Tuesday, 07 Feb 2012
Dow Jones reported that coking coal prices could correct downward to $200 a metric a ton in 2012, but the caveat is the Australian weather that could determine the supply dynamics in the year ahead.
Mr Gerard McCloskey a consultant and former owner of UK based McCloskey Group told an audience at the Mining Indaba “There will be a correction of prices down to USD 200 per tonne.”
Mr McCloskey added “But it's a great price.”
He noted that the price for coking coal has remained above USD 200 a tonne for six consecutive quarters already.
He noted that the key caveat would be the amount of rain that falls in the Queensland basin in Australia this year. Heavy rainfall could shut down exports from the world's largest seaborne coking coal region as it has done so in the past, most notably last year.
McCloskey said that if Australia were to produce at levels last seen in the first half of 2010 when it was uninterrupted by rain, that's an extra 30 million tonnes coming into a 140 million tonne market.
He told "That's a lot to take, which could result in weaker prices.”
He added that there are already signs of oversupply in the market, with shipments of US coking coal anchored off the coast of China, waiting to be sold.
McCloskey said prices would weaken, but told the audience not to panic because they will still be well above costs.
(Sourced from DJ News)
Showing posts with label weather. Show all posts
Showing posts with label weather. Show all posts
Tuesday, February 7, 2012
Monday, February 6, 2012
4 coal mines shut in Australia on floods
Monday, 06 Feb 2012
Reuters reported that heavy rains shut four coal mines in eastern Australia on Friday as military helicopters evacuated stranded residents from inundated towns and authorities warned of further flash flooding.
Emergency services authorities said that more than 11,000 people in Queensland state have been isolated by the flooding and thousands had been evacuated.
Whitehaven Coal said it had shut four mines due to heavy rainfall, but the mines were not flooded and no equipment had been damaged. Other miners and liquefied natural gas producers reported their operations had so far not been affected.
The Queensland Resources Council said many of the state's mines were still carrying water from last year's wet season and it was monitoring mining areas.
A spokeswoman for Xstrata, the world's largest thermal coal exporter, which has mines in both New South Wales and Queensland, said it was not aware of any impact due to the wet weather. In the northwestern district of Queensland, Xstrata said it had resumed operations at its Ernest Henry copper mine following a short suspension last week to ensure the safety of staff.
Another coal major, Rio Tinto, said it would not comment on production.
The Bureau of Meteorology said heavy rains were likely to add to already overflowing rivers and warned of localised flash flooding. It cancelled a severe weather warning for parts of New South Wales.
The 2011 floods also damaged crops and inundated coal mines, pushing up prices for coal. Australia is the world's largest coal exporter and accounts for roughly two-thirds of global trade of coking coal, used for steel production.
(Sourced from Reuters)
Reuters reported that heavy rains shut four coal mines in eastern Australia on Friday as military helicopters evacuated stranded residents from inundated towns and authorities warned of further flash flooding.
Emergency services authorities said that more than 11,000 people in Queensland state have been isolated by the flooding and thousands had been evacuated.
Whitehaven Coal said it had shut four mines due to heavy rainfall, but the mines were not flooded and no equipment had been damaged. Other miners and liquefied natural gas producers reported their operations had so far not been affected.
The Queensland Resources Council said many of the state's mines were still carrying water from last year's wet season and it was monitoring mining areas.
A spokeswoman for Xstrata, the world's largest thermal coal exporter, which has mines in both New South Wales and Queensland, said it was not aware of any impact due to the wet weather. In the northwestern district of Queensland, Xstrata said it had resumed operations at its Ernest Henry copper mine following a short suspension last week to ensure the safety of staff.
Another coal major, Rio Tinto, said it would not comment on production.
The Bureau of Meteorology said heavy rains were likely to add to already overflowing rivers and warned of localised flash flooding. It cancelled a severe weather warning for parts of New South Wales.
The 2011 floods also damaged crops and inundated coal mines, pushing up prices for coal. Australia is the world's largest coal exporter and accounts for roughly two-thirds of global trade of coking coal, used for steel production.
(Sourced from Reuters)
Wednesday, March 16, 2011
Japan's nuclear crisis
Wed Mar 16, 2011 1:23pm GMTTOKYO, March 16 (Reuters) - Following are main developments after a massive earthquake and tsunami devastated northeast Japan and crippled a nuclear power station, raising the risk of uncontrolled radiation.
* Japan's nuclear agency says military will help pump water at the No.3 reactor at the quake-damaged Fukushima Daiichi nuclear power complex in northeastern Japan, and for the spent fuel pool in No.4 reactor.
* Agency also says radiation levels outside the plant spiked around noon but fell back.
- A helicopter was unable to drop water to cool the No.3 reactor, probably because of the high radiation, Kyodo news agency said, quoting the defence minister.
- Police will attempt to cool No.4 reactor's spent nuclear fuel pool using a water cannon, NHK TV says.
- Japan's top government spokesman says radiation levels around the complex are not at levels to cause an immediate health risk.
- Tokyo is safe for international travellers, the Japanese Red Cross says.
- There is no evidence of a significant spread of radiation from Japan's crippled nuclear plants, the World Health Organisation says.
- Operator says it is unable to resume work cooling the reactors due to radiation risk. Workers ordered to leave the plant were allowed back in after radiation levels fall. Operator says there were 180 workers on site as of 0230 GMT.
- Fire breaks out at reactor No.4 a day after a blast blew a hole in the building housing spent fuel rods. White smoke seen from No.3 reactor most likely to be steam from the water that is being poured to cool the rods.
- No plan yet to extend evacuation zone near the facility, 240 km (150 miles) north of Tokyo.
- Australia urges its citizens with non-essential roles to consider leaving Tokyo and the most damaged prefectures, and Turkey warns citizens against travelling to Japan. France urges nationals living in Tokyo to leave country or move south.
- Radiation levels in Tokyo were 10 times normal at one point, but not a threat to humsan health, officials said.
- Japan's benchmark Nikkei average closes 4.5 percent up on Wednesday after suffering its worst two-day rout since 1987. The index surged over 6 percent at one point.
- Tens of thousands of people are still missing since Friday's quake and tsunami. About 850,000 households in the north without electricity in near-freezing weather. Death toll is expected to exceed 10,000. (Tokyo bureau; Compiled by World Desk Asia, Reuters)
* Japan's nuclear agency says military will help pump water at the No.3 reactor at the quake-damaged Fukushima Daiichi nuclear power complex in northeastern Japan, and for the spent fuel pool in No.4 reactor.
* Agency also says radiation levels outside the plant spiked around noon but fell back.
- A helicopter was unable to drop water to cool the No.3 reactor, probably because of the high radiation, Kyodo news agency said, quoting the defence minister.
- Police will attempt to cool No.4 reactor's spent nuclear fuel pool using a water cannon, NHK TV says.
- Japan's top government spokesman says radiation levels around the complex are not at levels to cause an immediate health risk.
- Tokyo is safe for international travellers, the Japanese Red Cross says.
- There is no evidence of a significant spread of radiation from Japan's crippled nuclear plants, the World Health Organisation says.
- Operator says it is unable to resume work cooling the reactors due to radiation risk. Workers ordered to leave the plant were allowed back in after radiation levels fall. Operator says there were 180 workers on site as of 0230 GMT.
- Fire breaks out at reactor No.4 a day after a blast blew a hole in the building housing spent fuel rods. White smoke seen from No.3 reactor most likely to be steam from the water that is being poured to cool the rods.
- No plan yet to extend evacuation zone near the facility, 240 km (150 miles) north of Tokyo.
- Australia urges its citizens with non-essential roles to consider leaving Tokyo and the most damaged prefectures, and Turkey warns citizens against travelling to Japan. France urges nationals living in Tokyo to leave country or move south.
- Radiation levels in Tokyo were 10 times normal at one point, but not a threat to humsan health, officials said.
- Japan's benchmark Nikkei average closes 4.5 percent up on Wednesday after suffering its worst two-day rout since 1987. The index surged over 6 percent at one point.
- Tens of thousands of people are still missing since Friday's quake and tsunami. About 850,000 households in the north without electricity in near-freezing weather. Death toll is expected to exceed 10,000. (Tokyo bureau; Compiled by World Desk Asia, Reuters)
Friday, March 4, 2011
Heavy rains in Pilbara adversely affect Fortescue’s iron ore operations
Friday, 04 March 2011
Australian iron ore producer Fortescue Metals Group Limited (Fortescue) has announced that continued and heavy rainfall across the Pilbara region of Western Australia is impacting the company's mining operations.
According to a company release, the sustained wet weather events have caused significant flooding across the Pilbara resulting in extended access road closures and air access restrictions to Fortescue's mining operations, disrupting production.
Fortescue now estimates iron ore production of 8.5-9 million mt in the first quarter of 2011 down 500,000 mt compared to the previous guidance, assuming a return to normal weather conditions.
Fortescue is working to maximize production throughout the remainder of the quarter, the company said.
Wednesday, February 23, 2011
Australian Port Hedland iron ore terminal reopens after cyclone
Wednesday, 23 Feb 2011Australia's Port Hedland, one of the world's largest export terminals for iron ore, reopened on Wednesday following a two day suspension due to a cyclone.
Mr John Finch port's harbourmaster said "There was no damage and the cyclone just passed."
A cyclone bearing down on Western Australia on Tuesday has brought iron ore shipments from the world's top exporter to a near standstill as ports shut ahead of the storm.
Two of the world's largest iron ore terminals at Port of Dampier and Port Hedland have suspended operations as Cyclone Carlos builds and sweeps toward the country's northwest. Nearly all of Australia's around 400 million tonnes of iron ore exports are shipped from the two ports.
Gales with wind gusts to 110 kilometres per hour were slamming into coastal areas west of Port Hedland and were heading westward towards Dampier, according to the Australian Bureau of Meteorology.
Cyclones are a normal fixture of an Australian summer but the national weather bureau has indicated that above average cyclone activity is to be expected this season due to a La Nina weather event.
Mr John Finch port's harbourmaster said "There was no damage and the cyclone just passed."
A cyclone bearing down on Western Australia on Tuesday has brought iron ore shipments from the world's top exporter to a near standstill as ports shut ahead of the storm.
Two of the world's largest iron ore terminals at Port of Dampier and Port Hedland have suspended operations as Cyclone Carlos builds and sweeps toward the country's northwest. Nearly all of Australia's around 400 million tonnes of iron ore exports are shipped from the two ports.
Gales with wind gusts to 110 kilometres per hour were slamming into coastal areas west of Port Hedland and were heading westward towards Dampier, according to the Australian Bureau of Meteorology.
Cyclones are a normal fixture of an Australian summer but the national weather bureau has indicated that above average cyclone activity is to be expected this season due to a La Nina weather event.
(Sourced from Reuters)
Monday, February 21, 2011
Rio Tinto sees Q1 iron ore shipments affected by Pilbara cyclones
Mon Feb 21, 2011 7:36am GMT
SYDNEY Feb 21 (Reuters) - Global miner Rio Tinto says it expects cyclones affecting its coastal operations in Western Australia's Pilbara region to affect shipped tonnage for the first quarter of this year.
Rio Tinto said it had maintained operations at 14 mines in the region and there have been frequent interruptions at its Dampier and Cape Lambert operations from adverse weather.
(Reporting by Michael Smith; Editing by Clarence Fernandez)
Wednesday, January 12, 2011
Coal shortage threatens Queensland power
Via abc.net, by finance reporter Elysse Morgan and staff.
People across flood stricken south east Queensland are facing further electricity cuts, as power stations run low on coal stocks.
The floods have closed mines, and cut transport links; including rail lines, leaving power stations struggling to get enough coal.
CS Energy's Swanbank power station west of Brisbane, which supplies power to a million homes in the city, has three weeks supply left.
But its coal source in the Darling Downs remains cut off.
CS Energy chief executive David Brown says the company is considering trucking in coal in from other areas.
"We'll look at our fuel situation very carefully to ensure continued supply into the grid, we are looking at alternative sources of coal to that station should we not be able to get coal transported to the station," he said.
One of the company's power stations at Kogan Creek near Chinchilla, is relying on its staff being flown in and out to operate it, as it is cut off from any other transport links.
David Brown says a helicopter service has been in place for three weeks now and will remain until the water recedes.
This comes in addition to power cuts made by electricity supplier, Energex overnight.
It cut its power supply to the Ipswich central business district as authorities prepare for the biggest flood in more than 3 decades.
Energex spokesman Danny Donald says it is a question of safety.
"We will commence disconnection of the central business district of Ipswich and quite a number of surrounding suburbs as well," he said.
Energex says supplies will be restored once floodwaters recede and it assesses amount of damage caused to its network.
People across flood stricken south east Queensland are facing further electricity cuts, as power stations run low on coal stocks.
The floods have closed mines, and cut transport links; including rail lines, leaving power stations struggling to get enough coal.
CS Energy's Swanbank power station west of Brisbane, which supplies power to a million homes in the city, has three weeks supply left.
But its coal source in the Darling Downs remains cut off.
CS Energy chief executive David Brown says the company is considering trucking in coal in from other areas.
"We'll look at our fuel situation very carefully to ensure continued supply into the grid, we are looking at alternative sources of coal to that station should we not be able to get coal transported to the station," he said.
One of the company's power stations at Kogan Creek near Chinchilla, is relying on its staff being flown in and out to operate it, as it is cut off from any other transport links.
David Brown says a helicopter service has been in place for three weeks now and will remain until the water recedes.
This comes in addition to power cuts made by electricity supplier, Energex overnight.
It cut its power supply to the Ipswich central business district as authorities prepare for the biggest flood in more than 3 decades.
Energex spokesman Danny Donald says it is a question of safety.
"We will commence disconnection of the central business district of Ipswich and quite a number of surrounding suburbs as well," he said.
Energex says supplies will be restored once floodwaters recede and it assesses amount of damage caused to its network.
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