The International Energy Agency’s announcement that China overtook the United States as the world’s largest power-consuming nation in 2009 is promising news for coal producers. While other nations are turning away from coal power, it accounted for 70 percent of China’s total energy consumption last year. And, even with China’s National Energy Administration predicting coal consumption will supply only 63 percent of the country’s energy by 2015, investor and analysts are still bullish about coal in China.
By Desmond McMahon—Exclusive to Coal Investing News Analysts expect coal prices to continue to rise after a strong first quarter performance with demand from China and the United States putting increased pressure on limited supply. And, The World Bank approved funding for a massive coal-burning plant in South Africa. Steel-making coal prices jumped 22 percent [...]
China's promises to clean up its act on a clean climate could well go up in smoke and add to the sooty blanket of smog that lines most cities. The country churns out 3 new coal-fired generating plants every week.
Demand for coal to generate electricity and make steel in China and India is expected to grow by 7-8% annually in the next five years, leaving the world chronically short of the fuel. Moreover, currencies linked to coal have outperformed both their emerging market and G-10 peers.
Arch Coal has completed the acquisition of Rio Tinto's Jacobs Ranch coal mine for $764 million. For Rio Tinto, under tremendous pressure to reduce its $42-billion debt, the selling spree has just got underway. Meanwhile, rival BHP Billiton is sitting pretty with $18 billion in cash, and is eyeing 5 acquisitions. So is Western Coal.
China’s fourth leading coal producer is set to bid for Queensland coal miner, Felix Resources. The potential deal is the leading involving an Australian firm and a Chinese state-owned company since Chinalco’s failed bid to double its stake in Rio Tinto. For full story, click here
China Post declared that Taiwan, which imports all of its coal, increased purchases of the commodity for the first time in 8 months after the island’s biggest steelmaker boosted shipments. For full story, click here
North Korean coal shipments to China have surged steadily this year, hinting at a deepening barter trade that makes it more difficult for the international community to pressure the reclusive state. For full story, click here
China’s coal imports that arrived at key ports in July were 2.8 times year-ago levels. For full story, click here
North Korean coal shipments to China have surged steadily this year, hinting at a deepening barter trade that makes it more difficult for the international community to pressure the reclusive state. For full story, click here
Tuesday, July 20, 2010