Coal news and updates

Coal has gone from black sheep to red hot over the last month. With soaring prices prompting a sudden burst of optimism amongst miners globally.

 

Glencore, for instance, said this week it plans to reopen its Integra coal mine in southeastern Australia next year. Coming just days after the firm restarted output from its Collinsville mine in Queensland.

 

New supply coming online like this is a concern for prices. But an even bigger threat has emerged the last few days for this rallying market — in the world’s number-one coal consuming nation, China.

 

The South China Morning Post reported Monday that Chinese officials are worried about the recent strength in coal prices — with local costs for coal consumers having risen as much as 50% since the end of June.

 

And the Chinese government is asking producers to do something about it.

 

Coal mining companies across the country were reportedly called to an emergency meeting late last week by high-profile regulatory body the National Development and Reform Commission (NDRC). Where the Commission asked that they prevent any further rises in coal prices for the coming year.

SOurce: Oil Price