Coal news and updates

The entire Chinese coal industry is bust - Platts

Platts said that the current Chinese price for thermal coal is below the cost of production for more than 90% of domestic miners. That's a huge revelation for the global thermal coal market. No one in China is making money at current prices.

There hasn't yet been much word on coal mines closing in the country. But that would be the next logical step under current circumstances.

The data added that the drop in profits is partly a result of declining prices. But more due to a pervasive problem for the global mining sector: rising costs. It would appear that today's thermal coal prices are simply too low for the current economic environment. That should provide an upward push to pricing sooner or later.

Source – oilprice.com