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Cloud Peak to restart coal exports

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Dry Bulk,


US coal company, Cloud Peak Energy, has contracted about 1 million short t of coal for export to Asia, according to its latest quarterly report, following the improvement in global thermal coal prices.

The coal is slated for delivery between November 2016 and February 2017, the company, with more to follow, according to Cloud Peak CEO, Colin Marshall. Cloud Peak exports coal from the Powder River Basin in the US through Westshore Terminal in British Columbia, Canada.

“We have been able to capitalise on improved international thermal coal prices by contracting approximately one million [short] tons to be shipped between November 2016 and February 2017,” Marshall said. “We are optimistic that we will be able to ship additional exports tons in 2017.”

Cloud Peak also benefited from increased domestic shipments on the back of warm summer weather and associated increase in power demand. Shipments remained down in 3Q16, however, at 17 million short t compared to 20.8 million short t in 3Q15.

Despite the optimism, Marshall struck a note of caution: “while there has been a meaningful improvement in our business outlook in the last three months, we expect another challenging year in 2017.”

Read the article online at: https://www.drybulkmagazine.com/ports-terminals/31102016/cloud-peak-to-restart-coal-exports/

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