Tons of Coal, part III: World Fundamentals

The chart is from the Economist.  Future electricity generation demand just for air conditioning, and thus for coal, is wildly bullish (Guardian).  Wind and solar are not going to get the job done.  China is always the elephant in the room (Reuters).

The massive scale with which industrial activity in China occurs is mind boggling (Platts).  India is big too and expects to see large increases in coal imports:  Mining Weekly.  India solar at Business Week.

Meanwhile, China coal market likely to see oversupply amid weak demand in H2 at Platts.

Currently industry profits are on the met coal side, but there is concern over the steel-making coal going forward.  Mining

Off a small base, US coal exports still on upswing: government data at Platts.

Small players are having a tough time in China too:  WCT.  Colombian coal miners’ strike risks Glencore operation at Mining.  Rio Tinto is cutting costs amid low Chinese thermal coal pricing:  Reuters.

I hope you enjoyed the coal series this afternoon.  Expect a whole lot more coal commentary in the future.  I smell opportunity.