Colombian coal mines production may be interrupted amid lockdown

• Thursday, April 9, 2020
• Source:ferro-alloys.com

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• Keywords:Colombian coal mines production, lockdown

[Ferro-Alloys.com] 

Colombian coal producers may be forced to declare force majeure in the coming weeks if heavy disruption to mining and rail transportation continues. In the Atlantic basin, this could result in stronger demand for Russian coal or reloads in the Amsterdam-Rotterdam-Antwerp (ARA) region.

 

Colombia has extended a national lockdown to 26 April from 12 April, which will likely result in sustained interruptions to production at coal mines. Key producers have announced severe cuts in output since restrictions to prevent the spread of the Covid-19 pandemic were introduced in late March, despite mining being exempt from the lockdown, and have faced additional pressure from local communities.

 

The country's largest miner Drummond has seen significant production cuts, as employees were prevented from entering mines by local communities. The firm is currently operating at reduced capacity to haul small amounts of coal from the mine to load on trains.（ARGUS）

 

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