By Rhiannon Hoyle
SYDNEY--Australian miner Whitehaven Coal Ltd. (WHC.AU) said it
doesn't expect a rebound in the price of coal used in steelmaking
until next year, as the global market continues to face a supply
glut.
It pointed to recent settlements by major miners including Anglo
American PLC (AAL.LN) that saw lower prices for all types of
metallurgical coal in the first quarter of this year. Hard coking
coal settled at US$143 a metric ton, lower than a spot price of
around US$160 a ton at the start of last year, it said.
"Prices are expected to remain at these levels for the remainder
of 2014 and then increase into 2015," Whitehaven said in a
statement. Supply of thermal coal, used in electricity generation,
was also abundant, although the Sydney-based company noted prices
had risen recently.
On Thursday, Whitehaven reported record output and sales as it
produced more coal from its Narrabri mine in New South Wales state.
The company said it produced 2.9 million tons of saleable coal in
the three months through December, up 44% on-year, and sold 3.2
million tons, up 52%.
Write to Rhiannon Hoyle at rhiannon.hoyle@wsj.com
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