The 2015 Joint Spring Meeting of the WV Coal Association, the WV Coal Mining Institute and the Central Appalachian Section of SME will be held at the Stonewall Jackson Resort, May 13-15, 2015.
A block of rooms has been reserved for our meeting and will terminate on Monday, April 6. Please make your reservation by calling Stonewall Jackson at 1-888-278-8150 and advise them that you are with the WV Coal Mining Institute group. The block cost is $140.00 plus tax per night for single or double rooms.
Alpha Engineering Services will be hosting Basic & Advanced Topics in Mine Ventilation Seminars for the professional, practitioner and other interested persons on April 23 & 24 in Beckley, WV and May 13 & 14 in Evansville, IN. These seminars will provide an opportunity for introducing, refreshing or upgrading skills and concepts of mine ventilation for the engineering and technical professional and those who have an interest in the practical aspects of mine ventilation. For additional information, contact Ellen at Alpha Engineering: 304-255.4131 or ehartsog@alphaengineer.com.
The Friends of Coal was on hand Wednesday at the Point Pleasant River Museum and Learning Center for a day-long program, “Who Works the River?,” presented by the Mason County Schools and the Riverworks Discovery Center. The organization, along with the West Virginia Coal Association was a sponsor of the event and it also manned an informational booth and exhibit as part of the event.
More than 100 students from Point Pleasant Jr./Sr. High School, Hannan High School and Wahama High School attended the program organized by RiverWorks Discovery. RiverWorks Discovery is a national outreach education effort of the National River Center and Hall of Fame located at the National Mississippi River Museum and Aquarium.
Coal production in the U.S. continued to decline this past week according to the latest report from the Energy Information Agency (EIA) and the National Mining Association.
Production in the United States is down by slightly less than 1.6 million tons (7.9%) for the week ending March 21 compared to the same time last year. Production for the week stood at 18.18 million tons compared to 19.75 million tons for the same week in 2014. Cumulative production for the year-to-date is also down as of March 21 coming in at 210.86 million tons compared to 216.88 million tons last year.
Rail car loadings also continued to decline, down 6.5% for the week from the same period last year. Rail car loadings are also down 1.9% year-to-date.
Coal export data was not updated this week.
Electric output was down for the week – by 3.3% for the week ending March 21 – and is down slightly (-0.4%) year-to-date. Steel output declined again for the week, down 12.3% for the week to just 1.64 million tons produced and it continues its slide year-to-date -- down to 19.91 million tons produced compared to 20.98 million tons last year. A decline in steel production is considered a leading indicator of the broader economy and the continued declines we are seeing in steel production usually translate into declines in durable goods orders.
Looking at regional coal production, Appalachian Basin production was down slightly for the week – at 4.98 million tons from 5.06 million tons the previous week. Interior Basin production was also down for the week – coming in at 3.41 million tons from 3.47 million tons last week. Western production also declined this week, to 9.80 million tons from 9.98 million tons last week.
The Interior and Western Basins continued to show increased production for the previous 52 weeks ending March 21st. Production in the Appalachian Basin turned down slightly for the 52-week period -- to 267.63 million tons from 268.07 million tons in 2014. Interior Basin production increased by1.7%, to 185.49 million tons from 182.88 million tons for the same period ending in 2014. Meanwhile, Western production was up 1.0%, to 534.95 million tons from 529.79 million tons in 2014.
According to the West Virginia Office of Miners’ Health, Safety and Training, coal production in the state for 2015 (reported through March 19, 2015) stands at 15.16 million tons year-to-date, with 11.73 million tons produced underground and 3.42 million tons produced through surface operations (we are uncertain as to the reason for the discrepancy). A total of 121 mines in the state are now reporting production in January.
Production for other key coal-producing states is being reported once again by the EIA.
Coal production in Kentucky for the week ending March 21 ticked down to 1.42 million tons compared to 1.44 for the same week in 2014, with the state seeing declines in both its eastern and western fields. Meanwhile, coal production in Kentucky is off by 2.2% for the previous 52 weeks.
Wyoming coal production also ticked down for the week to 7.1 million tons, off from 7.2 million tons for the same week in 2014. For the year, Wyoming production is up slightly (0.1%).
Illinois production is also down slightly for the week, coming in at 1.05 million tons compared to 1.06 for the same period in 2014. Indiana production, likewise, is down slightly, coming in at 723,000 tons compared to 736,000 tons for the week in 2014. Pennsylvania production for the week is also down slightly, to 1.22 million tons versus 1.25 million tons for the same week in 2014, but is up 11.5% for the previous 52 weeks. Ohio production is off slightly -- to 389,000 tons compared to 396,000 tons in 2014. Virginia production turned down this week – to 288,000 tons compared to 293,000 tons last week, but is off substantially compared to the same week in 2014, which saw production of 332,000 tons. Virginia production for the previous 52 weeks is off by 7 percent.
Coal prices on the spot market held firm again this week. Central Appalachian coal remains at $53.06 per ton. Northern Appalachian coal remains at $61.15 per ton. Illinois Basin coal prices held at $40.32 per ton, while Powder River Basin and Uinta Basin coal prices also held steady – at $11.55 and $38.13 per ton respectively.
Due to an error, natural gas prices on the Henry Hub were incorrectly reported last week to be approximately $3.20 per million Btu. The correct price was $2.68 per million Btu. This week, natural gas prices rose slightly to $2.72 per million Btu. Natural gas producers continued to report significant declines in their stored reserves – off 45 billion cubic feet compared to the previous week. Most of the decline came in the eastern fields. Natural gas rig counts held at approximately 400.
Utilities did not issue updates to their stockpile reports once again this week.
West Virginia Coal Association Senior Vice President Chris Hamilton was a panelist at a forum on energy and business at Shepherd University in Martinsburg this past Wednesday evening. The goal was to educate the public about energy as it relates to West Virginia's economy.
The forum, titled "Flipping the Switch: The Business of Energy and West Virginia," included a panel discussion featuring Chris Hamilton, senior vice president of the West Virginia Coal Association; Mike McKenchnie, president of Mountain View Solar in Berkeley Springs; Corky DeMarco, executive director of the West Virginia Oil and Natural Gas Association, and Hoppy Kercheval, vice president of operations and host of Talkline at West Virginia MetroNews, who moderated the discussion.