Bloomberg reported that as coal exports from Australia to Colombia increase, a rally that has lifted prices for the fuel will come to an end. As a result, the coal surplus will increase by 20 percent, to 6 million metric tons, in 2014, according to Credit Suisse Group AG (NYSE:CS).
Articles Tagged "coal supply"
Reuters reported that the Colombian government is looking for ways to allow miners to keep exporting coal even if they have not switched over to automated loading by January 1, 2014. The deadline is problematic in part because it could result in Drummond Company Inc. stopping one-third of the country's exports when 2014 begins.
Reuters reported that according to Glencore Xstrata plc (LSE:GLEN), thermal coal prices are likely to rise in the medium term, partially due to high electricity demand in Asia. The fact that the fuel is currently in oversupply due to "healthy exports from major producers" and "modest demand" will also contribute to a price rise.
As major Australian coal producers cut costs and reduce production, GVK and India's Adani Enterprises are moving forward with a "$21 billion bet" on the country's Galilee Basin.
Reuters reported that a group of ministers in India have approved a draft bill to set up a regulator for the country's coal industry. The move is aimed at improving coal supply and eliminating corruption, an issue that has come to the fore recently in the wake of the Coalgate scandal.
Japan is joining Asia’s battle for coal resources. Who will benefit from the rush for new supply?
Can investors still make money investing in the beaten-up US coal sector?
China is the clear "king of coal." But as the nation’s economy stagnates, other emerging markets are gaining ground and could reshape how thermal coal prices are determined.
Signs of an expanding Chinese economy indicate that global coal markets are due for a recovery, but prices won't be impacted for some time.
India’s coal demands are huge and still growing. Despite having massive reserves, the country does not have the infrastructure or coal quality to meet its expanding demand.