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Wednesday, 06 October 21
EUROPEAN COAL FUTURES CLIMB TO 13-YEAR PEAK - REUTERS
European coal futures rose to a 13-year high and physical thermal coal prices were at record highs as rallying gas prices and strong Asian demand fuelled coal buying.
 
The European API2 coal futures contract for 2022 was 6.7% higher at $179.25 a tonne by 1427 GMT, the highest level since 2008.
 
The continued rally in European natural gas prices has incentivised more coal-fired power generation in Europe which is helping to drive up prices, analysts said.
 
European benchmark natural gas prices at the Dutch TTF hub are at all-time highs and some contracts are nearing 100 euros ($116.28) per megawatt hour.
 
“Looking at the European fuel complex, gas has for some time now lost its competitive advantage over coal in the fuel switch. As a consequence, coal use has significantly gone up in northwest Europe,” said Swedish energy consultancy ELS Analysis.
 
Physical thermal coal prices are also at all-time highs. Australian coal cargoes for delivery from the Newcastle terminal in November settled at $230.05 on Friday.
 
In the European physical thermal coal market, cargoes into Amsterdam, Rotterdam and Antwerp (ARA) in November also settled at a record high of $238.50 a tonne on Friday.
 
A cold winter in Asia, followed by a hot summer and stronger economic growth, has also caused Chinese demand to increase significantly, analysts at Commerzbank said.
Source: Reuters


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Recent News

Saturday, 16 October 21
DESPITE HIGHER COAL PRICES, U.S. COAL RECOVERY LOOKS WEAK BY MOST MEASURES - IEEFA
U.S. coal sector is locked into a long-term sectoral decline Coal prices have surged to the highest level in years in the U.S., and have soare ...


Saturday, 16 October 21
COAL IS 'KING' AS GAS PRICES SOAR, TOTAL CEO SAYS - AND IT’S BACKFIRING ON CLEANER ENERGY GOALS - CNBC
Surging natural gas prices have led to a jump in coal use, with plants in Europe and Asia firing back up as temperatures decline and the world grap ...


Saturday, 16 October 21
VIETNAM'S COAL-FIRED POWER MAY DOUBLE BY 2030 UNDER DRAFT ENERGY PLAN - REUTERS
Vietnam may double the amount of coal-fired electric generation it installs by 2030 under a draft power development plan submitted to the prime min ...


Friday, 15 October 21
AUSTRALIA'S WHITEHAVEN EXPECTS TO BE DEBT-FREE NEXT YEAR AS COAL PRICES SOAR - REUTERS
Australia’s Whitehaven Coal WHC.AX said on Thursday it expects to be debt-free by early 2022, as thermal coal prices surge to record highs on ...


Friday, 15 October 21
WINTER CHILL KEEPS CHINA'S COAL PRICES HIGH, POWER CRUNCH STOKES INFLATION - REUTERS
China coal prices held near record highs on Thursday as cold weather swept into the country’s north and power plants stocked up on the fuel t ...


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