Whitehaven eyes demand

Townsville Bulletin - - NEWS -

WHITEHAVEN Coal ex­pects coal prices to re­main el­e­vated in the near term on strong demand from China and con­tin­ued weather im­pact on In­done­sian sup­plies.

Coal prices spiked ear­lier this year af­ter seaborne trade was dis­rupted in March and April by Cy­clone Deb­bie’s im­pact in Queens­land, with met­al­lur­gi­cal coal ris­ing to more than $ US300 a tonne and ther­mal coal touch­ing nearly $ US90 a tonne.

Ther­mal coal prices fell into May but have since ral­lied, while met­al­lur­gi­cal prices are sta­ble, Whitehaven chief Paul Flynn said. “We see strong sup­port for con­tin­ued pric­ing at these levels,” he said.

Demand for ther­mal coal from power gen­er­a­tors in China had in­creased 8 per cent in the first four months of this cal­en­dar year, even as In­done­sian sup­ply was hit by weather- re­lated de­lays.

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