A roundup of international coal news from Jan. 23 to Jan. 30.
Europe
As part of its emissions reduction efforts, Europe's coal generation dropped 12% year over year in 2016, according to a joint report by the think tanks Agora Energiewende and Sandbag. Europe aims to slash its greenhouse gas emissions by at least 40% by 2030 against 1990 levels. In 2016, coal's participation in its energy mix fell to 21.6% from 24.6% in 2015. This was offset by gas, which saw its share increase to 18.6% from 15.5% in 2015, after its generation rose 20% year over year, according to the report.
Germany:
Asia
The Asian Infrastructure Investment Bank, China's would-be World Bank, has declared its intention to keep its portfolio relatively free of coal projects in a bid to be known as a green bank, The Times (London) reported Jan. 21. The bank is in talks with its member countries over rules regarding lending to coal project developers, the report said. Joachim von Amsberg, its vice-president of strategy and policy, noted that the bank might release funds toward coal projects when deemed necessary, such as to replace an inefficient plant in a country that has dire power needs, the report said.
China:
India:
Vietnam:
Australia
Rio Tinto struck a deal to sell its Australian subsidiary Coal & Allied Industries Ltd. to Yancoal Australia Ltd. for up to US$2.45 billion, the companies said Jan. 24. The amount comprises an initial US$1.95 billion in cash, payable at completion, and US$500 million in deferred cash payments, payable over five years after the deal closes.
However, Yancoal Australia is facing several hurdles as the company has now sought local investor support to fund the purchase, The Australian wrote Jan. 26. The parent firm has already committed US$1 billion to Yancoal, but Australian investors would still need to earmark up to A$1.9 billion in fresh equity for the transaction. This compares to A$1.1 billion in equity raised by the entire Australian-listed coal sector in the past half decade, and the raising comes amid tough market conditions for thermal coal.
Africa
South Africa:
This feature was updated as of 1:32 p.m. ET on Jan. 30. Some external links may require a subscription.