Coal

[mhlld]

Coal exports predicted to pick up
A commodities forecaster predicts the export earnings for coal will increase after falling in the March quarter.

The Australian Bureau of Agricultural and Resource Economics (ABARE) says the takings for steaming and coking coal have risen by more than $1 billion in the past 12 months.

ABARE senior economist spokesman John Hogan says the March quarter was slower.

He says the slump is not unusual and predicts new contracts will improve the earnings in the next three months.

"Coal export earnings were down in the March quarter compared to the December quarter 2004," he said.

"Compared to the March quarter 2004, steaming coal exports were up $546 million and coking coal exports were up $904 million.

"The other thing of course to take into account is that contract prices with China and Japan have recently been concluded and there'll be some big price rises coming through, which actually start on April 1.

"So we expect to see increased values coming through in the June quarter."

http://www.abc.net.au/news/newsitems/200506/s1388996.htm