The oil free fall hasn't helped one bit, the coal pundits are...

The oil free fall hasn't helped one bit, the coal pundits are forecasting a slow improvement in prices but I guess the glut in supply is holding it back. Glencore in SA are cutting back production to the extent of taking 5 million tons off the export market.

The problem with low grade coal is that the mining and logistics cost of getting it to the Bay are almost equal to current revenues, in Mozambique its worse, the miners are basically subsidising the export thermal coal.

I think its time that governments took their snouts out of the trough and accept some lower royalties and taxes, better 1% from an operator than 20% from a closed one.

Zambia are killing the copper industry there, just as it has started to get back on its feet.