What is Coal? - Coal is a fossil fuel formed by intense heat and pressure being exerted on carbon which had been traped in peat bogs. Coal is comprised of primarily Carbon and also contains hydrogen, oxygen, sulfer and nitrogen.
There are many different types of coal which are used as energy sources. The most commonly used include as follows...
1. Bituminous Coal - A soft coal
2. Coking Coal - Bituminous coal that has been partially burned to remove moisture and other gasess like benzene. Used in the manufacturing of steel
3. Lignite or Brown coal - Used in Power plants for the generation of electricity.
4. Anthracite - A very hard black coal
Coal in general is a fossil fuel made up of Carbon, sulfur, hydrogen and nitrogen and is characterized by its calorific or "energy" value and its sulfur content. The most commonly traded European coal indicies are API2 cif ARA and API4 FOB South Africa
API2 is coal priced delivered to Amsterdam Rotterdam and Antwerp including freight and insurance costs.
API4 is coal which is priced FOB (free on board) at Richards Bay South Africa.
Coal Markets - While listed on several exchanges including the EEX Exchange in Germany and the ICE Exchange in London most coal trades OTC, or (Over The Counter), off exchange directly between two counterparties.
World Coal Supply
| Coal (in metric tonnes) | | Total world reserves Jan. 1st 2009: | 834684384000 | | World usage per second: | 203 | | Estimated date of exhaustion: | 20:05 May 19, 2140 |
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