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APGENCO to Import 200KT Thermal Coal Per Month till July

Express News Service reported that Andhra Pradesh power utilities are exploring ways to stock necessary coal by importing. They are looking at procuring the fuel to an extent of 300,000 tonnes by December, 600,000 tonnes by end of January 2020 and 900,000 tonnes by end of March as the distribution companies expect a higher grid demand between February and June.

APGENCO MD Mr B Sreedhar said “We are expecting closing stock to be around 900,000 tonnes by the end of March, 2020. As per instructions of the State government, the APGENCO is preparing to increase power supply to 80 MU per day from the present level of 55 MU per day. Besides, the APGENCO is planning to import 200,000 tonnes of coal per month in a phased manner from February to July 2020.”

The present monthly average receipts of coal were around 15 lakh MTs against the required 17 lakh MTs to generate 80 Million Units (MU) per day from thermal stations, they said.

Source : Express News Service
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Dilip Buildcon Bags Major Contract from CIL NCL

Dilip Buildcon announced that it has bagged an order worth INR 2,122.74 crore from Coal India Limited subsidiary Northern Coalfields Ltd for removal of overburden at Nigahi project at Singrauli district in Madhya Pradesh. The company was declared lowest bidder in the reverse auction conducted by NCL. The contract period of the project is 1,552 days.

In mining, overburden is the overlying material such as rock and soil that generally has no commercial value.

Source : Strategic Research Institute
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Adani Carmichael Mine to Ship Coal in 2021 – CFO

The Adani Group developing Carmichael mine in north Queensland has told shareholders to expect a first coal shipment in August 2021, but the project’s rail plans will still require unspecified additional investment. The chief financial officer of AEL, Robbie Singh, said expected capital expenditure of USD 1.7 billion would be required to build the project, including USD 1.1 billion for the rail line and USD 600 million for the mine.

AEL executives said they hoped the rail line would be completed by May 2021, with the first shipment the following August, a timeline that looks ambitious given elements of the project are still in the planning stage.

Source : The Guardian
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Philippines Suspends Semirara Coal Mining in Antique

Subscribe Philippines Department of Energy has ordered suspension of Coal Operating Contract No 5 November 14 due to a deadly mudflow incident in Antique last October, which resulted in death of one employee. The suspension will remain in effect until the following conditions are complied with

SMPC should address the existing and continuing apparent risk in the Casay Lake area near and adjacent to the operations of the Molave Pit. It must also conduct a geo-hazard assessment of the area and submit specific plans to remove the hazard

For other areas under the development and production stage, SMPC must conduct a geo-hazard assessment in all existing and proposed mining areas to identify and determine the risks and appropriate mitigating measures. Health and safety programs must also be reviewed

SMPC said "Since the October 2 incident, SMPC has been in close coordination and full cooperation with the DOE on all its legal and regulatory compliances, particularly the safety aspect of its operations.”

Source : Strategic Research Institute
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Coal Mine Explosion in Shanxi Kills 15 Miners

15 people were killed and nine injured in a gas explosion inside a coal mine operated by the local Feng Yan Group in Shanxi province’s Pingyao county on Monday afternoon.

The Shanxi provincial work safety administration says 11 miners escaped without injury and the cause of the explosion was being investigated.

Source : Strategic Research Institute
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Peabody Honors Global Innovation, Advocacy and Education in Clean Coal Technologies

Peabody has recognized the distinguished work of organizations and individuals to advance clean coal technologies with the company's annual Peabody Global Clean Coal Leadership Awards. The awards were presented at POWER-GEN International in New Orleans La and included the categories of High-Efficiency, Low-Emissions Innovator; Carbon Capture, Use and Storage Innovator; Clean Coal Advocate and Clean Coal Educator.

Electric Power Research Institute – Honored as HELE Innovator. EPRI has long been a leader in the evaluation and development of HELE coal-fueled generation, among its many research areas. EPRI's leadership includes being the technical lead on the US Department of Energy-funded advanced materials program, which has focused on developing, testing and validating novel metals needed to make advanced ultra-supercritical coal-fueled power plants a commercial reality. EPRI has also focused on numerous other HELE topics including advanced, high-efficiency coal power cycles and carbon capture and storage.

Mitsubishi Heavy Industries – Honored as CCUS Innovator. MHI served an integral role in the completion of the world's largest carbon capture project on a coal-fueled power plant. MHI's dedication to carbon capture includes participation in broad stakeholder groups such as the Carbon Utilization Research Council, Carbon Capture Coalition and Energy Advance Center, as well as collaboration on Front-End Engineering Design studies to identify the next large-scale carbon capture project.

Carbon Utilization Research Council – Honored as Clean Coal Advocate. CURC has long been a leader in advocacy efforts with policymakers, NGOs and other stakeholders to ensure development of advanced fossil energy technologies is an integral part of the larger U.S. national energy strategy. CURC has provided technology development roadmaps, offered Congressional education on technologies, participated in Congressional hearings and played a critical role in the reform of the 45Q tax credit.

Professor Richard Axelbaum of Washington University in St Louis – Honored as Clean Coal Educator. Professor Axelbaum has provided significant contributions to the field of combustion and the development of a novel coal-fueled pressurized oxy-combustion power plant concept, and possesses a vast understanding of both the fundamental and commercial aspects of advanced coal technologies. As Director of the Consortium for Clean Coal Utilization, Professor Axelbaum oversees the distribution of seed grants to early-stage researchers globally and regularly educates an array of stakeholder groups on the value of coal and progress in minimizing its environmental footprint.
The Peabody Global Clean Coal Leadership Awards program was established in 2014 to highlight innovative leadership and raise the profile of clean coal technologies.

Source : Strategic Research Institute
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Environmentalists Sue to Stop Expansion of Westmoreland Rosebud Coal Mine in Montana

Montana Environmental Information Center, Indian People’s Action, 350 Montana, the Sierra Club and Wild Earth Guardians have alleged in a Law suit that the Trump administration failed to consider climate impacts when it approved the expansion of the Rosebud Coal Mine in Montana and that the federal Office of Surface Mining Reclamation and Enforcement refused to disclose the extent of numerous harmful impacts from the mine expansion, including major adverse impacts to surface waters and the climate-change worsening impacts of over 100 million tons of greenhouse gases that will be emitted from burning the coal.

By failing to disclose that information, the groups say OSMRE, an agency within the Department of the Interior, violated the National Environmental Policy Act, which states that agencies must consider the “environmental and related social and economic effects” of a proposed project and disclose them to the public. They said “The Trump administration’s continued disdain for protecting the public’s water resources and climate from the threats posed by fossil fuel development is damaging our economy and precious resources.”

The mine is owned by Westmoreland Rosebud Mining LLC. OSMRE approved the proposed expansion earlier this year, adding an additional 6,748 acres to the already sprawling Rosebud mine. The additional acres contain approximately 70 million tons of coal, which could extend the life of the mine by about 19 years.

Source : Strategic Research Institute
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Congress Urged to Protect US Coal Miner Pensions

The Marion County Commission signed a resolution in support of protecting and preserving the pensions and healthcare for United Mine Workers of America plan beneficiaries. The commission stated that it decrees that the county commission supports legislation that would preserve and protect the benefits of retired miners. The resolution states that “The United States Congress should pass the bipartisan legislation being introduced by Senators Joe Manchin and Shelley Capito which would address and solve the critical issues that confront pension and healthcare funds by fulfilling the 1946 promise to miners and their families.”

The commissioners said the UMWA pension plan dates back to a 1946 sacred promise made to miners and their spouses by President Harry Truman and the UMWA.”

UMWA International President Cecil E. Roberts expressed support for the Bipartisan American Miners Act of 2019, which he said is sponsored by Manchin, Capito and Majority Leader Mitch McConnell. He said it will preserve the pensions for more than 92,000 current and future retirees, and will ensure the health care of nearly 12,000 retirees who will lose that care as a result of the bankruptcy of Murray Energy, and 1,200 from Westmoreland Coal and Mission Coal, which went bankrupt last year. He said “With this one bill, the United States Senate has taken a giant, bipartisan step forward in keeping America’s promise to our coal miners and their families.”

Source : Times West Virginian
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CIL to Open 55 New Coal Mines in 5 Years

India’s state owned Coal India Ltd will develop 55 new coal mines and expand 193 existing ones in the next five years. India’s Coal Minister Mr Pralhad Joshi informed parliament “Coal India has taken steps to boost its coal production, including opening of 55 greenfield projects having capacity of 92 million tonne per annum and expansion of 193 brownfield projects having capacity of about 310 million tonne per annum in next five years.”

Besides, CIL has introduced technology to improve its work efficiency with high capacity Heavy Earth Moving Machinery, like 42 cum Shovel and 240 T Rear Dumpers in Gevra Expansion, Dipka & Kusmunda opencast mines and introduction of surface miners in opencast mines to improve operational efficiency and to cater to environmental needs.

Source : Strategic Research Institute
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Coking Coal May Recover to USD 160

Coking coal is experiencing a moderate recovery after prices dropped to USD 130 in July of 2019. Is the steelmaking coal price decline a long term market correction after unsustainable prices that hovered around USD 200 or is it a speculator induced short-term drop? Mr Tony Knutson, Principal Analyst Coal Research with Wood Mackenzie said the 2019 steelmaking coal price drop was largely a result of Chinese import restrictions. He said “Previously, the Chinese kept the price of steelmaking coal artificially aloft with various policies to support their domestic market. In May, the price started to drop and bottomed-out in September. That was a result of the import restrictions that the Chinese Government had instituted. There was also a monsoon in India. And June is the year-end in Australia, who are the dominant producers. They increased a lot of their supply. So it’s a culmination of these factors as to why the prices dropped off.””

Mr Knutson expects a small recovery for steelmaking coal, the 160s or even higher. He said “Mind you, these are still really good prices compared to 2015 when the price was 87 dollars a tonne.”

Source : Strategic Research Institute
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Gas Explosion Traps 8 in Coal Mine in Bijie City in Guizhou Province

A gas outburst in a coal mine trapped eight people in Zhijin County, Bijie City, southwest China's Guizhou Province, on Monday morning, according to local authorities.

The cause of the incident is not immediately clear, and rescue work is underway.

Source : Strategic Research Institute
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CMPDI to Help CIL in CBM Production

Indian government has asked Coal India to produce at least 2 mmscmd of coal bed methane gas in the next two to three years and has directed the CIL consultancy arm Central Mine Planning and Design Institute to be actively involved in coal bed methane development in CIL's leasehold areas. An official said "For this purpose, a suitable model may be finalised in consultation with respective CIL subsidiaries, and CIL should produce at least 2 million metric standard cubic metres a day gas in two-three years' time as the country needs such clean gas.”

CMPDI informed the ministry that a model contract document and request for proposal to select CBM developer have been prepared and submitted to coal companies

This development assumes significance after the cabinet, last year, relaxed rules for Coal India for extraction of natural gas lying below coal seams in its blocks in a bid to quickly boost production. CBM is a form of natural gas trapped in coal seams underground, which can be extracted by drilling into the seam.

Source : Strategic Research Institute
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Lockout Averted at Boggabri Coal Mine

NVI reported that majority of workers at a meeting at Gunnedah Town Hall on Monday voted for the negotiated agreement put forward by the CFMEU. Staff will return to work sooner than the original lockout period of nine days, and the union and Idemitsu would enter into a three week cooling off period that extends until Sunday, December 15. Boggabri Coal COO Mr Steve Kovac confirmed the agreement via an email to CFMEU district president Mr Peter Jordan during the meeting. He wrote "During the cooling-off period there will be no industrial action by either party including lockouts, strikes or other types of action on site eg picket lines, bans on specific work etc.”

During this time, representatives from both parties, including Mr Jordan and Mr Kovac, will meet to continue discussions about Idemitsu's proposed new enterprise agreement.

Idemitsu put the lockout in place after 88 per cent of workers voted 'no' to this proposal, because they were concerned about:
Pay rates that were $30,000 to $40,000 a year lower than permanent rates in Hunter Valley coal mines, with unfair bonus structures.
No provisions to support skills training for workers.
No access to arbitration by the Fair Work Commission for dispute resolution by an independent umpire.

Source : NVI
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New Poland Government May Shed Support for Coal Mining

Energy Reporter reported that Poland’s re elected Prime Minister Mr Mateusz Morawiecki could be moving to weaken the Polands’s reliance on coal. Morawiecki’s opening speech to the new parliament did not mention coal. Also, he told RMF FM “Conventional energy will be important for our power system for a long time but realities are changing. Once we could not afford to develop renewable sources of energy but now we cannot afford not to develop them. In our national debate, the importance of climate change is growing very strongly.”

Mr Morawiecki has shut down Poland’s energy ministry, which was run by coal advocate Mr Krzysztof Tchórzewski. A new ministry which runs state-controlled industries is being established instead. The Warsaw government owns most of Poland’s coal industry and power utilities.

It has been estimated in a European Commission report that around four-fifths of Polish coal mines are unprofitable. The populist Law and Justice party PiS has maintained support for the coal sector and provides government subsidies to preserve the industry.

The new European Commission president, Ursula von der Leyen, wants the European Union to become climate neutral by 2050 but there is opposition from Poland, the Czech Republic and Hungary.

Source : Energy Reporter
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Coal Ministry Reviews Status of 110 Coal Blocks Allotted to CIL

India’s coal ministry recently emphasised on quick operationalization of all of these blocks or may otherwise return them to the Ministry of Coal for their re-allotment or auction to other agencies. Recently, the government had enquired about the operational status of the 110 coal blocks allotted to CIL and whether extraction from these coal blocks is techno-economically feasible. To this, the government was told that of the 110 additional CIL blocks, 50 were explored, 41 were under exploration and balance 19 were partly or regionally explored. Further, project reports of 25 blocks out of the total blocks explored have been prepared.

CIL, which accounts for over 80 per cent of domestic coal output, had said that it will produce 660 million tonnes of coal in this financial year.

Source : Strategic Research Institute
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CIL to Sell 137 Million Tonnes of Thermal Coal in E Auction in 2019-20

Indian state owned coal miner Coal India Limited spot E Coal auction in October saw a premium of 62% premium over notified prices as compared to 82% in September. For the period April-October, CIL managed to command a premium of 67% over its notified prices on an average. On the other hand, special forward e-auction for the power sector Coal India sold coal at a premium of 39% over notified prices in October as compared to 32% in April-October period and for exclusive auction for the non-power sector, Coal India managed to command a premium of 32% for both October and the period April-October.

CIL intends to ramp up auction offerings this year by 14% against the previous year when similar supplies declined 5%. This year Coal India has decided to auction 137 million tonnes of coal which would include long term supply contract auctions, spot e-auctions and forward e-auctions. Last year, it had offered 120 million tonnes through similar auctions which was a 5% drop compared to the previous year 2017-18.

Source : Strategic Research Institute
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Coal Production from Captive Coal Blocks in India Improves by 26% in H1

According to data compiled by the Coal Controller Organisation, production from captive coal blocks in India, mostly from block not cancelled by the Supreme Court, during April-September 2019 rose nearly 26% to 26 million tonnes against the previous corresponding period. Blocks that were taken away and auctioned off afresh managed to produce nearly 13 million tonnes thus registering a near 33% growth during April-September 2019, against the previous corresponding year.

The government has been able to allot 84 of the 204 coal blocks which were cancelled. Only about 24 of them are producing at present.

In an effort to make sure blocks come on stream at a faster pace, the government is introducing a slew of measures and has also decided to offer around 5 years for blocks to be made operational. It is also in the process of setting up a single clearance window system and is setting up a project management team to oversee these projects.

ET
economictimes.indiatimes.com/industry...

Source : Strategic Research Institute
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Resgen Ledjadja Inks Waterberg to Richards Bay Coal Transportation Deal with Transnet for Boikarabelo Coal Mine

Resource Generation subsidiary Ledjadja Coal has signed a 10-year deal with Transnet to transport rail export coal from the Waterberg coalfield in Limpopo to KwaZulu-Natal. The ZAR 10 billion take or pay agreement will see Ledjadja Coal transporting 3.6 million tonnes per annum from its Boikarabelo Mine in Lephalale to the Grindrod Terminals at Richards Bay. Boikarabelo mine is expected to deliver its first coal to port from June 2022.

In addition to the 3.6 million tonnes of export coal, there are a further three million tons of domestic coal which Ledjadja mainly aims to supply to power utility Eskom and a deal is currently under negotiation.

Resgen owns 74% of Ledjadja Coal, with the remaining 26% held by Resgen’s empowerment partner Fairy Wing Trading.

The Waterberg coalfield is estimated to contain about 40% of South Africa’s remaining coal reserves.

Source : Strategic Research Institute
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Coal India may use drones to check illegal mining and pilferage

Indian state owned coal miner Coal India Limited exploration arm Central Mine Planning & Design Institute, recently tied up with Centre for Aerospace Research, Anna University of Chennai, for drone technology. A CIL official told ET “A pilot project was undertaken at Coal India subsidiary, Central Coalfields Topa Mine where drones successfully tracked sources of illegal mining as well as the route being followed by them to take away pilfered coal. Implementation of drone technology will be implemented in 35 top coal producing mines of CIL with a focus on prevention of illegal mining activities, land reclamation monitoring.”

The executive said the number of drones for each subsidiary of Coal India would depend on their command area and surveillance drones are not too costly and can capture such data successfully. He said “For example, Bharat Coking Coal may require two, while South Eastern Coalfields may require more.”

At present, CIL is using drones for survey of blocks and for preparing mining and expansion plans

There are no comprehensive studies on illegal mining, but a study by Delhi-based The Energy and Resources Institute in 2000 showed that brick kilns used 22 million tonnes of coal while Coal India could have supplied only 2 million tonnes. Small operators steal coal from operating and abandoned mines, carry them in cycles and bullock carts to a central location where it is sold at a throwaway price. The coal collected there is then loaded on trucks and a large volume of this coal finds its way to the coal mandis where it is sold at half of Coal India’s notified price.

Source : Strategic Research Institute
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Slowdown in Steel, Coal and Coke Markets Hits JSW

Polish coal miner Jastrzebska Spolka Weglowa announced that the JSW Group posted a net profit of PLN 704.4 million in 9 months of 2019. EBITDA for the first nine months of 2019 was PLN 1.8 billion, net of non-recurring events. Coal production in this period amounted to roughly 10.9 million tonnes and was slightly lower compared to the corresponding period of 2018, which is consistent with Jastrzebska Spolka Weglowa’s production assumptions. Coke production in the period in question was 2.5 million tonnes, down by more than 7% compared to previous year. One should note that last year, until the end of Q3, the Debiensko Coking Plant was still active in the Group. The prices of coking coal and coke remained on a similar level to last year. The average price of coking coal was PLN 676.72 per tonne and was nearly three percent higher than in the corresponding period of last year. The same increase was recorded in coke prices, which stood at PLN 1,115.17 per tonne.

JSW Vice-President for Sales Mr Rafal Pasieka said “The situation on the coking coal and coke market is related to the market for steel and metallurgical products and market trend cycles display big price fluctuations in these sectors. From the beginning of this year we can observe lower demand for steel in the European market, which translates directly into coke and coking coal prices. Additionally, there were certain unfavourable phenomena caused by lack of effective protection of the European steel market and after a period of systematic increases, in September we recorded the first decrease in global steel production, compared to September 2018.”

Sales revenues from the coal produced in Jastrzebska Spolka Weglowa mines for external customers stood at PLN 3.7 billion, compared to PLN 3.9 billion in the corresponding period of last year. The slight decrease in revenues results from lower coal sales. Sales revenues from coke and hydrocarbons reached PLN 2.9 billion, compared to PLN 3.2 billion for the nine months of 2018, which was caused by lower coke sales. Total sales revenues in the JSW Group in the period in question stood at PLN 6.9 billion.

In November, the Budryk Mine launched excavation works performed by a Bolter Miner. This technology will improve the efficiency of execution of roadway excavations, speed up the accessibility of mining fronts and reduce the costs of material consumption.

Source : Strategic Research Institute
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