Coal Mining News

Patriot Coal announces results for the quarter ended June 30, 2011

Patriot Coal Corporation (NYSE: PCX) today reported its financial results for the quarter ended June 30, 2011. For the 2011 second quarter, the Company reported record revenues of $632.2 million and record EBITDA of $70.2 million. Revenues and EBITDA for the year-ago quarter were $539.0 million and $40.6 million, respectively. For the six months ended June 30, 2011, the Company reported revenues of $1.2 billion and EBITDA of $118.8 million. Revenues and EBITDA for the first half of 2010 were $1.0 billion and $85.8 million, respectively.

Downer wins Xstrata coal contract

Downer EDI Ltd has secured contract worth more than $400 million with mining giant Xstrata Coal for development of a coal handling and preparation plant (CHPP) at its Ravensworth North Coal Project. The project, expected to secure over 400 jobs in the

Fy 2011 underlying net profit of A$70m expected – Whitehaven Coal

According to the Australian coal miner, FY 2011 underlying net profits, before significant items are likely to come in at A$70m, boosted by a strong output performance in the June quarter Australia's Whitehaven Coal reported a 48 percent rise in equity

UK coal inventories fell in March to almost three year low

UK coal inventories held by power companies fell in March to the lowest in almost three years after stocks were run down last year on weakening demand. According to figures from the Department of Energy & Climate Change, inventories were 9.6 million

CIL may buy 30pct stake in Indonesian firm

Coal India Ltd is in advanced stages to acquire a 30% stake in an Indonesia coal firm. Mr NC Jha chairman of Coal India said that the company has sought the government's permission to go ahead with the deal, without revealing the target entity.

Xstrata posts flat H1 for copper, coal

Xstrata, the fourth-largest global diversified miner, had reported a drop in copper output in the first quarter, hit by severe weather conditions at its Collahuasi mine in Chile.

Can Goldman, Morgan Stanley recover commodities moxie?

At the once-feared commodity trading arms of Goldman Sachs and Morgan Stanley, the pressure to do better in the second half of this year has never been more intense.

Lockheed Martin reports a breakthrough in underground communication systems

The US government has approved a new wireless communication system from Lockheed Martin that enables trapped miners and rescue workers to communicate during a disaster as safe to use in mines.

Union power in Pilbara boosted by ruling

A landmark victory in the Federal Court looks set to give unions more power to bargain on behalf of workers at Rio Tinto and BHP Billiton iron ore operations in the Pilbara. The full bench of the court has ruled that a non-union collective agreement covering workers in Rio Tinto's operations was invalid. Yesterday's decision casts doubt on similar agreements at BHP and other operations in the mining region, involving thousands of workers.

Australia's Whitehaven Coal expects FY'11 underlying net profit pre-items A$70 mln

Australia's Whitehaven Coal reported a 48 percent rise in equity coal output in the June quarter versus the same period a year ago and said it expects to show a fiscal 2011 underlying net profit of A$70 million before significant items.

Macarthur coal exports plunge amid due diligence

Macarthur Coal, the mining group that is the target of a $4.7 billion takeover bid by US energy company Peabody Energy and steel giant ArcelorMittal, has suffered a steep slide in sales a result of wet weather. Macarthur's sales in the June quarter tumbled 22.5%, with its annual sales down 26.5% to 3.9 million tonnes. Peabody and Arcelor have sweetened the deal following a couple of failed attempts in the past three years and is set to complete due diligence at the end of the week.

CDE announce distribution agreement for Africa with Pilot Crushtec

CDE have announced the addition of Pilot Crushtec to their global distributor network with responsibility for South Africaand sub-SaharanAfrica. Pilot Crushtec will promote the full range of CDE washing equipment including the Evowash sand washing plant, Prograde screens, M2500 mobile washing plant, Rotomax logwashers and Aquacycle thickeners.

150,000 South Africa coal miners start strike

South African coal workers went on strike on Monday seeking inflation-busting 14 percent wage increases, but power utility Eskom said the stoppage would not have an immediate impact on plants providing electricity to Africa's largest economy.

Canada makes a deal a day as mining M&A head towards $200 billion

The value of mergers and acquisitions in the mining sector more than doubled to $96.3 billion in the first six months of the year and could top $200 billion for the whole of 2011 says a new research report. Canadian companies – both as acquirers and as the targets of buyers – dominated corporate finance activity in the first half shaking on more than a deal a day and at 325 deals accounting for almost two-thirds of all the metals and minerals transactions carried out around the world.

Indonesia coal boom creates jungle wealth

Indonesia’s huge reserves of thermal coal — used for power plants — are being aggressively targeted by energy-hungry China and India. The demand, combined with high commodities prices, is driving a resources boom in remote Indonesian provinces, and creating billions of dollars in personal wealth.

Australia’s carbon tax may slash coal industry value by $8.7 billion

Australia’s planned carbon tax may reduce the value of the coal industry by about $8.7 billion as producers including Xstrata Plc and Anglo American Plc bear higher costs, according to a research group Wood Mackenzie Ltd. Prime Minister Julia Gillard plans to charge companies an initial A$23 a ton of carbon dioxide from July 2012 before moving to an emissions trading system by 2015. Coal mining companies in Australia, the world’s largest exporter, must pay for fugitive emissions while receiving A$1.3 billion in compensation, with the biggest polluters getting assistance over six years.

Strikes hit BHP, Anglo, De Beers and Xstrata across three continents

Bloomberg reports BHP workers in Chile voted Sunday to extend their strike at the world’s largest copper mine. Stoppages at BHP’s Australian coal operations may resume this week. Thirty thousand South African coal mine workers including Anglo American and Xstrata employees walked off the job Sunday and may be joined by 160,000 gold industry workers. Strikes that started over the weekend are impacting output from mines of diamond giant De Beers. Workers are seeking a larger slice as global producers report record earnings: Melbourne-based BHP, the world’s biggest mining company, is expected to report full-year profits of $22.5 billion next month, almost double 2010’s net income. Xstrata may report record 2011 profit of $7.3 billion and Anglo American $7.4 billion, estimates show.

Foreign money invades Mongolia

A freeze on licenses to explore for minerals is no small matter in Mongolia, a country undergoing a huge resources boom, as miners such as Anglo-Australian giant Rio Tinto (RIO) and the Chinese-backed Shenhua Group compete for the right to extract coal, copper, gold, molybdenum, and uranium. It is a resource play that is expected to bring a flood of money into the impoverished country over the next decade, centered around huge mining projects such as the Shivee Ovoo and Tavan Tolgoi coal reserves, estimated to be worth $300 billion and $400 billion, respectively, and the copper and gold mine Oyu Tolgoi, worth some $300 billion. (Image is of the Nadaam Festival, traditional Mongolian wrestling in Central Mongolia. Photograph by Oksana Perkins taken on July 10, 2009 / Shutterstock.com.)

SA braces for massive coal strike

About 150 000 South African coal workers seeking 14% wage increases plan to walk off the job from Sunday in a strike that could dent exports and hurt power supplies in Africa's largest economy. Hundreds of thousands of union workers have downed tools in recent weeks, or are threatening to do so, seeking raises double or triple the 5% inflation rate in the mid-year bargaining session known locally as "strike season".

Xstrata buys cattle farm for coal mine

A large Queensland pastoral farm used for wagyu cattle breeding is set to become a coal mine after Australian Agricultural Company (AAC) agreed to sell a property to mining company Xstrata. The global miner will pay $21.6 million cash for the 17,474-hectare Meteor Downs property without any cattle or machinery. Image is from Cyrille BERNIZET

External recruiters in BHP plans despite email scam

BHP Billiton will continue to source workers through external agencies despite a recent legal stoush over a rogue employment scam. The mining giant was forced to take legal action through an arm of the United Nations earlier this year to combat a scam

New coal terminals for Mozambique

Construction work on a coal terminal at the northern Mozambican port of Nacala is to begin in July. Sources in Mozambique have revealed that Brazilian firm Vale, which will be one of the main beneficiaries of the new facility, has awarded a contract to Zagope of Portugal to develop the terminal.

Coal India not afraid of losing monopoly: Jha

Brushing off fears that commercial mining in coal sector may erode its monopoly and profitability, Coal India (CIL) today said it was geared up to face the challenge and would welcome any such move to open up the sector for private investment.

Meralco acquires 52 pct share of Subic coal plant

Manila Electric Co. (Meralco), the country’s largest distributor of electrical power, marked its reentry into the power-generation industry on Friday by acquiring a controlling interest in the $1.28-billion coal-fired thermal

Mongolia’s prized coal draws outsiders

Overlooking a deep black gash in the Gobi desert, Od Jambaljamts watched Caterpillar trucks rumble across the rim of the world’s biggest undeveloped coal deposit. He mused on Mongolia’s good fortune to have the world’s most voracious consumer of