We welcome article submissions from experts in the areas of coal, mining,
shipping, etc.
To Submit your article please click here.
|
|
|
Friday, 10 November 23
COAL USE AT U.S. POWER PLANTS CONTINUES DOWNWARD SPIRAL; FULL IMPACT ON MINES TO BE FELT IN 2024 - IEEFA
 This year, the use of coal by the U.S.’s power producers has been so anemic that the fuel has not achieved a 20% market share in any month so far, and the current outlook predicts low levels for the rest of the year. To put that into perspective, coal’s power market share had never been less than 20% in any month before 2020, according to the U.S. Energy Information Administration (EIA).
In July 2023, for example, coal hit its high point for the year so far, providing 19.1% of the country’s power; in August its market share was 19.0%. That performance stands in stark contrast to 2021, when coal’s market share in both July and August was more than 25%—roughly 6 percentage points higher. The low point this spring occurred in April and May, between the winter heating and summer cooling seasons, when coal’s market share slumped to just 13.8%—the first time it has ever fallen below 15%.
Despite hotter summer temperatures and increased power demand to run air conditioning in some parts of the country this summer, the use of coal has fallen. This is a result of lower prices for gas—coal’s primary fossil-fuel competitor—and a surge in utility-scale solar generation, which was up 20% in July from July 2022, and up 23% in August from a year ago.
The EIA’s current outlook suggests even more deterioration for coal power in the coming months. The energy agency not only sees coal’s November market share returning to the record-low market share in the spring, but also dropping even more in 2024, to as low as 10 to 13% in both the spring and fall.
The decision by plant owners to scale back their use of coal can be seen in at least two measures. First, power generation at coal plants has fallen every single month in 2023 compared to the same months in 2022, both at those owned by utilities and those owned by independent power producers (IPPs)—and by a lot. Through August, utility coal generation has dropped an average of 19.7%. At IPP coal plants, which are more sensitive to competitive pressures, generation has fallen even more—declining an average of 29.7%, a sign that the economics of selling coal-fired power have deteriorated significantly this year.
At the same time, coal stockpiles have surged, to almost 130 million tons in June, and remain high. That’s enough to run coal plants for 113 days, or almost four months, based on the average amount of coal used over the previous year. This measure, called “days of burn,” is more useful than simply looking at the size of the coal piles, since there are fewer coal plants than in the past, and the ones that are still operating are running less. In fact, the amount of coal used each day in the U.S. has fallen from about 2.8 million tons a day in 2008 to roughly 1.1 million tons a day this year—a 62% drop.
It can take a long time to bring such large stockpiles down to levels power producers are more comfortable with—historically around 50 to 60 days’ supply. It took 16 months to lower stockpiles from the May 2020 peak of 120 days of burn, and it took 34 months—almost three years— to lower stockpiles after a May 2016 peak of 105 days of burn. The speed of the drawdown will also be influenced by other factors like warm winter weather, the health of the U.S. economy, and gas prices.
To cut stockpiles, coal-plant owners are likely to turn to a straightforward solution: Buy less coal.
That, of course, would directly affect coal mining in the U.S., and the EIA is already warning that a significant production downturn is coming for the remainder of 2023 and throughout 2024. Overall, coal output could fall to 466 million tons in 2024, a 25 percent decline of 115 million tons from 2023 levels, the EIA says. If that figure holds, it would be the smallest annual U.S. coal production since 1962—but most of the years between 1936 and 1957 also had higher output.
Western producers, which include the nation’s largest mines in the Powder River Basin, could be hardest hit. The EIA is anticipating output in the region to slump 30% next year, or 73 million tons, to just 246 million tons. That would be the region’s lowest production in at least 40 years. Appalachian production doesn’t fare much better. There, the EIA expects production to fall almost 22%, or 29 million tons, to just 132 million tons. For comparison, when coal output in Appalachia peaked in 1990, almost four times as much of the fuel was mined.
After a sharp drop in coal demand in 2020 due to the pandemic, output from U.S. coal producers moderately rebounded and stabilized in 2021. Then, in 2022, coal prices soared after the Russian invasion of Ukraine, which broadly improved the financial health of U.S. coal companies—but provided only a modest improvement in the volume of coal produced, which declined again this year.
That temporary reprieve has ended. Coal companies are now staring at a substantial new downturn driven by an accelerating decline in domestic demand.
Source: IEEFA
If you believe an article violates your rights or the rights of others, please contact us.
|
|
Tuesday, 17 January 23
MARKET INSIGHT - INTERMODAL
Rumor has it that the New Year has come, to set the pace in, for Russia to continue hostilities against Ukraine. Ten months on the go, into Russia& ...
Tuesday, 17 January 23
INDONESIA IS ACCOUNTING FOR 32.3% OF THE GLOBAL SEABORNE COAL MARKET IN 2022 - BENCHERO COSTA
After a slow start in the first quarter, global coal trade has really picked up pace last year, and is now fully back to pre-Covid levels, Benchero ...
Tuesday, 10 January 23
INDONESIAN HBA IS SEEING A SPIKE IN JANUARY 2023 INSTEAD OF A SIGNIFICANT FALL IN DECEMBER 2022
COALspot.com: Indonesian Coal Price Reference up 8.43% in January 2023.
HBA is seeing a dramatic spike in January 2023 i ...
Sunday, 08 January 23
INDIAN COAL POWER PLANTS SHOULD BE COMPENSATED FOR 2022 FORCED GENERATION – REGULATOR : REUTERS
Indian power plants that rely on imported coal should be fully compensated when forced to supply electricity, the country’s power regulator s ...
Sunday, 08 January 23
ELEVATED COAL PRICE A DRAG ON MARGINS OF DOMESTIC BASE METAL PLAYERS: ICRA
The increased price of coal continue to be a drag on the margin of domestic base metal players with no immediate relief in sight, rating agency ICR ...
|
|
|
Showing 151 to 155 news of total 6871 |
|
 |
|
|
|
|
| |
|
 |
|
|
| |
|
- ASAPP Information Group - India
- South Luzon Thermal Energy Corporation
- TeaM Sual Corporation - Philippines
- Iligan Light & Power Inc, Philippines
- Anglo American - United Kingdom
- Gujarat Sidhee Cement - India
- GVK Power & Infra Limited - India
- Mercator Lines Limited - India
- London Commodity Brokers - England
- Meenaskhi Energy Private Limited - India
- Trasteel International SA, Italy
- Jorong Barutama Greston.PT - Indonesia
- Banpu Public Company Limited - Thailand
- Marubeni Corporation - India
- Coastal Gujarat Power Limited - India
- Electricity Generating Authority of Thailand
- Orica Mining Services - Indonesia
- Bank of Tokyo Mitsubishi UFJ Ltd
- IEA Clean Coal Centre - UK
- International Coal Ventures Pvt Ltd - India
- Wood Mackenzie - Singapore
- Bahari Cakrawala Sebuku - Indonesia
- Larsen & Toubro Limited - India
- Metalloyd Limited - United Kingdom
- Manunggal Multi Energi - Indonesia
- Gujarat Electricity Regulatory Commission - India
- Chettinad Cement Corporation Ltd - India
- Heidelberg Cement - Germany
- Commonwealth Bank - Australia
- Maheswari Brothers Coal Limited - India
- Aboitiz Power Corporation - Philippines
- Formosa Plastics Group - Taiwan
- Price Waterhouse Coopers - Russia
- IHS Mccloskey Coal Group - USA
- Edison Trading Spa - Italy
- Globalindo Alam Lestari - Indonesia
- India Bulls Power Limited - India
- Parry Sugars Refinery, India
- The Treasury - Australian Government
- Indogreen Group - Indonesia
- Therma Luzon, Inc, Philippines
- Bangladesh Power Developement Board
- MS Steel International - UAE
- Borneo Indobara - Indonesia
- Directorate Of Revenue Intelligence - India
- Tamil Nadu electricity Board
- Miang Besar Coal Terminal - Indonesia
- Energy Development Corp, Philippines
- Leighton Contractors Pty Ltd - Australia
- Eastern Energy - Thailand
- Malabar Cements Ltd - India
- Samtan Co., Ltd - South Korea
- Maharashtra Electricity Regulatory Commission - India
- Asia Pacific Energy Resources Ventures Inc, Philippines
- Lanco Infratech Ltd - India
- Ministry of Finance - Indonesia
- Aditya Birla Group - India
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- Orica Australia Pty. Ltd.
- Karaikal Port Pvt Ltd - India
- Star Paper Mills Limited - India
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- Mercuria Energy - Indonesia
- SN Aboitiz Power Inc, Philippines
- Jindal Steel & Power Ltd - India
- Karbindo Abesyapradhi - Indoneisa
- Bukit Asam (Persero) Tbk - Indonesia
- Straits Asia Resources Limited - Singapore
- Makarim & Taira - Indonesia
- New Zealand Coal & Carbon
- Coalindo Energy - Indonesia
- Sarangani Energy Corporation, Philippines
- Power Finance Corporation Ltd., India
- Riau Bara Harum - Indonesia
- Grasim Industreis Ltd - India
- PTC India Limited - India
- Indonesian Coal Mining Association
- Thiess Contractors Indonesia
- Timah Investasi Mineral - Indoneisa
- Parliament of New Zealand
- Xindia Steels Limited - India
- Kepco SPC Power Corporation, Philippines
- Goldman Sachs - Singapore
- Oldendorff Carriers - Singapore
- Mintek Dendrill Indonesia
- Kobexindo Tractors - Indoneisa
- Jaiprakash Power Ventures ltd
- Singapore Mercantile Exchange
- European Bulk Services B.V. - Netherlands
- Merrill Lynch Commodities Europe
- Global Business Power Corporation, Philippines
- Kaltim Prima Coal - Indonesia
- Sojitz Corporation - Japan
- Pendopo Energi Batubara - Indonesia
- GN Power Mariveles Coal Plant, Philippines
- Cigading International Bulk Terminal - Indonesia
- Directorate General of MIneral and Coal - Indonesia
- Siam City Cement PLC, Thailand
- Baramulti Group, Indonesia
- Global Green Power PLC Corporation, Philippines
- Port Waratah Coal Services - Australia
- Holcim Trading Pte Ltd - Singapore
- Kalimantan Lumbung Energi - Indonesia
- Central Java Power - Indonesia
- SMG Consultants - Indonesia
- Thai Mozambique Logistica
- The State Trading Corporation of India Ltd
- Bhoruka Overseas - Indonesia
- Carbofer General Trading SA - India
- Binh Thuan Hamico - Vietnam
- Indo Tambangraya Megah - Indonesia
- Africa Commodities Group - South Africa
- Ministry of Mines - Canada
- Posco Energy - South Korea
- Neyveli Lignite Corporation Ltd, - India
- Independent Power Producers Association of India
- Bhushan Steel Limited - India
- VISA Power Limited - India
- Ministry of Transport, Egypt
- GMR Energy Limited - India
- Altura Mining Limited, Indonesia
- Georgia Ports Authority, United States
- SMC Global Power, Philippines
- Kumho Petrochemical, South Korea
- White Energy Company Limited
- Pipit Mutiara Jaya. PT, Indonesia
- Mjunction Services Limited - India
- The University of Queensland
- Semirara Mining Corp, Philippines
- Kideco Jaya Agung - Indonesia
- Gujarat Mineral Development Corp Ltd - India
- AsiaOL BioFuels Corp., Philippines
- Bhatia International Limited - India
- Attock Cement Pakistan Limited
- Videocon Industries ltd - India
- Sindya Power Generating Company Private Ltd
- Billiton Holdings Pty Ltd - Australia
- Simpson Spence & Young - Indonesia
- Siam City Cement - Thailand
- Agrawal Coal Company - India
- Krishnapatnam Port Company Ltd. - India
- Kartika Selabumi Mining - Indonesia
- Ceylon Electricity Board - Sri Lanka
- Renaissance Capital - South Africa
- Offshore Bulk Terminal Pte Ltd, Singapore
- Electricity Authority, New Zealand
- OPG Power Generation Pvt Ltd - India
- Coal and Oil Company - UAE
- LBH Netherlands Bv - Netherlands
- Semirara Mining and Power Corporation, Philippines
- Bayan Resources Tbk. - Indonesia
- Australian Coal Association
- Kapuas Tunggal Persada - Indonesia
- Indika Energy - Indonesia
- Standard Chartered Bank - UAE
- PNOC Exploration Corporation - Philippines
- Rio Tinto Coal - Australia
- Indian Energy Exchange, India
- Vizag Seaport Private Limited - India
- Global Coal Blending Company Limited - Australia
- Madhucon Powers Ltd - India
- Vijayanagar Sugar Pvt Ltd - India
- Alfred C Toepfer International GmbH - Germany
- Salva Resources Pvt Ltd - India
- TNB Fuel Sdn Bhd - Malaysia
- Bukit Baiduri Energy - Indonesia
- Asmin Koalindo Tuhup - Indonesia
- Dalmia Cement Bharat India
- Interocean Group of Companies - India
- Rashtriya Ispat Nigam Limited - India
- Minerals Council of Australia
- Australian Commodity Traders Exchange
- Sree Jayajothi Cements Limited - India
- Petrochimia International Co. Ltd.- Taiwan
- Petron Corporation, Philippines
- Romanian Commodities Exchange
- Ambuja Cements Ltd - India
- Intertek Mineral Services - Indonesia
- Antam Resourcindo - Indonesia
- CIMB Investment Bank - Malaysia
- Energy Link Ltd, New Zealand
- Deloitte Consulting - India
- Chamber of Mines of South Africa
- Meralco Power Generation, Philippines
- PetroVietnam Power Coal Import and Supply Company
- CNBM International Corporation - China
- GAC Shipping (India) Pvt Ltd
- Toyota Tsusho Corporation, Japan
- Vedanta Resources Plc - India
- Cement Manufacturers Association - India
- Bharathi Cement Corporation - India
- PowerSource Philippines DevCo
- Planning Commission, India
- San Jose City I Power Corp, Philippines
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- Wilmar Investment Holdings
- Tata Chemicals Ltd - India
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- Sical Logistics Limited - India
- Uttam Galva Steels Limited - India
- Ind-Barath Power Infra Limited - India
- Economic Council, Georgia
- Savvy Resources Ltd - HongKong
- Essar Steel Hazira Ltd - India
- Medco Energi Mining Internasional
- McConnell Dowell - Australia
- Sinarmas Energy and Mining - Indonesia
- Central Electricity Authority - India
- Sakthi Sugars Limited - India
- ICICI Bank Limited - India
- Bulk Trading Sa - Switzerland
- Barasentosa Lestari - Indonesia
- Latin American Coal - Colombia
- Indian Oil Corporation Limited
- Eastern Coal Council - USA
- Bukit Makmur.PT - Indonesia
- Kohat Cement Company Ltd. - Pakistan
|
| |
| |
|
