Search

Anglo American Plc has agreed to sell a A$1.6 billion stake in one of its Australian coal mines as part of its restructuring efforts. The company aims to execute its turnaround strategy, which includes exiting diamond mining, separating platinum operations, and selling coal mines. The sale of its stake in Jellinbah Group to Zashvin Pty Ltd. is expected to be completed in the second quarter of 2025, while the company is also in talks to sell the rest of its Australian coal business to potential buyers. This move is crucial for Anglo as it seeks to demonstrate progress to investors amidst challenges in the coal and diamond markets. [Extracted from the article]

(Bloomberg) -- Anglo American Plc has agreed to sell its 33.3% minority stake in Australian coal miner Jellinbah Group to Zashvin Pty Ltd., it said in a filing.Zashvin, already owns a third of Jellinbah, alongside Anglo American and Marubeni Corp. The deal is expected to be completed in the second quarter of 2025, Anglo said.©2024 Bloomberg L.P.By Andrew JanesReported by Author [Extracted from the article]

China Energy Investment Corp, China's largest coal miner, has announced plans to spend $24 billion on a coal-to-oil project in Xinjiang. The integrated plant in Hami city will convert coal into oil products and is expected to come online in 2027. Despite China's push for clean energy, it remains the world's largest coal producer and is seeking alternative uses for coal as coal consumption for electricity generation declines. However, the profitability of coal-to-oil projects has declined due to a weak economy and efforts to decarbonize the economy. The Hami facility is expected to be successful due to its low-cost coal mining and advanced liquefaction technology. However, the project carries risks as it will contribute to China's carbon emissions at a time when the petrochemical industry is struggling. [Extracted from the article]

Coronado Finance Pty Ltd., a unit of Australia's Coronado Global Resources Inc., has sold a rare bond in the dollar market as a coal miner. The company raised $400 million with the sale of a five-year note that can be called after two years. Bonds of coal miners have become increasingly rare in the dollar market due to concerns about carbon emissions, leading more miners to seek funding from private credit managers. Indonesia's Indika Energy and US coal producer Alliance Resource Operating Partners LP are the only other coal miners in the Asia Pacific to sell dollar notes this year. [Extracted from the article]

South African coal miner Seriti Resources is planning to cut over 1,100 jobs at two opencast operations due to their lack of profitability. The company cited factors such as the poor performance of state-owned rail firm Transnet SOC Ltd and market volatility as reasons for the mines' unprofitability. The decline in coal prices and reduced coal shipments have also contributed to the decision. Seriti has initiated a consultation process with workers and remains committed to meeting coal supply obligations. The National Union of Mineworkers has expressed opposition to the job cuts. [Extracted from the article]

PT Adaro Energy Indonesia, one of Indonesia's largest coal miners, plans to spin off its coal mining unit, Adaro Andalan Indonesia, in a $2.45 billion sale as part of its transition away from fossil fuels. The company aims to seek shareholder approval for the plan on October 18. Adaro is also investing in areas like metals and green energy, such as building an aluminum smelter, to benefit from the energy transition. Despite this shift, coal still accounts for over 90% of Adaro's revenue. The sale of the coal mining unit will allow Adaro to access more sources of finance and boost its non-coal revenue to over half by the end of the decade. [Extracted from the article]

(Bloomberg) -- PT Adaro Energy Indonesia plans to sell a coal mining unit valued at $2.45 billion as part of its shift away from the fossil fuel.The company, which is one of country's biggest coal miners, plans to sell its 99.9% stake in Adaro Andalan Indonesia, according to a local exchange filing. The unit owns shares in several coal mining companies.©2024 Bloomberg L.P.By Eddie SpenceReported by Author [Extracted from the article]

Peabody Energy Corp. saw a 7% increase in its stock price after Thomist Capital Management LP revealed a 9.96% stake in the company and suggested that Peabody should repurchase shares. Thomist also recommended that Peabody utilize its $1.45 billion cash balance to maximize the value of its Powder River Basin assets and sell a stake in its Centurion mine in Australia. This news coincided with the announcement of a merger between Arch Resources Inc. and Consol Energy Inc. to form Core Natural Resources, a coal producer and exporter. [Extracted from the article]

US coal producer Consol Energy Inc. has agreed to acquire rival Arch Resources Inc. for $2.3 billion. This acquisition comes as the coal industry faces challenges due to the transition to greener fuels. The merged company, to be called Core Natural Resources, will have a significant portfolio of mines producing metallurgical coal for steel production, as well as thermal coal mines and ownership interests in two export terminals. The deal is expected to close in the first quarter of 2025. [Extracted from the article]

Arch Resources Inc. is reportedly in talks to merge with Consol Energy Inc., which would create a $5 billion coal mining company. The agreement could be announced this week, although it has not been finalized and discussions could still fall apart. Both Arch Resources and Consol Energy are major US coal miners, but the industry is facing challenges due to the shift towards cleaner fuels. This potential merger comes amidst a recent increase in summer dealmaking globally. [Extracted from the article]

South Africa's state logistics company, Transnet SOC Ltd., is defending its pace of recovery after being criticized for hindering economic growth and causing job losses. The company's CEO, Michelle Phillips, faced criticism for failing to increase rail-freight volumes. Transnet acknowledges the operational challenges it faces and attributes them to historical factors. Despite a decline in freight volumes over the past five years, Transnet has seen a marginal increase in the past year and has set targets for further growth. The company is implementing initiatives to support its recovery plan, with progress visible in segments such as manganese, chrome, and containers. However, challenges such as cable theft and a dispute with a Chinese supplier continue to impact operations. [Extracted from the article]

South Africa's government has criticized Transnet SOC Ltd., the state freight-rail monopoly, for its poor performance and failure to increase volumes. The decline in rail services has had a negative impact on economic growth, with freight volumes well below the necessary levels to prevent job cuts in mining companies and other sectors. Transnet aims to move 170 million tons of freight this year, but details on plans to open up the rail lines to other operators are still being worked out. The collapse of freight-rail services has led to record lows in iron ore and coal exports, resulting in job cuts in those industries. [Extracted from the article]

The owner of a majority stake in Coronado Global Resources Inc., a Sydney-listed coal producer, has terminated its sale to Czech tycoon Pavel Tykac's Sev.en Global Investments. The Energy & Minerals Group, the majority stake owner, decided not to proceed with the sale after the conditions of the agreement, including approval by Australia's Foreign Investment Review Board, were not met by the deadline. Sev.en had cited expansion opportunities as the reason for the purchase, but Coronado's shares have fallen since the sales agreement was made public. [Extracted from the article]

The owner of a majority stake in Coronado Global Resources Inc., a Sydney-listed coal producer, has terminated its sale to Czech tycoon Pavel Tykac's Sev.en Global Investments. The Energy & Minerals Group, based in Houston, decided not to proceed with the sale after certain conditions, including approval by Australia's Foreign Investment Review Board, were not met by the deadline. Sev.en had cited expansion opportunities in Coronado's coal portfolio in Australia and the US as reasons for the purchase. Coronado shares have fallen 35% since the sales agreement was made public. [Extracted from the article]

Germany's second largest coal miner, Lausitz Energie Bergbau AG, is expected to receive around €1 billion ($1.1 billion) in compensation for shutting down its fossil fuel operations. The European Commission is set to reduce the agreed state aid, which was initially promised to be €1.75 billion. The approval is expected to come soon, and the commission will issue a draft decision on the state aid review. The German government had brokered the deal in 2020 to support LEAG and RWE AG's coal exit by 2038, but LEAG is not willing to move its coal exit forward to 2030 like RWE. LEAG plans to use a portion of the state aid to invest in renewable energy. [Extracted from the article]

Chinese and other major lenders are becoming hesitant to invest in Pakistan's expansion of coal mines, which poses a financing challenge for local producers. China has been the main supporter of Pakistan's coal development under the China-Pakistan Economic Corridor, but in 2021, President Xi Jinping pledged to halt all coal construction and financing abroad. However, China-based banks still remain among the major supporters of coal. The Prime Minister of Pakistan is facing pressure to build more coal mines to increase energy security and curb inflation, as the country currently relies on imported fuel for over 60% of its electricity generation. Government intervention is seen as necessary to protect the mining and power sector from mounting debt. [Extracted from the article]

The article discusses the upcoming elections in the coal hub of India, specifically focusing on the Sarguja district in the central Indian state of Chhattisgarh. The region has a history of left-wing violence, which has resulted in poor health and education services, as well as inadequate infrastructure. Despite this, the constituency has consistently voted for Prime Minister Narendra Modi's Bharatiya Janata Party since 2004. However, the opposition is putting up a strong fight and has fielded a popular young candidate. [Extracted from the article]

Coal India Ltd., the world's largest coal producer, has reported a 26% increase in fourth-quarter profit. This growth is attributed to a decrease in salary expenses and higher shipments to customers. India's increasing electricity consumption has led to a rise in coal usage, and Coal India has seen record output and shipments. The company's stock has nearly doubled in the past year, and it is investing in expanding its mining capacity. Despite lower competition and weaker premiums on open market sales, the demand for coal remains strong. [Extracted from the article]

Vietnam is calling for increased coal production to meet rising power demand during the upcoming summer months. The country, which heavily relies on coal for electricity generation, is concerned about potential blackouts due to weaker output from hydro facilities and high temperatures. Vietnam is also turning to China for electricity imports and facing challenges in securing a stable supply of liquefied natural gas. The government has urged manufacturers and households to implement power-saving measures to mitigate the increased demand. [Extracted from the article]

The closure of the Port of Baltimore, the second-largest coal hub in the US, has resulted in a 35% decrease in coal exports for the month of April. The US Energy Department predicts that exports will decline by 6.3% for the year, with expectations dropping from 100.8 million tons to 94.5 million tons. The closure of the port has highlighted the increasing importance of international markets for US miners as domestic utilities transition to cleaner fuels. The port is expected to reopen by the end of May after clearing a limited-access channel. [Extracted from the article]

State-run coal miner and power producer NLC India Ltd. is planning to sell renewable assets worth an estimated 60 billion rupees ($720 million). The company aims to sell nearly 1.4 gigawatts of mostly solar plants by the end of the fiscal year and has appointed SBI Capital Markets to advise on the transactions. This move aligns with New Delhi's goal of raising 500 billion rupees through asset sales in the current fiscal year. Additionally, NLC India plans to double its coal and lignite output by 2030 and construct about 6 gigawatts of new power plants using these fuels. [Extracted from the article]

Indonesian coal miner PT Harum Energy has purchased a majority stake in a nickel processing plant, as part of a growing trend of coal miners in Indonesia expanding into metals that are crucial for the energy transition. Harum Energy acquired a 51% stake in PT Blue Sparking Energy by converting a portion of a loan into equity. Blue Sparking Energy is developing a high pressure acid leach plant in North Maluku province, which produces a lower carbon form of nickel that is in high demand by electric vehicle manufacturers. This move by Harum Energy follows its previous investment in a nickel smelter in Weda Bay. Other Indonesian coal miners are also diversifying their businesses by investing in non-coal mining assets. [Extracted from the article]

The recent bridge disaster in Baltimore has severely impacted US coal exporters, particularly Consol Energy Inc. The Francis Scott Key bridge collision has shut down Baltimore's port, limiting shipping to the Consol Marine Terminal. This terminal is crucial for Consol, which heavily relies on exports due to declining domestic demand for coal. The accident has disrupted global energy supply chains, as Baltimore is the second-largest US export hub for coal. While rival miners may have alternative options, Consol and other companies may struggle to find alternative export terminals due to limited port capacity on the East Coast. [Extracted from the article]

Australian coal producers are turning to private loans as banks become more hesitant to lend due to environmental, social, and governance (ESG) concerns. Private credit lenders are stepping in to fill the gap, attracted by the higher interest rates and attractive margins offered by riskier coal projects. This trend highlights the ongoing conflict between ESG proponents and the coal industry, as private capital, including family offices and individuals, are not bound by the same ESG obligations as large funds. Alternative funding sources, such as private equity firms and asset-backed bonds, have also become more prevalent in the energy industry. Additionally, coal miners are exploring the option of selling minority stakes to customers, such as steel manufacturers, to ensure a sustainable supply. The article mentions Whitehaven Coal Ltd.'s recent success in securing a $1.1 billion loan from private credit lenders after struggling to refinance a loan with banks. The lenders in this case were mainly international funds, and the loan came at a higher cost. The article also notes that private credit could be useful for coal miners transitioning into new business lines, such as metallurgical coal, which is considered less environmentally harmful than thermal coal. [Extracted from the article]

Australian coal producers are turning to private credit lenders as banks become more hesitant to provide loans due to environmental, social, and governance (ESG) concerns. Private credit firms are willing to take on riskier projects with higher interest rates, attracting coal miners who are struggling to secure financing from traditional banks. This shift towards private credit signifies a challenge for ESG proponents, as coal miners seek alternative funding sources to sustain their operations. Additionally, coal miners may sell minority stakes to customers, such as steel manufacturers, to ensure a stable supply. [Extracted from the article]

The chairman of China's largest coking coal miner has called for increased state protection for the industry, including supply restrictions. He suggests that Beijing should control mining activity, limit output, and consolidate smaller producers into state-owned firms to reduce competition. The chairman also recommends building strategic reserves of coking coal to address the country's over-reliance on imports. The article highlights the impact of mining disasters and a slump in the property market on coking coal producers. [Extracted from the article]

China Shenhua Energy Co., the top coal producer in China, has announced a lower production target for 2024 due to an oversupply of coal. The company plans to reduce annual production by 2.6% to 316 million tons. This reduction is in line with industry-wide controls and is not expected to significantly impact thermal coal prices. Shenhua will focus on expanding its fleet of thermal power stations to offset the decline in mining profits. The company also plans to maintain its annual spending at a similar level to last year. [Extracted from the article]

India's state-run miner, Coal India Ltd., plans to increase coal production to meet rising demand and boost inventories. The company recently indicated that it may miss its output target for the current fiscal year and lowered projected volumes for the next year. However, the Federal Coal Secretary, Amrit Lal Meena, stated that there are no instructions to reduce production, although there may be some limitations due to land or clearance issues. Coal demand for India's power sector is expected to increase by 6.5% in the next financial year, prompting miners to produce more. The goal is to increase stockpiles to 43 million tons by the end of March. [Extracted from the article]

Coal producer Seriti Resources is constructing South Africa's largest wind farm in an effort to reduce reliance on state-owned power utility Eskom Holdings. The 155-megawatt wind farm, located near Seriti's New Denmark mine, is expected to create up to 800 jobs. The project aims to address the challenge of transitioning to cleaner energy sources while minimizing the impact on communities dependent on coal mining. The wind farm is set to be completed in early 2026 and will help meet the country's energy demand as Eskom's coal-fired plants struggle to keep up. [Extracted from the article]

Prajogo Pangestu, the founder of Barito Pacific Group, has experienced a significant loss in wealth, losing $4 billion in one day and $6.7 billion since last month. This loss has resulted in him no longer being the wealthiest person in Indonesia, with Low Tuck Kwong taking the title. The drop in Prajogo's wealth is attributed to the sudden slump in his company, PT Barito Renewables Energy, which had seen a surge of over 850% since October. Analysts believe the stock had become overvalued, leading to traders taking profit. Despite the losses, Barito Pacific and Barito Renewables have seen some recovery. Prajogo had a successful year in 2023, adding $26.5 billion to his fortune as Barito Renewables went public. However, the surge in shares raised concerns, leading to JPMorgan Chase & Co. downgrading Barito Pacific stocks. The Indonesian stock exchange is also investigating potential stock manipulation in a unit owned by Prajogo. Prajogo's loss in wealth has placed him among the world's biggest losers of 2024. [Extracted from the article]

Germany's RWE AG will receive €2.6 billion ($2.8 billion) in compensation from the German government for its accelerated phase-out of coal from its energy systems. The compensation will be paid out over 15 years and covers costs for RWE's mine rehabilitations and closures. The European Union is expected to approve the state aid support, following a formal investigation that began in 2021. RWE recently sealed a new contract with the government to move its coal exit forward by eight years to 2030 and plans to invest €55 billion in green technologies by the end of the decade. The EU's competition enforcers still have to decide on a €1.75 billion subsidy for Germany's second largest miner LEAG. [Extracted from the article]

The article examines the condition of the coal mining industry in the U.S. in 1974. It forecasts that the supply of coal will fall short of demand for many months despite the possible increase in coal output in the said year. It states that the democratic reforms established by Arnold R. Miller, president of the United Mine Workers (UMW), affected UMW. It notes that Miller and his miners consider 1974 as the year of the coal miner.

The article deals with the battle among 8,000 Japanese coal miners who are split into two opposing mobs and fought over whether or not anyone should go back to work at Mitsui Mining Company's Miike mine on Kyushu, Japan after a two-month lockout and strike. The rioting that took place in April 1960 left one dead. The clash is regarded by the Japanese press as a final showdown between total capitalism and total labor. Background on the dispute at the mine is provided.

The article focuses on the fourth-round labor crisis experienced in the U.S. for 1949, with about 500,000 soft- and hard-coal miners on strike, a notice from steel and fabricating plant unions of a future strike and a possible shut down of the Ford Motor Co. plants. Philip Murray offered the government that the strike will be hold off if a 4 cents increase an hour in welfare benefits and 6 cents in pensions be given to steel workers. The coal industry immediately staged a strike upon hearing the recommendations from the government.

The article reports on the coal mining industry in Great Britain which suffering from lower productivity. According to John L. Lewis, president of the United Mine Workers of America, the productivity of the American coal miners is six times of the Britishers due to the modernization and mechanization of American mines. It reports on its nationalization by the British government by taking into confidence the National Union of Mineworkers to address the labor productivity and decreased manpower.

Glencore Plc, the world's largest shipper of thermal coal, is planning to create a new coal supermajor in the New York market. The company recently announced a deal to acquire control of Teck Resources Ltd.'s steelmaking coal business, which will be combined with Glencore's own power-station coal assets to form a new company. This new company is expected to generate larger profits than the top 10 US listed coal miners combined. Glencore's decision to focus on the US market reflects a divergence between US and European investors, with American shareholders still showing interest in coal despite European institutions increasingly shunning fossil fuels. [Extracted from the article]

Glencore Plc has agreed to purchase a majority stake in Teck Resources Ltd.'s coal business, ending a contentious battle between the two companies. Glencore's offer disrupted Teck's previous plan to spin off its coal business. The deal will allow Glencore to exit the coal business and focus on metals needed for the energy transition. Glencore will pay $6.93 billion for a 77% stake in Teck's business, with the remaining stake held by steelmakers Nippon Steel Corp. and Posco. The deal is subject to Canadian government approval. [Extracted from the article]

Glencore Plc has agreed to purchase a majority stake in Teck Resources Ltd.'s coal business, ending a contentious dispute between the two companies. Glencore's offer disrupted Teck's previous plan to spin off its coal business. The deal will allow Glencore to exit its thermal coal business and focus on metals that will benefit from the energy transition. Glencore will pay $6.93 billion for a 77% stake in Teck's business, with Nippon Steel Corp. and Posco owning the remaining stake. The deal is subject to Canadian government approval. [Extracted from the article]

Teck Resources Ltd. is expected to sell its coal business to Glencore Plc, Nippon Steel Corp, and Posco in a deal worth nearly $9 billion. Glencore will acquire 77% of Teck's coal business for $6.9 billion, while Nippon Steel will take 20% in exchange for $1.7 billion and an interest in one of Teck's operations. Posco will acquire 3%. This deal comes after Teck and Glencore previously clashed over an unsolicited offer from Glencore to buy the entire Canadian miner. Teck had been planning to spin off its coal business but canceled a shareholder vote on the matter in April. The acquisition will strengthen Glencore's position as one of the world's largest coal miners, while Teck will focus on copper and zinc. [Extracted from the article]

Teck Resources Ltd. is expected to sell its coal business to Glencore Plc, Nippon Steel Corp, and POSCO Holdings Inc in a deal worth nearly $9 billion. Glencore will acquire 77% of Teck's coal business for $6.9 billion, while Nippon Steel will receive 20% in exchange for $1.7 billion and its interest in one of Teck's operations. POSCO will take 3% of the coal business. This acquisition will strengthen Glencore's position as one of the world's largest coal miners, while Teck will focus on copper and zinc mining. [Extracted from the article]

Teck Resources Ltd. is reportedly in advanced talks to sell its coal business to Glencore Plc for approximately $10 billion. An agreement could be announced this week. This potential deal comes after Glencore's previous unsolicited offer to buy Teck and split it into separate metals and coal-focused companies was rejected by Teck. If the deal goes through, it would further consolidate Glencore's position as one of the world's largest coal miners. [Extracted from the article]

State-owned Coal India Ltd. has reported a nearly 13% increase in its second-quarter profit due to a surge in electricity demand. The company's profit for the three months through September reached 68 billion rupees ($816 million), surpassing analyst estimates. The increase in power demand was driven by poor rains, which led to higher use of air conditioners and irrigation pumps, as well as floods that reduced hydropower output. Coal India has experienced significant earnings growth in recent years, fueled by India's economic revival and increased coal usage for electricity generation. The company's production and shipments also rose by 13% during the period. [Extracted from the article]

(Bloomberg Businessweek) -- Since the 2015 Paris climate agreement, "blacklist coal" has become a mantra across much of the finance industry. Another idea, from the Glasgow Financial Alliance for Net Zero (Gfanz), in cooperation with big financial institutions and technical experts at nonprofits, would be an experimental metric called expected emissions reductions, or EERs. Debt markets have already come up with tools such as sustainability-linked bonds that allow investors to finance polluters working to cut their emissions while avoiding any public blowback. [Extracted from the article]

"Rio Tinto and BHP have no measurable Scope 3 emissions reduction targets", Simon Nicholas, a lead analyst at the institute, said in a report, which also described Vale's efforts as "inadequate." "With a target to reach net zero Scope 3 emissions by 2040, Fortescue clearly leads in ambition", Nicholas said. (Bloomberg) -- The world's biggest miners including BHP Group Ltd. and Rio Tinto Group will face growing pressure from investors to properly measure their carbon footprints, according to an international research firm. [Extracted from the article]

PT Barito Pacific, which owns 64.67% of the company, fell 2.6% on Monday, while affiliated coal miner PT Petrindo Jaya Kreasi rose as much as 2.6%. (Bloomberg) -- PT Barito Renewables Energy jumped in its first day of trading after raising 3.13 trillion rupiah ($200 million) in Indonesia's fifth-biggest initial share sale this year. [Extracted from the article]

(Bloomberg) -- Profits from South Africa's mining sector nearly halved in 2023, as a decline in commodity prices, heightened power cuts and logistical challenges cut companies' revenues and increased costs. The profit slump in the industry, which makes up 7% of the country's gross domestic product, has had negative repercussions for South Africa's tax take. [Extracted from the article]

(Bloomberg) -- A sanctioned Russian tycoon has become a trustee of the Gorbachev Foundation, an organization founded by the last leader of the Soviet Union to support social, economic and political studies. Worth an estimated $14 billion according to the Bloomberg Billionaires Index, Melnichenko was sanctioned by the US, European Union and UK in the wake of Russia's February 2022 invasion of Ukraine. [Extracted from the article]

(Bloomberg) -- Whitehaven Coal Ltd.'s plans to expand its mining operations could double the Australian company's methane emissions by the end of this decade, according to an analysis from energy think tank Ember, undermining the nation's global climate commitments. Whitehaven's 2022 methane emissions accounted for 3.2% of the country's total coal mining methane emissions in 2021, Sabina Assan, a coal mine methane analyst at Ember said in an email citing the latest available data. [Extracted from the article]

"Every breath can be a struggle in the life of a coal miner suffering from coal-mine lung disease", Spoor's firm said. (Bloomberg) -- BHP Group Ltd., South32 Ltd. and a unit of Seriti Resources Holdings Ltd. may face a class action from coal miners with lung disease in South Africa who worked at the companies' operations over the last six decades. [Extracted from the article]

(Bloomberg) -- BHP Group Ltd., South32 Ltd. and a unit of Seriti Resources Holdings Ltd. may face a class action from coal miners with lung disease in South Africa who worked at the companies' operations over the last six decades. "Every breath can be a struggle in the life of a coal miner suffering from coal-mine lung disease", Spoor's firm said. [Extracted from the article]