Houston — As US domestic coal markets continue to deal with low demand on account of 

cheap natural gas, exports remain a viable outlet thanks to strong overseas demand. 

This year, exports of both thermal and metallurgical coal could make up as much as 16% 

of total production, which would be an all-time high, said a prominent market analyst at an 

industry conference earlier this week. 

By comparison, when exports peaked in 2012 at 114.2 mt, it made up 12.4% of US coal 

production that year. 

This year, total coal exports would total 105 million mt on an annualized basis, of which 47.6 

million mt would be thermal coal. 

In addition, the opportunity looks like it has some legs. At current Cal 19 prices, US coal wo

uld still be competitive into seaborne markets, said the analyst. 

India,  in particular,  has  developed  into  a strong market for US coal, where buyers have 

reported to have developed "a taste" for high CV Northern Appalachia coal, said a second 

market analyst this week. 

A US trader was offering NAPP coal on a 6,900 kcal/kg NAR basis at $82.50/mt FOB. No

 major concerns were reported at US East Coast export terminals, with a European trader 

adding the situation was essentially unchanged. 

The US trader reported an offer at $112.50/mt FRI Krishnapatnam, pegging dry bulk freight 

for a Panamax-sized vessel on the route at $30/mt. 

In the Central Appalachia market, traders said CAPP coal has been hard to come by in the 

CIF ARA market owing to the stronger domestic market. 

"There is not a lot of prompt availability for CAPP," said a European utility trader. 

A Panamax vessel was booked this week from Newport News to ARA at a freight rate of 

$11/mt. 

A second European trader said CAPP coal has been limited slightly by capacity issues at 

ports, reducing availability for export to Europe, leaving Russia as the dominant supplier