The Australian sharemarket is trading sharply lower by midday as escalating conflict in the Middle East drives oil prices higher and sparks a broad sell-off in global equities. The S&P/ASX 200 is down around 4 per cent, with most sectors deep in the red as investors move away from risk assets amid concerns that surging energy prices could reignite inflation and slow global growth. Oil has surged above US$100 a barrel after major producers scaled back output amid disruption in the Strait of Hormuz, while gold is also under pressure as rising bond yields and a stronger US dollar weigh on bullion.
Energy stocks are holding up better than the broader market but remain mixed, while heavy selling is hitting materials, banks and technology shares. Iron ore miners and gold producers are retreating alongside broader commodity volatility, and rate-sensitive sectors are also under pressure as bond yields climb. In corporate news, Domino’s Pizza is lower despite a major share purchase by its chairman, DigiCo Infrastructure REIT fell after its chief executive took extended personal leave, and Dyno Nobel has dropped after selling its fertiliser business.
In other company news,
Emmerson Resources to be acquired by Pan African Resources in $311m deal
Emmerson Resources (ASX: ERM) has entered a Scheme Implementation Deed under which Pan African Resources will acquire 100 per cent of the company through an Australian scheme of arrangement. The transaction implies a fully diluted equity value of about $311 million, with Emmerson shareholders set to receive Pan African shares in exchange for their holdings. The Emmerson board has unanimously recommended the deal in the absence of a superior proposal, noting the transaction aligns ownership of the Tennant Creek joint venture and provides shareholders exposure to a larger gold producer. Subject to regulatory and shareholder approvals, the scheme meeting is expected to be held in mid-2026.
Chilwa Minerals confirms niobium discovery at Mpyupyu target
Chilwa Minerals (ASX: CHW) has confirmed niobium mineralisation at the Mpyupyu target within its Lake Chilwa Critical Minerals Project in Malawi following new assay results from diamond drilling. The discovery includes a significant intercept of niobium mineralisation extending more than 120 metres downhole, hosted within an alkaline intrusive system. The company said the discovery adds a new critical minerals dimension to the project alongside existing heavy mineral sands and rare earth exploration potential. Further drilling and re-assaying are planned to define the scale and continuity of the mineralised zone as the company works toward establishing a potential resource.
QPM Energy (ASX: QPM) receives approvals for Isaac Power Station development
QPM Energy (ASX: QPM) has received a development permit and environmental authority for the construction and operation of the 112-megawatt Isaac Power Station in Queensland. The approvals from the Isaac Regional Council and the Queensland Government satisfy key conditions required for project financing. With the regulatory milestones in place, the company said construction can begin once debt facility documentation and final credit approvals are completed. QPM is targeting commissioning of the gas-fired power station around mid-2027 as part of Queensland’s energy transition plans.
