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BHP declares force majeure on Australian coal exports after cyclone damage

Published 04/05/2017, 07:50 AM
© Reuters.  BHP declares force majeure on Australian coal exports after cyclone damage
BHP
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KOL
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  • BHP Billiton (NYSE:BHP) declares force majeure for shipments from its coal mines in Australia's Queensland state after railway operator Aurizon Holdings closed key rail lines to repair damage caused by last week's cyclone.
  • Aurizon, Australia's largest rail freight operator, says it could take weeks to get some key routes between inland mines and export terminals running again after the storm caused flooding and landslides in the area.
  • Queensland accounts for more than half of global seaborne coking coal supplies, and BHP has interests in 11 coal mines in the region; nine are operated with Japan's Mitsubishi via a joint venture and two in a partnership with Mitsui.
  • Chinese coking coal futures closed more than 8% higher today to a four-month high, while Singapore-listed futures of Australian premium coking coal has jumped 43% over two days.
  • ETF: KOL


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