse.”
    “Today, roughly 150 Americans will die from fentanyl poisoning. Cartels’ fuel this crisis by marketing their poison as legitimate prescription pills. They also avoid regulation by chemically altering the drugs to create powerful fentanyl knock-offs,” said Senator Grassley. “Congress closed that loophole by temporarily classifying fentanyl related substances under Schedule 1. The HALT Fentanyl Act would make permanent fentanyl related substances’ Schedule 1 classification and ensure law enforcement has the tools they need to combat these deadly drugs.”
    “We’re losing more than 100,000 Americans each year to illicit fentanyl overdoses. I refuse to accept this reality, and that’s why I’m working to deliver tools law enforcement personnel need to keep deadly fentanyl off our streets and out of our communities,” said Senator Heinrich. “Permanently scheduling fentanyl and its analogues will help federal and local law enforcement crack down on illegal trafficking and allow prosecutors to build stronger, longer-term criminal cases. Our HALT Fentanyl Act will help stop the flow of these deadly drugs into our communities and save lives.”  
    Cassidy, Grassley, and Heinrich were joined by U.S. Senators Roger Marshall (R-KS), Todd Young (R-IN), Steve Daines (R-MT), Eric Schmitt (R-MO), Maggie Hassan (D-NH), Shelley Moore Capito (R-VW), Ruben Gallego (D-AZ), Catherine Cortez Masto (D-NV), Mike Rounds (R-SD), John Kennedy (R-LA), and Jeanne Shaheen (D-NH) in introducing the legislation.
    The legislation also removes barriers that impede the ability of researchers to conduct studies on fentanyl-related substances and allows for exemptions if such research provides evidence that it would be beneficial for specific substances to be classified differently than Schedule I, such as for medical purposes.  
    From August 2021 to August 2022, a record-breaking 107,735 Americans lost their lives to drug overdoses. The surge was primarily fueled by synthetic opioids, including illegal fentanyl, which are largely manufactured in Mexico from raw materials supplied by China. In 2022, there were over 50.6 million fentanyl-laced fake prescription pills seized by the U.S. Drug Enforcement Administration (DEA), more than doubling the amount seized in 2021. 
    Click here for a one-pager. Click here for a section-by-section.
    Background
    According to the U.S. Centers for Disease Control and Prevention (CDC), there were an estimated 107,543 drug overdose deaths in the U.S. in 2023. This was primarily fueled by synthetic opioids, including illegal fentanyl, which are largely manufactured in Mexico from raw materials supplied by China. In 2022, there were over 50.6 million fentanyl-laced fake prescription pills seized by the U.S. Drug Enforcement Administration (DEA), more than doubling the amount seized in 2021. 
    The U.S. House of Representatives passed the HALT Fentanyl Act in March 2023. 

    MIL OSI USA News –

  • MIL-OSI United Nations: Stressing Peacebuilding Commission’s Critical Role amid Rise in Conflicts Worldwide, Secretary-General Urges Increased, Innovative Funding to Support Its Work

    Source: United Nations General Assembly and Security Council

    Speakers Highlight Pact for Future’s Prioritization of Conflict Prevention, Mediation and Peacebuilding

    Amid escalating conflicts, widening geopolitical divisions and deepening climate crisis, the Peacebuilding Commission is “more critical than ever”, said the UN Chief, stressing that the Pact for the Future charts a course to reforming international cooperation by prioritizing prevention, mediation and peacebuilding.

    “Now we have the chance to consolidate and expand [the Commission’s] work,” said António Guterres, Secretary-General of the United Nations, recognizing its vital advisory role to the Security Council — including in the context of UN mission transitions.  He also commended its convening role within the UN and beyond, engaging civil society, the private sector, international and regional organizations and financial institutions.

    This year’s Review of the United Nations Peacebuilding Architecture offers an opportunity to strengthen the Commission’s role, he said, pointing to his recent report on Peacebuilding and Sustaining Peace, which suggests mobilizing political and financial support for nationally owned peacebuilding and prevention strategies.  

    On the issue of financing, he said the General Assembly’s approval of assessed contributions to the Peacebuilding Fund marks “an important step”. However, it is still a far cry from the “quantum leap” of $500 million per year that is needed.  Emphasizing that “voluntary contributions remain paramount”, he encouraged countries to provide additional support to the Fund.  Additionally, given the urgent and expanding needs for peacebuilding support, the Review of the Peacebuilding Architecture shall further examine how to ensure the Fund’s predictability, adequacy and sustainability by exploring innovative financing mechanisms, public-private partnerships and blended funding models.

    “We must never waver in our commitment to pursue, achieve and sustain peace,” he stated, noting that the UN’s peacebuilding architecture — in collaboration with UN country teams — is essential to help “translate aspirations into reality”.

    Following the Secretary-General’s opening remarks, the Commission adopted the body’s report on its eighteenth session, whose final version will be transmitted to the General Assembly and the Security Council for their respective annual consideration. 

    Election of Officers for Nineteenth Session

    The Commission also elected officers for its nineteenth session by acclamation, including Germany as Chair and Japan, Poland, Brazil and Morocco as Vice-Chairs.  Further, it re-elected the following countries to chair the Commission’s country-specific configurations:  Morocco, for the Central African Republic; Brazil, for Guinea-Bissau; and Sweden, for Liberia. 

    Outgoing Commission Chair Highlights 2024 Efforts to Address Peacebuilding Challenges

    As outgoing Chair of the Commission’s eighteenth session, the representative of Brazil noted the Commission’s “robust” mandate as a platform for countries seeking assistance for their peacebuilding and conflict-prevention priorities.  “Through the [Commission], political, technical and financial support can be mobilized, and real impact on the ground can be achieved,” he said.  In that context, he highlighted that the body’s work in 2024 focused on exploring “concrete peacebuilding challenges” and showcasing “what has worked, lessons learned, frustrations and challenges different countries face”. 

    He added that, during 2024, the Commission also engaged in preparation for the 2025 peacebuilding architecture review.  Expressing hope that Member States see such review “as an opportunity that should not be missed”, he urged better synergy between the Commission, the Peacebuilding Support Office and the Peacebuilding Fund. “We should also explore ways to provide adequate institutional support to the [Commission] at all levels,” he said, expressing hope that the Trusteeship Council room may one day be renamed the Peacebuilding Council room.

    Pointing out that the Security Council’s permanent members are also permanent Commission members, he expressed hope that those States will participate more in Commission meetings in the future.  “With great power comes great responsibility,” he observed.

    Incoming Commission Chair Cites Strong Focus in 2025 on National Ownership, Closer Relationship with Peacebuilding Fund and Improving Impact 

    The representative of Germany, Chair of the Commission’s nineteenth session, noted her intention to continue supporting a strong emphasis on national ownership, the body’s convening power and its “unique bridging role” across the pillars of the United Nations.  Also pointing to opportunities to improve the Commission’s coherence and efficacy, she said that she will ensure follow-up with countries after a Commission meeting, work on a closer relationship between the Commission and the Peacebuilding Fund, and make the Fund’s work more visible — “especially with a view to the first-time-ever use of assessed contributions”. 

    She also detailed her hope to strengthen evidence-based discussion and peer-to-peer learning and consider the question of peacebuilding impact — “to ensure that the work we do here in New York has an impact on people’s lives on the ground”.  Work will also be done to build on previous efforts to foster the Commission’s relationship with regional organizations, strengthen coherence within the UN and enhance cooperation with international financial institutions.  She added that a close, meaningful exchange with other UN bodies is “key”. 

    Assistant Secretary-General Says Commission Uniquely Positioned to Offer Platform for Member States 

    The Assistant Secretary-General of the Peacebuilding Commission said that, in the current context of the proliferation of conflict and violence worldwide, the Commission is “uniquely positioned” to offer a platform for Member States that wish to come to it.  She added that 2025 presents new opportunities to strengthen the Commission’s role, including by accompanying countries’ peacebuilding journey.

    Incoming Vice Commission Chairs and Chairs of Country-Specific Configurations Share Perspectives

    Incoming Vice Chairs for the nineteenth session echoed that sentiment, with the representative of Poland saying 2025 “presents itself as a truly unique and exceptional year”.  The Pact for the Future, adopted in 2024, must be made to work “in the best possible way”, he said, particularly in the context of strengthening peacebuilding and conflict prevention. 

    Morocco’s speaker stressed that the Commission should expand its geographic and thematic scope while upholding the principle of national ownership.  Underscoring the need to optimize the Commission’s collaboration with the Council and other UN organs, he called for a comprehensive approach towards sustaining peace by leveraging and utilizing each body’s unique characteristics in a mutually complementary manner.

    The representative of Morocco said he will work to promote reconciliation, post-conflict reconstruction, development and inclusive peace processes.  As Chair of the Commission’s country-specific configuration for the Central African Republic, he will continue to work to mobilize the necessary resources for organizing upcoming local elections in that country — a “crucial stage for strengthening local governance and legitimacy of the authorities”.

    Brazil’s delegate stated:  “Our region faces its own peacebuilding and conflict prevention challenges [while] developing solutions.”  Noting his country’s readiness to share lessons learned, he said “this exchange is most useful in our common task as peacebuilders”. 

    The representative of Sweden, Chair of the Commission’s country-specific configuration for Liberia, said that Liberia has made “remarkable gains over the years”.  Peaceful elections held in 2023 and the orderly transfer of power in 2024 “were true milestones”, he stressed, noting that the configuration’s focus for 2025 will be consolidating long-term peacebuilding gains in the country. Liberia, he added, “has important experiences and lessons learned” to share with the Commission, including sustaining peace, inclusive development and reconciliation.

    Commission Members Stress Need to Invest in Addressing Root Causes of Conflict and Violence

    In the ensuing discussion, Commission members underscored the need to invest in addressing the root causes of conflict and violence, adding that the Pact for the Future has gained recognition for conflict prevention as a universally shared responsibility.

    “2025 will be a crucial year for peacebuilding,” said the representative of the European Union, in its capacity as observer.  The Council has demonstrated overwhelming support for this agenda by holding two open debates on conflict prevention.  “We have collectively recognized that elaborating national prevention strategies, anchored in national ownership, should be an aspiration for all countries,” he stressed.  The peacebuilding architecture review is “an opportunity to consolidate these gains” and to further strengthen the Commission as “an institution that can act as a bridge at the UN”, he continued.  As the Commission’s biggest donors, the bloc and its member States have matched this political commitment with funding support.

    Spotlighting the Commission’s “significant achievements”, Australia’s delegate said it expanded its regional engagement, provided input into the review and facilitated the revised terms of reference for peacebuilding funding.  Underlining the need to strengthen the Commission’s engagement with his region, he said it should encourage Member States to present their peacebuilding priorities. 

    “Although, at times, we may have had divergent views on how peacebuilding should be conducted, we continue to agree on the foundational principles of peacebuilding,” said his counterpart from South Africa. Namely, that it should be nationally owned and led, context-specific and adaptable, and that more can be done to support peacebuilding in post-conflict contexts. 

    “It is high time to match the ambitions with the capacities,” said Egypt’s delegate, underscoring the need to expand resources and guarantee the Commission’s more structured cooperation with the Council.

    Colombia’s representative, noting that the Commission regularly invites her delegation to share his country’s “experience of peace”, said that doing so helps States “better elucidate a horizon of peace in other places”. The legitimacy of the UN and the future of multilateralism “depend on our capacity to tackle complex crises, contribute to peace and security and ensure a better life for our peoples”, she asserted. 

    The speaker for Bangladesh, noting that the Commission has “always” based its work on national ownership, said that the body should continue supporting local needs and national priorities “by bringing all stakeholders into the discussion”.  Further, the Commission should strengthen its advisory role to facilitate the smooth transition of peacekeeping operations, leading to long-lasting peace. 

    For his part, the Russian Federation’s representative said that the upcoming peacebuilding-architecture review “should not reinvent the wheel but, rather, use existing mechanisms”.  He also stressed that the Commission must not focus solely on conflict prevention, losing sight of countries affected by conflict and post-conflict countries.  “It is them that need the political and financial support so that crises don’t return,” he said.  Also emphasizing the need to avoid duplication of work, he observed:  “The strong suit of the UN system is the principle of division of labour between its main organs.”

    MIL OSI United Nations News –

  • MIL-OSI Security: Illegal Alien from Costa Rica Sentenced for Firearm Possession

    Source: Office of United States Attorneys

    NEW ORLEANS, LOUISIANA – United States Attorney Duane A. Evans announced that MILTON RAYO CASTILLO (“RAYO CASTILLO”), age 26, a native of Costa Rica, was sentenced on January 28. 2025 by United States District Judge Wendy Vitter, for being an illegal alien in possession of a firearm, in violation of Title 18, United States Code, Section 922(g)(5)(A).  RAYO CATILLO was sentenced to fifty-two (52) months incarceration, supervised release for three (3) years, and payment of a $100 mandatory special assessment fee.

    According to the indictment, on or about March 10, 2024, RAYO CASTILLO, an alien illegally present in the United States, was found in possession of a nine-millimeter semi-automatic pistol, after brandishing the weapon at a patron at a Kenner, Louisiana restaurant.

    This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and gun violence, and to make our neighborhoods safer for everyone.  On May 26, 2021, the Department launched a violent crime reduction strategy strengthening PSN based on these core principles: fostering trust and legitimacy in our communities, supporting community-based organizations that help prevent violence from occurring in the first place, setting focused and strategic enforcement priorities, and measuring the results.

    U.S. Attorney Evans praised the work of the United States Department of Homeland Security and the Kenner Police Department in investigating this matter.  Assistant United States Attorney Spiro G. Latsis of the General Crimes Unit oversees the prosecution.

    MIL Security OSI –

  • MIL-OSI USA: Barrasso: Confirm Doug Burgum and Chris Wright to Lead America’s Golden Age of Energy Dominance

    US Senate News:

    Source: United States Senator for Wyoming John Barrasso
    WASHINGTON, D.C. – U.S. Senator John Barrasso (R-Wyo.), Senate Majority Whip, today spoke on the Senate floor ahead of confirmation votes for Governor Doug Burgum, President Donald J. Trump’s nominee to be the Secretary of the Interior, and Chris Wright, President Donald J. Trump’s nominee to be the Secretary of Energy.
    Click HERE to watch Senator Barrasso’s remarks.
    Sen. Barrasso’s remarks as prepared:
    “I rise today to talk about prices, energy, and the economy.
    “My message is simple: Unleashing American energy will help lower prices. It is essential.
    “Energy is often called the master resource. By controlling our own energy production, we control our own future.
    “Not long ago, America was the leading producer of energy in the world. President Trump made America energy independent for the first time in decades.
    “That changed in four short years under the prior administration. We went from energy dominance to energy dependence.
    “The previous administration went on a regulatory rampage. It was disastrous. The result was painfully high prices for food and for fuel.
    “Suddenly, Washington was attacking energy producers and energy workers in states like my home state of Wyoming. America found itself turning to adversaries for energy.
    “Let me ask a simple question.
    “Does anyone believe we were better off relying on dictators in China, Russia, Venezuela and Iran to power America?
    “Does anyone believe we were better off when energy prices were sky high?
    “Were Americans more prosperous?
    “The answer is no.
    “For the past four years, the previous administration treated energy as the enemy.
    “Governor Doug Burgum and Chris Wright will treat American energy as the God-given blessing it is.
    “Available, affordable, reliable, American energy is an asset.
    “Energy is the source of American strength. It is a solution to bring down painfully high prices.
    “America is an energy superpower. We should act like it.
    “Working together, Governor Burgum and Chris Wright will be a powerhouse energy team.
    “Governor Burgum grew up in Arthur, North Dakota – population: 400.
    “He studied business at Stanford University. He built Great Plains, a software company, into a global public company.
    “As Governor of North Dakota for the last 8 years, he drove his state’s transformation into an energy and technology leader.
    “Instead of blocking energy production, he invited and incentivized companies to operate in North Dakota. In turn, his state produced more and more energy.
    “In his Senate hearing, Governor Burgum explained this success.
    “He said, ‘We live in a time of tremendous abundance, and we can access that abundance by prioritizing innovation over regulation.’
    “He is spot on.
    “I questioned Governor Burgum in the Energy and Natural Resources Committee.
    “We have more than 600,000 acres of federal land in Wyoming that were previously approved for energy production.
    “The previous administration never offered those acres for lease.
    “It also blocked using land even though energy explorers purchased the right to that land over 4 years ago.
    “I am glad Governor Burgum committed to quickly address this issue. He will take the common-sense action of unlocking our lands for oil and gas production.
    “Chris Wright is also an innovative leader.
    “He studied nuclear fusion at the Massachusetts Institute of Technology. He then worked in solar and geothermal engineering.
    “At Liberty Energy – a fracking company he founded and where he is currently the CEO – Wright’s creative, data-driven leadership kickstarted the American fracking revolution.
    “What I like most about Mr. Wright is that he tells the truth about energy production.
    “He acknowledges climate change is real. He knows more American energy is the solution, not the problem. His energy realism is welcomed news.
    “When I spoke with Mr. Wright in the Energy and Natural Resources Committee, we agreed about the need for an all-of-the-above energy strategy,including nuclear energy.
    “Mr. Wright agrees with me that it is not in America’s best interest to be dependent on imported uranium from Russia.
    “Congress passed my legislation to ban the import of Russian uranium in the United States. The Secretary of Energy has discretion to provide waivers to companies to import Russian uranium.
    “I am pleased that Mr. Wright committed to using these waivers only in very limited and extreme circumstances.
    “He also pledged to work with us to end uranium imports from Communist China.
    “These are positive steps towards rebuilding America’s nuclear supply.
    “Both Governor Burgum and Mr. Wright are optimistic about America’s energy future.
    “I strongly support them. They are America’s energy all stars.
    “They have laid out an inspiring vision for lowering prices, building up our energy supply, and dealing with our adversaries from a position of strength.
    “Later today, the Senate will vote to confirm Governor Burgum. Chris Wright’s confirmation will soon follow. They deserve strong support here in the Senate.
    “With their leadership, the age of climate alarmism is over. The golden age of American energy dominance is here.”

    MIL OSI USA News –

  • MIL-OSI: Evolution Petroleum Schedules Fiscal Second Quarter 2025 Earnings Release and Conference Call

    Source: GlobeNewswire (MIL-OSI)

    HOUSTON, Jan. 30, 2025 (GLOBE NEWSWIRE) — Evolution Petroleum Corporation (NYSE American: EPM) (“Evolution” or the “Company”) today announced that it plans to release its fiscal second quarter 2025 financial and operating results on Tuesday, February 11, 2025, after the market closes. Additionally, Kelly Loyd, President and Chief Executive Officer, Ryan Stash, Senior Vice President, Chief Financial Officer, and Treasurer, and Mark Bunch, Chief Operating Officer, will review the results on a conference call at 10:00 a.m. Central Time on Wednesday, February 12, 2025.

    Conference Call and Webcast Details

    Date: Wednesday, February 12, 2025
    Time: 10:00 a.m. Central Time
    Dial-In: (844) 481-2813
    International Dial-In: (412) 317-0677
    Note: Dial-in participants should ask to join the Evolution Petroleum Corporation call.
    Webcast: https://event.choruscall.com/mediaframe/webcast.html?webcastid=HS7VesBT

    A webcast replay will be available through February 12, 2026, via the webcast link above and on Evolution’s website at www.ir.evolutionpetroleum.com.

    About Evolution Petroleum

    Evolution Petroleum Corporation is an independent energy company focused on maximizing total shareholder returns through the ownership of and investment in onshore oil and natural gas properties in the U.S. The Company aims to build and maintain a diversified portfolio of long-life oil and natural gas properties through acquisitions, selective development opportunities, production enhancements, and other exploitation efforts. Properties include non-operated interests in the following areas: the SCOOP/STACK plays of the Anadarko Basin in Oklahoma; the Chaveroo Oilfield located in Chaves and Roosevelt Counties, New Mexico; the Jonah Field in Sublette County, Wyoming; the Williston Basin in North Dakota; the Barnett Shale located in North Texas; the Hamilton Dome Field located in Hot Springs County, Wyoming; the Delhi Holt-Bryant Unit in the Delhi Field in Northeast Louisiana; as well as small overriding royalty interests in four onshore Texas wells. Visit www.evolutionpetroleum.com for more information.

    Contact
    Investor Relations
    (713) 935-0122
    ir@evolutionpetroleum.com

    This press release was published by a CLEAR® Verified individual.

    The MIL Network –

  • MIL-OSI USA: Tillis Introduces Kash Patel at Nomination Hearing to be Director of the FBI

    US Senate News:

    Source: United States Senator for North Carolina Thom Tillis

    WASHINGTON, D.C. – Today, Senator Thom Tillis, a member of the Senate Judiciary Committee, introduced Kash Patel at his nomination hearing before the Senate Judiciary Committee to be the Director of the Federal Bureau of Investigation (FBI).

    Watch the introduction here.

    Read Senator Tillis’ statement below:

    Chairman Grassley, Ranking Member Durbin and my colleagues on the Senate Judiciary Committee, it’s my honor to introduce Kash Patel, President Trump’s nominee to be FBI Director. I’ve completed due diligence on his life and career, and I’m convinced Kash possesses significant expertise and an ironclad commitment to justice. I have concluded he’s an outstanding choice to lead the FBI. 

    Kash’s parents are Indian immigrants of Gujarati ancestry. The Gujarat state is a melting pot of religions, including Hinduism, Islam, and Jainism, with temples, mosques, and other religious sites scattered across the state.  His father was raised in Uganda, but his family fled the country to escape repression under Idi Amin. His mother was born and raised in Tanzania. They met and married in India and ultimately made their way to New York City by way of Canada, where his parents along with 7 brothers and sisters, their spouses, and at least a half dozen kids lived under the same roof. His parents raised Kash in the Hindu faith, and they instilled in him the values of hard work and education.  Kash is a devout Hindu, and consistent with his faith, he has shown respect to people of all faiths.

    Kash attended the University of Richmond, where he earned his bachelor’s degree in criminal justice and history. He went to Pace University School of Law, where he earned his JD and an International Law Certificate from the University College of London, Faculty of Laws.

    Kash began his career as a public defender in Florida where he led or co-led more than 60 jury trials to verdict in state and federal courts. Kash has clearly demonstrated devotion to upholding the rule of law and defending the rights of individuals.

    Kash led the defense of Jose Buitrago in United States v. Buitrago, a high-profile drug case in Florida in 2015.  Buitrago was one of the Colombian nationals arrested in a major drug bust involving Operation BACRIM. Kash and his co-counsel successfully argued that key evidence was withheld by the prosecution, leading to Buitrago’s release. I suspect some of Kash’s disdain for prosecutorial misconduct stems from this firsthand experience. 

    Kash was hired as senior counsel on the House Permanent Select Committee on Intelligence in 2017. He told me he distinctly remembers my friend Trey Gowdy’s comment shortly after they were introduced. He said, “Kash, Congress is where righteous investigations go to die, I hope you’re ready.” Kash wasready and he went on to establish a solid reputation for pursuing the facts. From there, he held senior posts at the NSC, DoD, and DNI.

    Since leaving the administration after 2020, Kash has written articles and books on national security, law, and governance. Through his work as an author, Kash continues to advocate for justice and transparency and to be ever vigilant in defending our great democracy and the rule of law.

    Colleagues, I’ve created a Kash BINGO that is available to any of my colleagues who would like on the other side of the aisle. Some may view this as an unserious caricature and not appropriate for this committee, but sadly I consider it a serious caricature of what I expect to be witnessed today. I think we will have words like “enemies list” and “deep state”, but the fact of the matter is some people will be here to substantiate a false narrative. At worst, they may just be going through an unfounded litany of quote and half quote and half-truths, some that have already been dispelled in the Chairman’s opening statement. 

    In my 10 years in the Senate, I hope I have established a reputation for being fair, doing my homework, and taking tough positions that have been met with harsh criticism. Heck, I’ve been censured by my party for taking tough positions, and I stand by those positions today and my position to support Kash Patel. 

    When President Trump announced his intent to nominate Kash, I contacted Trey Gowdy and others who’ve worked with Kash, and they gave glowing recommendations. So, I called Kash on December 2nd and offered to help with his nomination. Since then, we’ve spent hours together in person and on the phone.

    I’ve asked him difficult questions and I’ve urged him to reach out to members across the aisle. He’s met with 60 members of the U.S. Senate, including several members of this committee.

    Chair Grassley, Ranking Member Durbin, friends, and colleagues on the committee. I’ve completed my due diligence on Kash Patel, and I am honored to provide my strongest recommendation for his confirmation.  

    MIL OSI USA News –