Escalating tensions between Ukraine and Russia, and fear of possible cutoff of natural gas via Ukraine to Europe, makes the market look for alternative sources of energy. That benefits Russian economy.
Russia’s coal export increased by 17 percent in January-February period compared to the period 2013. Nearly 24 million tons was exported in the period, with Murmansk as one export harbor of growing importance. As previously reported, SDS-Ugol plans for a new additional coal port in Murmansk aimed at exporting up to 18 million tons annually. That will more than double the current annual export of around 12 million tons per year.
European and American coal prices are expected to raise further, both due to the Crimean crisis, but also due to a cold winter in the United States, making a drop in North American stockpiles.
Coal exported from Murmansk comes from both the Kuzbass region in southwestern Siberia and Vorkuta mines in the Komi Republic. Shipping via Murmansk is economically viable, despite long and expensive railway transport.
