India’s Coal Production to Lowest Level, Black Stone Price Rises Sharply
The movement of Contract Coal Price of October 2016 ends with sharp rise at the trading that was closed on Friday (02/09/2016), in the middle of production declining reports at the largest coal mining company for such fuel.
On Friday’s trading, the price of coal for the contract in October 2016, the most active contract on the Rotterdam stock exchange, closed up sharply 1.36% or 0.85 points at US $ 63.35 / metric ton.
While in earlier trading (Thursday, 01/09/2016), the price of a new stone closed down to the level of 62.50.
As quoted by Bloomberg on Friday (02/09/2016), the largest coal mining company in the world; Coal India Ltd. reported a drop in production to the lowest level in three years due to the impact of heavy rains that flooded mines.
According to Technical Director of Coal India Ltd. N. Kumar, the company’s production fell 10.4% to 32.4 million metric tons on August in comparison to the previous year, while number of shipment dropped 9.6% to 36.72 million tons. Coal India will probably face further disruption due to union strike on Friday demanding more jobs and higher salary.