EIA: Coal production to remain level in 2013

Sponsored by

The Energy Information Administration's short-term energy outlook projects total U.S. coal production in 2013 to be close to its 2012 level in the November 2012 Short-Term Energy Outlook as coal stockpile drawdowns and lower exports offset a projected increase in domestic coal consumption.

The November 2012 short-term energy outlook forecasts a 7 percent decline in coal production in 2012 from 2011 as domestic consumption, primarily in the electric power sector, falls. Coal production for the first three quarters (January-September) of 2012 was 46 million short tons (MMst) below the same period in 2011.

Appalachian and Western region coal production are expected to both decline by 8 percent in 2012, but the production decline in the Interior should be lower, at 3 percent, because of strong demand for Illinois Basin coal. However, Western region coal output is expected to reverse course in 2013 and grow 5 percent to 571 MMst, while Appalachian and Interior region coal production are expected to fall for a second straight year.

Some mining companies have announced restarts of mines, while others have shut down facilities they operate. Patriot Coal recently announced it was closing mining facilities that produce thermal coal in Kentucky, but Consol Energy announced the restart of its idled Buchanan metallurgical coal mine in Virginia.

Demand in the electric power sector is expected to total 825 MMst in 2012, and rise to 871 MMst in 2013. This 6 percent increase results from an expected decline in coal-to-gas substitution, as natural gas prices are expected to be higher than 2012 levels. EIA forecasts that prices for natural gas delivered to electric generators during 2013 will average about 22 percent higher than during 2012, while the average cost of delivered coal will go up only 1 percent.

Expected withdrawals from coal inventories, from both primary and secondary sources, will help offset the demand increase in the electric power sector.

Inventories held by the electric power sector, which are predicted to rise by nearly 10 MMst in 2012, are expected to fall by 5 MMst in 2013. Primary inventories, which are held at the mines and distribution points, are expected to decrease slightly in 2013 as well.

Total coal exports (including both steam and metallurgical coal), which are currently projected to total a record 125 MMst in 2012, are expected to decline in 2013, but remain above 100 MMst for the third straight year. The primary reasons for the expected decline in coal exports include continuing economic weakness in Europe, lower international coal prices, and increasing production in Asia.

Sponsored by

CURRENT ARTICLES

AEP-PSO asks for rate hike, cites EPA costs

07/02/2015

If approved, rate hike would add more than $14 to monthly bills

construction Georgia Power Vogtle Unit 4

Vogtle Unit 4 completes major construction milestone

07/01/2015 Georgia Power recently announced a major milestone in the construction of Vogtle Unit 4--the placement of the CA04 module ...
distribution Navigant Research

Annual DC Distribution Network Implementation Revenue Could Reach $5.1 Billion

07/01/2015 A new report from Navigant Research examines the opportunity for direct current (DC) distribution networks in four key mar...
information management AVEVA Frost & Sullivan

Frost & Sullivan lauds AVEVA’s customer-centric growth strategy in the engineering information management solution market

07/01/2015 AVEVA has consistently and effectively balanced short-term performance needs with the company’s long-term vision and aspir...
wind farms Alstom Eletrosul Brazil

Alstom signs turnkey contract with Eletrosul to integrate wind farms in southern Brazil

07/01/2015 Alstom has been awarded a turnkey contract worth approximately €100 million from Eletrosul Centrais Electricas S/A (Eletro...
solar NRG Home Solar Solar Decathlon

NRG Home Solar Partners with Solar Decathlon Team

06/30/2015 NRG Home Solar, a division of NRG Energy Inc. (NYSE: NRG) and one of the country’s leading residential solar companies, ha...
non-hydro renewables AWEA

AWEA applauds White House on 20 percent non-hydro renewables by 2030

06/30/2015 Tom Kiernan, CEO of the American Wind Energy Association (AWEA), released the following statement today regarding the Whit...
FEATURED ENERGY JOBS
View more Job Listings >>

INDUSTRY STOCKS

ON DEMAND WEBCASTS

Solar + Storage: Capturing Opportunities and Overcoming Challenges

The convergence of solar and energy storage applications is under way. The combined application o...

Storage Enters the Global Stage: What’s the value proposition for your region?

For electricity storage, the events of the last two years have shown that the skepticism around t...

How to deploy mobile forms + devices to speed up field service processes & reporting

Overcoming the pain points associated with any process is much simpler and more cost effective th...

Beyond Integration: Three Dynamics Reshaping Renewables and the Grid

In a unique industry research initiative, DNV GL gathered views from over 1,600 energy sector par...

Engaging the Small and Mid-sized Business (SMB) Marketplace

This session will outline how Duke Energy leveraged Voice of Customer insights, previous experien...

EL&P BUYER'S GUIDE PRODUCTS

Decontamination & Decommissioning

Decommissioning strategy development, cost estimates, plant modifications; system and building decontamination; RV segmentation; large component re...

Cavitation Peening

AREVA developed its innovative solution for asset management, significantly extending the life of reactor components. Cavitation Peening is a perma...

Nuclear Horizontal Modular Storage (NUHOMS®)

AREVA TN’s NRC-licensed NUHOMS® system ensures the highest safety and lowest dose performance. With no tipping, tripping and sliding, you have the...

ATRIUM™ 11 for BWR Fuel

ATRIUM™ 11 design fuel – in operation since 2012 – provides significantly lower fuel rod power levels for power uprate margins, operational flexib...

POWERGRID PRODUCT LISTINGS

EtherMate® Industrial Ethernet - IO Modules

LioN-M ProfiNet device with 16 digital I/O channels, channels can be used universally as inputs or outputs, M12 socket, ro...

OFL280 FlexTester - Handheld OTDR

AFL's OFL280 FlexTester offers an unmatched combination of fiber test functions, ease-of-use, portability, and value.

ADSS Mini-Span® Fiber Optic Cable

AFL Mini-Span® All-Dielectric Self-Supporting (ADSS) cable is designed for outside plant aerial and duct applications in l...

TRM® 2.0 - Test Results Manager PC Analysis and Reporting

Test Results Manager 2.0 (TRM® 2.0) is an all-in-one analysis, viewer and reporting tool designed for use with NOYES fiber...

POWERGRID International

May 2015
Volume 20, Issue 5
1505pg_C1

ELECTRIC LIGHT & POWER

April 2015
Volume 93, Issue 2
1503ELP_C1