Will Mongolia use the world coal market to demand 65 million...

Will Mongolia use the world coal market to demand 65 million tonnes of new resources in 2025?
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"THERE IS A POLICY OF RESTRICTING IMPORT COAL, BUT THERE IS SPACE FOR HIGH QUALITY COAL"


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General Director of Economy at China National Coal Association, President of China Coal Transportation Association Yan Xianfeng:

• Coal production Due to the transition to a market economy, the long-term coal order system has been lost.
• In the future, we will reduce the size of small and medium sized plants.
• China's demand for the world's largest coal consumer is increasing day by day. Mongolia has huge coal reserves.
• It is important for our two countries to cooperate in coal trading.
• China is implementing all the tools for washing, transportation and storage of coal.
• There are several rivals in the Chinese market. Therefore, you need to show your own strengths.
• This year the issue of power supply in the northeastern part of the country is problematic for large steel and iron industries. It is good to reduce Mongolia's coal price. This is our feedback .
• Mongolia's high-quality coking coal has been an important product of China's metallurgical industry.
• Our policy follows the policy of import coal, but there is space for high quality coal .

THE PRODUCTION OF COKING COAL IS LIKELY TO SHRINK DUE TO ENVIRONMENTAL REASONS, WHICH IS AFFECTING DEMAND


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Vice President of Fuzhou Energy Informatics Service, Sarah Liu:

• The Chinese coal market policy is based on environmental control systems, price regulation, and balance of exports and imports.
• Demand for coking coal is down. Prior to supply, this situation is gradually corrected and demand and supply are balanced. As a result, imports are likely to decline.
• Reinforced innovation plans to reduce 150 million tonnes in 2018, while in the first half of this year, 80 million tonnes have been abolished .
• As a result of the policy of removing and revamping the environmentally-hazardous, ultra-old technology, and inefficient industries, it has increased its profitability by 1.7 percent or 300 billion yuan . Furthermore, the profit will increase by 5.5 percent and reach 500 billion yuan in 2018.
• The State Council has set a three-year plan to protect the Blue Sky, which is aimed at reducing energy consumption by 2020 by 2020 . Here are 7 Hebei ranging from Hebei.
• State control over extractive and processing industries, in particular environmental monitoring . For example, a heavy-duty truck has been heavily regulated by a coal-fired transportation process and by 2020 the policy is fully discharged .
• Coking coal exports fell 67 percent in the first half of 2018. The import also decreased by 11.5 percent. Coal imports from Mongolia declined by 14.3 million tons or 9 percent.
• Mongolia and Australia are leading coal imports in China. Third, Canada has been replaced by Russia. Russia is working hard to export coal to China .
• China's coking coal reserves will reach 2 million tonnes in 2018 . This leads to a decrease in demand. Therefore, economic activity and investment tend to be stable and slower.
• The production of coking coal is likely to shrink due to environmental reasons,which is affecting demand.

"BY 2025, WE NEED ANOTHER 65 MILLION TONS OF NEW SOURCES. PLEASE USE THIS SPACE IN MONGOLIA, OR LOSE YOUR OPPORTUNITY TO AUSTRALIA AND RUSSIA "


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Panjab Bhargaga, senior analyst at Wood Mackenzie Group, a Center for Analysis and Analysis of Asia-Pacific Mining and Metals:

• China's direct influence on imports has led to a significant increase in pollution and the transfer of small capacity to a large capacity that has a negative impact on the environment.
• However, replacing large stoves with large capacity, long chimneys and large-scale raw materials will increase the use of high quality coking coal.
• China has been pushing its domestic supply. In particular, due to high sulfur content of coal. This is useful for Mongolia.
• In 2017, the supply of low sulfur and high-quality coal supply has increased.
• The prospect of 2019 shows that coal consumption is likely to decline, but good quality coal consumption will increase in Mongolia .
• According to preliminary calculations , global use of metallurgical or coking coal can increase to 111 million tonnes . This figure is 300 million tons in 2020.
• Demand has increased by 25 percent worldwide.
• In recent years, the real cash flow in the coal market has increased, but in 2017, there has been no investment in a major coal mine .
• The supply reserves are generally depleted. In 2025, it needs another 65 million tons of new sources . Would it be possible to use this space in Mongolia or in Australia and Russia? Spaces and opportunities are in Mongolia.
• In the United Kingdom and America, the coal is being processed in conformity with technical specifications of countries. But most of Mongolia exports coal to wash.
• If Mongolia meets the specifications of China, there is a great potential for all kinds of coal resources.

"MONGOLIA'S POSITION IS STILL HIGH IN CHINESE COAL IMPORTS"


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Jülley Hull, Asia Regional Director for S & P Global Platts:

• People are puffed up by the price of coal in the coal market. However, from a positive point of view, there is more opportunity.
• Looking at the price dynamics of China's coking coal market for the last 15 years , there is a series of unexpected increases due to natural phenomena such as strong storm events .
• Mongolia's position is still high in Chinese coal imports. But Canada was down. This may be due to a long-term contract with the United States.
• Coal imports from America account for a small share. It will be diminished in the beginning of trade .
• 2017 was an important year. Because Japan and South Korea's steel producers fit each quarter to coal suppliers, they are shifting to a new indexing system. It would be a good opportunity for future developments.