Guest post by David Middleton
If President Obama was the “war on coal,” President Trump might just be the post-war “Marshall Plan”…
U.S. Coal Finds Footing In European Markets
By Oil & Gas 360 – Jul 22, 2017
A report by the EIA indicated that coal exports—for both steam coal, used for power generation, and metallurgical coal, used for refining steel—have increased by 58 percent from Q1 of 2016 to Q1 of 2017. The majority of the increase was in steam coal, which grew by 6 million short tons (MMst).
Big U.S. coal customer: Europe
The majority of the coal was shipped from ports on the Atlantic Coast and Gulf Coast. The U.S. exported a total of 10.135 million short tons of steam coal during Q1. Steam coal exports were bound largely for European markets—which consumed approximately 50 percent of the U.S.’ total steam coal exports in Q1, 2017.
Out of the approximately 5.108 million short tons of steam coal exported to Europe, the Netherlands consumed approximately 2.530 million short tons—a little less than 50 percent.
Asian markets consumed approximately 31 percent of the total U.S. exports, with South Korea, India, and Japan making up the bulk of the demand.
Who would have guessed that half of US coal exports go to Europe? Or that half of our coal exports to Europe would go to the Netherlands (“going Dutch”)?
Based on the “holier than thou” rhetoric of the EU, one would think that coal would have been banned by now… Or, at the very least, imports of US coal would have been banned after President Trump 86’ed the “planet saving” Paris climate agreement.
The Oil & Gas 360 article spends as much time on natural gas as it does on coal, featuring a rather oddly captioned photo…
More U.S. LNG ready to travel
According to a June report by the IEA, global natural gas demand will increase by 1.6 percent by 2022—with China fueling 40 percent of that growth. On the other end of the spectrum is the U.S., which is expected to produce 40 percent of the world’s new gas production out to 2022.
The IEA believes that by 2022, despite growth in domestic gas demand, the U.S. will export over half of its growing production in the form of LNG.
Yay for us!!!
The EIA report…
JULY 18, 2017
U.S. coal exports have increased over the past six months
Coal exports for the first quarter of 2017 were 58% higher than in the same quarter last year, with steam coal exports increasing by 6 million short tons (MMst) and metallurgical coal exports increasing by 2 MMst. Most of these exports were shipped from Atlantic Coast and Gulf of Mexico ports. In EIA’s most recent Short-Term Energy Outlook (STEO), EIA expects growth in coal exports to slow in the coming months, with total 2017 exports forecast at 72 MMst, 11 MMst (19%) higher than the 2016 level.
While several proposals for west coast export terminals had been blocked by environmental
terrorists activists and Obama administration malfeasance, the Trump administration favors new export terminals. Besides, current exports are well-below the capacity of existing terminals…
So, there’s lots of room for growth without adding new export terminal capacity as America transitions its goal from “energy independence” to ENERGY DOMINANCE!
America’s becoming a world energy leader – even as it leads in the fight against climate change
By Post Editorial Board July 22, 2017
Team Trump has adopted an “all-of-the-above” approach to energy production, backing oil, gas, coal, nuclear, renewables, fracking — heck, probably hamsters on wheels if they could gin up enough juice.
The goal, says Perry, echoing Trump’s remarks last month, is global “energy dominance.” He cites exports of liquid natural gas, Atlantic and Arctic Ocean oil and coal as particularly promising.
Indeed, America has already seen jumps in coal exports to Europe, India and South Korea. And after decades of importing natural gas, the US is now set to become a net exporter of gas, possibly this year. For that, thank the fracking boom that’s enriching states like Pennsylvania and Texas. (New York also has natural gas, but to please enviros, Gov. Cuomo banned fracking.)
The good news for America doesn’t end there: US energy exports are reducing world dependence on oil and gas from bad actors — notably, Russia and Middle East OPEC countries. Ukraine, for example, may soon use US coal to make up for Russia’s cuts in the natural gas it supplies.