Glencore took a provision of about US$480 million related to its exposure to Radiant World, an iron ore trader under pressure amid allegations it provided falsified documents to banks [1, 2, 3]. The provision covers Glencore's entire outstanding net exposure to Radiant World [1, 2, 3].
Radiant World owes Glencore US$951 million, while Glencore owes Radiant World US$471 million, creating a net exposure that Glencore has now fully provisioned for [1, 2, 3]. Glencore CEO Gary Nagle said on an earnings call that the company was seeking to exit remaining contracts with Radiant World after stopping new business and had taken a provision on its exposure, though the amount was not initially specified [1, 2, 3].
Radiant World has come under intense scrutiny amid concerns it supplied falsified documents to banks, prompting multiple banking institutions and trading houses to freeze accounts or sever ties with the company [1, 4, 2, 3]. Mizuho Bank filed a case against Radiant World's Singapore entity in the Supreme Court seeking an injunction on August 28 [4]. Singapore Police have confirmed ongoing investigations after reports were lodged against Radiant World [4].
Late in 2025, Glencore acquired warrants giving it potential minority ownership in Radiant World, though these have not been exercised [1, 2, 3]. The $480 million loss is roughly a quarter of Glencore's average annual earnings before interest and tax over the past decade from its metals and minerals trading division [1, 2, 3].
There remains a dispute between sources on whether Radiant World and Sapphire Minmetals are part of the same group. While Glencore views Sapphire Minmetals as connected to Radiant World [1, 2, 3], Sapphire Minmetals’ chairman denies this [no source].
Glencore’s next steps include completing the exit from outstanding contracts with Radiant World as investigations and legal actions proceed. The company’s full exposure has been written down, reflecting the significant financial and reputational risks linked to Radiant World.
