Wood mackenzie metallurgical coal pdf

Steel is essential for building the critical infrastructure and the products that make our quality of life possible. The metallurgical coal market can be segmented based on coal grade and region. This specification accommodates both a branded and an unbranded market. China sept2010 thermal coal demand growth to nearly 5 billion tonnes. Apec coal market report 2017 iii foreword demand for coal has been soaring in many developing economies. A report just out by wood mackenzie states that 65% of world coal production is operating at a loss. Coke demand and production are firmly lower this year in china and metallurgical coal imports fell to 4 mt in october, down 41% yearonyear. Vicky binns, general manager, metallurgical coal marketing, 17 april 2012 slide 12. A case of temporary indigestion painting the oil landscape despite the welldocumented frenzy, us shale oil is not affecting world markets. Hard coking coals cost higher as compared to semisoft coking coals as they have better coking properties.

Seaborne metallurgical coal coal trade 2011 trade flow metallurgical coal coal trade source. Metallurgical coal or coking coal is a grade of coal that can be used to produce goodquality coke. Domestic thermal coal price in china has been persistently higher than chinas guided price band. Slide in chinese coal imports to continue in 2015 wood. Anglo american is an active partner in diverse clean coal energy initiatives. What to look for in 2020 report summary moving into 2020 after a jekyll and hyde year in 2019, expect a cautious rebound in global economic growth underpinned by chinese and indian government stimulus and the recent phase 1 trade deal between the us and china. Global coking coal price forecast by type 20192023 statista. Smithers metcoke world summit has an impressive history of providing an industryleading conference experience for the coke, coal and steel industry.

Wood mackenzie, march 2009 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 6. Global metallurgical coal supply additions may calm any. Primary steelmaking companies often have a division that produces coal for coking, to ensure a stable and lowcost supply. Coal shipped primarily to asia and europe metallurgical sales realize 75% of premium hcc index price 116 million tons priced for 2020 from wyoming, colorado, illinois, indiana and new mexico coal shipped to u. Wood mackenzie low prices put 17 per cent of us coal production at risk march 2015 86 coalswarm only 41 out of 151 proposed coal projects were actually built. Large coal reserves and diverse portfolio of coal products adaro metcoal companies central and east kalimantansub metallurgical coal resources 1. Steelmaking coal or metallurgical coal is a higher grade coal which is a necessary component in the chemical reactions that transforms iron into steel. For midvol, coals must meet the hcca quality specification laid out in globalcoals relevant standard specifications rss. The wood mackenzie report also shows that mines within the hay point catchment area are now and in 2021, generally in the lower part of the mining cost curve for metallurgical export coal, and predominantly at the high end of the cost margin curve.

Wm sultoon what lies ahead for global coal 8 april 2015 vf. Based on the coal quality data supplied to wood mackenzie by cardero, the following conclusions from the study are particularly relevant. Metallurgical coal demand steel capacity 0 20 40 60 80 100 120 140 160 2015 2020 2025 2030 bof other steel production metallurgical coal requirement. Delivering commercial insight wood mackenzies coal 101 july 2012.

The metallurgical coal marketing study will commence following. Despite its high carbon emissions, coal is affordable and plentiful, particularly in the asiapacific region, where it remains the backbone of numerous economies power systems. As a result, its production is an abundant source of carbon dioxide co2 emissions. Coal is a naturally occurring sedimentary rock formed over millions of years as plants and other organic materials are buried and subjected to geological forces. Overview of thermal coal markets presented to coaltrans amsterdam jeff watkins chairman of coal october 19, 2010. Coke is an essential fuel and reactant in the blast furnace process for primary steelmaking. This page was last edited on 15 january 2020, at 15. Discover the insight, data and analysis you need to make better strategic decisions with our comprehensive coal commodity reports at wood mackenzie. Metallurgical coal market global industry analysis and. Whats behind the metallurgical coal price plunge and what lies ahead. And other greenhouse gas emissions, wood mackenzie. Coking coal has physical properties that when heated cause it to soften, liquefy and then resolidify into a harder substance known as coke. Coal cost research at wood mackenzie, said that the emergence of china and india have created much volatility in the coal market. Wood mackenzie global coal tool 1h 2016, arrival india.

However, growing pains are inevitable, particularly as china transitions to a lower growth, less steelintensive economy, in which metallurgical coal demand falls persistently. Metallurgical coal, composed of coking coal and pci coal, is an essential raw material in blastfurnace steel production, which represents approximately 70% of global crude steel output. Content is available under creative commons attributionnoncommercialsharealike. Global metallurgical coal shortterm outlook march 2020. Xstratas long term coal sales agreements, and actively engaged with power plant developerstraders. Metallurgical coal is also commonly referred to as coking coal. Coking coal rallied by the most in four years after damage from tropical cyclone debbie hit shipments from the top exporter, setting off a surge. Wood mackenzie steel market and coal market services net change in hot metal production 2014 to 2035 mt urbanisation and industrialisation in china. Not for distribution or publication embargoed pending ncc member approval ncc coal policy committee chair holly krutka, peabody vice chair f. The volatility of these early years will eventually make way for greater stability, and persistent growth as the metallurgical coal market matures.

Oversupply continues to weigh on the performance of thermal and metallurgical coal exports into china, wood mackenzie senior analyst jonathan sultoon told an audience at the prospectors and. Metallurgical coal business, brent waldron, presented the minister of forests, lands and natural resource operations. Please keep me informed about wood mackenzie products, services and events. Wood mackenzie will immediately commence with the premium thermal coal marketing study for the lcp and is expected to complete the study during the december 2014 quarter. Carbon creek operating costs in the global costcurve about wood mackenzie wood mackenzie is the most comprehensive source of knowledge about the worlds energy and metals industries. Metallurgical coal is the key raw material for 70% of the worlds steel industry. Rising natural gas prices in 2017 and 2018 are expected to support higher steam coal prices, according to wood mackenzie, contura said in its registration statement, referring to the global. Global steel production and metallurgical coal imports source. In july a ban on trader cargoes was imposed at caofeidien and jintang two ports that accounted for 35% of chinas metallurgical coal imports in h1 2019. As part of the study, wood mackenzie also provides insight into the global metallurgical coal market and expected trends during construction and operation of the proposed carbon creek mine. Wood mackenzie held a webinar on 15 may 2018, where we discussed things to watch for in global metallurgical coal markets. In terms of coal grade, the metallurgical coal market can be divided into hard coking coals hcc, semisoft coking coal sscc, and pulverized coal injection pci coal. Cardero provides update on metallurgical coal quality at. Developments in thedevelopments in the coking coal market.

Seaborne thermal coal demand increased by 3% yoy in 2017 to 919 mt wood mackenzie. Metallurgical coal iron ore thermal coal increased likelihood of economic stimulus later in the year. Metallurgical coal is more scarce and valuable than thermal coal, so in practice metallurgical coal is rarely used to generate electricity. Coal supply service q4, 2015, iea 2015, accenture research 2016 australia is well positioned geographically to meet the significant asian coal demand. Dusseldorf global coking coal prices are expected to fall further as additional supply comes into the market, outpacing the effect of any further mine restrictions which may be imposed in china, consultants wood mackenzie said tuesday. Seaborne global thermal and metallurgical coal demand 0 200 400 600 800 1,000 1,200 1,400 1,600 1,800. We analyze and advise on every stage along the value chain from discovery to delivery, and. Metallurgical coal, also known as coking coal, is used to produce coke, the primary source of carbon used in steelmaking. Insight coronavirus covid19 and its impact on commodities. Energy information administration quarterly coal report, october december 2019 table 11.

Two types of metallurgical coal can be traded on globalcoal premium midvol and premium lowvol hard coking coals. Global metallurgical coal shortterm outlook november 2015. The vast majority 99% of hydrogen today is produced from hydrocarbons, namely natural gas and coal. Supply is expected to remain tight due to continued supply reform in china as well as funding and operational constraints. What behind the metallurgical coal price plunge and what.

In fact, the organization of the petroleum exporting countries opec is expected to increase its share of global supply to 45% by 2030, from around 43% now, according to wood mackenzie. Both the hard coking coal hcc and semisoft coking coal sscc are close to benchmark specification. Indicative metallurgical product coal quality is positive. The demand for metallurgical coal is highly coupled to the demand for steel. Global demand for seaborne metallurgical coal has increased from 180 mt in 2000, to 287 mt in 2014. Forecasted coking coal price from 2019 to 2023 by type in nominal u.