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World Energy Council 2013 World Energy Resources: Coal

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World Energy Council 2013 World Energy Resources: Coal 1.

1
Coal
Contents

STRATEGIC INSIGHT / page 2

1. Introduction / page 2

2. Technical and economic considerations / page 4

3. Market trends and outlook / page 8

RESERVES AND PRODUCTION / page 9

1. Global tables / page 9

2. Regional tables / page 12

COUNTRY NOTES / page 13


1.2 World Energy Resources: Coal World Energy Council 2013

Strategic insight

1. Introduction
Coal in the global energy mix

Coal remains central to the global energy system. It is the worlds largest source of electricity,
accounting for around 40% of global electricity production. It is currently the world second
largest source of primary energy, and is widely expected to replace oil as the worlds largest
source of primary within a few years. Coals dominant position in the global energy mix is
largely due to the fact it is abundant, widely distributed across the globe and affordable.

Wide distribution of coal is demonstrated in this report with major coal deposits existing on
every continent. This report estimates there are 869 billion tonnes of coal reserves, which
based on current production rates should last for around 115 years, significantly longer than
conventional oil and gas reserves. Particularly important are the significant coal reserves in
Asia and southern Africa, two regions of the world that face major challenges in providing
energy to their populations

Unlike conventional oil and gas reserves, estimates of coal reserves can often be underesti-
mated. Rather than a lack of coal resources, there is lack of incentive to prove up reserves.
Exploration activity is typically carried out by mining companies with short planning horizons
rather than state-funded geological surveys and there is no economic need for companies
to prove long-term reserves. Coal resources are often estimated to be as much as 4-5 times

Figure 1.1
Incremental world primary energy demand by fuel, 2000-2010
Source: IEA, WEO 2011

1,600

1,400

1,200

1,000

800

400

200

0
Gas Oil Renewables Nuclear Total Coal
non-coal
World Energy Council 2013 World Energy Resources: Coal 1.3

greater than estimated reserves. This provides potential to increase coal reserves into the
future. Furthermore reserve figures do not consider alternative ways of accessing energy
from the coal resource, such as underground coal gasification.

China firmly holds the first place among coal producing countries. The United States remains
the second largest coal producer, followed by India and Australia. Coal production increased
significantly in Indonesia (15.8%), Colombia (12.7%), Ukraine (12.1%) and China (10.6%).
Over three quarters of global coal consumption was accounted for by five countries: China,
the United States, India, Russia and Japan. China alone accounted for over 48% of total
global coal consumption. Coal consumption decreased by 2% on average across the OECD
countries, however outside of the OECD, coal consumption increased by 8.6%, driven mainly
by growing energy demand in China.

Despite projected declines in OECD countries, coal use is forecast to rise over 50% to 2030,
with developing countries responsible for 97% of this increase, primarily to meet improved
electrification rates.

Between 2000 and 2010 it is estimated that coal met around half of global incremental
electricity demand (see figure below). Despite the rapid deployment of renewable energy
technologies, particularly in the context of debates about climate change, it has been coal
that has accounted for the largest increase in energy demand among the range of energy
sources. The growth in coal usage, in both volume and percentage terms, was greater than
any other fuel, including renewables. In fact, growth in coal consumption this century has
almost equalled growth in oil plus gas plus nuclear plus renewables combined.

Coal has met this significant growth in energy demand because of its status as a reliable,
widely distributed and affordable fuel, it is also the least subsidised of all fuel sources.

Coals role in delivering energy access

As nations develop, they seek secure, reliable and affordable sources of energy to
strengthen and build their economies coal is a logical choice in many of these countries
because it is widely available, safe, reliable and relatively low cost. One of the major chal-
lenges facing the world at present is that approximately 1.2 billion people live without any
access to modern energy services. Approximately a further 1 billion have intermittent access
to modern energy. Access to energy is a foundation stone of modern life and addressing
the challenge of energy poverty is a major international priority and a key tool in eradicating
extreme poverty across the globe.

Coal resources exist in many developing countries, including those with significant energy
challenges. This report demonstrates that many countries with electricity challenges, par-
ticularly those in Asia and southern Africa, are able to access coal resources in an affordable
and secure way to fuel the growth in their electricity supply. Coal will therefore play a major
role in supporting the development of base-load electricity where it is most needed. Coal-
fired electricity will be fed into national grids and it will bring energy access to millions and
support economic growth in the developing world.

To demonstrate this fact, the International Energy Agencys World Energy Outlook 2011 high-
lights that coal alone accounts for more than 50% of the total on-grid additions required
to achieve the its Energy for All case. This clearly demonstrates coals fundamental role in
supporting modern base-load electricity that is required to fuel economic development and
alleviate poverty.
1.4 World Energy Resources: Coal World Energy Council 2013

2. Technical and economic considerations


China, India and the developing world

The largest growing economies today are powered by coal and have significant coal
reserves. The increase in coal consumption across the globe has predominantly been due
to demand for greater electricity generation in China, India and other non-OECD countries
which have seen total power generation double since 2000. Well over half of this new power
generation has come from coal. China alone now uses as much coal as the rest of the world.

In 2012 it was announced that a key deliverable of the Millennium Development Goals halv-
ing global poverty had been achieved. However closer analysis shows that virtually all of the
worlds poverty reduction between 1981 and 2008 took place in China, 80% fuelled by coal.

World Bank estimates show that the percentage of those living below USD1.25 a day in
China decreased from 84% to 13% between 1981 and 2008. During this time China lifted
662 million people out of poverty. Coal played a key role in achieving such a significant
reduction in poverty in China. During the period 1980-2008 Chinese annual coal consump-
tion increased by more than 400% from 626 million tonnes to 2.7 billion tonnes.

Electrification is a vital component of Chinas poverty alleviation campaign which has built up
basic infrastructure and created local enterprises throughout China. As a result, from 1985 to
2003, electricity production in China rose by over 1500 TWh, of which around 80% is coal-fired.

It is clear that this development pathway is set to be repeated in other parts of developing
Asia.

In India the increasing use of coal reflects significant growth in the economy which in turn
increases demand for electricity as well as materials in which coal is a key component of
production such as steel and cement. It is estimated that around 295 million people today
still live in energy poverty in India. Although other energy sources will play a role, Indias
domestic coal reserves, relatively easy access to affordable imported coal and its ability to
meet the sheer scale of demand mean that much of the future energy demand in India will
be met by coal. The Indian Government anticipates an additional 60GW of coal-fired power
generation to be built in the country by 2017 which would increase total coal-fired capacity to
approximately 175GW.

A similar story will be told in elsewhere in South Asia, and southern Africa also provides
another example. In South Africa coal is being used to bring electricity to some of the 12.5
million people 25% of the South African population who lack it. This electricity will help
address the fact that half of South Africas population lives in poverty. International support
for the construction of modern, highly efficient coal-fired power plants in South Africa demon-
strates the importance of coal in meeting the demand for reliable base-load electricity to help
deliver economic development.

Cleaner energy from coal

With the ever-increasing demand for coal, particularly in the developing world, the use of low
emission coal technologies becomes increasingly important if international targets on climate
change are to be achieved. The two principal avenues for reducing carbon emissions from
coal-fired power generation are through use of high efficiency, low emission power plants
and carbon capture, use and storage.
World Energy Council 2013 World Energy Resources: Coal 1.5

High-efficiency, low-emission power generation

Efficiency in coal-fired power generation will play an important role in the future production of
electricity. This is particularly the case with the potential of higher efficiency power genera-
tion to reduce CO2 emissions.

Improving efficiency levels increases the amount of energy that can be extracted from a
single unit of coal. Increases in the efficiency of electricity generation are essential in tack-
ling climate change. A one percentage point improvement in the efficiency of a conventional
pulverised coal combustion plant results in a 2-3% reduction in CO2 emissions. Highly effi-
cient modern supercritical and ultra-supercritical coal plants emit almost 40% less CO2 than
subcritical plants.

In 2011 roughly 50% of all new coal-fired power plants used HELE technologies, predom-
inantly supercritical and ultra-supercritical coal combustion units. However, about three
quarters of all operating units today use non-HELE technology.

Efficiency improvements include the most cost-effective and shortest lead time actions for
reducing emissions from coal-fired electricity. This is particularly the case in developing and
transition countries where existing plant efficiencies are generally lower and coal use in elec-
tricity generation is increasing.

Although the deployment of new, highly efficient plants is subject to local constraints, such
as ambient environmental conditions and coal quality, deploying the most efficient plant pos-
sible is critical to enable these plants to be retrofitted with CCS in the future.

Efficient plants are a prerequisite for retrofitting with CCS as capturing, transporting and
storing the plants CO2 consumes significant quantities of energy. Highly inefficient plants will
undermine capacity to deploy CCS technologies.

Improving the efficiency of the oldest and most inefficient coal-fired plants would reduce
CO2 emissions from coal use by almost 25% representing a 6% reduction in global CO2
emissions. (By way of comparison, under the Kyoto Protocol, Parties have committed
to reduce their emissions by at least 5%.) These significant emissions reductions can
be achieved by the replacement of plants that are < 300 MW capacity and older than
25 years, with larger and significantly more efficient plants and, where technically and
economically appropriate, the replacement or repowering of larger inefficient plants with
high-efficiency plants of >40%.

Carbon capture, use and storage

Carbon capture and storage technology will be a key technology to reduce CO2 emissions,
not only from coal, but also natural gas and industrial sources. Figures in the IEAs World
Energy Outlook 2011 report estimate the potential for CCS to contribute 22% of global CO2
mitigation through to 2035. Further analysis by the IEA in their Energy Technology Perspec-
tives 2010 report also shows that climate change action will cost an additional USD4.7 trillion
without CCS.

Like all new low emission energy technologies however, CCS will cost significantly more
than conventional technology and requires extended development time. While available on a
component-by-component basis, CCS has not yet been commercially proven on an inte-
grated basis or at the scale required to meet global greenhouse gas concentration targets.
1.6 World Energy Resources: Coal World Energy Council 2013

Once demonstrated, CCS will enable countries to rely on secure and affordable energy
sources such as coal without compromising their environmental ambitions.

Key to operationalizing CCS however is establishing a sustainable business case and this
is most likely to be met in the near term at least through the utilization of captured CO2 and
particularly through Enhanced Oil Recovery (EOR). CCUS and EOR can provide a pathway
to two important energy goals of many countries producing reliable and affordable elec-
tricity from coal power plants while reducing greenhouse gas emissions and producing
more oil to meet growing demand and enhance national energy security. Utilising the CO2
from the consumption of fossil fuels is a crucial step in economically reducing greenhouse
gas emissions.

In its 2013 report, Tracking Clean Energy Progress, the International Energy Agency notes
that patent applications that relate to CCS have increased by 45% since 2006, signalling
commercial interest in the technology. However, the Agency estimates that around 75%
of investments in CCS projects since 2007 have come from private financing and calls for
greater public funding in this area.

Global trade in coal

Coal is a global industry, with coal found in over 70 countries and actively mined in 50 coun-
tries. Coal is readily available from a wide variety of sources in a well-supplied worldwide
market. Coal can be transported to demand centres quickly, safely and easily by ship and
rail. A large number of suppliers are active in the international coal market, ensuring a com-
petitive and efficient market.

Coal is traded all over the world, with coal shipped huge distances by sea to reach markets
Over the last twenty years:

seaborne trade in steam coal has increased on average by about 7% each year
seaborne coking coal trade has increased by 1.6% a year.
Overall international trade in coal reached 1142Mt in 2011; while this is a significant amount
of coal it still only accounts for about 15% of total coal consumed. Most coal is used in the
country in which it is produced.

Transportation costs account for a large share of the total delivered price of coal, therefore
international trade in steam coal is effectively divided into two regional markets:

the Atlantic market, made up of importing countries in Western Europe, notably the UK,
Germany and Spain.
the Pacific market, which consists of developing and OECD Asian importers, notably
Japan, Korea and Chinese Taipei. The Pacific market currently accounts for about 57%
of world seaborne steam coal trade.
Indonesia has overtaken Australia as the worlds largest coal exporter. It exported over
300Mt of coal in 2011.

Australia remains the worlds largest supplier of coking coal, accounting for roughly 50% of
world exports.
World Energy Council 2013 World Energy Resources: Coal 1.7

Emerging coal technologies

In addition to improvements in the efficiency of coal-fired power stations and the deployment
of CCS for electricity generation, the worlds significant coal resources can also be deployed
to support other energy needs.

Coal to liquids

Converting coal to a liquid fuel (CTL) a process referred to as coal liquefaction allows
coal to be utilised as an alternative to oil.

South Africa has been producing coal-derived fuels since 1955. Not only are CTL fuels used
in cars and other vehicles, but South African energy company Sasols CTL fuels also have
approval to be used in commercial jets. Currently around 30% of the countrys gasoline and
diesel needs are produced from indigenous coal. The total capacity of the South African CTL
operations now stands in excess of 160,000bbl/d.

CTL is particularly suited to countries that rely heavily on oil imports and have large domestic
reserves of coal.

Fuels produced from coal can also be used outside the transportation sector. In many devel-
oping countries, health impacts and local air quality concerns have driven calls for the use of
clean cooking fuels. Replacing traditional biomass or solid fuels with liquefied petroleum gas
(LPG) has been the focus of international aid programmes. LPG however, is an oil derivative
and is thus affected by the expense and price volatility of crude oil. Coal-derived dime-
thyl ether (DME) is receiving particular attention today as it is a product that holds out great
promise as a domestic fuel. DME is non-carcinogenic and non-toxic to handle and generates
less carbon monoxide and hydrocarbon air pollution than LPG.

Underground coal gasification

Underground coal gasification (UCG) is a method of converting unworked coal - coal still in
the ground - into a combustible gas which can be used for industrial heating, power genera-
tion or the manufacture of hydrogen, synthetic natural gas or diesel fuel.

In the last few years there has been significant renewed interest in UCG as the technology
has moved forward considerably. China has about 30 projects using underground coal
gasification in different phases of preparation. India plans to use underground gasification to
access an estimated 350 billion tonnes of coal.

South African companies Sasol and Eskom both have UCG pilot facilities that have been
operating for some time, giving valuable information and data. In Australia, Linc Energy has
the Chinchilla site, which first started operating in 2000. Demonstration projects and studies
are also currently under way in a number of countries, including the USA, Western and East-
ern Europe, Japan, Indonesia, Vietnam, India, Australia and China, with work being carried
out by both industry and research establishments.
1.8 World Energy Resources: Coal World Energy Council 2013

3. Market trends and outlook


The road ahead

In its recent report Time to get real the case for sustainable energy policy, the World
Energy Council posed the energy trilemma of energy security, social equity and environmen-
tal impact mitigation. From the coal industrys perspective the trilemma is perhaps better
described through the prisms of (1) energy access in the developing world, (2) energy
security and affordability in the developed world and (3) environmental protection globally as
being the main challenges that need to be addressed. These challenges can be addressed
as integrated priorities.

As this report highlights the world benefits from abundant reserves of coal, much of it in
regions that still have much work to do to improve access to energy and thereby help
improve living standards. All energy sources will have a role to play in meeting this challenge
however many countries will be looking to utilise their own natural resources to achieve that
goal and affordable, reliable and accessible coal will be a key part of that development
strategy.

Coals wide availability in the developed world also proves to be a vital component in ensur-
ing affordable fuel can contribute to limiting rising electricity prices, often brought about by
poor economic decisions driven purely by environmental objectives.

An effective and sustainable response to the challenge of climate change must integrate
environmental imperatives with the legitimate aims of energy security and economic devel-
opment, including poverty alleviation.

Ensuring secure, affordable and sustainable energy requires a diverse energy mix. As this
report shows, coal is a major economic and energy resource and will remain a key part of
the energy mix well into the future.

Benjamin Sporton
World Coal Association
World Energy Council 2013 World Energy Resources: Coal 1.9

Reserves and production

1. Global tables

Table 1.1
Coal: proved recoverable reserves at end-2011 (million tonnes)
Sources: WEC Member Committees, 2011; data reported for previous WEC reports of Energy Resources; national
and international published sources

Bituminous including
Sub-bituminous Lignite Total
anthracite
Afghanistan 66 66
Albania 794 794
Algeria 59 59
Argentina 550 550
Armenia 163 163
Australia 37 100 2 100 37 200 76 400
Austria 333 333
Bangladesh 293 293
Belarus 100 100
Bolivia 1 1
Bosnia-Herzegovina 484 2 369 2 853
Botswana 40 40
Brazil 6 630 6 630
Bulgaria 2 190 2 174 2 366
Canada 3 474 872 2 236 6 582
Central African Republic 3 3
Chile 155 155
China 62 200 33 700 18 600 114 500
Colombia 6 746 6 746

Congo (Democratic Rep.) 88 88

Croatia 4 4

Czech Republic 181 871 1 052

Ecuador 24 24

Egypt (Arab Rep.) 16 16

Georgia 201 201

Germany 48 40 500 40 548

Greece 3 020 3 020

Greenland 183 183

Hungary 13 439 1 208 1 660

India 56 100 4 500 60 600

Indonesia 28 017 28 017

Iran (Islamic Rep.) 1 122 1 122

Ireland 14 14

Italy 50 50

Japan 337 10 347

Kazakhstan 21 500 12 100 33 600

Korea (Democratic Peoples Rep.) 300 300 600


1.10 World Energy Resources: Coal World Energy Council 2013

Korea (Republic) 126 126


Kyrgyzstan 812 812
Laos 4 499 503
Macedonia (Republic) 332 332
Malawi 2 2
Malaysia 4 4
Mexico 860 300 51 1 211
Mongolia 1 170 1 350 2 520
Montenegro 142 142
Morocco 82 40 122
Mozambique 212 212
Myanmar (Burma) 2 2
Nepal 1 1
New Caledonia 2 2
New Zealand 33 205 333 571
Niger 70 70
Nigeria 21 169 190
Norway 5 5
Pakistan 166 1 904 2 070
Peru 44 44
Philippines 41 170 105 316
Poland 4 178 1 287 5 465
Portugal 3 33 36
Romania 10 1 280 290
Russian Federation 49 088 97 472 10 450 157 010
Serbia 1 10 13 400 13 411
Slovakia 2 260 262
Slovenia 24 199 223
South Africa 30 156 30 156
Spain 200 300 30 530
Suriname 12 12
Swaziland 144 144
Taiwan, China 1 1
Tajikistan 375 375
Tanzania 200 200
Thailand 1 239 1 239
Turkey 322 8 380 8 702
Ukraine 15 351 16 577 1 945 33 873
United Kingdom 228 228
United States of America 108 501 98 618 30 176 237 295
Uzbekistan 47 1 853 1 900
Venezuela 479 479
Vietnam 150 150
Zambia 10 10
Zimbabwe 502 502
TOTAL WORLD 403 197 287 333 201 000 891 530
World Energy Council 2013 World Energy Resources: Coal 1.11

Table 1.2
Coal: 2011 production (million tonnes)
Sources: WEC Member Committees, 2011; data reported for previous WEC reports of Energy Resources; national
and international published sources

Bituminous Sub- Lignite Total R/P


bituminous
Albania 0.1 0.1 > 100
Argentina 0.3 0.3 > 100
Australia 295.6 36.5 65.5 397.6 > 100
Bangladesh 0.6 0.6 > 100
Bosnia-Herzogovina 11.2 11.2 > 100
Botswana 0.9 0.9 7
Brazil 5.5 5.5 > 100
Bulgaria 0.0 2.7 34.5 37.2 64
Canada 34.6 22.8 9.7 67.1 98
Chile 0.2 0.3 0.5 > 100
China 3 236.8 146.9 3 383.7 34
Colombia 85.8 0.0 85.8 79
Congo (Democratic Rep.) 0.1 0.1 > 100
Czech Republic 11.3 46.6 57.9 18
Georgia 0.4 0.4 > 100
Germany 12.9 176.5 189.5 > 100
Greece 65.7 65.7 46
Hungary 9.4 9.4 > 100
India 483.7 32.1 515.8 > 100
Indonesia 353.3 353.3 79
Iran (Islamic Rep.) 2.3 2.3 > 100
Italy 0.1 0.1 > 100
Japan 1.3 1.3 > 100
Kazakhstan 116.3 8.4 124.7 > 100
Korea (Democratic Peoples Rep.) 26.0 7.4 33.4 18
Korea (Republic) 2.8 2.8 45
Kyrgyzstan 0.1 0.3 0.4 > 100
Laos 0.6 0.6 > 100
Macedonia (Republic) 7.3 7.3 45
Malawi 0.1 0.1 20
Malaysia 1.2 1.2 3
Mexico 2.0 13.7 15.7 77
Mongolia 0.2 9.6 9.8 > 100
Montenegro 1.7 1.7 84
Myanmar (Burma) 0.3 0.3 7
New Zealand 2.5 2.2 0.2 4.9 > 100
Niger 0.2 0.2 > 100
Norway 3.4 3.4 1
Pakistan 0.5 2.5 0.9 3.9 > 100
Peru 0.1 0.1 > 100
Philippines 3.6 3.6 88
Poland 67.6 62.9 130.5 42
Romania 2.8 0.6 31.8 35.2 8
Russian Federation 246.0 80.5 326.5 > 100
Serbia 0.0 0.7 40.0 40.7 > 100
Slovakia 3.9 4.0 66
Slovenia 0.5 4.0 4.5 50
1.12 World Energy Resources: Coal World Energy Council 2013

South Africa 251.0 251.0 > 100


Spain 7.3 2.9 10.2 52
Swaziland 0.2 0.2 > 100
Tajikistan 0.2 N 0.2 > 100
Thailand 18.0 18.0 69
Turkey 2.6 74.3 76.9 > 100
Ukraine 59.5 0.2 59.7 > 100
United Kingdom 18.1 18.1 13
United States of America 500.5 510.5 81.0 1 092.0 > 100
Uzbekistan 0.1 3.0 3.1 > 100
Venezuela 6.4 6.4 75
Vietnam 39.8 39.8 4
Zambia 0.2 0.2 50
Zimbabwe 2.7 2.7 > 100
TOTAL WORLD 5 525.1 974.0 1 023.0 7 520.1 > 100

2. Regional tables

Table 1.3
Coal Regional Summary tables
Summary tables show top five countries per region only, ranked by reserves.

Country Region Coal Reserves Production R/P years


Million tonnes Million tonnes
South Africa Africa 30156 251 > 100
Zimbabwe Africa 502 2.7 > 100
Mozambique Africa 212
Tanzania Africa 200
Nigeria Africa 190
Rest of region 357 2 0
Africa total 31617 255.4
China East Asia 114500 3 384.0 34
Korea (DRC) East Asia 600 33.4 18
Japan East Asia 347 1.3 > 100
Korea (Republic) East Asia 126 2.8 45
Taiwan East Asia 1
Rest of region 0 0
East Asia total 115574 3421
Russian Federation Europe 157010 327.0 > 100
Germany Europe 40548 189.462 > 100
Ukraine Europe 33873 59.7 > 100
Serbia Europe 13411 40.687 > 100
Turkey Europe 8702 76.9 > 100
Rest of region 20143 397
Europe total 273 687.0 1 090.1
Colombia Latin America & The Caribbean 6746 85.5 79
Brazil Latin America & The Caribbean 6630 5.505 > 100
Argentina Latin America & The Caribbean 550 0.245 > 100
Venezuela Latin America & The Caribbean 479 6.4 75
Chile Latin America & The Caribbean 155 0.5 > 100
Rest of region 69 0
LAC total 14629 99
World Energy Council 2013 World Energy Resources: Coal 1.13

Iran Middle East & North Africa 1122 2.3 > 100
Morocco Middle East & North Africa 122
Algeria Middle East & North Africa 59
Egypt Africa 16
Rest of region 0 0
MENA total 1319 2
Mexico North America 1211 15.7 77
Canada North America 6582 67.1 98
United States of America North America 237 295.0 1 092.0 > 100
Rest of region 0.0 0.0
North America total 245 088.0 1 174.8
India South & Central Asia 60600 516.0 > 100
Kazakhstan South & Central Asia 33600 124.7 > 100
Mongolia South & Central Asia 2520 9.8 > 100
Pakistan South & Central Asia 2070 3.9 > 100
Uzbekistan South & Central Asia 1900 3.1 > 100
Rest of region 1710 1
South & Central Asia total 102 400.0 658.5
Australia Southeast Asia & Pacific 76400 398.0 > 100
Indonesia Southeast Asia & Pacific 28017 353.3 79
Thailand Southeast Asia & Pacific 1239 18.0 69
New Zealand Southeast Asia & Pacific 571 4.9 > 100
Laos Southeast Asia & Pacific 503 0.6 > 100
Rest of region 486 45
Southeast Asia & Pacific 107216 819
Total World 891530 7520.0 > 100
1.14 World Energy Resources: Coal World Energy Council 2013

Country notes
The following Country Notes on Coal provide a brief account of countries with significant
peat resources. They have been compiled by the Editors, drawing upon a wide variety of
material, including information received from WEC Member Committees, national and inter-
national publications.

Argentina

Proved amount in place (total coal, million tonnes) 8 102


Proved recoverable reserves (total coal, million tonnes) 550
Production (total coal, million tonnes) 0.3

The Argentinian WEC Member Committee has reported proved amounts in place of 752
million tonnes of sub-bituminous coal and 7 350 million tonnes of lignite, which are found in
two main deposits, Ro Coyle with some 5 billion tonnes in place, and the middle course of
the Ro Santa Cruz, with 2.35 billion. Both these deposits lie in the Ro Leona formation. The
only proved reserves reported are 550 million tonnes of sub-bituminous. Undiscovered coal
of this rank estimated to be in place amounts to 300 million tonnes, of which 100 million is
regarded as recoverable.

Coal output from the Ro Turbio mine is currently about 300 thousand tonnes per annum, and
is used for electricity generation. A 240 MW coal-fired mine-mouth power plant, currently
under construction, is scheduled to enter service in mid-2011. According to the Argentinian
Member Committee, this development will require a quadrupling of Rio Turbios output.

Australia

Proved amount in place (total coal, million tonnes) 100 500


Proved recoverable reserves (total coal, million tonnes) 76 400
Production (total coal, million tonnes) 397.6

Australia is endowed with very substantial coal resources. Total production of raw black coal
in Australia in financial year 2010-11 was 397 million tonnes (Mt.), down from 471 Mt. in
2009-10. This drop was largely as a result of the Queensland floods of January 2011 where
production in that State fell by some 30% (see below).

After processing, 326 Mt. of black coal was available for both domestic use and for export in
2010-11. Again, this represented a drop in production of some 14% from the 366 Mt. pro-
duced in 2009-10.

New South Wales and Queensland remained the main producing states with around 97% of
Australias saleable output of black coal, and almost all of Australias black coal exports.

Australia has USD26.5 billion in advanced coal mining projects and associated infrastruc-
World Energy Council 2013 World Energy Resources: Coal 1.15

ture, involving more than 74 million additional tonnes of coal production by 2014. Less
advanced coal mine and coal infrastructure projects have a potential capital expenditure of
USD46.6 billion, if all projects were to proceed.

A little over half of the recoverable bituminous, and all of the recoverable lignite, have been
reported to be surface-mineable. About 36% of Australias massive reserves of bituminous
coal are of coking quality. The maximum depth of the deposits ranges from 600 m in the
case of bituminous coal to 200 m for sub-bituminous and 300 m for lignite. Minimum seam
thicknesses are 0.3, 1.5 and 3.0 m, respectively.

Subeconomic demonstrated resources and inferred resources, additional to the proved


amount in place, are vast: Geoscience Australias current assessment puts those of black
coal at 119 billion tonnes, of which 75 billion tonnes is estimated to be recoverable. Compa-
rable figures for brown coal are 174 billion tonnes and 156 billion tonnes, respectively.

Brazil

Proved amount in place (total coal, million tonnes) 6 640


Proved recoverable reserves (total coal, million tonnes) (see remarks below) 6 630
Production (total coal, million tonnes) 5.5

Brazil has considerable reserves of sub-bituminous coal, which are mostly located in the
southern states of Rio Grande do Sul, Santa Catarina and Paran.

The Brazilian WEC Member Committee has reported that the remaining proved amount of
sub-bituminous coal in place was 6 640 million tonnes. The same source assesses Brazils
proved recoverable reserves to be 6 630 million tonnes. This is higher than in the last report.

The maximum depth of the deposits is 870 m, whilst the minimum seam thickness is 0.5 m. It
is estimated that 21% of the stated level of proved recoverable reserves could be exploited
through surface mining.

The Member Committee quotes additional discovered amounts of coal in place at lower lev-
els of confidence as approximately 10.8 billion tonnes classified as probable and more than
6.5 billion tonnes as possible. It also estimates that a further amount of around 8.3 billion
tonnes of coal is recoverable from undiscovered resources.

Almost all of Brazils current coal output is classified as steam coal, of which more than 85%
is used as power-station fuel and the remainder in industrial plants. Virtually all of Brazils
metallurgical coal is imported: about 70% is used as input for coke production.

In Brazil, coals share in the energy mix is about 5% and only 1.3% in the electricity gen-
eration. The main uses of coal are in the steel industry and for power generation. Brazilian
coal is considered to be low quality, with high ash content and low carbon content, which
makes its use outside the coal deposit regions unviable. As such, more than 98% of coal is
imported.

In 2010 Brazil consumed around 20 million tonnes of coal, of which 14.2 million tonnes was
imported. Of this 20 million tonnes, 4.4 million tonnes (22%) was used in electricity genera-
tion and the remainder was used in industry.
1.16 World Energy Resources: Coal World Energy Council 2013

Canada

Proved amount in place (total coal, million tonnes) 22 022


Proved recoverable reserves (total coal, million tonnes) 6 582
Production (total coal, million tonnes) 67

Coal is by far Canadas most abundant fossil fuel, with 6.6 billion tonnes of recoverable coal
reserves. Canada has anthracite, bituminous, sub-bituminous, lignite coal deposits. More
than 90% of Canadas coal deposits are located in western provinces which provide a strate-
gic advantage because of the close proximity of west coast ports.

Canadian coal production has been around 60 million tonnes over the last decade however
in 2012 coal production increased to 67 million tonnes. 38 million tonnes (56%) was thermal
coal produced mainly in the prairies and 29 million tonnes was metallurgical (steel-making)
coal, produced in Western Alberta and B.C.

To meet its rapid infrastructure growth and consumer demand for things such as vehicles
and home appliances, Asia has turned to Canada for its high-quality steel-making coal.
As Canadas largest coal trading partner, coal exports to Asia accounted for 73% of total
exports in 2010.

40% of the coal produced in Canada is exported. In 2010, exports totalled 33 million tonnes,
a 22% increase from the previous year. The majority of the coal exported was steel-making
coal.

The Canadian WEC Member Committee has reported the following estimates of recoverable
reserves (in millions of tonnes), as provided by Natural Resources Canada: bituminous coals
(including anthracite) 3 474; sub-bituminous grades 872; and lignite 2 236. The correspond-
ing amounts of coal remaining in place from which these tonnages could be extracted are
(respectively) 4 651, 3 430 and 13 941 million tonnes.

Estimates of the remaining tonnages of coal in place that are considered to be additional to
the proved or measured amounts of each rank total more than 300 billion tonnes. Within
this enormous in situ figure, remaining discovered resources add up to 176.5 billion tonnes,
of which probable/indicated resources total 50.6 billion tonnes and possible/inferred 125.9
billion. Undiscovered resources (hypothetical/speculative) are estimated to add another 126
billion. While these figures are necessarily highly approximate, they do serve to underline
Canadas massive coal endowment.

Around 88% of Canadian coal consumption is used for electricity generation, 7% in the steel
industry and 5% in other industries. Alberta is the largest coal-consuming province, Ontario
the second. Ontario and Nova Scotia rely on coal imports.

The Canadian coal industry is privately owned. Output is mainly from surface mines: there
are two operating underground mines, Campbell River, British Columbia and Grande Cache,
Alberta. Production from these operations is relatively small, about 1 million tonnes of coal
annually. The potential exists to reopen the underground mine at the Donkin coal resource in
Nova Scotia.
World Energy Council 2013 World Energy Resources: Coal 1.17

China

Proved amount in place (total coal, million tonnes) NA


Proved recoverable reserves (total coal, million tonnes) (see remarks below) 114 500
Production (total coal, million tonnes) 3 384

Coal still is The King in China with vast reserves located within economic reach of the energy
consumer. The recent announcements about Chinese coal consumption indicate that China
alone accounts for more than 50% of the global total annual coal consumption. China is a
major force in world coal, standing in the front rank in terms of reserves, production and con-
sumption. In the continued absence of reliable published information regarding Chinas coal
resources and reserves, compounded by problems of definition and terminology, there has
been a considerable amount of controversy over the best level to quote for proved recov-
erable reserves. Not infrequently, commentators appear to confuse in-place amounts with
recoverable tonnages.

The levels of proved recoverable reserves as at end-1990, originally provided by the Chi-
nese WEC Member Committee for the 1992 Survey, have been retained for each successive
edition. In billions of tonnes, they amount to: bituminous coal and anthracite 62.2; sub-bitumi-
nous coal 33.7 and lignite 18.6, implying a reserves-to-production ratio of 38.

The same figure for total proved reserves (114.5 billion tonnes) was quoted at the 11th Ses-
sion of the UN Committee on Sustainable Energy (Geneva, November 2001), in the context
of an estimate of 988 billion tonnes for Chinas coal resources. This reference, in a paper
co-authored by Professor Huang Shengchu, a vice-president of the China Coal Information
Institute, indicated a degree of continuity in the official assessments of Chinas coal reserves
and supported the retention of the level originally advised by the Chinese WEC Member
Committee in 1991.

Further confirmation that the level of proved reserves used in the present and previous
Surveys is of the right order is provided by the Chinese Statistical Yearbook, published by
the National Bureau of Statistics. Since 2002, this publication has specified Chinas ensured
reserves of coal which, according to the Ministry of Land and Natural Resources, have an
average recovery ratio of 35%. Applying this rate to the ensured reserves quoted for 2008 in
the Yearbook (326.1 billion tonnes) produces 114.1 billion tonnes, a figure almost identical to
the level of proved recoverable reserves adopted for this Survey.

Coal deposits have been located in most of Chinas regions but three-quarters of proved
recoverable reserves are in the north and northwest, particularly in the provinces of Shanxi,
Shaanxi and Inner Mongolia.

Colombia

Proved amount in place (total coal, million tonnes) NA


Proved recoverable reserves (total coal, million tonnes) 6 508
Production (total coal, million tonnes) 85.8

Colombias vast coal resources are located in the north and west of the country. Data on
measured reserves, published in 2004 by the Instituto Colombiano de Geologa y Minera
(Ingeominas), Ministerio de Minas y Energa, indicate a total of 7 064 million tonnes, of which
1.18 World Energy Resources: Coal World Energy Council 2013

the Cerrejn Norte, Central and Sur fields in the department of La Guajira accounted for
56% and fields in the department of Cesar for 29%. For the present report, the WEC Mem-
ber Committee for Colombia has reported proved recoverable reserves of 6 508 million
tonnes based on the Ingeominas end-2003 measured reserves, adjusted for cumulative
coal production in 2004-2011, inclusive. Indicated reserves quoted by Ingeominas in the
afore-mentioned publication were 4 572 million tonnes, whilst inferred tonnages were 4 237
million and hypothetical resources 1 120 million. The indicated and inferred levels are
reported by the Member Committee under the headings of probable and possible, respec-
tively.

Virtually all Colombias coal resources fall into the bituminous category: the reserves in the
Alto San Jorge field in Crdoba, with an average calorific value in the sub-bituminous/lignite
bracket bituminous in Table 1.1. The measured reserves of Alto San Jorge were 381 million
tonnes at end-2003 and annual output is approximately 350 000 tonnes, implying end-2008
reserves of about 380 million tonnes.

Development of Colombian coal for export has centred on the Cerrejn deposits which are
located in the Guajira Peninsula in the far north, about 100 km inland from the Caribbean
coast. The coal is found in the northern portion of a basin formed by the Cesar and Ranche-
ria rivers; the deposit has been divided by the Government into the North, Central and South
Zones.

Exports account for more than 90% of Colombias coal production; Cerrejn North remains
one of the worlds largest export mines.

Colombia is the worlds tenth largest producer of hard coals and the fourth largest exporter
of coal, based on 2009 data. The U.S. Geological Survey states that Colombia is the largest
coal producer in South America and has the largest reserves in the region. It also states that
coal mining for export is booming in Colombia, with production having increased by 80%
since 1999.

The majority of Colombias coal exports are shipped to European markets due to shorter dis-
tances and lower freight costs compared to the rapidly growing Asian markets. Colombia is
considered to be a low-cost producer with its coal highly sought after due to its low sulphur
content.

In Colombia, the state owns all hydrocarbon reserves and private companies operate coal
mines under concession contracts with the state.

Czech Republic

Proved amount in place (total coal, million tonnes) 4 336


Proved recoverable reserves (total coal, million tonnes) 1 052
Production (total coal, million tonnes) 57.9

The Czech Republic WEC Member Committee has reported coal resources and reserves
provided by the Czech Geological Survey (Geofond). The remaining discovered amount
in place (in Czech terminology, economic explored reserves) are quoted as 1 519 million
tonnes of bituminous coal and 2 362 million tonnes of brown coal/lignite, of which respec-
tively 181 and 871 million tonnes are classed as recoverable (exploitable) reserves.
World Energy Council 2013 World Energy Resources: Coal 1.19

In addition to the proved amounts, the Member Committee reports substantial quantities of
probable (economic prospected) and possible (potentially economic) reserves: in millions
of tonnes, these are quoted as respectively 5 999 and 8 821 for bituminous and 2 663 and
4 523 for brown coal/lignite. Total known resources remaining in place are thus some 16.3
billion tonnes of bituminous and 8.9 billion tonnes of brown coal/lignite.

The maximum depth of deposits varies from 1 600 m in the case of bituminous to 500 m
for brown coal/lignite; minimum seam thicknesses range from 0.6 (for bituminous) to 1.5 for
brown coal/lignite.

Bituminous coal deposits are mainly in the Ostrava-Karvin basin in the east of the country,
and lie within the Czech section of the Upper Silesian coalfield. The principal sub-bitu-
minous/lignite basins are located in the regions of North and West Bohemia, close to the
Krusne Hory (Erzgebirge or Ore Mountains), which constitute the republics north-western
border with Germany. Currently all Czech output of bituminous coal and lignite is deep-
mined.

The Czech WEC Member Committee points out that Czech coal statistics now show brown
coal (previously classed as sub-bituminous coal) with lignite.

Apart from its coking coal, which is consumed by the iron and steel industry, most of the
republics bituminous coal is used for electricity and heat generation, with industrial and pri-
vate consumers accounting for relatively modest proportions. This pattern of utilisation also
applies to brown coal/lignite, which is still the main power station fuel.

The Czech Republic is heavily dependent on coal for its energy needs and relies mostly on
extensive reserves of brown coal or lignite in north Bohemia, in the northwest of the country,
and of hard coal in the east of the country, where the Upper Silesian Basin falls within Czech
territory. Between 1993 and 2003 coal consumption decreased by 26 per cent, mainly due
to the commissioning of two new units at the Temelin nuclear power station. In 2004, in line
with EU regulations, the Czech government lifted quotas on coal imported from Poland and
Ukraine.

The Czech Republics coal industry consists of six companies: three hard coal (black) mining
companies (Ostrasko-Karvinske Doly; Ceskomoravske Doly; and Zapadoceske Uhelne
Doly); and three lignite (brown) mining companies (Mosteck uheln spolecnost, Severo-
ceske Doly, and Sokolovska uhelna).

According to the State Energy Policy, coal will remain the countrys primary energy source in
the future in spite of the increased use of nuclear energy and natural gas. The government
expects coal to account for 30.5 percent of consumption in 2030.

Germany

Proved amount in place (total coal, million tonnes) NA


Proved recoverable reserves (total coal, million tonnes) 40 548
Production (total coal, million tonnes) 189.5

The German WEC Member Committee has reported coal reserves on the basis of data
provided by the German Federal Institute for Geosciences and Natural Resources (BGR).
1.20 World Energy Resources: Coal World Energy Council 2013

Proved recoverable reserves are given as 40 548 million tonnes, almost all of which is lignite.
The level of hard coal reserves in this category is confined to the projected amount of the
(highly subsidised) German hard coal production until 2018, when subsidised hard coal min-
ing is due to be phased out. The hard coal component has a maximum deposit depth of 1
500 m below the surface, and a minimum seam thickness of 0.6 m, whilst the corresponding
parameters for lignite are 500 and 3 m, respectively.

In previous reports only the proved recoverable amount of lignite reserves in existing and
planned surface mines was reported. For better comparability with reserve data from other
countries the present numbers report the entire German lignite reserves.

BGRs category resources (using its own definition, which differs from WEC usage) amounts
to around 82.9 billion tonnes of hard coal and 36.5 billion tonnes of lignite. These levels con-
vey an indication of the enormous size of the additional amounts of coal in place, over and
above the in situ tonnages hosting the recoverable reserves.

Over three-quarters of German hard coal production is derived from the Ruhr Basin (Ruhr
and Ibbenbren mining districts). The coal qualities range from anthracite to high-volatile,
strongly-caking bituminous coal. The second largest German coalfield is situated in the Saar
Basin, with substantial deposits of weakly-caking bituminous coal. All German hard coal is
deep-mined from seams at depths exceeding 900 m.

The lignite deposit in the Rhineland region is the largest single formation in Europe in terms
of lignite production. In the former East Germany there are major deposits of lignite in the
Central-German (at Halle/Leipzig) and Lusatian mining districts, which have considerable
domestic importance. Germany is still the worlds largest lignite producer.

The principal markets for bituminous coal are electricity generation, iron and steel, and
cement manufacture: other industrial and household uses are relatively modest. The bulk of
German lignite is consumed in power stations, although a considerable tonnage (over 11
million t/y) is converted into lignite products such as briquettes, dust, coal for fluidised circu-
lating beds and coke for the industrial, residential and commercial markets.

Germany has considerable reserves of hard coal (48 million tonnes) and lignite (40,500 mil-
lion tonnes), making these the countrys most important indigenous source of energy.

Germanys primary energy consumption amounted to 480 Mtce in 2010. Oil accounted
for the largest share (33.6%), followed by coal (22.8 %), natural gas (21.8 %) and nuclear
energy (10.9 %). Renewable energy reached 9.5 %.Within coal, hard coal accounted for
12.1 % and lignite for 10.7 % of primary energy consumption. Germany is dependent on
energy imports to a large extent, except in the case of lignite. About 77% of hard coal was
imported, in comparison with 98% of oil and 87% of gas. The power generation structure
is characterised by a widely diversified energy mix. In 2010, gross power output was as
follows: 42.4% from coal (of which 23.7% was from lignite and 18.7 % from hard coal), 22.6
% from nuclear, 13.6 % from natural gas, 16.5 % from renewable energy sources and 4.9%
from other sources. This means that hard coal and lignite, as well as nuclear energy, are the
mainstays of the German power industry.
World Energy Council 2013 World Energy Resources: Coal 1.21

Greece

Proved amount in place (total coal, million tonnes) 5 800


Proved recoverable reserves (total coal, million tonnes) 3 020
Production (total coal, million tonnes) 65.7

Coal resources are all in the form of lignite. According to the Ministry of Developments
Energy Outlook of Greece total remaining exploitable deposits of lignite in 2008 were 3 020
million tonnes. Apart from a very small amount of private mining, all production is carried out
by the mining division of the Public Power Corporation (DEI). There are two lignite centres,
Ptolemais-Amynteo (LCPA) in the northern region of Western Macedonia, and Megalopolis
(LCM) in the southern region of the Peloponnese. These two centres control the operations of
five open-cast mines; LCPA mines account for nearly 80% of DEIs lignite output.

In the lignite-mining areas, there are eight dedicated power stations (total generating capac-
ity: 5 288 MW), which produce more than two-thirds of Greeces electricity supply. Greece is
the second largest producer of lignite in the European Union and the 6th largest in the world.
Greece has no hard coal reserves, and consequently imports hard coal from South Africa,
Russia, Venezuela, and Colombia.

Greece is second only to Germany in the EU for lignite coal production. Greece had 2011
coal production of 57.5 million tonnes, 0.18% of the world total. Domestic production has
been partly opened to private companies, but the Public Power Corporation (PPC) remains
the largest producer with the right to exploit 63% of known reserves.

Coal is Greeces single most important local energy source. Lignite and low quality black
coal is used to generate power. Greece had 2011 coal consumption of 7.32 million tonnes oil
equivalent, a change of -0.4% on 2010 and equivalent to 0.19% of the world total.

The Public Power Corporation (PPC) is Greeces main electricity provider, producing 95 % of
Greeces total electricity supply. Lignite - fired generation accounts for 70% of total output.
Exclusive rights for production of electricity from lignite are granted to the PPC, now a public
company traded on the Athens and London stock exchanges, but in which the Greek Gov-
ernment retains a 51% share. PPC has undertaken an expansion programme to facilitate the
increase in production.

India

Proved amount in place (hard coal only, million tonnes) 105 820
Proved recoverable reserves (total coal, million tonnes) 60 600
Production (total coal, million tonnes) 515.8

Coal is the most abundant fossil fuel resource in India, which is the worlds third largest coal
producer. The principal deposits of hard coal are in the eastern half of the country, ranging
from Andhra Pradesh, bordering the Indian Ocean, to Arunachal Pradesh in the extreme
northeast: the eastern States of Chhattisgarh, Jharkhand, Orissa and West Bengal together
account for about 77% of reserves. The Ministry of Coal (quoting the Geological Survey of
India) states that at 1 April 2009, Indias geological resources of bituminous coal comprised
105.8 billion tonnes of proved resources, 123.5 billion tonnes of indicated resources and
37.9 billion tonnes of inferred resources. Coking coals constitute 17% of the tonnage of
1.22 World Energy Resources: Coal World Energy Council 2013

proved resources. The resources quoted are the result of exploration down to a depth of 1
200 m.

Considerable uncertainty remains regarding Indias coal reserves, particularly as to (i)


whether they represent remaining tonnages or need to be reduced by the subtraction of past
years production, and (ii) whether it is appropriate to assess coal resources down to a depth
of 1 200 metres, when current coal mines in India do not generally exceed 300 m. Although
it is not possible to draw definitive conclusions from the information available, the downside
implications of these considerations should be borne in mind.

Lignite deposits mostly occur in the southern State of Tamil Nadu. All-India resources of
lignite are quoted in the 11th Five Year Plan as 38.27 billion tonnes as at 1 April 2006, with
proved reserves put at 4.5 billion tonnes. About 2.4 billion tonnes in the Neyveli area of Tamil
Nadu have been stated to be regarded as mineable under the presently adopted mining
parameters. Annual production of lignite is currently in the region of 32 million tonnes, almost
all of which is used for electricity generation.

Although Indias coal reserves cover all ranks from lignite to bituminous, they tend to have a
high ash content and a low calorific value. The low quality of much of its coal prevents India
from being anything but a small exporter of coal (traditionally to the neighbouring countries
of Bangladesh, Nepal and Bhutan) and conversely, is responsible for sizeable imports.,
mainly from Australia, China, Indonesia and South Africa.

Coal is the most important source of energy for electricity generation in India: about
three-quarters of electricity is generated by coal-fired power stations. In addition, the steel,
cement, fertiliser, chemical, paper and many other medium and small-scale industries are
also major coal users.

Indonesia

Proved amount in place (total coal, million tonnes) 24 100


Proved recoverable reserves (total coal, million tonnes) 28 017
Production (total coal, million tonnes) 353.3

Indonesia has substantial coal resources released according to the annual report of the
Ministry of Energy and Mineral Resources as published in 2012. This report indicates a total
resource base of nearly 120 billion tonnes, with measured resources totalling 24.1 billion,
indicated 27.0, inferred 35.6 and hypothetic 33.5. Within these tonnages, total coal reserves
are put at 28 017 million tonnes. It is noteworthy that the proved in place coal resources and
recoverable reserves have increased from their 2008 reported levels.

According to the same source 353 million tonnes of coal was produced in 2011 a significant
increase from the last report (240 Mt for 2008). Indonesian coals in production generally
have medium calorific values (5 000 - 7 000 kcal/kg or 21-29 MJ/kg), with relatively high
percentages of volatile matter; they benefit from low ash and sulphur contents, making them
some of the cleanest coals in the world.

Competitive quality characteristics have secured substantial coal export markets for Indone-
sia: it is now the worlds second largest coal exporter, after Australia. In 2011, approximately
272 million tonnes of coking coal and steam coal were shipped overseas, representing 82%
of hard coal production.
World Energy Council 2013 World Energy Resources: Coal 1.23

Within Indonesia, coals main market is power generation, which accounted for 56% of inter-
nal consumption in 2011.

Kazakhstan

Proved amount in place (total coal, million tonnes) 62 200


Proved recoverable reserves (total coal, million tonnes) 33 600
Production (total coal, million tonnes) 124.7

The Kazakhstan WEC Member Committee reports that at end-2011 the remaining discovered
amounts of coal in place were (in billions of tonnes): 24.7 of bituminous coal and 37.5 of lig-
nite, within which the estimated recoverable amounts were 21.5 and 12.1, respectively. It has
also provided the following notes on Kazakhstans coal endowment:

The greater part (63%) of counted (i.e. measured) reserves consists of bituminous coal,
found in the Karaganda, Ekibastuz and Teniz-Korzhankol basins, the Kushokinsk, Borly,
Shubarkol and Karazhyr deposits, and elsewhere. The remainder (37%) consists of lignite,
mainly from the Turgay, Nizhne-Iliyskiy and Maikuben basins.

Kazakhstan coal is characterised by a wide range of metamorphism stages, from gas bitumi-
nous coal (GB) up to forge coal (F).

The Karaganda, Ekibastuz and Maikuben basins, and Kushokinsk, Borly, Shubarkol and
Karazhyr deposits, as well as some other (small) deposits in various regions of the Repub-
lic (where coal mining is presently of insignificant volume, to meet local requirements), are
developed and operating.

Distribution analysis of coal reserves and forecast coal resources in regions of the Republic
shows that the main part of balance reserves is located in Central Kazakhstan (Karaganda
Oblast) and North Kazakhstan (Pavlodar and Kostanay Oblasts). The eastern, western and
southern regions of the Republic are in deficit of coal.

After a period of decline in the 1990s, total national output of coal has advanced strongly in
recent years. Kazakhstan is a major coal exporter, with Russia and Ukraine as its main cus-
tomers. The prime internal markets for Kazakh coal are power/CHP plants and the iron and
steel sector.

Kazakhstan contains central Asias largest recoverable coal reserves, 3.69% of the world
total. is the former Soviet Unions 2nd largest producer, after Russia. According to the
Kazakh Ministry of Energy and Natural Resources, the country aims to be producing 100
105 million tonnes annually by 2015.

The country has more than 400 coal deposits of which a third are classified as brown coal
or lignite deposits. Most coal production is sourced from two main basins, the Karaganda
Basin, which supplies coking coal from underground mining operations and the Ekibastuz
Basin (the third largest coal basin in the FSU) which supplies coal to the power generation
sector. Bogatyr Access Komir, LLP is the largest open cast mining company in Kazakhstan.

The Karazhir deposit is one of Kazakhstans higher grade coal deposits containing more
than 1 billion tonnes of reserves, with a large proportion being open pittable. Several foreign
companies are investing in some of Kazakhstans coal industries.
1.24 World Energy Resources: Coal World Energy Council 2013

MMRC owns 32.8 % of the Eurasian Energy Corporation, with the remaining 24.3% by the
government and the balance as public and corporate shares.

Ispat-Karmet, Kazakhstans biggest steel producer, operates several coal mines to feed its
steelworks, producing just over 7 Mt from the Karaganda region. Another major producer in
Kazakhstan, Bogatyr Access Komir, or BAK, which is wholly owned by the US Access Indus-
tries Inc., owns the Bogatyr mine. The mine has a projected capacity of 50 Mt/y.

New Zealand

Proved amount in place (total coal, million tonnes) 2 719


Proved recoverable reserves (total coal, million tonnes) 571
Production (total coal, million tonnes) 4.9

New Zealand has extensive coal resources, mainly in the Waikato and Taranaki regions of
the North Island, and the West Coast, Otago and Southland regions of the South Island. Total
in situ coal resources are estimated at around 15 billion tonnes, more than half of which is
potentially recoverable. New Zealand coal production in 2010 was 5.33 million tonnes (Mt),
17% up from 2009 production of 4.6Mt. Of this production, approximately 2.60Mt was bitumi-
nous, some 2.44Mt was sub-bituminous, and approximately 0.295Mt was lignite. Opencast
mines supplied 3.98Mt, with the remaining 1.35Mt from underground mines. Production is
centred on the Waikato (2.04Mt), the West Coast (2.71Mt), and Otago/Southland (0.54Mt).
Over 59% of national production was from two large opencast operations, at Rotowaro and
Stockton.

In 2010, New Zealand consumed some 2.7Mt of coal, again down on the usage of the previ-
ous year due to reduced coal-fired generation at Huntly (New Zealands only one coal-fired
power station - The use of this had been scaled back in 2007 in favour of gas; however, the
plant was pushed into use again by a particularly dry winter in 2008 impacting on hydroe-
lectricity production). Just over 0.25 million tonnes of coal were imported, mainly for use by
Genesis for electricity production, with the remainder coming from local production.

Coal supplied around 5% of New Zealands consumer energy demand. The biggest domes-
tic users are again the Glenbrook steel mill (0.8 Mt) and the Huntly power station (0.6 Mt).
Electricity generation (including cogeneration) accounted for 37.5% of domestic coal use
and transformation (mainly steel making) accounted for 19%. The industrial sector, mainly
cement plants (Golden Bay Cement near Whangarei and Holcims plant at Westport), lime
and plaster, meat, dairy factories (particularly those at Clandeboye in South Canterbury and
Edendale in Southland), wool, timber, and pulp and paper products, accounted for 37% of
coal use, and the commercial sector - heating accommodation and service buildings in cen-
tral and local government, hospitals, rest homes, and educational institutions accounted for
2.5%. The remaining 4% was used by the agricultural, transport, and residential sectors.

Pakistan

Proved amount in place (total coal, million tonnes) 3 451


Proved recoverable reserves (total coal, million tonnes) 2 070
Production (total coal, million tonnes) 3.9
World Energy Council 2013 World Energy Resources: Coal 1.25

Pakistans total coal resource is reported as some 185 billion tonnes, within which meas-
ured reserves are 3.45 billion tonnes, indicated reserves nearly 12 billion tonnes, inferred
reserves 57 billion and hypothetical resources 113 billion. Clearly a high proportion of the
quoted total resource has, at this point in time, a relatively low degree of geological assur-
ance, being comprised of inferred reserves (lying within a radius of 1.2 to 4.8 km from a point
of coal measurement) and hypothetical resources (undiscovered coal, generally an exten-
sion of inferred reserves in which coal lies more than 4.8 km from a point of measurement).
A recovery factor of 0.6 has been applied to the measured reserves, resulting in estimated
recoverable amounts (in million tonnes) of 166 of sub-bituminous and 1 904 of lignite.

The bulk (around 99%) of Pakistans huge coal resource, notably the Thar field, is located in
the province of Sindh. The economic coal deposits of Pakistan are restricted to Palaeocene
and Eocene rock sequences only.

The coals of Pakistan are high in sulphur and ash contents. The moisture percentage is also
high in Sindh coal, especially in the Thar coal. The ranks of Pakistani coals range from lignite
to high-volatile bituminous. The demonstrated Thar coalfield has the largest resources (over
175 billion tonnes in situ) and out of that about 12 billion tonnes are demonstrated reserves
(of which 2.7 billion classed as measured). Small tonnages of indigenous coal are used for
electricity generation and by households, but by far the largest portion is used to fire brick
kilns.

Poland

Proved amount in place (total coal, million tonnes) 19 274


Proved recoverable reserves (total coal, million tonnes) 5 465
Production (total coal, million tonnes) 130.5

The Polish WEC Member Committee reports that at end-2011 Polands remaining discovered
amount of bituminous coal in place was 17 606 million tonnes, of which 4 178 million tonnes
were estimated to be recoverable. The corresponding tonnages for lignite are reported as
1 668 million tonnes in place, of which 1 287 is regarded as recoverable. In both cases the
recoverable tonnages relate to established amounts in developed deposits.

The proved amount of hard coal in place is based on a maximum deposit depth of 1 000 m
and a minimum seam thickness of 1 m; the corresponding parameters for lignite are a maxi-
mum deposit depth of 350 m and minimum seam thickness of 3 m.

Over and above the tonnages quoted above, the Member Committee has advised substan-
tial amounts of both ranks of coal at lower levels of probability, on the basis of a 2009 study.
Additional known in situ resources of bituminous grades comprise 26 906 million tonnes
classified as probable and 9 193 million tonnes in the possible category, with a further
total of some 25.5 billion tonnes potential additional recovery from known resources. Sup-
plementary in situ resources of lignite are reported as 20 995 million tonnes in the probable
category and 26 541 million tonnes in the possible category.

Polands hard coal resources are mainly in the Upper Silesian Basin, which lies in the south-
west of the country, straddling the border with the Czech Republic: about 80% of the basin
is in Polish territory. Other hard-coal fields are located in the Lower Silesia and Lublin basins.
There are a number of lignite deposits in central and western Poland, with four of the larger
basins currently being exploited for production, virtually all through surface mining.
1.26 World Energy Resources: Coal World Energy Council 2013

The quality of the Upper Silesian hard coals is generally quite high, with relatively low levels
of sulphur and ash content. Of Polands proved reserves of hard coal, 42.5% is reported to
be of coking quality.

Although output of hard coal has declined during the past twenty years, and especially since
1997, Poland is still one of the worlds major coal producers (see Table 1.3), with a 2008 out-
put of some 84 million tonnes of hard coal and 60 million tonnes of lignite.

Apart from Russia, Poland is the only world-class coal exporter in Europe. However its 2008
exports fell sharply to less than 8 million tonnes, of which steam coal accounted for 80% and
coking coal for 20%. Germany, the Czech Republic and Austria were Polands largest export
markets for coal.

About 63% of inland consumption of hard coal goes to the production of electricity and bulk
heat, industrial uses account for 24% and residential/commercial/agricultural uses 13%.
Almost all lignite production is consumed in CHP plants.

Poland consumes 77 million tonnes of coal per year, which makes it the 10th largest coal
consumer in the world and the 2nd largest in the EU, after Germany. 92% of electricity and
89% of heat in Poland is generated from coal and according to the official Polish Govern-
ment Energy Policy Strategy, coal will remain the key element of the countrys energy security
until at least 2030.

Although Polands electricity mix is expected to become more diversified over the com-
ing years, with the first nuclear power plant scheduled for 2022 and rising interest in shale
gas exploration, coal is perceived by policy makers as a strategic energy resource for the
countrys energy security and its consumption is not expected to decline over the next two
decades.

According to the Energy Policy of Poland until 2030 coal is expected to be used as the
main fuel for electricity generation. The document envisages a reduction in the energy
consumption of the Polish economy and a 19 % share of renewables in total energy con-
sumption by 2020. Nevertheless, electricity consumption in 2030 is expected to increase by
30%, gas consumption by 42% and petroleum products consumption by 7%.

Russian Federation

Proved amount in place (total coal, million tonnes) 194 000


Proved recoverable reserves (total coal, million tonnes) 157 010
Production (total coal, million tonnes) 326.5

The proved amount of coal in place reported for end-1996 comprised 75.8 billion tonnes
of bituminous coal, based on a maximum deposit depth of 1 200 m and a minimum seam
thickness of 0.6-0.7 m; 113.3 billion tonnes of sub-bituminous grades (at depths of up to 600
m and minimum thickness 1.0-2.0 m); and 11.5 billion tonnes of lignite (at 300 m and 1.5-2.0
m, respectively).

Proved recoverable reserves were reported as just over 49 billion tonnes of bituminous coal,
World Energy Council 2013 World Energy Resources: Coal 1.27

of which 23% was considered to be surface-mineable and 55% was suitable for coking. Of
the 97.5 billion tonnes of proved recoverable reserves of sub-bituminous coal, 74% was suit-
able for surface mining, while all of the 10.5 billion tonnes of recoverable lignite reserves fell
into this category. Overall, about 94 billion tonnes of Russias proved reserves were deemed
to be recoverable by opencast or strip mining.

Russian coal reserves are widely dispersed and occur in a number of major basins. These
range from the Moscow Basin in the far west to the eastern end of the Donetsk Basin (most
of which is within Ukraine) in the south, the Pechora Basin in the far northeast of European
Russia, and the Irkutsk, Kuznetsk, Kansk-Achinsk, Lena, South Yakutia and Tunguska basins
extending across Siberia to the Far East.

The principal economic hard coal deposits of Russia are found in the Pechora and Kuznetsk
basins. The former, which covers an area of some 90 000 km2, has been extensively devel-
oped for underground operations, despite the severe climate and the fact that 85% of the
basin is under permafrost. The deposits are in relatively close proximity to markets and much
of the coal is of good rank, including coking grades. The Kuznetsk Basin, an area of some
26 700 km2, lies to the east of the city of Novosibirsk and contains a wide range of coals; the
ash content is variable and the sulphur is generally low. Coal is produced from both surface
and underground mines.

Lying east of the Kuznetsk and astride the trans-Siberian railway, the Kansk-Achinsk Basin
contains huge deposits of brown (sub-bituminous) coal with medium (in some cases, low)
ash content and generally low sulphur; large strip-mines are linked to dedicated power
stations and carbo-chemical plants. The vast Siberian coal-bearing areas of the Lena and
Tunguska basins constitute largely unexplored resources, the commercial exploitation of
which would probably be difficult to establish.

From a peak of around 425 million tonnes in 1988, Russias total coal production declined
dramatically following the disintegration of the USSR, reaching a low point of around 232
million tonnes in 1998, since when output has regained an upward trajectory, totalling about
326 million tonnes in 2008.

Serbia

Proved amount in place (total coal, million tonnes) 20 858


Proved recoverable reserves (total coal, million tonnes) 13 411
Production (total coal, million tonnes) 40.7

Serbia has Europes largest proven deposits of lignite. The Serbian WEC Member Commit-
tee reports that the proved amount of coal remaining in place is nearly 21 billion tonnes,
of which by far the greater part (98%) is lignite. Within the other ranks, 9 million out of the
22 million tonnes of bituminous coal in place (41%) is deemed to be recoverable, while
the corresponding figures for sub-bituminous are 361 million out of 436 million (83%). The
recovery factor attributed to the lignite reserves is approximately 66%. Lignite deposits have
been assessed to a maximum depth of 380 metres, with a minimum seam thickness of 10.6
metres.

The pattern of Serbias coal reserves is replicated in its current production levels: lignite (all
of which is surface-mined) accounted for nearly 98% of total output. Most of the lignite is
used for electricity generation, with minor quantities being briquetted or directly consumed in
the industrial and residential sectors.
1.28 World Energy Resources: Coal World Energy Council 2013

Lignite production is estimated at around 5.5 Mt and bituminous coal production at around
3.6 Mt. The underground Raspotocje Mine at Zenica is one of the larger mines. Lignite,
mined in opencast pits, remains one of the main fuels for power generation within the long-
term development plans of EPS. In 2010, total power generation in Serbia reached 35.9 TWh
of which 25 TWh was based on lignite (69%).

South Africa

Proved amount in place (total coal, million tonnes) NA


Proved recoverable reserves (total coal, million tonnes) 30 156
Production (total coal, million tonnes) 251

Assessments of South Africas coal resources remain a moving target. While a number of
surveys (e.g. de Jager, 1983; Bredell, 1987; and later studies by the Minerals Bureau) have
attempted to quantify the reserves present in each of South Africas many coalfields, there is
not yet total consensus in respect of the tonnages that are currently economically and tech-
nologically recoverable.

The figure of 30 156 million tonnes has been adopted as basis for further calculations, based
on advice from an expert South African source. This level is derived from the de Jager report,
with the individual coalfield reserves adjusted by subtracting cumulative coal production
over the period 1982-2008, and then a view being taken of the mineability of coal in major
prospective producing areas, in particular the Waterberg coalfield, but also the Springbok
Flats, Limpopo and parts of the Free State coalfields. The net outcome is a total for South
Africas proved recoverable coal reserves that is more than one-third lower than the level
reported for the 2007 Survey, but that is arguably more realistic in the present circumstances.

Coal occurs principally in three regions:

1. the shaly Volksrust Formation, which covers most of central and northern Mpumalanga
province (formerly the Transvaal). The coal is found in isolated basins and troughs which
results in the fields being disconnected and widely separated;
2. the sandy Vryheid Formation of the northern part of the main Karoo basin (northern Free
State, northern Kwazulu-Natal and southern Mpumalanga): this generally continuous
area is probably the most important economically;
3. the Molteno Formation, which is confined to the north-eastern Cape. It is of minor eco-
nomic importance compared to other coalfields in South Africa.

Some lignite deposits are known along the Kwazulu-Natal and Cape coasts, but are consid-
ered to be of scant economic importance.

Coal occurrences have been divided into 19 separate coalfields, 18 of which are located
in an area extending some 600 km from north to south by 500 km from east to west. The
Molteno field lies some 300 km south of the main coal-bearing region.

South Africas coals are generally low in sulphur but high in ash. Beneficiation is essential for
export-quality coal. Lower-quality coal is for the local power generation market.

Eskom, the South African electric utility, accounts for about 65% of coal consumption. A
further large slice is consumed by the Sasol plants in making synthetic fuels and chemicals
from coal. The third main user is the industrial sector, including the iron and steel industry.
Coal use in residential and commercial premises is relatively small, while demand by the
railways has virtually disappeared.
World Energy Council 2013 World Energy Resources: Coal 1.29

Coal exports are equivalent to about 27% of South African output and are mainly destined
for Europe and Asia/Pacific. The main route for exports is via Richards Bay, Kwazulu-Natal,
where there is one of the worlds largest coal-export terminals.

Thailand

Proved amount in place (total coal, million tonnes) 2 075


Proved recoverable reserves (total coal, million tonnes) 1 239
Production (total coal, million tonnes) 18

At the end of 2011 Thailand is reported to have proved coal reserves of 1 239 million tonnes.
In that same year Thailand had total coal production of 18.0 million tonnes.

Banpu, Thailands largest coal producer, has entered into a 50:50 joint venture with CLP Pow-
ergen Southeast Asia to build a 1,400 MW coal-fired power station at Rayong. The total cost
is estimated at USD1.3 billion and Banpu is reported to be seeking to reduce sell off 15-25%
of its interest. The company produced 2.5 Mt of lignite in 2003, with sales to the cement
industry and power generation utilities.

Thailand is a significant producer of lignite, which is used almost exclusively for power
generation. Total national lignite production is around 21 Mt/y. The country currently also
imports some 5-6 Mt/y of bituminous coal and some coke for industrial use. The 2,400 MW
lignite-fired Mae Moh power plant is the largest source of electricity in the country, gener-
ating around 13% of Thailands electric power production, and also one of the largest point
sources of atmospheric pollution in Southeast Asia. The total cost of the project has been
estimated at USD1.3 billion, and USD1.1 billion has been received in debt financing from a
consortium of financing institutions. Construction began during 2003 and is scheduled for
completion in 2006. The project will rely on imported coal. Banpus mines in Thailand and
Indonesia currently have a combined capacity to produce 14.5 Mt/y, with a reserve base of
170 Mt and resources of 139 Mt.

All of Mae Mohs production is consumed by the adjacent power plant (2 625 MW). On the
other hand, most of the lignite produced by other Thai mines is used by industry, chiefly in
cement manufacture. Imports of bituminous coal are mostly destined for consumption in the
iron and steel sector.

Ukraine

Proved amount in place (total coal, million tonnes) 45 164


Proved recoverable reserves (total coal, million tonnes) 33 873
Production (total coal, million tonnes) 59.7

Ukraine holds the 7th largest coal reserves in the world about 34 billion tonnes and 3rd
largest anthracite coal reserves 5.8 billion tones. Most of the countrys coal deposits are
located in Donbas basin, Eastern Ukraine. In 2010, Ukraine was the 13th largest coal mining
country in the world. Out of 82 mmt of coal mined in 2011, steam coal volume amounted to
62% of total output.

The Majority of produced steam coal in Ukraine is consumed domestically for electricity
1.30 World Energy Resources: Coal World Energy Council 2013

production. Coal comprised 43.7% of fuel for energy generating companies in 2011, which
makes it second most important fuel after nuclear.

Increased demand for steam coal is supported by underutilized capacity of coal-burning


TPPs, implementation of pulverized coal injection (PCI) technology at metallurgical plants
and increasing export volumes. However, currently Ukraine has a surplus of anthracitic coal,
which is mainly exported to Turkey, Bulgaria and Western Europe countries.

Coal production in Ukraine halved over the last 20 years on the back of low demand in the
mid-1990s and on a lack of investments into sectors development. Ukraine has a chance
to restore former potential implementing successful reforms. In recent years, coal produc-
tion has increased by 14% from 72 mmt in 2009 to 82 mmt in 2011 mainly from increased
production from private mines. Further increase in mining output is expected after the privati-
zation and modernization of nearly 100 state mines.

Over and above the massive tonnages reported as proved, the WEC Member Committee
quoted estimated additional amounts in place totalling more than 11 billion tonnes, with
a broadly similar breakdown by rank as for the proved component, and the same implied
recovery factor of 75%.

United Kingdom

Proved amount in place (total coal, million tonnes) 386


Proved recoverable reserves (total coal, million tonnes) 228
Production (total coal, million tonnes) 18.1

The country has significant, potentially economic, hard coal resources estimated at 3,000
million tonnes. About 600 million tonnes of reserves are available in existing deep mines or in
shallow deposits capable of being extracted by surface mining. In addition, currently inac-
cessible resources have the potential to provide many years of future production at present
levels. There is also about 500 million tonnes of lignite resources, mainly in Northern Ireland,
although none is mined or consumed at present.

The UK consumed 64.1 million tonnes of coal in 2012, including 54.9 million tonnes in power
stations.

Coal imports to the UK were 44.8 million tonnes, a large increase (+37.7%) on the previous
years amount, mainly as a result of a dramatic increase in electricity generated from coal.
Indigenous production was 9.9% less than the previous year at 16.8 million tonnes. (Over the
year, 3.0 million tonnes was lifted from stock, compared to 0.8 million tonnes in 2011.)

Coal-fired power stations provided 41% of the UKs electricity (gas 26%, nuclear 20%, oth-
ers (including renewables) 13%).

Production rose to a peak of nearly 300 million tonnes/yr during World War I and thereafter
did not fall below 200 million tonnes/yr until 1960. Output began a long-term decline in the
mid-1960s, falling to less than 100 million t/year by 1990.

The UK coal industry was privatised at the end of 1994, with the principal purchaser being
RJB Mining (now UK Coal plc), which acquired 16 deep mines from British Coal. There is
now virtually no UK production of coking coal..
World Energy Council 2013 World Energy Resources: Coal 1.31

The decline of the British coal industry has been accompanied by a sharp decrease in eco-
nomically recoverable reserves. This assessment, and all other UK coal resources/ reserves
data reported by the Member Committee, have been supplied by the Coal Authority, the
body which regulates the licensing of British coalmines and performs the residual functions
of the former British Coal.

The amount of coal in place that hosts the proved recoverable reserves is put at 386 mil-
lion tonnes, implying an average recovery factor of 0.59. At lower levels of confidence are
a probable amount in place of 262 million tonnes, of which 155 is deemed to be recover-
able (also with a recovery factor of 0.59), and a possible in situ tonnage of 2 527 million
tonnes, of which 1 396 (55%) is classed as recoverable. A further amount of 1 636 million
tonnes is reported by the Member Committee as representing potential additional recovery
from known resources. The UKs known resources of coal are dwarfed by its undiscovered
resources, with nearly 185 billion tonnes estimated to be in place, of which about 41 billion is
deemed to be recoverable.

United States of America

Proved amount in place (total coal, million tonnes) 442 414


Proved recoverable reserves (total coal, million tonnes) 237 295
Production (total coal, million tonnes) 1 092

The United States coal resource base is the largest in the world. The US WEC Member Com-
mittee last report states a proved amount in place of some 442 billion tonnes (based on the
Energy Information Administrations Demonstrated Reserve Base). This total is comprised of
241.6 billion tonnes of bituminous coal (including anthracite) with a maximum deposit depth
of 671 m and minimum seam thickness of 0.25 m; 161.8 billion tonnes of sub-bituminous (at
up to 305 m depth and 1.52 m minimum seam thickness) and 39.0 billion tonnes of lignite (at
up to 61 m depth and 0.76 m minimum seam thickness).

The reported proved recoverable reserves amount to 237.3 billion tonnes, equivalent to
about 28% of the global total. They comprise 108.5 billion tonnes of bituminous coal (includ-
ing anthracite), 98.6 billion tonnes of sub-bituminous and 30.2 billion tonnes of lignite. The
overall ratio of proved recoverable reserves to the proved amount in place is 0.54. This ratio
varies widely from one rank to another, reflecting relative degrees of accessibility and recov-
erability: bituminous deposits average 0.45, sub-bituminous 0.61 and lignite 0.77. Open-cast
or surface mining techniques can be applied to 27.6% of bituminous reserves, to 42.8% of
the sub-bituminous and to 100% of the lignite.

On top of the tonnages summarised above, the US WEC Member Committee reports enor-
mous quantities of coal as inferred resources, being the difference between Remaining
Identified Resources and the Demonstrated Reserve Base: in total these come to well over a
trillion tonnes, composed of 418 billion tonnes of bituminous, 268 billion sub-bituminous and
391 billion lignite. These estimates are derived from a US Department of the Interior study of
coal resources as at 1 January 1974, but are regarded as still providing valid indications of
the magnitude of the USAs additional coal resources. Assuming a similar recovery ratio for
such resources as for those reported as proved, the US Member Committee estimates the
recoverable portion as amounting to some 653 billion tonnes, comprised of 188 bituminous,
163 sub-bituminous and 302 lignite.

Enormous additional (hypothetical) coal resources are also reported. These represent
1.32 World Energy Resources: Coal World Energy Council 2013

deposits that extend deeper than the proved amount in place, include thinner beds in some
areas, and are based on older source data in many cases. The amounts involved comprise
698 billion tonnes of bituminous coal, 1 036 billion tonnes of sub-bituminous and 296 billion
tonnes of lignite, giving a total of some 2 trillion tonnes.

The USAs coal deposits are widely distributed, being found in 38 states and underlying
about 13% of the total land area. The Western Region (owing largely to Montana and Wyo-
ming) accounts for about 47% of the EIAs Demonstrated Reserve Base, the Interior Region
(chiefly Illinois and western Kentucky) for 32% and the Appalachian Region (chiefly West Vir-
ginia, Pennsylvania and Ohio) for 21%. Bituminous coal reserves are recorded for 27 states,
whereas only 8 states have sub-bituminous reserves, of which 90% are located in Montana
and Wyoming, and 10 have lignite reserves, mostly in Montana and Texas.

US coal output is the second highest in the world, after China, and accounted for about 16%
of global production. Coal is the USAs largest single source of indigenous primary energy,
although running neck-and-neck with natural gas.

Uzbekistan

Proved amount in place (total coal, million tonnes) 3 000


Proved recoverable reserves (total coal, million tonnes) 1 900
Production (total coal, million tonnes 3.1

Uzbekcoal, the republics major coal company, quotes Uzbekistans explored reserves as 1
853 million tonnes of brown coal and 47 million tonnes of black coal. Total coal resources are
put at more than 5.7 billion tonnes.

Two coal fields are presently being developed: the Angren brown coal field in the Tashkent
region (being exploited by the Uzbekcoal and Apartak companies via open-pit mining)
and the Shargun anthracite deposit in the Surkhandarya region. Some bituminous coal is
produced from the Baysun field, also in the southern region of Surkhandarya. Reflecting a
modernisation programme at Angren, Uzbekistans lignite production has increased in recent
years to over 3 million t/year. According to Uzbekcoal, over 85% of lignite production is
consumed by the electric power sector, some after being processed by underground gasifi-
cation. Bituminous output remains on a very small scale (around 70 000 t/year).

Uzbekistan has listed commercial coal reserves of approximately 3,000 Mt, including 1,000
Mt of bituminous coal. The Angren field contains a proven 1,900 Mt. Uzbekistans current
annual coal requirement is 4 Mt. At present, all of Uzbekistans coal is produced by JSC
Ugol, with over 80% of the production coming from the Angren deposit, situated in the
Tashkent oblast. JSC Ugol also has a mining operation at the Shargun mine in the Sukhard-
aryinskaya oblast. About 70% of Uzbekistans coal reserves are brown coal/lignite with the
remainder bituminous. Coal resources are estimated at over 5 000 Mt, of which 3 000Mt are
classified as reserves. Reserves at Angren alone are estimated at over 2 000 Mt, of which
most is classified as lignite. Completion of a third mining operation at Baisun could ensure
that Uzbekistan has a surplus of coal for export in the future.

Ugol is currently developing two coal deposits, Angren in the Tashkent region and the Shar-
gun pit in Surkhandarya. It is also involved in exploration in the Baisun field in Surkhandarya
region.

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