Refinitiv Newscasts - Coal users scramble for new sources as EU Russia ban looms

Washington H. Soul Pattinson and

08/04/2022 11:27

Click the following link to watch video: https://share.newscasts.refinitiv.com/link?entryId=1_kvn2ktla&referenceId=tag:reuters.com,2022:newsml_OV041808042022RP1_930&pageId=RefinitivNewscasts
Source: Reuters

Description: European and Asian coal importers are expected to join the
scramble for alternative sources of the fuel as a European Union ban on
Russian coal imports looms, analysts and company officials said. Emer McCarthy
reports.
Short Link: https://refini.tv/3Job2Zs

Video Transcript:

European and Asian coal importers are expected to join the scramble for
alternative sources, as a European Union ban on Russian coal imports looms.
But with top exporters Australia and Indonesia having already hit production
limits, and major producer South Africa constrained by logistical problems,
some importers may struggle to maintain supply levels. The expected rush is
likely to keep global coal prices elevated. The EU ban is set to take effect
from mid-August, a month later than initially planned. That's according to two
EU sources, following pressure from Germany to delay the measure. South
Africa's Exxaro Resources told Reuters it had already received numerous
requests from European countries wanting to sign supply contracts. It said it
has the right quality of coal for the European market, but that current
production has already been allocated, and that the country's struggling rail
network means miners will not be able to export more to meet the increased
demand. German energy company Uniper said it has taken steps to ensure its
coal-fired power plants in Europe can be technically operated without Russian
coal and decided not to extend its Russian supply contracts. Australia's
Whitehaven Coal and New Hope Corp said they have been approached by
prospective customers but their priority was to serve existing clients. In
Asia, at least two utilities in Japan and South Korea have halted Russian coal
imports. Others may follow suit if sanctions are expanded