Russian coal production and exports keep rising

Market: Coal
30/07/18

Russian coal production reached 210mn t in the first half, up by over 5pc on the year, on strong exports and higher domestic demand, data from state-run energy information agency CDU TEK show. Foreign-bound deliveries edged up by 2pc on the year to 93.6mn t, while shipments to the domestic market rose by 9pc on the year to over 90mn t in January-June.

Output is expected to further increase in the second half, reaching about 420mn t this year, up by 3pc from 2017 and exceeding the Russian energy ministry's earlier forecast of 410mn t for 2018. Higher output in the Kemerovo region will provide the large part of the total increase this year. Almost half of the total production or around 200,000t are expected to be exported, more than 187mn-188mn t forecast at the start of the year and higher than 181mn t exported in 2017.

Related news posts

Argus illuminates the markets by putting a lens on the areas that matter most to you. The market news and commentary we publish reveals vital insights that enable you to make stronger, well-informed decisions. Explore a selection of news stories related to this one.

News

13/03/25

Lower Rio Tinto Al output cuts New Zealand power demand

Sydney, 13 March (Argus) — New Zealand's industrial electricity demand fell on the year in October-December 2024, after Rio Tinto cut production at its Tiwai Point aluminium smelter in the previous quarter. The country's industrial electricity demand was down by 9pc compared with a year earlier, data from the Ministry of Business, Innovation, and Employment show ( see table ). Rio Tinto cut production at Tiwai Point in late-July 2024, after New Zealand utility Meridian Energy requested that it reduce its energy use by 205 MW. Many of the plant's potlines remained off line until late-September 2024, when Rio Tinto began restarting production at a reduced level. The Tiwai Point Aluminium Smelter is New Zealand's largest industrial energy user, consuming 572MW of power, often accounting for 12-13pc of national electricity demand, according to New Zealand's Electricity Authority. But it only accounted for about 10pc of total demand in October-December because of its lower production level. Rio Tinto's decreased power use and the country's rising geothermal generation in October-December pushed New Zealand's coal- and gas-fired generation to their lowest levels since late-2022. Utilities produced 2.1PJ from coal- and gas-fired generation, down by 73pc on the quarter and by 42pc on the year ( see table ). Coal- and gas-fired plants accounted for just 6pc of total generation in the fourth quarter of 2024, down from 19pc in July-September and 10pc a year earlier. Meanwhile, New Zealand's renewable power generation grew in importance over October-December, even as the government continued taking steps to promote coal- and gas-fired generation. The share of renewable electricity rose to 94.3pc, the highest level since December 2022 and the fourth highest on record. The New Zealand government is eager to promote oil, gas and petroleum generation, resources minister Shane Jones told Argus in December 2024. New Zealand's government has rolled back a ban on offshore gas exploration and has been fast-tracking coal developments since taking office in 2023. The country's largest utility, Meridian Energy, also warned of a structural gas shortage in late February, calling for new gas exploration. By Avinash Govind New Zealand Energy Quarterly Oct-Dec '24 Jul-Sep '24 Oct-Dec '23 q-o-q ± % y-o-y ± % Electricity Consumption (PJ) Industrial 11.0 10.1 12.1 8.7 -9.0 Total 33.7 38.1 35.2 -11.4 -4.3 Electricity Production (PJ) Coal 0.5 3.2 1.3 -84.9 -64.2 Gas 1.7 4.6 2.4 -63.8 -29.8 Geothermal 7.6 8.5 7.1 -10.9 6.6 Total 37.7 41.5 38.2 -9.3 -1.4 Source: Ministry of Business, Innovation, and Employment (MBIE) Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

Find out more

News

US headline inflation eases in February

12/03/25

News

12/03/25

US headline inflation eases in February

Houston, 12 March (Argus) — US inflation fell in February for the first time in four months, an unexpected improvement amid mounting uncertainty over the new US administration's tariff, immigration and spending policies. The consumer price index (CPI) slowed to an annual rate of 2.8pc in February, down from 3pc in January, the Labor Department reported Wednesday. Analysts surveyed by Trading Economics had forecast a 2.9pc rate. Core inflation, which strips out volatile food and energy, rose at a 3.1pc annual rate, down from 3.3pc the prior month and the lowest since April 2021. The deceleration in inflation comes as the Federal Reserve has signaled it is in no hurry to change its policy stance as it weighs the impacts of President Donald Trump's tariffs and other policies, which most economists warn will spur inflation. The Fed is widely expected to hold rates unchanged at its policy meeting next week after pausing in January following three rate cuts in the final months of 2024. The energy index fell by an annual 0.2pc in February from 1pc growth in January. Gasoline fell by 3.1pc. Piped gas rose by 6pc. Food rose by an annual 2.6pc, accelerating from 2.5pc. Eggs surged by an annual 59pc, as avian flu has slashed supply. Shelter rose by 4.2pc, accounting for nearly half of the overall monthly gain in CPI, slowing from 4.4pc in January. Services less energy services rose by 4.1pc, slowing from 4.3pc in January. New vehicles fell by 0.3pc for a second month. Transportation services rose by an annual 6pc, slowing from 8pc in January. Car insurance was up by an annual 11.1pc and airline fares fell by 0.7pc. CPI slowed to a monthly 0.2pc gain in February from 0.5pc in January, which was the most since August 202 3. By Bob Willis Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

News

Trump to declare power 'emergency' in some states

11/03/25

News

11/03/25

Trump to declare power 'emergency' in some states

Washington, 11 March (Argus) — President Donald Trump said today he intends to declare a "National Emergency on Electricity" in states that could be affected by Ontario's imposition of a 25pc surcharge on electricity exports and further threat to cut off exports entirely. The emergency declaration will allow the US to alleviate the "abusive threat" from losing electricity imports from Canada, Trump wrote in a post on social media. Trump said in response to the surcharge, he would double existing tariffs on Canadian steel and aluminum , and warned Canada that it would pay a high cost if Ontario cuts off the flow of electricity to the US. "Can you imagine Canada stooping so low as to use ELECTRICITY, that so affects the life of innocent people, as a bargaining chip and threat?" Trump wrote. "They will pay a financial price for this so big that it will be read about in History Books for many years to come!" On Monday, Ontario put a 25pc fee on its electricity exports to New York, Michigan and Minnesota in response to Trump's tariffs on Canada. Ontario premier Doug Ford said he was applying "maximum pressure" on the US over its tariff war, and threatened to cut off exports entirely if Trump increased tariffs further. Ontario was the largest exporter of electricity to the US in 2023, sending 15.2 TWh to the US. Trump already declared a national energy emergency on 20 January, unlocking emergency authorities to fast-track permitting and seek to retain production of baseload power plants. Trump has yet to offer more details on the electricity emergency, but the US Department of Energy (DOE) can issue emergency orders that would allow power plants to run at maximum capacity or waive some environmental regulations. DOE did not immediately respond to a request for comment. The New York Independent System Operator, which runs the state's electric grid, said it was analyzing the effects of Ontario's orders and expects to have "adequate reserves to meet reliability criteria and forecast demand for New York." By Chris Knight Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

News

US quits S Africa energy transition partnership: Update

06/03/25

News

06/03/25

US quits S Africa energy transition partnership: Update

Updates throughout, details on funding Cape Town, 6 March (Argus) — The US has withdrawn from the Just Energy Transition Partnership (JETP) with South Africa under which it pledged $1.56 billion for the country's decarbonisation. The US' pledges to South Africa's JET investment plan comprised $56mn in grant funds and $1bn in potential commercial investments by the US International Development Finance Corporation (DFC). No concessional loans were offered by the US to South Africa. The move follows US president Donald Trump's executive order in January to pull out of the landmark Paris climate agreement and other global climate pacts. The South African government was notified of the decision by the US Embassy on 28 February. The US' withdrawal from the JETP reduces the current overall international JET pledges to South Africa to $12.8bn from $13.8bn, said the JET project management unit (PMU) located in the presidency. These pledges represented a fraction of the 1.5 trillion rand ($84bn) that South Africa in its 2022 investment plan said it needed over a five-year period to implement a just energy transition. "South Africa remains steadfast in its commitment to achieving a just and equitable energy transition," said JET PMU head, Joanne Yawitch. All other JETP partners remain firmly committed to supporting South Africa's transition, she said. Germany, France, the UK, the Netherlands and Denmark, have confirmed they were still part of the partnership and will continue to provide support. But South Africa's international relations and cooperation department noted that "grant projects that were previously funded and in planning or implementation phases have been cancelled." Meanwhile, the JET PMU said it was "actively engaging with other grant-making organisations to source alternative funding for JET projects previously designated for support from the US grant funding." The UK, France, Germany, the US and EU in 2021 pledged $8.5bn under the JETP to support South Africa's transition to a low-carbon economy and, specifically, to accelerate its phase-out of coal-fired power. Denmark, the Netherlands and Spain subsequently joined the partnership. The US has withdrawn from the International Partners Group, an international alliance that includes UK, the EU, Canada, Denmark, France, Germany, Italy, Japan and Norway. This decision will affect other countries such as Indonesia and Vietnam, which had previously agreed their own JETP with IPG partners including the US. Indonesia climate envoy Hashim Djojohadikusumo earlier this year criticised the JETP process, saying it had "failed" and alleging that "not a single dollar has been disbursed by the US government". At present, South Africa lacks investible non-coal energy projects, risking fund disbursal from partner countries. South Africa's grid remains heavily reliant on coal-fired power and so far the country has not developed any substantial non-coal generation capacity, while at the same time it has extended the life of coal-fired plants that were previously due to be retired. Eskom's decision to delay the decommissioning of the Camden, Grootvlei and Hendrina coal-fired power plants from 2027 to 2030 required the investment plan for an accelerated coal phase-out to be updated. By Ashima Sharma and Elaine Mills Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

News

Mexican peso dips, recovers on tariff hopes

04/03/25

News

04/03/25

Mexican peso dips, recovers on tariff hopes

Houston, 4 March (Argus) — The Mexican peso weakened on the US decision to go ahead with the 25pc tariff on all imports from Mexico and Canada Monday, but it recovered some losses today, suggesting the market is hopeful the tariffs may be short-lived. The Mexican peso lost 1.3pc to close at Ps20.71 to the US dollar Monday afternoon, according to data from Mexico's central bank. The declines came as US president Donald Trump late Monday reaffirmed that he intended to impose 25pc tariff on all products coming from Mexico, effective early 4 March. The peso on Tuesday continued its slide to the dollar, reaching Ps 21/$1 briefly in the intraday market before paring its losses and ending the day stronger at Ps 20.74/1$, according to Mexican bank Banco Base and Mexico's central bank data. Sentiment in the market is that the US administration will lift the tariffs sooner rather than later because of deep implications for the US economy. "The exchange rate and volatility have not skyrocketed, as the market speculates that the US government could withdraw the tariffs soon and that their imposition is mainly intended to give credibility to Donald Trump's threats," said Gabriela Siller, head of the financial analysis department at Banco Base, on her X account. The tariff will especially affect Mexican agricultural exports such as tomatoes, avocados or some vegetables, as well as the automobile industry, which heavily relies on Mexico to build cars that are sold in the US. In the energy sector, tariffs could partially disrupt Pemex's crude exports to the US, which would need to be diverted to other countries, especially to Asia, to avoid the 25pc tariff. Pemex primarily sells crude under evergreen or long-term contracts, allowing it to set prices and volumes buyers must accept. These agreements vary in duration, with some being indefinite and others requiring a minimum purchase period. The 25pc tariff imposed by Trump's administration could simply be added to Pemex's benchmark price and leave US buyers to decide whether to accept it. If they decline, Pemex could offer its crude at a discount to other buyers. Last week, Pemex management said it is prepared to change its commercial strategy in case the tariffs enter into effect. Pemex exported about 505,000 b/d of crude to the US last year, or 60pc of Mexico's crude exports in 2024, vessel tracking data show. The state owned company is likely to also be affected through its exports of high-sulphur fuel oil (HSFO) to US Gulf coast refiners, which are also optimized to convert HSFO — a low-value byproduct — into higher-value fuels like gasoline and diesel. The state-owned company exported around 130,000 b/d of HSFO to the US in 2024, down from 163,000 b/d in 2023, according to Vortexa. By Édgar Sígler Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

Business intelligence reports

Get concise, trustworthy and unbiased analysis of the latest trends and developments in oil and energy markets. These reports are specially created for decision makers who don’t have time to track markets day-by-day, minute-by-minute.

Learn more