Asian thermal coal demand is defying its typical seasonal slowdown as well as the expanding use of renewables and natural gas, with prices holding not far off $100 a tonne despite the onset of the usual lull at this time of year. Benchmark Australian thermal coal prices are at $93.40 a tonne, their highest seasonal level in five years and $15 per tonne above the five-year average price. Coal’s strength is also visible in the derivatives market, where API2 2018 coal futures are at around $83 a tonne, around 25 percent higher than in April 2017. The firm prices are due to robust use in India, Japan, South Korea and even China, where coal consumption has held up despite huge programs to boost the use of gas and renewable energy. “Coal demand for the coming two years is expected to remain stable around current levels. Although […]