Russian coal production and exports hit their highest levels since 2013, according to S&P Global Platts estimates based on data from Russia’s Energy Ministry.
Exports increased by 3.4% in 2018 compared to the previous year to reach its highest level since S&P Global Platts began collecting data on the Russian coal industry in 2013, at 191 million mt.
Coal production in Russia also hit a record high since 2013 at 431.76 million mt – 6% higher than 2017.
Traders of the commodity have been unanimous in their opinion that Russia is seeking to dominate the European market, as well as increasing efforts to get heighten its share in Asian markets, including South Korea and Taiwan.
Average free on board coal prices were higher for both the Atlantic and Pacific markets compared to 2017, which could have been an incentive for Russia to increase its coal production and exports.
Russian Energy Minister Alexander Novak briefed President Vladimir Putin on Thursday on the countries energy sector, during which Novak outlined his plans to increase coal production to 433 million mt in 2020 with a $22.4 billion investment in Russia’s coal industry and port infrastructure.