NGOs expose global surge in new met coal mines, expansions

German non-profit Urgewald, in collaboration with ten partner organizations, launched on Thursday the first-ever Metallurgical Coal Exit List (MCEL), which identifies the main companies driving hundreds of new metallurgical coal projects and expansions, in an effort to dissuade investors from supporting them.MCEL lists 160 companies and 252 new metallurgical coal projects, spreading across 18 countries, which the group says could boost annual met coal production by 50%, equivalent to 551 million metric tonnes.“Financial institutions need to wake up and stop bankrolling the reckless expansion of this industry,” said Heffa Schuecking, director of Urgewald. She said that hundreds of financial institutions are already using Urgewald’s Global Coal Exit List (GCEL) to restrict their financial flows to the thermal coal sector.“The MCEL is a new sister database that focuses exclusively on metallurgical coal and highlights which companies are planning new mines or extensions,” she said.Global emissions fightAs the Paris Agreement marks its 10th anniversary, the target of limiting global temperature rise to 1.5°C feels increasingly unattainable. The iron and steel sector, heavily reliant on coal, contributes a staggering 11% of global CO2 emissions. While metallurgical coal, a key ingredient in steel production, has long been seen as indispensable, advances in green steel technology present a path to phasing out coal reliance, Schuecking says.The MCEL highlights stark contradictions in the industry’s actions. Despite the International Energy Agency (IEA) confirming that existing met coal production can meet demand through 2050, major companies are still planning expansions. Graphic source: Urgewald.Top developers include Australia’s BMA, aiming to extend the Peak Downs mine lifespan to 2116, and Russia’s A-Property, spearheading two colossal mining projects despite ties to US-sanctioned entities.Australia, Russia, and China dominate the expansion landscape, with Australia leading as the top exporter. India and Japan, key consumers of Australian met coal, continue to deepen their reliance on these exports. Japan’s Nippon Steel holds a stake in the Bulga mine, while India’s JSW Steel recently invested in Australian coking coal operations.Critics argue these expansions reflect a broader trend of coal companies rebranding their portfolios to secure financing. Lia Wagner, head of met coal research at Urgewald, noted, “Many thermal coal producers are trying to polish their dirty public image by adding more met coal to their portfolios.”Britain’s approval of its first new deep coal mine in decades was overturned in 2024 by London’s High Court. (Image courtesy of West Cumbria Mining.) The UK government faced backlash last year after its approval of a “net-zero” met coal mine was overturned by the High Court. The ruling acknowledged the sector’s emissions intensity, underscoring the need for robust decarbonization policies, the NGOs said in a statement.Urgewald’s MCEL aims to bring transparency to the often-overlooked metallurgical coal sector, calling on financial institutions to act. The database is publicly accessible at coalexit.org/mcel.Weiter zum vollständigen Artikel bei Mining.com Weiter zum vollständigen Artikel bei Mining.com