Light at the end of the tunnel?
despite the somewhat pessimistic header - some slightly optimistic noises related to the price of coking coal:
UBS analyst Tom Price has estimated that the cutbacks in North America represent about 14 per cent of supply from that continent, or about 4 per cent of global supply.
''The Canadian and US producers have cut about 13 or 14 million tonnes out of the trade since March and that has been one of the key supports for the price over the last month or so,'' he said.
Mr Price said the price for Australian low volatile hard coking coal had now risen slightly to $US113 per tonne.
''I'm actually a little bit more optimistic about metallurgical (coking) coal than I am on thermal coal in 2014,'' he said.
Read more: http://www.smh.com.au/business/minin...507-37w40.html
BRL breakeven is from memory US$120 per ton for ramping up the mining - and going down to somewhere around US$ 80 on the way towards steady state. Getting there ...