Coal prices are not supposed to be rising as governments tighten environmental controls but that’s precisely what is happening at the premium end of the coal market where prices have soared.
Over the past six months the price of top quality thermal coal exported from the Australian port of Newcastle has risen by 25% to $115 a ton, a move reflected in the share prices of Australian coal exporters such as Whitehaven Coal which is up 27% over the same time, and Stanmore Coal which is up 16%.
