The International Energy Agency (IEA) see strong demand of thermal coal

The International Energy Agency (IEA) has forecasted strong
demand of thermal coal. According to the sources strong demand in china and
India until 2016 will be seen. As per the news on FT, The IEA anticipated,
however, that consumption growth would slow down from the torrid pace of
2000-2010, when coal usage grew by 720,000 tons per day.

 Ã¢â‚¬Å“For all of the talk about removing carbon from the
energy system, the IEA projects average coal demand to grow by 600,000 tones
every day over the next five years,” Maria van der Hoeven, IEA executive
director, said.

 The outlook for the commodity is, however, uncertain
as the IEA said Chinese coal net imports could either
jump to 180m tones by 2016 from 92m tonnes in 2010, or fall to 39m tonnes,
depending on the path of local production. Whatever the case, the IEA
anticipated strong prices.

 Thermal coal is used to fire power stations to produce
electricity and remains the world’s second most important source of energy
after crude oil.

Source:FT