Coal demand soars as Asia economies rebound-Peabody

[phantom power]

NEW YORK, Oct 20 (Reuters) - Demand for coal to generate electricity and make steel in China and India is expected to grow by 7 percent to 8 percent annually in the next five years, leaving the world "chronically" short of the fuel, the head of U.S. coal miner Peabody Energy Inc (BTU.N) said on Tuesday.

He also outlined his company's plans to double exports from Australia to handle Asian demand and to develop its joint venture in Mongolia to produce coal for the Chinese.

The coal shortage, as industrial activity rebounds from last year's economic downturn, is driving up prices and Peabody forecast steam, or thermal, coal selling for $100 per tonne by 2012, up from around $70 today. It also said metallurgical, or coking, coal is already selling for $160 per tonne -- way above this year's benchmark of $129.

"We believe China is short of met (steel-making) coal and demand is shredding supply and pushing prices north," Chief Executive Greg Boyce told Wall Street analysts on a conference call to discuss Peabody's third-quarter earnings.

"India will turn to seaborne markets and in the next five years we see the region with 7 percent to 8 percent growth compounded annually, which is 300 million to 400 million tonnes per year.

"That will leave the world chronically under-supplied," Boyce said.

http://www.reuters.com/article/marketsNews/idUSN2044542920091020

[AndyA]

1. I hope they're using only the clean coal and not the kind that pollutes.

Since it's China, and they're so environmentally-sensitive, I'm sure they're not abusing the planet.

:sarcasm:

[phantom power]

2. Did you ever read "The Ones Who Walk Away from Omelas" ?

[AndyA]

3. No, but I perused Wikipedia about it.

The suffering of one for the greater good...

So many are suffering today. :(

[phantom power]

4. China is our little boy huddling in shit, for the sake of our shiny utopia.

We didn't get rid of our pollution, so much as export it to places like China.

[GliderGuider]

6. I'm starting to see more and more traffic on the roads that lead out of town.

[excess_3]

5. better than oil from the middle east

[pscot]

7. China's oil imports are up 17%

over last year. And they are out-bidding the major American oil companies for existing reserves in Africa and elsewhere.

[Nihil]

8. Congratulations!

This is the first of your many incarnations that has made it
to 1000 posts without being tombstoned!

Patience pays off! :hi:

[NickB79]

9. Bullshit and you know it

Unless you're a global warming denier, that is.

[TheWraith]

10. Um... no. It's not.

Coal is actually a lot worse than oil; not only does it produce greenhouse gases, it also releases ash, mercury, particulates, uranium, thorium, other heavy metals, and who knows what the fuck else.

[hunter]

11. I could write a 'bot that made posts like that.

Sort of like grovelbot, but not as pretty.



Added this, just for fun:

http://www.google.com/search?DLj&q=%22better+than+oil+from+the+middle+east%22+site%3Ademocraticunderground.com&aq=f&oq=&aqi=

[Nihil]

12. Interesting google search there :-) (n/t)

:think:

[joshcryer]

13. We'll be lucky if we only hit 3.0C.

I'm expecting 4.0C in the next 100 years. Easily.