China coal futures surge to record as flooding swamps mining hub

Over 1.75m people are affected by floods in China’s Shanxi. Credit: YouTube

Chinese thermal coal futures jumped to a new intraday record as heavy rains and flooding shuttered more mines in the country’s biggest coal producing region.

Floods have closed 60 of the 682 coal mines in Shanxi province, which has produced 30% of China’s supply of the fuel this year, adding to a worsening energy crunch that’s a threat to the nation’s economy.

Coal futures on the Zhengzhou Commodity Exchange rose as much as 11.6% Monday to 1,408.20 yuan ($218.54) a ton, a new intraday record for the most-active contract.

(By Dan Murtaugh)

Comments

Your email address will not be published. Required fields are marked *

More News