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Energy giant Shell announces rise in profits

AFP
Thu, 2 November 2023 

Energy majors are benefiting from elevated oil prices (Paul ELLIS)

British energy giant Shell on Thursday said net profit rose 4.5 percent to $7 billion in the third quarter from a year earlier, as it benefits from high oil prices.

"Shell delivered another quarter of strong operational and financial performance, capturing opportunities in volatile commodity markets," chief executive Wael Sawan said in a statement.

"We continue to simplify our portfolio while delivering more value with less emissions," he added in an earnings statement.


Energy majors are benefiting from elevated oil prices, which are being fuelled by concerns the Israel-Hamas conflict could widen across the crude-rich Middle East.

Shell also announced a fresh buyback of shares worth $3.5 billion.

Adjusted earnings in the third quarter stood at $6.2 billion, up compared with the second quarter, on "robust operational performance and higher oil prices and refining margins".

Over the first nine months of 2023 Shell's profit was however down sharply, reflecting lower oil prices year-on-year.

Crude futures had soared at the start of 2022 following the invasion of Ukraine by major oil producer Russia.

After later falling somewhat, they are once more on the rise owing to fears of escalation in the Israel-Hamas conflict.

bcp/ach

Shell profits boosted by oil and gas amid green energy losses

Jonathan Leake
Thu, 2 November 2023 

shell

Shell’s profits hit $6.2bn (£5.1bn) in the third quarter, as the energy giant was boosted by its oil and gas production.

The company said the results were driven by rising oil prices, which cancelled out a drop-off in its renewables division where the company posted a $67m loss.

It comes as Shell doubles down on its fossil fuels strategy in a bid to increase profits.

The latest profits were higher than the $5.1bn (£4.2bn) recorded in the previous quarter but down on the $9.5bn earned over the same period last year.

Thursday’s figures also revealed a $3.5bn share buyback, which will take the total handed to investors in 2023 up to $23bn.

Shell’s latest results revealed $2.5bn profits from its gas operations and a further $2.2bn from its upstream oil plants. It also posted $1.4bn across its chemicals division.

Wael Sawan, Shell’s chief executive, said: “Shell delivered another quarter of strong operational and financial performance, capturing opportunities in volatile commodity markets.”

He also hailed the accelerated share buyback programme, which is linked to the belief that Shell’s shares are underpriced compared to American rivals.

Those tensions have been exacerbated by the recent mega-mergers in the US, such as last month’s deal between ExxonMobil and Pioneer Natural Resources and Chevron’s $60bn acquisition of Hess Corporation.

Shell also confirmed in Thursday’s announcement that it was cutting capital expenditure by about $2bn a year to release more money for dividends.

Sinead Gorman, Shell’s chief financial officer said: “We set out a path to increase shareholder value. We continue to maintain discipline and have taken the decision to further lower our 2023 cash capital expenditure outlook to $23bn-25bn.”

Ms Gorman said Shell was also striving to simplify the business, which comes after it recently axed 200 jobs across its low-carbon division and sold off its retail energy arm.

She said: “We have agreed to sell our home energy business in the UK and Germany.

“And following the strategic review we announced earlier this year, divestment is the priority focus for our Singapore refining and chemical assets at the moment.

“These have not been easy decisions. But these are necessary steps to further simplify and focus our portfolio.”

The company’s continued profits from oil and gas prompted criticism from environmental groups.

Jonathan Noronha-Gant, a campaigner at Global Witness, said: ‘’Shell’s shareholders remain some of the biggest winners of Russia’s brutal war in Ukraine and ongoing global instability.


Shell posts $6.2 billion third-quarter profit, announces $3.5 billion share buyback

By Jenni Reid,CNBC • Published November 2, 2023

Frederic J. Brown | Afp | Getty Images


People pump gas into their vehicles at a Shell petrol station on October 2, 2023 in Alhambra, California.
Shell on Thursday reported $6.2 billion profit for the third quarter, roughly in line with estimates.
Profit was higher than the $5.1 billion of the second quarter, but marked a sharp decline from the $9.45 billion reported a year ago.

British oil giant Shell on Thursday reported $6.2 billion profit for the third quarter, roughly in line with estimates, as the company benefited from higher oil prices and refining margins.

Analysts expected adjusted earnings of $6.48 billion, according to an LSEG-compiled consensus.

Profit was higher than the $5.1 billion of the second quarter, but marked a sharp decline from the $9.45 billion reported a year ago, when the Russia-Ukraine conflict bolstered oil and gas prices.

The company also announced a $3.5 billion share buyback to be carried out over the next three months. Shell CEO Wael Sawan said the $6.5 billion set for the second half of the year was now "well in excess" of the $5 billion announced in June.

"Shell delivered another quarter of strong operational and financial performance, capturing opportunities in volatile commodity markets," Sawan said in a statement.

Free cash flow fell from $12.1 billion in the second quarter to $7.5 billion. Cash capital expenditure rose from $5.1 billion to $5.6 billion.

Energy majors are coming off the back of a record year for profits, which was fuelled by soaring fossil fuel prices.

Oil prices have again risen sharply through the third quarter 2023 on the back of factors including Saudi Arabian and Russian supply cuts, while the International Energy Agency has said oil markets will remain on edge amid the escalation in conflict in the Middle East.

BP on Tuesday posted a year-on-year fall in third-quarter profit from $8.15 billion to $3.293 billion, below analyst estimates, though France's TotalEnergies slightly outperformed last week.

While BP said its muted quarterly performance was partly due to weakness in gas marketing and trading, Shell said performance in its integrated gas division was steady, noting favorable trading.

Shell's renewables and energy solutions division meanwhile reported a $67 million loss, which it attributed to weaker margins due to seasonal effects and lower trading. Capital expenditure was $659 million.

The results come amid criticism over the pace of the company's decarbonization program, including from groups of its own shareholders.

Shell confirmed last week that it will cut 200 positions within its low-carbon solutions unit in 2024.

"Another share buyback should be good news for shareholders, but there is little said about its plans to achieve net zero in today's update – this remains a longer term concern for many, after the company announced its decision to focus on oil and gas production earlier this year," Stuart Lamont, investment manager at RBC Brewin Dolphin, said in a note.

"With the geopolitical environment still volatile, oil prices look likely to continue recent rises which should mean a strong final quarter for Shell."

London-listed shares of Shell were 1.1% higher at 8:30 a.m. on Thursday.

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FTSE 100: Shell launches $3.5bn share buyback as profits hit $6.2bn

Pedro Goncalves
·Finance Reporter, Yahoo Finance UK
Thu, 2 November 2023


Shell shareholder rewards hit $23bn for the year. Photo: Sergei Karpukhin/Reuters (Sergei Karpukhin / reuters)

Shell (SHEL.L) will hand its shareholders $3.5bn (£2.9bn) in share buybacks as it reported quarterly profit of $6.2bn (£5.1bn), helped by oil prices rising again.

The London-listed oil and gas producer said its adjusted earnings fell 34% in the three months to September with a year earlier, landing at a little over 6.2bn (£5.1bn).

Shell said that while it would keep its dividend unchanged at $0.331 per share, it was to raise awards via share buybacks.

Shell plc (SHEL.L)
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Chief executive officer, Wael Sawan, said the oil company would hand shareholders $6.5bn in share buybacks over the second half of the year, “well in excess of the $5bn announced at Capital Markets Day in June”.

Read more: FTSE and European stocks higher ahead of BoE interest rate call

In total, the company’s shareholder payouts for 2023 stand at $23bn, he said.

"Shell delivered another quarter of strong operational and financial performance, capturing opportunities in volatile commodity markets,” Sawan said.

"We continue to simplify our portfolio while delivering more value with less emissions," he added.

The size of the payouts was criticised by Jonathan Noronha-Gant a campaigner at Global Witness.

“Shell’s shareholders remain some of the biggest winners of Russia’s brutal war in Ukraine and ongoing global instability.

Read more: What are share repurchases?

“The turmoil in fossil fuel markets allows Shell to rake in enormous profits – but instead of investing in clean energy, the company has doubled down on oil, gas, and shareholder pay-outs.”

This summer Shell abandoned its target to reduce oil production by 1-2% every year until 2030, saying it had met the target early by selling off some of its assets meaning another company, not it, is responsible for the oil fields.

Read more: Bank of England set to keep UK interest rates on hold

The company has also confirmed that it will cut 200 positions within its low-carbon solutions unit in 2024.

“Another share buyback should be good news for shareholders, but there is little said about its plans to achieve net zero in today’s update – this remains a longer term concern for many, after the company announced its decision to focus on oil and gas production earlier this year,” Stuart Lamont, investment manager at RBC Brewin Dolphin, said in a note.

“With the geopolitical environment still volatile, oil prices look likely to continue recent rises which should mean a strong final quarter for Shell.”

BP (BP.L) on Tuesday posted a year-on-year fall in third-quarter profit from $8.15bn to $3.29bn.

Watch: Shell Accelerates Pace of Share Buybacks as 3Q Profit Rises


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Climate funding fall shows action 'stalling' as needs grows: UN

Kelly MACNAMARA
Thu, 2 November 2023 

Climate change is increasing the frequency and ferocity of weather extremes (Mamun Hossain)

International funding for climate resilience in developing countries slumped in 2021 despite increasingly ferocious impacts, the United Nations said Thursday, as Secretary-General Antonio Guterres warned action was "stalling" even as the need to protect people increases.

Many developing economies least to blame for the greenhouse gases that stoke global warming are among the most exposed to the costly and destructive effects of worsening weather extremes and rising seas.

But in its latest annual assessment of climate preparedness funding, the UN Environment Programme (UNEP) found that public finance to developing countries fell 15 percent to around $21 billion in 2021 -- the most recent year for which figures are available.


Meanwhile, the overall annual funding that developing countries need to adapt to climate impacts this decade is projected to have increased to as much as $387 billion, UNEP said.

"Storms, fires, floods, drought and extreme temperatures are becoming more frequent and more ferocious, and they're on course to get far worse," Guterres said in a statement, adding that the need to protect people and nature was "more pressing than ever".

"Yet, as needs rise, action is stalling," he said.

World leaders meeting at this year's climate talks in the United Arab Emirates will face a tough reckoning over financial solidarity between rich polluters and vulnerable nations, as a failure to cut planet-heating emissions threatens the Paris deal's global warming limits.

"The world must urgently cut greenhouse gas emissions and increase adaptation efforts to protect vulnerable populations," said Inger Andersen, Executive Director of UNEP, in the foreword to the Adaptation Gap report.

"Neither is happening."

- Damage control -

As the world warms, climate change impacts increase and so too do the costs of preparing for them.

Richer countries promised in 2009 to provide $100 billion a year to finance both adaptation and emissions cuts in developing countries by 2020.

But it only reached $83 billion that year, according to the most recent figures available from the Organisation for Economic Co-operation and Development.

Failure to meet the target on time has damaged trust in international climate negotiations.

"Developing countries stand ready, awaiting the necessary funds to safeguard their people against imminent climate disasters," said Harjeet Singh, head of global political strategy at campaign consortium Climate Action Network International.

"Without timely adaptation, we are setting the stage for unimaginable loss of lives and livelihoods caused by relentless floods, raging wildfires, and surging seas."

UNEP said its analysis found that public financing for adaptation dropped to $21.3 billion in 2021, from $25.2 billion in 2020.

It said the fall set a "worrying precedent", particularly because it came in a year that saw wealthy nations pledge at UN climate talks in Glasgow to double annual adaptation funding by 2025, from 2019 levels, to $40 billion.

Report co-author Paul Watkiss said it was too soon to discern a trend, although international circumstances remain "challenging", going from the Covid-19 pandemic in 2021, to Russia's invasion of Ukraine the following year.

After a major update to its methods, UNEP said it now expects developing countries to need more funds to prepare for climate impacts, giving a range of between $215 billion to $387 billion per year this decade.

That is based on the difference between the costs of adaptation calculated using computer models and financing needs implied by countries' published national climate plans, if they have them.

UNEP said this amounts to roughly one percent of gross domestic product in developing countries on average, but in the least developed countries and vulnerable small islands it is around 2 percent of GDP.

Even if wealthy governments meet their promise of doubling adaptation finance by 2025, the gap between available funding and needs would still be vast, UNEP said, proposing a range of additional sources of money.

These include international and private sector finance, and reforms proposed by developing countries of the World Bank and International Monetary Fund to align with climate priorities.

Adaptation is a good investment, the report stressed, citing research that every billion spent on adaptation against coastal flooding leads to a $14 billion reduction in economic damages.

The failure to cut emissions is already causing intensifying climate impacts, slamming communities and causing growing losses and damages.

This led to an agreement at last year's climate talks in Egypt for a new fund to help vulnerable nations.

Guterres said one stream of funding for this should come from a windfall tax on the fossil fuel industry.

"Fossil fuel barons and their enablers have helped create this mess; they must support those suffering as a result," he said.

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Climate experts warn of fossil fuel tactics at COP28

Bahira Amin
Wed, 1 November 2023 

The UAE has appointed Sultan Ahmed Al Jaber, the chief executive of its national oil company, as COP28 president. (Ryan LIM)

Oil-rich Gulf states have positioned themselves as both champions of climate innovation and guardians of fossil fuel interests -- a balancing act experts warn could derail action at COP28 in Dubai.

This year's United Nations climate summit is being chaired and hosted by the United Arab Emirates, a country dubbed "an oil company with a state attached" by one observer who requested anonymity so they could speak freely about the negotiations.

According to COP28 director general Majid Al Suwadi, "the UAE has been a leader when it comes to climate change".

"We have been doing our part," he said in September.

But one of the "inherent flaws of the COP system" is that national interests -- particularly the host's -- inevitably influence the outcome, said Ahmed El Droubi, international campaigns manager at Climate Action Network.

Indeed, the UAE has appointed Sultan Al Jaber, the head of state-owned oil company ADNOC, as COP president, drawing protests from environmentalists.

At COP27 in Egypt, where oil and gas lobbyists outnumbered most delegations, the final text included a last-minute provision to boost "low-emission energy".

That term includes natural gas, into which Egypt has invested billions of dollars in recent years.

In Dubai, activists expect the fight will be even harder, with the hydrocarbons industry intent on "not just delaying, denying, diverting meaningful climate action, but also greenwashing their polluting work", Farhana Sultana, professor of geography and the environment at Syracuse University, told AFP.

With time running out, the stakes are higher than ever at COP28.

To keep global warming at an average of 1.5C above pre-industrial temperatures, greenhouse gas emissions must drop 43 percent by 2030 from 2019 levels, according to the Intergovernmental Panel on Climate Change, the UN's climate body.

"At the moment, we're not cutting anything, and the situation gets more urgent every year," Karim Elgendy, associate fellow at Chatham House, told AFP.

- Delay the 'inevitable' -

Jaber, who is also the UAE's climate envoy and co-founder of state-owned renewable energy company Masdar, is not the only oil industry veteran on the front lines of the climate fight.

The European Union's COP28 delegation is led by Dutch former foreign minister and ex-Shell employee Wopke Hoekstra, an appointment that has also been controversial.

According to Droubi, despite Jaber's clear "conflict of interest" as ADNOC chief, he "has actually said the most progressive thing of any COP president: that phasing down fossil fuels is inevitable".

But "inevitable", Elgendy says, "is a very calculated word".

In the name of energy market stability, fossil fuel giants including the UAE, Saudi Arabia and the United States have argued for continued new investments in hydrocarbons before an eventual transition.

In October, Jaber said "we cannot unplug the energy system of today before we build the new system of tomorrow", and encouraged activists to separate "reality from fantasies".

But "no one is saying turn it off immediately", Elgendy said.

"What they're saying is don't dig any more wells, don't expand capacity."

To stick to the 1.5C threshold, the International Energy Agency has called for an end to new investments in coal, oil and natural gas.

Saudi Arabia, the world's biggest oil exporter, has slammed the IEA as a "political" body, and the industry is proceeding with vast expansion globally.

According to Elgendy, more attention should be given to the solutions that matter, including cutting oil and gas subsidies -- which according to the International Monetary Fund were $7 trillion in 2022, or seven percent of global GDP.

- De-link and keep drilling -

The UAE has long been diversifying its economy, and says 70 percent of its GDP comes from non-oil sectors. It has pledged tens of billions of dollars in renewable energy investments.

"But for them, that means expanding into renewables, not actually limiting fossil fuels," according to Droubi.

At COP28, many countries, and the EU, will argue for an unprecedented commitment to move away from "unabated" fossil fuels.

Droubi said what the UAE is pushing, and what activists "are pushing back on, is de-linking the phase-in of renewables from the phase-out of fossil fuels".

On one hand, Gulf states say there will always be the need for some oil. And because theirs is the world's "cheapest and cleanest", they should be "the last producers standing", Elgendy said.

On the other hand, they have adopted what he calls an "unorthodox" climate approach where the key is not to cut carbon -- as scientists insist is necessary -- but to "manage carbon; we'll reuse it and recycle it and ultimately we'll sequester it underground".

- Running out of time -

Instead of cutting fossil fuels outright, oil giants have touted several once-marginal technologies as promising solutions to cut emissions.

They include carbon capture and storage (CCS), direct air capture and carbon credit trading -- all carbon management mechanisms that amount to "false climate solutions", according to Sultana.

CCS prevents CO2 from entering the atmosphere by siphoning exhaust from power plants, while direct air capture pulls CO2 from thin air.

Both technologies have been demonstrated to work, but remain far from maturity and commercial scalability.

Carbon credit trading schemes -- which underpin much of the world's "net zero" ambitions -- have long been dogged by charges of deception, poor transparency, dodgy accounting practices and in-built conflicts of interest.

According to Elgendy, these solutions "need several years to be viable, and we simply don't have that time".

In September, UN chief Antonio Guterres warned: "We must make up time lost to foot-dragging, arm-twisting and the naked greed of entrenched interests raking in billions from fossil fuels."

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Panda gifts and orphan elephants: the history of animal diplomacy

Roland White
Thu, 2 November 2023

Queen Camilla feeds milk to a baby elephant during a visit to Sheldrick Wildlife Trust Elephant Orphanage in Nairobi National Park

Seeing the Queen surrounded by horses and dogs is nothing new. However, a charming photograph capturing her feeding an orphaned elephant in Nairobi’s National Park during the royal state visit to Kenya, a former British colony, has been splashed across the world’s front pages.

But, for centuries, animals have been used to smooth over potentially problematic meetings between countries. Tellingly, it’s a measure of the current sulky relationship between China and the United States that Beijing’s most successful diplomats will shortly be leaving Washington and heading home – weeks earlier than expected.

The giant pandas Mei Xiang and Tian Tian have been model ambassadors since they arrived at the Smithsonian’s National Zoo in 2000. They’ve thrilled visitors, they’ve produced four cubs, and – unlike many diplomats – they haven’t said a word out of place.

They were originally expected to return to China in December, but last week it was announced that they and their remaining cub will be off in mid-November.

Pandas from zoos in San Diego and Memphis have already gone home, and Atlanta’s bears are expected to follow next year.

What a comedown from the day just over 50 years ago when Ling-Ling and Tsing-Tsing arrived at the National Zoo, a gift from the Chinese to mark the ground-breaking visit to Beijing by US President Richard Nixon in 1972.

That gift was a diplomatic masterstroke. During the cuddly couple’s first year in Washington DC, they were seen by more than a million visitors. They proved such a hit that former Conservative prime minister Sir Edward Heath asked if Britain could have a pair as well.

Ching-Ching and Chia-Chia duly arrived at London Zoo in 1974 amid fanfare not seen since Guy the Gorilla arrived from Paris in 1947.

Guy the gorilla came to London Zoo from the zoo in Paris, in exchange for a tiger - Mirrorpix/Getty Images

Animals have been used to smooth over potentially problematic meetings between countries, including Tian Tian

“It certainly doesn’t hurt that pandas are cute,” says Canadian historian Lee Tunstall. “It’s a PR exercise that equates cute and cuddly with the origin country of the animal.”

But alas, it seems that so-called panda diplomacy has run its course. Pandas from Calgary Zoo went home to China in 2020 after a bamboo shortage in Canada.

Three-year-old Fan Xing left Ouwehands Zoo in the Netherlands in September and Edinburgh Zoo’s Yang Guang and Tian Tian (not to be confused with the Washington bear) are to be sent home before Christmas.

Animal diplomacy is as old as diplomacy itself. Envoys could fawn and flatter and bow and scrape, but nothing impressed foreign potentates like an exotic animal.

It’s said – possibly not accurately – that Cleopatra presented Julius Caesar with a giraffe in 46BC. The fate of the animal is not clear, but one account suggests that Caesar fed it to lions in front of a packed house at the Colosseum. Which seems a touch ungrateful.

A giraffe sent from Egypt to France in 1826 enjoyed a much happier fate. Zarafa travelled to Marseilles in a specially-adapted ship – with a hole cut in the deck – and from there, she headed in grand style to Paris, with special shoes, a jacket to keep away the chill, and cows to provide her with 25 litres of milk a day.

Zarafa the Nubian giraffe was gifted to Charles X of France in 1827 - Universal Images Group via Getty Images

A 30,000-strong crowd greeted her in the French capital, where she was presented to King Charles X and became a fashion sensation. Giraffe print was suddenly all the rage, and women demanded tall “giraffe” hair styles. For the next 18 years, she lived in the city’s botanical gardens.

In animal diplomacy, receiving – and then displaying said beast – is just as important as giving. As Julius Caesar was no doubt aware, exotic animals offer great benefits to despots who wish to awe and impress the unruly masses. Henry III, who ruled England for 56 years in the 13th century, certainly knew the value of putting on a show.

In 1252, Londoners were treated to a rare sight indeed – that of a white bear swimming in the Thames by the Tower of London. The polar bear, muzzled and chained to stop it escaping, was a gift to Henry from the King of Norway.

Henry kept a menagerie of rare beasts at the Tower, including three lions presented by the Holy Roman Emperor Frederick II in 1235 and an elephant from the King of France. From then on, an ever-evolving royal menagerie was kept in a specially built Lion Tower until the early 1830s, when it was moved to the newly-created London Zoo.

“This is the exotic as an expression of respect and power,” says Professor Jeremy Black, an Exeter University historian and author of A History of Diplomacy. “As a symbolic expression of goodwill, [gifting animals] works well.”

Two pandas, Ling-Ling and Tsing-Tsing arrived at the National Zoo in Washington to mark the ground-breaking visit to Beijing by US President Richard Nixon in 1972 - Getty Images

Animals still play a part in diplomacy, but most gifts are far more prosaic. When Keir Starmer visited President Macron earlier this year, the Labour leader presented the French president with an Arsenal top. In return, he received a pair of cufflinks. At least it wasn’t socks. And let’s be honest, less colourful gifts are a safe option, because animal diplomacy can sometimes backfire.

There was uproar on Chinese social media sites earlier this year at claims that Mei Xiang and Tian Tian were being mistreated. Under the hashtag “Save Mei Xiang” the Americans were accused of subjecting the panda to painful artificial insemination. The zoo vehemently denied the allegation, which was also dismissed by fact checkers from the news agency AFP.

In 2007, Vladimir Putin took his black Labrador Konni to a meeting with Angela Merkel. If the Russian president wanted to show off his cuddly side, it didn’t work. The German chancellor is scared of dogs. President Putin claims he didn’t know this, but the incident was a diplomatic disaster.

“I understand why he has to do this,” Chancellor Merkel said later. “He’s afraid of his own weakness. Russia has nothing – no successful politics or economy. All they have is this.”

Not even cuddly pandas are universally welcomed. Plans by China to give two bears to Taiwan were fiercely denounced in 2005 by the island’s pro-independence government. “The pandas are a trick, just like the Trojan horse,” said one Taipei MP.

But perhaps the most unfortunate example of animal diplomacy featured Winston Churchill. In 1943, when you’d think he had more important things on his mind, he asked the Australian government for six platypuses.

The naturalist Gerald Durrell thought the idea was “magnificently idiotic” and the Australians seemed to agree. They eventually sent just one, a male called Winston (of course he was called Winston).

Angela Merkel was less than pleased to be introduced to Putin's labrador - Sergei Chirikov/EPA/Shutterstock

Unfortunately, Winston 2.0’s ship was spotted towards the end of its journey by a German submarine. The ship’s captain dropped depth charges, and the platypus was killed by the shock of the distant explosions.

Following this difficult incident, the British ability to accept healthy animals happily improved. In fact, the late Queen received so many animal gifts that she could have opened her own zoo. The website of the Royal Collection Trust lists 36 separate donations.

King Faisal of Iraq gave an Arab stallion in 1953 to mark the coronation, and since then she’s received pigs, hippopotami, swans, kangaroos, toucans, sloths, an armadillo, an elephant from Cameroon called Jumbo, and a couple of giant tortoises.

Naturally, horses were the most popular gift. Foreign monarchs and governments always knew that a new horse would be gratefully received. However, there were exceptions: when the Soviet Union presented a stallion in 1956, they also threw in a three-month old bear for Princess Anne.

But perhaps the oddest gift came from traders in Hudson Bay Company. When Charles II granted a royal charter for the hunting and sale of beavers in 1670, the company was obliged in return to present two black beaver skins and two elk heads to any monarch from the home country who happened to be passing and this British-Canadian tradition continued.

The Queen visited Canada in 1970, and was duly presented with two beavers in a tank. As she leaned over to inspect them, the beavers became – how can we put this politely? – somewhat frisky.

“Whatever are they doing?” she asked.

“Ma’am, it’s no use asking me,” said Viscount Amory, then chairman of the company. “I’m a bachelor.”

Now that’s what you call diplomacy.

Chimps use hilltops to conduct recon missions before raiding enemy territory

Sarah Knapton
Thu, 2 November 2023 

Researchers spent three years following two neighbouring chimpanzee groups in the West African forests of Côte d'Ivoire - University of Cambridge

It might be considered the original example of “gorilla” warfare.

Chimpanzees have been spotted using hilltops to conduct reconnaissance missions before invading enemy territory.

The tactic was thought to be uniquely human, demonstrating a sophisticated level of intelligence and understanding about the importance of vantage points.


But researchers at the University of Cambridge say it is now clear that one of the oldest military strategies exists in our closest relatives.

“Tactical warfare is considered a driver of human evolution,” said Dr Sylvain Lemoine, a biological anthropologist from Cambridge’s Department of Archaeology.

“This chimpanzee behaviour requires complex cognitive abilities that help to defend or expand their territories, and would be favoured by natural selection.

“Exploiting the landscape for territorial control is deeply rooted in our evolutionary history. In this use of war-like strategy by chimpanzees we are perhaps seeing traces of the small-scale proto-warfare that probably existed in prehistoric hunter-gatherer populations.”

Dr Lemoine says chimpanzee behaviour requires complex cognitive abilities that help to defend or expand their territories - University of Cambridge

Researchers spent three years following two neighbouring chimpanzee groups in the West African forests of Côte d’Ivoire, and found they were often involved in skirmishes on the no-man’s-land between the borders of their territories.

The groups consisted of around 30 to 40 chimpanzees, who were found to protect their turf with regular border patrols around the periphery.

But their behaviour changed when they were considering entering the contested frontier zone.

In advance of a dangerous incursion, the chimpanzees would climb hills and grow quiet in their eating and foraging so they could pick up the sound of neighbouring groups.

When it was clear that the enemy chimps were far away, the group was more likely to descend the hill and enter the disputed zone.

Experts said it suggests that chimpanzees on high ground use sounds to gauge the distance of rivals, and decide whether to make an incursion, or avoid a costly fight.

The animals make excitable vocalisations to communicate with group members or assert their territory - iStockphoto

“These aren’t so much lookout points as listen-out points,” added Dr Lemoine.

“Chimpanzees drum on tree trunks and make excitable vocalisations called pant-hoots to communicate with group members or assert their territory. These sounds can be heard over a kilometre away, even in dense forest.”

She added: “It may be that chimpanzees climb hilltops near the edge of their territory when they have yet to hear signs of rival groups. Resting quietly on an elevated rock formation is an ideal condition for the auditory detection of distant adversaries.”

Chimpanzees often try to expand their territory by sending raiding parties into enemy zones to gradually establish a presence when the other group is elsewhere.

More territory means more access to food and even better mating chances, but fights and even kidnappings are always a risk during a land grab, so a hilltop recce can help avoid a lethal confrontation.

Ahead of a dangerous incursion, the chimps would climb hills and grow quiet in their eating and foraging so they could pick up the sound of neighbouring groups - University of Cambridge

The team found that chimpanzees stopped on peripheral hills 58 per cent of the time when heading towards the disputed border region, but only 25 per cent of the time when moving back towards their territory.

Following a hilltop mission, the likelihood of advancing into enemy territory increased from 40 per cent when rivals were 500 metres away, to 50 per cent when rivals were at 1,000m, to 60 per cent when rivals were at 3,000m.

The type of hills near the border used for reconnaissance are known as “inselbergs”, isolated rocky outcrops that break up the forest canopy.

Other mammal species such as meerkats use high ground to keep watch for predators or call to mates but Cambridge researchers say the new study is the first to show an animal other than humans employing strategic use of elevation to assess potential conflict.

The research was published in the journal Plos Biology.

ChatGPT boss says lack of AI skills risks locking older workers out of the job market

James Titcomb
Thu, 2 November 2023 

OpenAI chief executive Sam Altman said artificial intelligence could lead to an age of abundance for humans - CHRIS J RATCLIFFE

The founder of ChatGPT has said that older workers could be squeezed out of the job market because they will lack the artificial intelligence skills of their junior colleagues.

Sam Altman told students at the University of Cambridge that younger workers are starting to outperform more experienced staff because they are more comfortable using AI tools in their job.

He said several chief executives at large technology companies had observed the trend, predicting that it would mean more young people leading companies and making inventions.

Mr Altman, the chief executive of OpenAI, delivered the Cambridge Union’s Hawking Fellowship Lecture on Wednesday night, in between appearances at the UK’s AI Safety Summit.

Several guests present at the lecture confirmed that he had made the comments, reported in student journal The Tab.

Some 58pc of 16 to 24-year-olds say they have used ChatGPT, according to research from Ofcom this summer, compared to 5pc of those aged over 55 and 17pc of 45 to 54-year-olds.

According to US researcher Pew, younger workers are much more likely to find chatbots helpful at work.

Mr Altman also told students that Rishi Sunak’s summit had generated more agreement than he had expected on the need to develop AI safely. He said that a global regulatory body for AI would be needed in the future.

He said it would be unfeasible to stop AI being developed, but that the advantages of the technology mean we should not want to.

Mr Altman has previously lamented a lack of innovation among young people.

He recently told a podcast: “I was a start-up investor for a long time and it often was the case that the very best startup founders were in their early or mid 20s or late 20s. Now, they skew much older.”

Mr Altman’s speech was disrupted by protesters who hung signs above him saying the technology “threatens democracy and humanity”.

ChatGPT, launched by OpenAI less than a year ago, has driven many of the warnings about rapid improvements in technology. He has said the technology could lead to “lights out for all of us” but could also lead to an age of abundance for humans.

OpenAI, which has received heavy financial backing from Microsoft, aims to create artificial general intelligence, the point at which AI matches human capabilities.

He told his audience in Cambridge that today’s in-vogue technology, known as large language models, was unlikely to be sufficient to reach the goal.

Proposed cuts to English National Opera would be ‘disastrous’, says union

Naomi Clarke, PA Entertainment Reporter
Thu, 2 November 2023 



A number of musical trade unions have said they are “deeply concerned” about proposed cuts to the chorus and orchestra of the English National Opera.

In a joint statement, Equity’s Singers Committee and Opera Deputies Committee said the proposals would be “disastrous” for chorus members and would cause a “ripple” affect across the UK opera workforce.

Last month, the ENO said it was “surprised” to learn that its music director, Martyn Brabbins, who has been in the position since 2016, had “decided to end his tenure…so abruptly”.

Brabbins’s departure followed the announcement of a proposal to axe 19 orchestral positions and employ its remaining musicians on part-time contracts, a move the Musicians’ Union has previously said it will reject.



The statement from the trade unions released on Thursday said: “Equity’s Singers Committee and Opera Deputies Committee are deeply concerned to hear about English National Opera’s plans to slash its chorus’ contracts and salaries by 40% and further reduce the size of its chorus.

“The immediate impact of management’s proposed cuts would be disastrous for our colleagues in the ENO Chorus.

“The repercussions will also ripple across the entire UK Opera workforce and cause profound anxiety amongst the freelance singers we represent, as we see a further contraction of jobs for singers at ENO.”

Last November it was announced that ENO had been pulled from the Arts Council England’s grant portfolio and was being offered £17 million over three years, which was conditional on relocating outside London.

Arts Council England (ACE) said in July that it had adjusted funding plans to allow ENO until 2029 for a move out of London.

It was also confirmed that ENO will receive £24 million from ACE between 2024 and 2026 to deliver a “substantial opera season every year” in London, as well as establish a new main base outside the capital.

A statement from ENO last month said that the reduction in funding from ACE has caused them to “re-evaluate our employment levels”.

It said: “Whilst the ENO remains grateful for the Arts Council’s revised support and financial investment, and remains committed to creating opera for more people nationally, as for other artistic organisations, this represents a reduction in income against a backdrop of inflation, rising fixed costs and a requirement to develop work across more locations.

“Sadly, this means that whilst we are no longer facing mass permanent redundancies, we are having to re-evaluate our employment levels across every part of the organisation.

“As we start this difficult process with staff, we believe we have presented viable options that aim to ensure a sustainable future for the ENO whilst supporting our artistic and musical heart as much as possible.

“We will do everything possible to support our employees throughout this very challenging and stressful time and continue our conversations with them and their representative unions in good faith.

The Government had instructed ACE to redistribute funding across the country and, following a backlash, ACE announced in January it would be spending almost £11.5 million in 2023 to sustain a programme of work in London, while helping ENO to start planning for a new base outside London by 2026.

ACE then extended the deadline for a main base outside London by three years, from March 2026 to March 2029.

It is expected that the location will be announced in December this year.

Equity’s Singers Committee and Opera Deputies Committee have urged the ENO to find a “sustainable solution” to their financial issues which “protects the employment” of ENO staff.

It also called on ACE to “develop a proper strategy” and “provide funding for the public provision of opera for all, including its dedicated workforce”.

The union bodies added: “These cuts have not occurred in isolation. Arts organisations are looking to rebuild after the pandemic with insufficient public funding.

“When Arts Council England removed ENO from the National Portfolio in November 2022, it did so seemingly without any strategy or rationale behind how funding decisions were made.

“Meanwhile, cuts were also made to other companies which have reduced the amount of work available for singers, both in terms of the amount of opera produced and the number of singers engaged, putting the workforce under strain.

“Towns and cities such as Milton Keynes and Liverpool will be deprived of large-scale touring opera, running directly counter to the aims of bringing opera to new and regionally diverse audiences.

“Regular work, underpinned by good terms and conditions, is vital in ensuring that those from all backgrounds can access, and remain in, a career in opera.”

BBC journalists to vote on offer aimed at resolving jobs dispute

Alan Jones, PA Industrial Correspondent
Thu, 2 November 2023 



BBC journalists are to vote on an offer aimed at resolving a long-running dispute over jobs.

The National Union of Journalists (NUJ) said if there is a yes vote, the industrial dispute and industrial action will end.

NUJ members across BBC Local (covering radio, TV and online) have been involved in a protracted dispute over job cuts and changes to programming.


The journalists have taken four days of strike action, along with a long-running work to rule, following two strike ballots.

The ballot on the new offer ends on November 13.

Paul Siegert, NUJ broadcasting official, said: “Members will now have their say on this offer, which addresses some of the most pressing industrial concerns – including avoiding compulsory redundancies and improving redeployment, pay protection, workload and movement on news bulletins.

“Whatever the outcome of this industrial dispute, the NUJ will continue to fight and argue that there should be 39 local radio stations, properly funded, all producing genuinely local output with their own bespoke live news bulletins.”

A BBC spokesperson said: “We have always been committed to engaging with the trade unions and following talks with the NUJ at Acas, have reached a conditional agreement we hope will bring the current dispute to an end.

“We are modernising local services to ensure we remain relevant to all licence fee payers however they choose to get their local information.”

UK
Keir Starmer poll rating drops amid criticism over Gaza stance

The Labour leader is facing possibly his toughest challenge yet over the Israel-Hamas war.

Andy Wells
·Freelance Writer
Updated Wed, 1 November 2023 

Sir Keir Starmer‘s poll rating has dropped at a time where he faces criticism over his stance on Gaza. (Getty) (Peter Nicholls via Getty Images)

Sir Keir Starmer has seen his personal ratings drop in a new poll at a time where he faces criticism over his stance on Gaza.

The Labour leader has so far resisted pressure from some people within his party to join UN-backed calls for a ceasefire in the Israel-Hamas war.

Instead, Starmer this week urged both sides in the conflict to agree to a humanitarian pause to allow aid in and people out of the war zone.


But his position is at odds with several high-ranking Labour politicians – including Scottish Labour leader Anas Sarwar, Greater Manchester mayor Andy Burnham and London mayor Sadiq Khan.

The row also resulted in Labour suspending MP Andy McDonald on Monday, over comments he made at a pro-Palestine rally, that the party described as “deeply offensive”.

Now, a new poll shows that Starmer’s personal ratings have taken a dip – and his net approval is now negative.

According to DeltaPoll, Starmer’s net approval has dropped by 12% – from +7 to -5.

However, he still remains more popular than prime minister Rishi Sunak, whose net approval has dropped by 8% to -30.

Recommended reading

Protesters surround Keir Starmer's car after Gaza speech (The National)


Permanent ceasefire could currently risk more violence – Sir Keir Starmer (Evening Standard)


Oxford City Council cabinet position filled after exodus of Labour councillors (Oxford Mail)


London mayor's call for ceasefire in Gaza puts pressure on Labour leader (Reuters)

While both Starmer and Labour remain a commanding lead over Sunak and the Conservatives, the latest poll may raise eyebrows in Labour HQ as the leader faces possibly the biggest test of his leadership so far.

Some members of Labour’s frontbench are in open revolt about his stance on the Israel-Hamas conflict, with shadow ministers demanding a rethink.

Frontbencher Alex Cunningham called for an “immediate ceasefire” less than an hour before Starmer delivered a speech at Chatham House on Tuesday.

Scottish Labour leader Sarwar claimed he had made “hurtful” comments about the conflict and there was “repair work to do” to mend bridges with Muslim communities.

Starmer insisted he took collective responsibility – the principle that members of his frontbench team adopt a unified position – seriously, but he gave no indication he was about to sack those who had spoken out.

Police officers move a man trying to block Labour leader Sir Keir Starmer's car as he leaves Chatham House in central London. (PA) (Stefan Rousseau, PA Images)

“It is for me to address collective responsibility, I recognise that,” he said.

“It matters and I take that duty extremely seriously, but I put it in the context of understanding what is driving people in the call for a ceasefire, which is in my judgement not the call that we should be making as things stand.”

Despite the open tensions within the party, Starmer insisted there was “unity” in Labour over the “key issues” of seeking a two-state solution, the need to alleviate suffering in Gaza but also Israel’s right to self defence.

However, he was met by a small group of pro-Palestine protesters outside the Chatham House foreign affairs think tank, who mobbed the Labour leader’s car as he left, forcing police to clear a path for the vehicle.

Protesters waited for Sir Keir Starmer’s exit as they held up a ’Starmer Shame’ line of placards. (Alamy) (Imageplotter)
‘Only credible approach’

Starmer said his response to the crisis was shaped by responding to both the massacre of Jews in Israel by Hamas and the “humanitarian catastrophe” unfolding in Gaza.

Hamas would be “emboldened” by a ceasefire and start preparing for future violence immediately, the Labour leader said.

He insisted that a humanitarian pause is the “only credible approach”, which could see “the urgent alleviation of Palestinian suffering”.

The Hamas attacks were “the biggest slaughter of Jews – and that is why they were killed, do not doubt that – since the Holocaust”.

And, in an apparent message to his critics in the UK, Starmer said: “This is terrorism on a scale and brutality that few countries have ever experienced, certainly not this one, and that is an immutable fact that must drive our response to these ev

Emotional Jabeur to donate prize money to Palestinians

AFP
Wed, 1 November 2023

Ons Jabeur of Tunisia (Katelyn Mulcahy)

An emotional Ons Jabeur said she would donate part of her WTA Finals prize money to Palestinians after avenging her Wimbledon final defeat to Marketa Vondrousova on Wednesday.

After earning her first win of the week at the season-ending championships in Cancun, Tunisia's Jabeur choked back tears as she spoke on court.

"I am very happy with the win, but I haven't been happy lately," said the only Arabic woman to reach a Grand Slam final.

"The situation in the world doesn't make me happy," Jabeur added as she broke down in tears, before composing herself enough to talk about the Israel-Hamas conflict.

"It's very tough seeing children, babies dying every day," she said.

"It's heartbreaking, so I've decided to donate part of my prize money to help the Palestinians.

"I cannot be happy with just this win, with what is happening. I'm sorry guys, it's supposed to be about tennis, but it's very frustrating looking at videos every day.

"I'm sorry -- it's not a political message, it's just humanity. I want peace in this world and that's it."

Later, in her post-match press conference, the 29-year-old Jabeur said it had been a challenge to focus on tennis.

"I try to stay off social media as much as I can, but it's very tough," Jabeur said.

"You go through videos, photos, they're horrible, horrible photos every day. It doesn't help me sleep or recover very well and the worst thing is I feel hopeless.

"Maybe donating some money would help a little bit with what they have been going through. But I know money doesn't mean anything right now to them. So I wish freedom for everybody and really peace for everyone."

Jabeur must beat world number two Iga Swiatek in the final match of round-robin play on Friday to have any chance of qualifying for the semi-finals in Mexico.

bur-dh/pst

Ons Jabeur donates WTA prize money to Palestinians: ‘Children and babies are dying every day’

Simon Briggs
Thu, 2 November 2023 

In this article:
Ons Jabeur
Tunisian female tennis player


Ons Jabeur on her way to victory over Marketa Vondrousova at the WTA Finals

The two-time Wimbledon finalist Ons Jabeur spoke emotionally about the situation in the Middle East on Wednesday, saying that she would donate part of her prize money from the WTA Finals to help Palestinians.

Tunisia’s Jabeur is the first Arab tennis player of either gender to reach the highest echelons of the sport.

On Wednesday in Cancun, she scored what we might in other circumstances call a cathartic victory over Marketa Vondrousova – the Czech who had beaten her in this year’s Wimbledon final – to maintain hopes of reaching the semi-finals. But Jabeur said that the satisfaction of the result paled beside the plight of those suffering in the Middle East.


“I am very happy with the win but I haven’t been very happy lately,” Jabeur said in her post-match interview, which found her close to tears. “The situation in the world doesn’t make me happy

“So I feel like ... I am sorry.” She paused for a moment to regain her composure. “It’s very tough seeing children and babies dying every day. It’s heartbreaking. I have decided to donate part of my prize money to help the Palestinians. I can’t be happy with this win.

“It is not a political message, it is humanity,” she concluded. “I want peace in this world. That’s it.”

Jabeur has already made nearly £328,000 through participation and winning one of her round-robin matches in Cancun, and could stand to claim an additional £162,500 with a victory in her final group tie. Should she reach the semi-finals, an extra £44,320 could then be boosted by £620,460 by winning in the last four, with £1.15 million on the line for the eventual champion.

Now ranked at No 7 in the world, Jabeur will face No 2 Iga Swiatek in her final group-stage match on Friday. Swiatek squashed Coco Gauff – who served four straight double-faults at one point – in straight sets on Wednesday night to go top of the table.

Jabeur was emotional as she spoke about events in Palestine after defeating Vondrousova at the WTA Finals - Getty Images/Robert Prange

WTA responds to player rebellion

Meanwhile, WTA chief executive Steve Simon has written to the players in an attempt to head off widespread criticism about playing conditions, both specifically in Cancun – where the court has produced plenty of uneven bounces – and more generally on the rest of the tour.

His letter stated: “First and foremost, it is clear that you are not happy with the decision to be here in Cancun. I understand that and you have been heard … This is not where we expected to be and the decision for this location was based upon a number of complicated factors.”

Simon then moves on to address tour minutiae, such as the finer details of the ranking system, before promising a review into late-night finishes. This last point is not solely a WTA issue, because the whole sport is struggling to accommodate the growing length of matches. The second day of this week’s ATP event in Paris finished at around 2.15am on Wednesday.

Simon’s letter reflects the pressure being applied by Novak Djokovic’s rival player organisation, the PTPA. Last month, a group of 21 leading women – including Jabeur, who sits on the PTPA board – wrote to the WTA asking for urgent consideration of several issues.

“The tour is becoming increasingly demanding on us,” the letter said, “creating physical and mental stresses that make the tour not sustainable in the long run. We believe that continuing on this path is detrimental to the whole tennis ecosystem.”

WTA facing rebellion from women involved in Novak Djokovic-led player union

Molly McElwee
Tue, 31 October 2023 

Aryna Sabalenka slammed the WTA over the poor planning around the Finals

 - Getty Images/Robert Prange

The WTA is facing a rebellion from some of the top female players in the world, who are all involved in Novak Djokovic’s emerging union.

More than 20 top players, including world No 1 Aryna Sabalenka, signed a three-page letter to the WTA earlier this month, with a list of requests that included following the men’s tour by providing minimum pay guarantees for top 250 players.

The letter was signed by at least four major champions, including the last two Wimbledon winners Marketa Vondrousova and Elena Rybakina. The players are said to have been buoyed by their involvement in Djokovic’s Professional Tennis Players Association (PTPA), which he co-founded in 2020, and there is an entire section in the letter dedicated to asking the WTA to recognise the union more formally.

But after unsatisfactory talks with WTA chief executive Steve Simon, the players have been speaking out at the shambolic WTA Finals in Cancun. On Sunday, Sabalenka released a statement saying she felt “disrespected” by the WTA, due to poor planning around the Finals – which is meant to be the most important event of the WTA season.

She complained that the pop-up arena in Cancun had not been finished until two days before the tournament started, and also said the surface was not up to standard. Vondrousova echoed those concerns, posting a video on Monday illustrating dead bounce sections on the court. “So so sad for all of us,” she wrote in the caption.

In a statement on Monday, the WTA defended itself, saying they had “worked diligently on an expedited timeline amid weather challenges to ensure the stadium and court meet our strict performance standards”.

But more videos have since emerged showing unpredictable bounces that would embarrass any serious training centre. British player Liam Broady reposted footage from one match on X, formerly Twitter, saying it was “the worst bounce I have ever seen on a hard court”.

The WTA was formed in 1973 to protect and amplify the interests of female players, but some of the top talent do not feel like the organisation is serving them anymore. The PTPA has taken this low point of faith in the WTA as an opportunity to gain more influence in its continued attempts to wrangle player power in a sport that is governed by no less than seven separate institutions.

As first reported by the Athletic, players are trying to push for $500,000 (£411,820) salary guarantees for top 100 players, as well as $200,000 (£164,728) and $100,000 (£82,364) for players ranked 101-175 and 175-250 respectively. They are also requesting better maternity conditions – including pay during leave – scheduling and injury cover.

The request comes after the ATP announced a similar pay structure in August, ‘Baseline’, which is due to be introduced next season. The men’s tour will make up the difference for top 250 players if they do not earn a certain amount for the season. At the time of the announcement, the PTPA’s chief executive Ahmad Nassar took credit for helping to negotiate the deal on behalf of the players.

While the PTPA still does not represent the majority of players, top names like Ons Jabeur appearing in promotional videos for the union have given it added clout. In the letter to the WTA, the players requested that a PTPA representative be included on the WTA Player Board as well as be present in player council meetings with the WTA “to improve transparency and communication”. It also requested that four PTPA members be granted credentials to all tournaments sanctioned by the WTA.

The chaotic WTA Finals have served as the perfect tipping point for these behind-the-scenes tensions to spill over. Cancun was only announced as the venue choice in early September, just weeks before the tournament began on Sunday.

The delays were apparently down to talks over whether to take the tournament to Saudi Arabia or not. The expectation is that the competition, which is the most important title outside of the majors, will eventually move to Saudi Arabia from next year.

The WTA Finals have been played in front of low crowds

 - Getty Images/Harold Alcocer

The lack of lead-up time to Cancun means it has drawn relatively sparse crowds so far. After her win over Vondrousova on Monday night, world No 2 Iga Swiatek pleaded with fans to show up for the event.

Previously the year-end event had been held in Shenzhen, China, as the WTA struck a 10-year deal from 2019. However the pandemic and the WTA’s boycott of China due to Peng Shuai’s disappearance in 2021 left organisers scrambling for other options.

Ostrava, in the Czech Republic, had been another lead contender to host this year, but Polish player Magda Linette said this week the WTA Player Council had advised in favour of Cancun, due to potential visa issues for Russian and Belarusian players to enter the Czech Republic.

“The disadvantage in Ostrava was that we did not have a hundred percent guarantee that all the girls would be able to play,” she told Polish outlet, Interia Sports this week.