Published on: Dec 2016/Jan 2017
By Kylie Williams
Metallurgical coal prices took a wild ride in 2016. Following the Chinese government’s decision to close coal mines and decrease domestic production at the beginning of the year, prices rocketed from US$84 per tonne in the spring to over US$200 per tonne by the fall. Coal has not approached such heights since a record-breaking US$330 per tonne in 2011. China subsequently reversed its decision and increased coal production again, but not before the price rally reinvigorated coal mines along the border between British Columbia and Alberta.
Favourable economic conditions, and the right type of coal, inspired newcomer Conuma Coal Resources to buy the Brule, Wolverine and Willow Creek coal mines near Tumbler Ridge, B.C. from Walter Energy Canada on Sept. 9. Less than two weeks later, Conuma brought the Brule mine out of two and a half years of care and maintenance, hired 170 local workers and loaded its first shipment of coal.
Read the full article: CIM Magazine