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Monday, 30 January 12
CHINA'S HUNGER FOR COAL LEAVES DENT IN PENNSYLVANIA'S SUPPLY - THOMAS LESKIN
With the price of heating oil on the rise, one of Pennsylvania's greatest natural resources - coal - is in high demand, and not just locally.
Ettore DiCasimirro, president of Skytop Coal Inc., New Boston, said recently that with the rapid industrialization of China, the world's largest producer of coal, the Chinese are not only keeping their domestic product but also importing it from the United States.
Much of that coal is coming from Pennsylvania's Anthracite Region.
China has stricter regulations concerning coal than the U.S., and the U.S. government would like to shut down some of the coal breakers here due to the pollution associated with burning coal, DiCasimirro said.
"It (coal) is something this country seems that they don't want," he said. "This country (U.S.) has over 50 percent of its electricity coming from coal."
Dicasimirro said that as China's economy continues to grow, its number of coal furnaces increases monthly. Since the U.S. and Pennsylvania are large producers of anthracite coal, the Chinese are buying it.
Duane C. Feagley, executive director of the Pennsylvania Anthracite Council, said there are two popular sizes of coal - rice and nut coal - which remain in the domestic market. Sizes smaller than that are being shipped overseas.
"We have significant reserves and high-quality reserves here (in the U.S)," Feagley said.
Anthracite coal is desired because it has the highest carbon count, the fewest impurities and the highest calorific content of any type of coal, allowing it to burn hotter and longer.
Since there are many companies that now strictly only do business with China and overseas, even in Schuylkill County, according to DiCasimirro, the business practice is taking a large amount of coal off the local market and stockpiles are down.
"There are stories going around that people are waiting a couple weeks to get a load of coal out of some of the breakers," he said.
DEP spokesman Kevin Sunday also said DEP is aware it's been difficult for the secondary buyers like home-heating suppliers but orders for coal are still being filled.
"The shortage is mostly because of the increase in demand for anthracite in the industrial world, like steel production, carbon source uses and water filtration," DEP northeast region spokeswoman Colleen Connolly said.
Dicasimirro said that although many coal companies are exporting, some, including his company, are making an effort to take care of local customers first.
"If it wasn't for the local business that we had years ago, we wouldn't be here today," he said. "I'd like to take care of the people that took care of us over the years first."
Feagley said that while there is a coal shortage in Pennsylvania and exports are up, there are other factors influencing the demand for coal.
"We are mining more coal and pulling more people than we have in the past 25 years," he said. "Anthracite coal production for the first six months of 2011 was up 25 percent."
According to Feagley, the Pennsylvania coal mining industry normally produces about 1.5 million to 1.7 million tons of coal annually, and this year, they industry expects to produce about 2 million tons.
As far as exports, while in the past about 150,000 tons were sent overseas, in recent years, there has been as much as 400,000 tons produced for foreign buyers in a year.
One of the other major factors contributing to the increased demand is the loss of production from many of the anthracite deep mines.
Feagley said that in the last five years, about five to six deep mines have gone out of business, which is a loss of about 3 million tons of coal.
Other factors, according to Feagley, include: the increased rainfall in 2011, state and regulatory practices slowing things down, the increased cost for heating oil increases demand for coal, and there were some coal dealers who waited until there was a demand to try to get the coal instead of buying it from June through August, adding to the shortage
Although the demand has increased, he added that the price for coal has not increased significantly and is roughly $170 to $190 a ton, costing about $600 to $800 to heat a home during the winter.
"There's a lot of little things that happened that have contributed to this over the last year," Feagley said. "I've been in contact with the producers and they're telling me they're taking steps to make sure there's adequate production for the winter."
Feagley said that Pennsylvania's coal mining companies are working diligently, and over the next several months, the shortage will start to be worked out.
"Our industry is doing everything we can," Feagley said. "Supplies are starting to return to normal levels."
Source: Republican Herald (by Thomas Leskin )
About Thomas Leskin
Thomas Leskin is a staff writer at The Republican-Herald in Pottsville, Pa. A 2010 graduate of Penn State University with a B.A. in print journalism, before working at his current position, he worked as an intern at China Daily in Beijing, China, and then The News-Item, a sister newspaper to The Republican-Herald.
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- Xindia Steels Limited - India
- Kalimantan Lumbung Energi - Indonesia
- Coal and Oil Company - UAE
- Orica Mining Services - Indonesia
- Wood Mackenzie - Singapore
- Anglo American - United Kingdom
- Toyota Tsusho Corporation, Japan
- Sinarmas Energy and Mining - Indonesia
- Offshore Bulk Terminal Pte Ltd, Singapore
- Neyveli Lignite Corporation Ltd, - India
- Commonwealth Bank - Australia
- Ind-Barath Power Infra Limited - India
- Antam Resourcindo - Indonesia
- Videocon Industries ltd - India
- VISA Power Limited - India
- Binh Thuan Hamico - Vietnam
- GAC Shipping (India) Pvt Ltd
- Bahari Cakrawala Sebuku - Indonesia
- New Zealand Coal & Carbon
- Kobexindo Tractors - Indoneisa
- The University of Queensland
- Coastal Gujarat Power Limited - India
- Bhatia International Limited - India
- Ceylon Electricity Board - Sri Lanka
- Bharathi Cement Corporation - India
- PetroVietnam Power Coal Import and Supply Company
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- Orica Australia Pty. Ltd.
- Bayan Resources Tbk. - Indonesia
- Petron Corporation, Philippines
- Australian Coal Association
- India Bulls Power Limited - India
- London Commodity Brokers - England
- Metalloyd Limited - United Kingdom
- Jindal Steel & Power Ltd - India
- Intertek Mineral Services - Indonesia
- Rio Tinto Coal - Australia
- OPG Power Generation Pvt Ltd - India
- Energy Link Ltd, New Zealand
- Alfred C Toepfer International GmbH - Germany
- Vizag Seaport Private Limited - India
- Indian Oil Corporation Limited
- Asia Pacific Energy Resources Ventures Inc, Philippines
- Carbofer General Trading SA - India
- Electricity Generating Authority of Thailand
- Directorate Of Revenue Intelligence - India
- Ministry of Finance - Indonesia
- Banpu Public Company Limited - Thailand
- Bhoruka Overseas - Indonesia
- Altura Mining Limited, Indonesia
- Maheswari Brothers Coal Limited - India
- McConnell Dowell - Australia
- Bulk Trading Sa - Switzerland
- Posco Energy - South Korea
- Port Waratah Coal Services - Australia
- Indogreen Group - Indonesia
- Indonesian Coal Mining Association
- Kumho Petrochemical, South Korea
- Jaiprakash Power Ventures ltd
- Maharashtra Electricity Regulatory Commission - India
- Kohat Cement Company Ltd. - Pakistan
- AsiaOL BioFuels Corp., Philippines
- Aditya Birla Group - India
- ICICI Bank Limited - India
- Bank of Tokyo Mitsubishi UFJ Ltd
- Pendopo Energi Batubara - Indonesia
- TNB Fuel Sdn Bhd - Malaysia
- Minerals Council of Australia
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- Asmin Koalindo Tuhup - Indonesia
- Global Coal Blending Company Limited - Australia
- Bukit Baiduri Energy - Indonesia
- Karbindo Abesyapradhi - Indoneisa
- Samtan Co., Ltd - South Korea
- Africa Commodities Group - South Africa
- Georgia Ports Authority, United States
- Romanian Commodities Exchange
- Simpson Spence & Young - Indonesia
- Medco Energi Mining Internasional
- Dalmia Cement Bharat India
- South Luzon Thermal Energy Corporation
- Renaissance Capital - South Africa
- Mintek Dendrill Indonesia
- Global Green Power PLC Corporation, Philippines
- Ministry of Transport, Egypt
- Timah Investasi Mineral - Indoneisa
- Cement Manufacturers Association - India
- White Energy Company Limited
- ASAPP Information Group - India
- PTC India Limited - India
- Power Finance Corporation Ltd., India
- SMC Global Power, Philippines
- IHS Mccloskey Coal Group - USA
- Savvy Resources Ltd - HongKong
- Kartika Selabumi Mining - Indonesia
- Ministry of Mines - Canada
- Indika Energy - Indonesia
- GN Power Mariveles Coal Plant, Philippines
- Australian Commodity Traders Exchange
- Price Waterhouse Coopers - Russia
- Holcim Trading Pte Ltd - Singapore
- Miang Besar Coal Terminal - Indonesia
- Kapuas Tunggal Persada - Indonesia
- Central Electricity Authority - India
- Bukit Asam (Persero) Tbk - Indonesia
- Makarim & Taira - Indonesia
- Sree Jayajothi Cements Limited - India
- PowerSource Philippines DevCo
- Indo Tambangraya Megah - Indonesia
- Tamil Nadu electricity Board
- Jorong Barutama Greston.PT - Indonesia
- Meenaskhi Energy Private Limited - India
- Kaltim Prima Coal - Indonesia
- Semirara Mining and Power Corporation, Philippines
- Central Java Power - Indonesia
- Star Paper Mills Limited - India
- Gujarat Mineral Development Corp Ltd - India
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- IEA Clean Coal Centre - UK
- Gujarat Sidhee Cement - India
- Meralco Power Generation, Philippines
- Singapore Mercantile Exchange
- Kepco SPC Power Corporation, Philippines
- Salva Resources Pvt Ltd - India
- Bangladesh Power Developement Board
- Lanco Infratech Ltd - India
- Baramulti Group, Indonesia
- Sojitz Corporation - Japan
- Mercuria Energy - Indonesia
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- Trasteel International SA, Italy
- Oldendorff Carriers - Singapore
- Planning Commission, India
- Global Business Power Corporation, Philippines
- International Coal Ventures Pvt Ltd - India
- Wilmar Investment Holdings
- Straits Asia Resources Limited - Singapore
- Sindya Power Generating Company Private Ltd
- Interocean Group of Companies - India
- Kideco Jaya Agung - Indonesia
- Malabar Cements Ltd - India
- Merrill Lynch Commodities Europe
- Bukit Makmur.PT - Indonesia
- Standard Chartered Bank - UAE
- Billiton Holdings Pty Ltd - Australia
- Gujarat Electricity Regulatory Commission - India
- Riau Bara Harum - Indonesia
- Siam City Cement - Thailand
- Cigading International Bulk Terminal - Indonesia
- The State Trading Corporation of India Ltd
- Sical Logistics Limited - India
- Electricity Authority, New Zealand
- Grasim Industreis Ltd - India
- Chamber of Mines of South Africa
- Parry Sugars Refinery, India
- Rashtriya Ispat Nigam Limited - India
- Attock Cement Pakistan Limited
- Bhushan Steel Limited - India
- Heidelberg Cement - Germany
- European Bulk Services B.V. - Netherlands
- Energy Development Corp, Philippines
- Therma Luzon, Inc, Philippines
- Marubeni Corporation - India
- Latin American Coal - Colombia
- Economic Council, Georgia
- Petrochimia International Co. Ltd.- Taiwan
- Tata Chemicals Ltd - India
- Coalindo Energy - Indonesia
- Vijayanagar Sugar Pvt Ltd - India
- Directorate General of MIneral and Coal - Indonesia
- Borneo Indobara - Indonesia
- SMG Consultants - Indonesia
- GVK Power & Infra Limited - India
- CIMB Investment Bank - Malaysia
- Mercator Lines Limited - India
- Eastern Coal Council - USA
- Indian Energy Exchange, India
- Sarangani Energy Corporation, Philippines
- Karaikal Port Pvt Ltd - India
- Barasentosa Lestari - Indonesia
- Leighton Contractors Pty Ltd - Australia
- Manunggal Multi Energi - Indonesia
- Agrawal Coal Company - India
- Vedanta Resources Plc - India
- Semirara Mining Corp, Philippines
- Eastern Energy - Thailand
- Formosa Plastics Group - Taiwan
- TeaM Sual Corporation - Philippines
- Krishnapatnam Port Company Ltd. - India
- Edison Trading Spa - Italy
- Globalindo Alam Lestari - Indonesia
- GMR Energy Limited - India
- Chettinad Cement Corporation Ltd - India
- Mjunction Services Limited - India
- Thiess Contractors Indonesia
- Parliament of New Zealand
- SN Aboitiz Power Inc, Philippines
- San Jose City I Power Corp, Philippines
- LBH Netherlands Bv - Netherlands
- Larsen & Toubro Limited - India
- Iligan Light & Power Inc, Philippines
- Ambuja Cements Ltd - India
- Aboitiz Power Corporation - Philippines
- Pipit Mutiara Jaya. PT, Indonesia
- PNOC Exploration Corporation - Philippines
- MS Steel International - UAE
- Independent Power Producers Association of India
- The Treasury - Australian Government
- Essar Steel Hazira Ltd - India
- Goldman Sachs - Singapore
- Uttam Galva Steels Limited - India
- Sakthi Sugars Limited - India
- Thai Mozambique Logistica
- Madhucon Powers Ltd - India
- CNBM International Corporation - China
- Siam City Cement PLC, Thailand
- Deloitte Consulting - India
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