Wedoany.com Report on Jan 31st, Australian coal company Coronado Global Resources released a report stating that coking coal demand has risen significantly against the backdrop of rapid capacity expansion in India, which is expected to support coking coal prices in the third quarter. Supply tightness remains the primary risk facing the market, with Australian weather factors, Mongolian production recovery, and production rationalization adjustments becoming key drivers for coking coal prices for the remainder of the quarter.

The company stated in the report: "We expect coking coal prices to continue strengthening, with the FOB price reaching $230 per tonne in mid-January. Prices could rise further if supply tightness persists." Coronado maintains a medium-term optimistic view on coking coal prices, believing that global steel production will gradually recover as markets outside China rebound.

The growth in coking coal demand is expected to be primarily driven by increased production in India and new trade measures targeting Chinese steel exports. As supply-side adjustments continue, these market changes will provide strong support for coking coal prices. Coronado's 2025 marketable coal production met its target, with output increasing by 4% year-on-year to 16 million tonnes driven by recent investments, of which metallurgical coal accounted for 75.7%.

Managing Director and CEO Douglas Thompson noted: "With the major investment phase largely complete and market conditions improving, Coronado will leverage the rising price trend in 2026 to translate operational results into stronger cash flow." He expects the positive momentum of 2025 to continue into 2026, with the Mammoth and Buchanan projects operating as planned, together providing approximately 3 million tonnes of marketable production in the 2026 financial year. The increased production, combined with the cost control achievements realized last year, is expected to significantly enhance the company's profitability and cash flow levels.