Thermal Coal Prices

Thermal coal prices averaged USD 130.67 per metric ton in August, up 0.8% from July. On 31 August, the commodity traded at USD 141.75 per metric ton, up 8.9% from 31 July.

Australian thermal coal prices were muted for most of August but bounced back late in the month, as data showed that Chinese stockpiles of the fuel fell a further 5.4% in the week ending 28 August, down 12.1% month on month. This decline came against a backdrop of safety inspections at Chinese mines following an accident in late May. Adding to this, hot weather across much of Asia due to El Niño has bolstered cooling demand for electricity and for Australian thermal coal in turn.