MINING.COM Staff Writer

Shanghai Securities News citing unspecified government authorities reported that China’s demand for coking coal is expected to increase by 180 million tonnes by 2015. And, coking coal output in North China’s Shanxi province, the main production base for steelmaking material, would merely gain 80 million tonnes, which may result in demand shortfall of 100 million tonnes, due to limited increase in other production provinces. According to reports of relevant government departments, it is estimated that China consumed 540 million tonnes or so washed coking coal for the production of over 380 million tonnes coke in 2010.

Direct government intervention may be needed to burst bubbles in commodity markets inflated by a new herd of financial investors, a UN study found. Excessive speculation has added around 20% to international oil prices, sending false signals to policy makers, said the report published on Sunday. Since around 2000, as commodities were perceived to have entered a super-cycle and the equities market bubble burst, oil and other raw materials have lured financial investors, as well as the producers and big consumers historically in these markets.