Study of the Virginia coal industry
In the authors first study of the coal industry's infrastructure (1985), it was determined that (1) except for 4 locations, each Virginia coal mine is served by a single railroad, (2) each coal consumer in the state is served by a single railroad, (3) coal's delivered cost was the most important factor in determining market share, and (4) Virginia faces excess coal-producing capacity and depressed coal prices. In his second study, of coal's utility markets (1986), it was determined that Virginia mines supplied only 16% of the coal burned by the 37 utility plants and 20 utilities purchasing coal from the state. In fact, only 12 of these plants purchased most of their coal from Virginia. This study, the third, investigated all markets for Virginia coal and prospects for future trends. Utilities are Virginia coal's largest market, comprising about 40% of mine shipments. Prospects for increasing that number depend on successfully penetrating Virginia coal's served market beyond the present 16%. The industrial market comprises about 24% of Virginia coal shipments. According to the Keystone Manual, most of these customers are in the southeastern US, and are served by both the NS and CSX railroads. Again, prospects for increasing industrial purchases of Virginia coal depend on lowering delivered costs. The export market is also approximately 24% of Virginia coal sales. Only about 25% of the exports out of Hampton Roads are Virginia coal. Market penetration here will also require lower delivered costs (relative to mines in eastern Kentucky and West Virginia) and meeting competition from foreign suppliers, principally to European buyers. Domestic coking coal is Virginia's smallest market segment, which has shrunk to 12%. 46 references, 27 tables.
- Research Organization:
- Virginia Polytechnic Institute and State Univ., Blacksburg
- OSTI ID:
- 7048890
- Journal Information:
- Mater. Soc.; (United States), Journal Name: Mater. Soc.; (United States) Vol. 11:1; ISSN MSOCD
- Country of Publication:
- United States
- Language:
- English
Similar Records
Investigation of the Virginia coal industry. Final technical report, May 1, 1984-April 30, 1985
Virginia coal industry: a study of the infrastructure. Final technical report
Related Subjects
015000* -- Coal
Lignite
& Peat-- Economic
Industrial
& Business Aspects
29 ENERGY PLANNING, POLICY, AND ECONOMY
290200 -- Energy Planning & Policy-- Economics & Sociology
294001 -- Energy Planning & Policy-- Coal
CARBONACEOUS MATERIALS
COAL
COAL INDUSTRY
COKE
ELECTRIC UTILITIES
ENERGY SOURCES
EXPORTS
FEDERAL REGION III
FOSSIL FUELS
FUELS
INDUSTRY
LAND TRANSPORT
MARKET
MATERIALS
NORTH AMERICA
PUBLIC UTILITIES
RAIL TRANSPORT
TRANSPORT
USA
VIRGINIA