COAL MINES AND MINING – AUSTRALIA

Palmer urges firmer action against China over coal tests

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Original article by Peter Ker
The Australian Financial Review – Page: 13 & 18 : 13-Jul-15

China recently increased stricter standards for coal imports, and is now testing shipments for the presence of trace elements such as fluorine, arsenic and mercury. China has already rejected at least one coal shipment from Australia, and federal MP Clive Palmer says Australia should impose a tariff on iron ore exports to China in response to the new testing regime. Meanwhile, there is speculation that Canada will take the matter to the World Trade Organization.

CORPORATES
WORLD TRADE ORGANIZATION, AUSTRALIA. DEPT OF FOREIGN AFFAIRS AND TRADE, CHINA. MINISTRY OF COMMERCE, CANADA. DEPT OF FOREIGN AFFAIRS, TRADE AND DEVELOPMENT, ANGLO AMERICAN COAL, WARATAH COAL INCORPORATED, CITIGROUP INCORPORATED

Coal M&A on hold as price falls predicted

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Original article by Angela Macdonald-Smith
The Australian Financial Review – Page: 20 : 17-Jun-15

Anglo American, Vale and Peabody Energy are among the companies that are believed to be keen to sell some of their coal mines in Australia. Coal Ventures director Bede Boyle suggests that New Hope Coal, Glencore and private equity firms are the most likely contenders to buy coal assets. However, Marian Hookham of IHS Coal says many potential buyers appear to be biding their time on expectations of further weakness in the price of coal.

CORPORATES
ANGLO AMERICAN PLC, PEABODY ENERGY CORPORATION, VALE SA, NEW HOPE CORPORATION LIMITED – ASX NHC, GLENCORE PLC, INTERNATIONAL COAL VENTURES LIMITED, IHS COAL, BHP BILLITON LIMITED – ASX BHP, MITSUBISHI CORPORATION, ITOCHU CORPORATION, SUMISHO COAL AUSTRALIA PTY LTD

AGL, New Hope to take hit from Norway divestment

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Original article by Ben Potter
The Australian Financial Review – Page: 23 : 29-May-15

Norway’s Government Pension Fund Global exited the share register of Whitehaven Coal in 2014, following a government directive to terminate its exposure to the coal sector. The Norwegian Government now wants the sovereign wealth fund to divest shares in electricity companies that have a high exposure to coal-fired generation and mining companies whose revenues are heavily weighted toward thermal coal. This could force it to offload shares in AGL Energy and New Hope Corporation.

CORPORATES
AGL ENERGY LIMITED – ASX AGL, NEW HOPE CORPORATION LIMITED – ASX NHC, WHITEHAVEN COAL LIMITED – ASX WHC, GOVERNMENT PENSION FUND GLOBAL (NORWAY), BHP BILLITON LIMITED – ASX BHP, RIO TINTO LIMITED – ASX RIO, SOUTH32 LIMITED – ASX S32, MACQUARIE GENERATION, LOY YANG A, YANCOAL AUSTRALIA LIMITED – ASX YAL, COKAL LIMITED – ASX CKA, COCKATOO COAL LIMITED – ASX COK, AXA SA, OXFORD UNIVERSITY, CLIMATE INSTITUTE (AUSTRALIA) LIMITED

Glencore takes aim at iron ore giants

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Original article by Amanda Saunders
The Australian Financial Review – Page: 28 : 5-Mar-15

Glencore will reduce its coal production in Australia by 15 million tonnes in 2015. CEO Ivan Glasenberg says the decision to reduce output by around 15 per cent was made because the group does not want to be seen to have forced coal prices lower due to oversupply. Glasenberg has previously criticised BHP Billiton and Rio Tinto for expanding their iron ore production at a time prices have fallen sharply

CORPORATES
GLENCORE PLC, BHP BILLITON LIMITED – ASX BHP, RIO TINTO LIMITED – ASX RIO, FORTESCUE METALS GROUP LIMITED – ASX FMG, VALE SA

Chinese coal quality rules may hit exporters

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Original article by Sarah-Jane Tasker
The Australian – Page: 18 : 13-Jan-15

The ANZ Bank’s Mark Pervan says China’s move to impose quality-control restrictions on coal shipments may adversely affect Australian coal producers. China plans to crack down on the importation of coal whose ash content exceeds 16 per cent. Some 92 per cent of the 40.3 million tonnes of coal imported from Australia in the first 10 months of 2014 exceeded this threshold. Pervan notes that it is costly for producers to subject coal to greater processing in order to reduce its ash content

CORPORATES
AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED – ASX ANZ, CHINA. NATIONAL DEVELOPMENT AND REFORM COMMISSION

Nation to burn past coal quota

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Original article by Peter Hannam
The Sydney Morning Herald – Page: 12 : 9-Jan-15

A study by University College London assesses the limits on carbon emissions needed to ward off dangerous climate change. The research finds that for increases in worldwide temperatures to remain within two degrees Celsius of pre-industrial levels, 82 per cent of global coal and 50 per cent of gas reserves must stay unmined. Julien Vincent of Market Forces says the study suggests that Australia will soon surpass the level of coal output with which a stable climate can cope, it it has not already

CORPORATES
UNIVERSITY COLLEGE LONDON, ORGANISATION FOR ECONOMIC CO-OPERATION AND DEVELOPMENT, FRIENDS OF THE EARTH, ADANI ENTERPRISES LIMITED, AUSTRALIAN GREENS, MINERAL COUNCIL OF AUSTRALIA, AUSTRALIA. DEPT OF THE ENVIRONMENT, FAIRFAX MEDIA LIMITED – ASX FXJ, INTERNATIONAL ENERGY AGENCY

Anglo American to cut jobs and sell assets

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Original article by Sarah-Jane Tasker
The Australian – Page: 19 : 11-Dec-14

The Callide coal mine in Queensland and the Dartbrook mine in New South Wales are among the assets that Anglo American plans to divest. The global resources group will also retrench 35 per cent of its employees worldwide and aim to increase its profits by an additional $US2bn. Anglo American CEO Mark Cutifani has described 2015 as a year of "transformation" for the group

CORPORATES
ANGLO AMERICAN PLC, BHP BILLITON LIMITED – ASX BHP, RIO TINTO LIMITED – ASX RIO

At risk: 13% of nation’s exports

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Original article by Peter Martin
The Age – Page: 4 : 13-Nov-14

Australian shipments of thermal coal to China have grown from virtually nil a decade ago to account for 13% of the nation’s total exports. However, this could drop dramatically again once a new agreement comes into force that commits China and the US to increased use of renewable energy sources as well as nuclear power. Australian National University expert Frank Jotzo says the new deal to curb greenhouse gas emissions is for a reduction in absolute terms. Meanwhile, Minerals Council of Australia CEO Brendan Pearson promotes "clean coal" technology as the solution

CORPORATES
MINERALS COUNCIL OF AUSTRALIA, AUSTRALIAN NATIONAL UNIVERSITY, AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET

China pact sees miners duck tariffs

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Original article by Sid Maher, Scott Murdoch
The Australian – Page: 5 : 22-Oct-14

The Chinese Government recently declared new tariffs of 3% and 6% on imports of metallurgical and thermal coal respectively. However, Australian producers will be spared the measure, as Trade Minister Andrew Robb has negotiated a zero tariff in the talks on a new free-trade agreement between the two nations. Meanwhile Prime Minister Tony Abbott is being criticised by some of his Coalition MPs over failing to roll out a promised tightening of foreign investment limits in the agricultural sector

CORPORATES
AUSTRALIA. DEPT OF FOREIGN AFFAIRS AND TRADE, AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, AUSTRALIA. DEPT OF THE TREASURY, AUSTRALIA. FOREIGN INVESTMENT REVIEW BOARD, NATIONAL PARTY OF AUSTRALIA, GROUP OF TWENTY (G-20), WORLD TRADE ORGANIZATION, ASIA-PACIFIC ECONOMIC CO-OPERATION, CHINA. MINISTRY OF FINANCE

$2 sale adds to gloom in ailing coal sector

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Original article by Sarah-Jane Tasker
The Australian – Page: 20 : 3-Oct-14

The benchmark price for metallurgical coal negotiated by Japanese steel producers with Australian mining groups has been set at $US119 a tonne for the final three months of calendar 2014. This compares with a peak of $US330 in 2011 and is a low last seen in 2008. The slump has already triggered widespread redundancies in Queensland by companies such as BHP Billiton. The malaise in the sector has now also been underlined by a deal in which Up Energy Development Group will pay just $US2 to Marubeni and Winsway Enterprises to acquire Grande Cache Coal in Canada

CORPORATES
BHP BILLITON LIMITED – ASX BHP, UP ENERGY DEVELOPMENT GROUP LIMITED, GRANDE CACHE COAL CORPORATION, WINSWAY COKING COAL HOLDINGS LIMITED, MARUBENI CORPORATION, SUMITOMO CORPORATION, VALE SA, DEUTSCHE BANK AG