{"text":[[{"start":10.05,"text":"Cuba’s top foreign investor has announced it is pulling out of the country over fears of tougher US sanctions in a blow to the communist nation’s collapsed economy that analysts said could push up global cobalt prices."}],[{"start":24.15,"text":"Canada’s Sherritt International Corporation, which had a 32-year-old nickel and cobalt mining joint venture on the island, said on Thursday it was withdrawing and repatriating staff after US President Donald Trump this month moved to toughen sanctions against Cuba."}],[{"start":39.9,"text":"“This is a massive blow to an already sinking economy,” said Ricardo Torres, a leading Cuban-born economist at the American University in Washington. Nickel is an important source of hard currency for the regime."}],[{"start":53.4,"text":"Toronto-listed Sherritt said it had not been formally designated under Trump’s May 1 executive order. “However, such a designation could occur at any time,” it said in a statement. "}],[{"start":64.25,"text":"“In any event, the mere issuance of the executive order itself creates conditions that materially alter the corporation’s ability to operate in the ordinary course, including activities related to Sherritt’s Cuban joint venture operations,” it added. Financial and other providers might be “unable or unwilling” to keep supplying Sherritt, the statement said. "}],[{"start":84.65,"text":"Nickel is used in stainless steel, while cobalt is a critical battery component and is essential for electric vehicles. Sherritt’s shock withdrawal from Cuba was expected to ripple through global supply chains, pushing up cobalt prices that have already surged 160 per cent since February 2025. "}],[{"start":103.25,"text":"“The market is already tight because of the new export restrictions in the Democratic Republic of Congo,” said Timothy Puko, analyst at Eurasia, a research group. DR Congo is the world’s biggest cobalt producer."}],[{"start":116.2,"text":"“There’s a strong chance that hasn’t even been fully realised in the market yet. And so what’s happening in Cuba is another sign cobalt prices aren’t retreating any time soon. Expect cobalt to be even harder to source for months to come.” "}],[{"start":130.4,"text":"Inventory from the Moa mine in eastern Cuba, which Sherritt operates in a 50/50 joint venture with Cuba’s General Nickel Company dating back to 1994, would continue to be refined at its Fort Saskatchewan, Alberta, plant until about mid-June, the company said."}],[{"start":146.6,"text":"Sherritt had already been forced in February to reduce operations at Moa because of fuel supply constraints. A virtual oil blockade imposed by Trump, who is seeking to force regime change in Cuba, has worsened severe energy shortages on the island this year, prompting lengthy blackouts. "}],[{"start":164.75,"text":"The government in Havana had previously sought to prioritise fuel for homes and the crucial tourism and mining sectors, but that has become increasingly difficult. "}],[{"start":175.25,"text":"Against the bleak economic backdrop, Cuba and the US have begun talks as Trump has hinted he is looking at military action to force regime change."}],[{"start":184.65,"text":"The Sherritt operation was previously owned by US miner Freeport-McMoRan before it was nationalised in Fidel Castro’s 1959 Cuban revolution, making it one of thousands of disputed assets on the island. "}],[{"start":196.5,"text":"Nickel and cobalt from the mine, which has an estimated lifespan of 25 years, are refined in Sherritt’s Fort Saskatchewan plant, the only significant cobalt refinery and one of only three nickel refineries in North America. The output is mostly sold in Europe and Asia."}],[{"start":213.75,"text":"But production has fallen and Sherritt has long struggled to recoup investment in Cuba, where it had expanded and upgraded Moa and also invested in energy. Sherritt reported finished production at the Moa joint venture of 25,240 tonnes of nickel and 2,278 tonnes of cobalt last year, compared with 30,331 tonnes and 3,206 tonnes, respectively, in 2024."}],[{"start":241.5,"text":"In 2022, a scheme known as the “cobalt swap” was introduced in which Cuba surrendered its share of cobalt production from the joint venture in order to reimburse $368mn to the Canadian company over five years. Nickel production, however, remained a source of hard currency to the regime, Torres said."}],[{"start":260.8,"text":"Shares in Sherritt slumped 34 per cent to C$0.165 ($0.121) on the Toronto Stock Exchange on Thursday’s news and three directors — Brian Imrie, Richard Moat and Brett Richards — resigned from the board with immediate effect."}],[{"start":286.1,"text":""}]],"url":"https://audio.ftcn.net.cn/album/a_1778214789_7800.mp3"}