Coal prices rise in wake of mine disaster

Tuesday, 13 April 2010 01:03:01 (GMT+3)   |  

Prices for metallurgical coal rose sharply last week, in response to anticipated supply shortages resulting from the fatal Massey mine explosion. The April 5 disaster, which killed 25 workers, prompted steelmakers to secure additional tons just in case the coal supply tightened. According to Energy Publishing Inc., spot prices jumped 22 percent in the scramble.

The energy company's Upper Big Branch mine in West Virginia was expected to ship 1.6 million tons of coal this year, and it is not known when the now-closed facility will be reopened. The company plans to increase production at other mines, but does not expect t to replace all the lost production from the disaster site.


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