Thu, April 6, 2017 3:11 am
The first quarter of 2017 is in the books and, folks, it did not disappoint! The Team here at DTC has been putting forth a full court press to ensure that not a minute was missed of the action taking place all over the globe. As always, we would like to take the opportunity to thank you, our client, for your outstanding level of support in our efforts. We hope to see many of you over the next few days while a good portion of DTC converges in New York City.
- Supply/Demand Changes: We made major changes from last month. Once again, weather dominates the coal markets. A mild winter in the US will likely be followed by an unseasonably hot summer. Overseas, the aftermath of Cyclone Debbie will dominate the coking coal markets for the foreseeable future as prices are certain to rise significantly.
- JFY Q1 Coking Coal Benchmark Forecast: Wow! We certainly thought we would be reporting the new settlement in this edition but, with all the turmoil and uncertainty left in the wake of Cyclone Debbie in QLD, everything appears to be on hold while the market takes a minute. Regardless, we revised our JFY Q1 coking coal benchmark forecast and you can guess in which direction.
- EIA Q4 Revisions- We Nailed It: Please excuse our slight humble brag, but we came about as close as one can with our estimates for the Q4 Revisions.
- Another Round of Coal Retirements: In spite of expectations of lighter regulatory burdens in the future, several more coal units were added to the retirement list as DP&L and Owensboro Municipal Utilities solidified plans to proceed with deactivating units, and the Jacksonville Electric Authority announced it would shutter a plant in Florida.
- Administration Moves to Roll Back Regulations: The EPA has been instructed to begin the review process for the Clean Power Plan, and President Trump has vowed to slash funding for any regulatory activities related to climate change.
DTC On the Road:
DTC Kicks Off 2017 at Coaltrans USA: The coal conference circuit takes its typical annual hiatus this month, but Coaltrans USA kicks things off for the New Year with its 17th annual event on February 2nd and 3rd. Jack and Hans will be heading down to sunny Miami where Hans is also scheduled to present. If you happen to be one of the fortunate who has plans to enjoy historical highs of 74°, please find us and say hello!