Coal

Currently the coal industry is attempting to adapt to increasingly stringent environmental regulations as it battles natural gas for market share in the electricity generating sector. This represents just one of the myriad of challenges facing the coal industry. That EVA has analyzed in considerable depth over the last 30 years, which has enables the firm to establish an almost unparalleled expertise for this critical industry.

The United States holds the world’s largest estimated recoverable reserves of coal. U.S. coal mines produced over one billion tons of coal in 2012 with more than 90% of this coal used by U.S. power plants to generate electricity.

Most of the electricity generated in the United States is produced using steam turbines and coal is the most commonly-used fuel for generating electricity in this country. In 2012, 37% of the country’s 4.1 trillion kilowatt hours of electricity used coal as its source of energy. In 2013, coal’s market share is expected to rise to roughly 40% as gas prices rise and coal.

EVA’s accomplishments concerning the coal industry include:

  • Reports
    • Quarterly Coal Report (quarterly)
    • COALCAST Long-term (annual)
    • U.S. Coal Stockpile Report (monthly)
    • U.S. Coal Trade Report (monthly)
    • U.S. Coal Production Report (quarterly)
    • U.S. Coal Transportation Report (weekly)
    • U.S. Coal Financial Report (quarterly)
  • Data Services
    • Delivered Coal Price by Unit Forecast
  • Commodity Price Forecasts
    • Long-term and short-term coal price forecasts (COALCAST)
  • Consulting
    • Contract Negotiation
    • Expert Witness
    • Fuel Procurement
    • Mergers and Acquisitions
    • Bankruptcy
    • Custom Forecasting
    • Coal Market Services and Analyses

EVA’s coal market services and analyses cover a wide range of topics, including:

  • Supply and demand for all major coal types of the United States, including utility, industrial, metallurgical and export markets
  • Evaluation of market trends and changes for coal production, including mining costs, productivity, and labor costs
  • Regional coal availability by quality
  • Evaluation of utility markets and demand studies, both short- and long-term
  • Forecasts of future supply, demand and prices of coal by quality, region, and transportation access
  • Delivered fuel forecasts to individual power plants, or to regional electric power markets.

Examples of other consulting projects:

  • Evaluation of market proposals of prospective coal acquisitions, including operating mines and undeveloped reserves
  • Coal procurement work including development of a procurement strategy, bid preparation and solicitation, contract negotiation, selecting escalators, etc.
  • Valuation of coal companies and reserves
  • Financial analyses of investments in new mines, alternative mine plans, special projects, contract renegotiation alternatives, new technology, etc.
  • Strategic planning for both suppliers and consumers
  • Acquisitions and divestiture analysis;
  • Competitor analyses: capacity, productivity, production costs, reserves, etc.
  • Coal turnaround management and/or liquidations, including assuming coal company CEO and administrative responsibility
  • Acid rain studies involving evaluating the impact on coal demand, transportation, supply, price, and utility compliance strategies
Energy Areas: Coal