Warm winter weather in US withering CAPP coal enthusiasm

14 Jan 2017   Coal

The optimism prevalent through the US Central Appalachian coal industry heading into the New Year has started to temper as an expected cold January has failed to materialize. While thermometers dipped last weekend and will do the same during the next few days in some areas as a winter storm moves in, most of the US East has experienced above-average temperatures this month. Days below or even at seasonably normal temperatures have been sporadic, making coal burn inconsistent, utilities said. Multiple market players told S&P Global Platts this week the pattern brings back bad memories of winter in early 2016, when a few cold days were followed by many days of mild temperatures. One CAPP fuel buyer said many utilities already have started to rethink expectations of strong first-quarter 2017 coal consumption. “Everybody’s attitude seems to have changed really quickly,” the buyer said. “Everybody thought we’d have a really […]

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