Thanks to Pres. Trump US coal exports surged 60% last year
According to US Census data released Tuesday, US coal exports totaled 88 million metric tonnes in 2017, a 60.9% increase from 2016. Annual export volumes climbed to the highest since 2014, when the nation’s exports reached 88.3 million tonnes in large part due to strong seaborne coal prices into Europe and Asia.
Hot damn, another win for President Trump and the American people. Looks like the Obama war on coal has been successfully reversed by President Trump. This will help strengthen our economy and help to balance world trade. Thank you President Trump!
An energy company is seeking to build a $2.5 billion plant in southern Indiana that would convert the region's plentiful coal reserves into diesel fuel and other products. Riverview Energy officials say the plant proposed for the Spencer County town of Dale would employ about 225 workers and create about 2,000 temporary construction jobs in the community, which is about 40 miles (64 kilometers) northeast of Evansville. Company officials don't have a timeline on when the plant would be built, The Herald reported. "Dale was a prime location due to its proximity to the exact type of coal needed, and the logistical routes to move the end product northeast or to the Gulf," Riverview Energy President Greg Merle said. "Indiana, as well, is an excellent location because it is a pro-business, pro-jobs and pro-development state."
Coal stocks have had a strong run over the past year, mainly on hopes the Trump Administration would drive higher demand and industry profits Opens a New Window. . So far, there's been some evidence that coal production has made a bit of a comeback as exports have increased, primarily to Asia, where demand is up. Stocks like Arch Coal (NYSE: ARCH), Cloud Peak Energy (NYSE: CLD), Consol Energy (NYSE: CEIX), and Peabody Energy (NYSE: BTU) have all responded well to a more favorable regulatory environment over the past year and have all gained over 20% on the market. But if you look deeper into the coal industry it's easy to see why the gains may be short-lived.