Coal-export gamble
Journal Article
·
· Fortune; (United States)
OSTI ID:6953263
The rush to increase terminal and shipping capacity for coal exports is outstripping DOE forecasts for a 342% increase over present levels. The 45 proposed new terminals at 29 harbors will provide a coal-loading capacity of 625 million tons a year although DOE estimates that only 250 million tons will be shipped. Competition among local developers to improve local economies and among railroads to protect and expand their markets is behind much of the activity. Steam-coal market prices, based heavily on the grade and transportation costs from mine to port, give a competitive advantage to ports exporting Appalachian coal - those at Hampton Roads, Baltimore, and Mobile - but high capital costs will make loading costs at terminals in the East more expensive. New transport techniques include large-scale classification storage and supercolliers, with terminals needing long-term commitments from foreign markets to be competitive. Operators are looking closely at the economics in hopes of avoiding overcapacity and rate wars in the future. (DCK)
- OSTI ID:
- 6953263
- Journal Information:
- Fortune; (United States), Journal Name: Fortune; (United States) Vol. 104:12; ISSN FORTA
- Country of Publication:
- United States
- Language:
- English
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013000 -- Coal
Lignite
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015000 -- Coal
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Industrial
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29 ENERGY PLANNING, POLICY, AND ECONOMY
294002* -- Energy Planning & Policy-- Petroleum
CARBONACEOUS MATERIALS
COAL
COMPETITION
ENERGY SOURCES
EXPORTS
FOSSIL FUELS
FUELS
MATERIALS
TERMINAL FACILITIES
TRANSPORT