• 4 minutes Ten Years of Plunging Solar Prices
  • 7 minutes Hydrogen Capable Natural Gas Turbines
  • 10 minutes World looks on in horror as Trump flails over pandemic despite claims US leads way
  • 13 minutes Large gas belt discovered in China
  • 41 mins Rioting and Protesting
  • 2 hours Trump waves a Bible
  • 31 mins Coronavirus hype biggest political hoax in history
  • 6 mins George Floyd’s History
  • 12 hours Anti-Lynching Bill
  • 16 mins US and Australia Sign SPR Lease Agreement
  • 15 hours Thugs in Trumpistan
  • 20 hours Model 3 cheaper to buy than BMW 3 series.
  • 21 hours Sudan Rice claims Russians are behind recent US riots
  • 3 hours China to Impose Dictatorship on Hong Kong
  • 10 hours Let’s Try This....
  • 21 hours We Are Better Than This
  • 21 hours Obamagate Is Not a Conspiracy Theory
  • 22 hours National Guard kills again
The Worst Oil Trades Ever Made

The Worst Oil Trades Ever Made

Wall Street is full of…

Another OPEC Producer Looks To Back The Aramco IPO

Another OPEC Producer Looks To Back The Aramco IPO

As the world’s largest initial…

Dave Forest

Dave Forest

Dave is Managing Geologist of the Pierce Points Daily E-Letter.

More Info

Premium Content

Analysts Say India's Coal Imports Are About to Explode

We're finally seeing the first projections on India's surging thermal coal demand. And the emerging numbers are massive.

As I've discussed, India's coal sector is in crisis. With stalling domestic production leading to rolling blackouts of late--as many of the country's coal-fired power plants struggle to find supply.

As of September 23, a full 35% of the country's coal-powered plants were running at "super-critical" coal supply levels. With less than 4 days of inventory on hand.

Related: Supreme Court Ruling Deals Blow To Indian Coal Sector

And according to a few high-profile analysts this week, that's going to lead to a big jump in imports to fill the gap.

Local coal analysts OreTeam released a forecast predicting that coal imports could leap to 210 million tonnes in the fiscal year 2015/16 (which will begin April 1, 2015).

That would be a significant rise. Up 25%--or over 40 million tonnes--from the 168.4 million tonnes of coal India imported during the last fiscal year.

And some observers believe the jump could be even bigger. Including the local Indian arm of international analytics giants Fitch.

The group's chief economist in India was quoted this week by local press as saying that coal imports could hit 230 million tonnes. Which would be a 37% rise from last year's levels--or an increase of over 60 million tonnes in shipments coming into the country.

The import market is reportedly getting a lot more active the last week. After a landmark court ruling that could set the local coal mining sector back even further than it already is.

Related: This Brand New Coal-Producing Nation to Start 2015

Indian courts ruled that 214 coal licenses given out over the past two decades were allocated unfairly. Judges ordered the blocks returned to the government--so that they can be redistributed under proper protocols.

That's going to push back any production from these licenses by years. Meaning supply is going to be even tighter here than most analysts were predicting.

This is a situation that looks like it's on the verge of exploding. Watch India's monthly import figures--as well as prices and transactions in potential supplying nations like Indonesia and South Africa.

Here's to putting up big numbers,

Dave Forest

More Top Reads From Oilprice.com:


Download The Free Oilprice App Today

Back to homepage





Leave a comment

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News