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Indonesia’s AMM expands into coal mining

  • Market: Coal
  • 06/10/25

Indonesian mining contracting firm Antareja Mahada Makmur (AMM) has expanded into coal mining after signing a mining services contract with Indonesian coal mining company Dizamatra Powerindo.

AMM has mainly been involved in nickel mining, holding mining contracts with mining companies Vale Indonesia and Kember Emas Sutra, AMM said.

Under the mining contract, AMM will manage key aspects of Dizamatra Powerindo's coal mine in Lahat, southern Sumatra. AMM will be responsible for overburden removal, coal mining, transportation, and run-of-mine (ROM) management. The mine started commercial operations in 2020, with an estimated 150mn t of coal reserves.

It produces GAR 4,750 kcal/kg coal, which is sold domestically and exported.

The company is already working on preparatory work for the transfer of mining operations and it is expected to start commercial operations by early 2026, AMM said. It aims to ramp up production to reach 7mn t/yr of coal but did not specify a timeline.

Some of the coal produced will be exported, but the majority will be used to supply the fuel needs of Dizamatra Poiwerindo's sister company, Priamanaya Energy's Keban Agung 270MW coal-fired power plant, also located in Lahat.


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17/11/25

India’s Adani to set up 3.2GW coal-fired capacity

India’s Adani to set up 3.2GW coal-fired capacity

Singapore, 17 November (Argus) — Indian private-sector firm Adani Power will set up a 3,200MW greenfield thermal power plant in the country's northeastern Assam state. Bombay Stock Exchange-listed Adani Power, India's largest private sector power generator, will invest 480bn rupees ($5.42bn) to set up this ultra super critical power plant in Assam, the company said on 14 November. Adani Power emerged as the successful bidder by offering the lowest tariff of Rs6.30/kWh in a tightly contested bidding process, it said. The plant will be set up under the Design, Build, Finance, Own and Operate (DBFOO) model. Coal linkage for the power plant has been allocated under coal allocation policy of the federal government. The project will have four units of 800MW each and will be commissioned in a phased manner between December 2030-December 2032, Adani said. Adani has a current operating capacity of 18.15GW from 12 thermal power plants and one solar plant and aims to reach a generation capacity of 42GW by 2032. The project award coincides with India's aim to boost its overall generation to power its economic growth and provide round-the-clock electricity to all households in coming years. The award is also in line with India's plans to add 80GW of new coal-fired generation capacity by 2032 to meet an anticipated growth in India's power demand over the next decade. But bulk of these additions are expected to be based on domestic fuel, limiting prospects for imported coal. The project, along with other under construction and existing power plants, could buoy domestic coal demand and absorb surplus supplies, at a time when state-owned coal producer Coal India (CIL) aims to bulk up its output. CIL, which meets more than 80pc of India's coal needs, plans to raise its production in the April 2025-March 2026 financial year to 875mn t, up by 12pc from the year earlier and lift it further to 1bn t in the 2026-27 financial year. The coal producer also aims to further raise the output to 1.04bn t in 2027-28, 1.08bn t in 2028-29 and 1.13bn t in 2029-30. The plans are part of India's efforts to meet most of its coal demand through domestic sources and reduce non-essential coal imports. By Ajay Modi Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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Chile turning right in presidential elections


17/11/25
News
17/11/25

Chile turning right in presidential elections

Santiago, 16 November (Argus) — Far right Juan Antonio Kast and communist Jeannette Jara, who represents a coalition of left and centrist parties, got the most votes in Chile's presidential elections on Sunday and will face each other in a runoff on 14 December. Forecasts call for 59-year-old Kast, founder of the Republican Party of Chile, to comfortably beat 51-year-old Jara in the second round by picking up the votes of other rightwing candidates. Combined this would give Kast more than 50pc of the vote. Jara was chosen to run for president in a center-left primary and faced no real contenders on the left in the first round. With almost 78pc of polling stations counted, Jara led with 27pc of the votes against Kast's 24pc but far from the 50pc required to win outright. Concerns about rising crime and immigration have dominated the campaign. Kast promises an "emergency government" that would use physical barriers to shut the border to illegal immigrants, expel undocumented migrants and crack down on organized crime. He has attacked Jara, a former minister in leftwing President Gabriel Boric's government, for representing continuity to an unpopular government. Boric's approval rating is 30pc. Jara has tried to distance herself from the Boric government and raised the possibility of renouncing or suspending her communist party membership if elected. Populist Franco Parisi placed a surprising third with around 19pc of the votes, Johannes Kaiser who is to the right of Kast picked up 14pc and center-right former mayor Evelyn Matthei, once a front-runner, scraped 13pc. Jara's result is well below the 30pc ceiling her team expected and unlikely to provide sufficient momentum to win enough voters put off by the ultraconservative Kast who opposes abortion and same-sex marriage. An admirer of Chile's former authoritarian dictator Augusto Pinochet, Kast has promised to cut public spending by $6bn in 18 months — the equivalent to 1.7pc of GDP — and reduce corporate tax to 23pc from 27pc. Jara says she will boost the minimum wage, ease permitting and build Chile's green hydrogen potential and massive copper and lithium resources to attract foreign investment. She also promises to cut electricity rates by 20pc for the first 85kWh of consumption per month. The right's strong showing in the presidential election suggests it will also do well in the congressional elections for the chamber of deputies and half of the senate, with votes still being counted. Earlier polls suggested the right could win a majority in both houses. By Emily Russell Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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South Korea finalises tighter emissions target for 2035


10/11/25
News
10/11/25

South Korea finalises tighter emissions target for 2035

London, 10 November (Argus) — South Korea has finalised its 2035 greenhouse gas (GHG) emissions reduction target at 53-61pc from 2018 levels, its presidential committee on carbon neutrality and green growth approved today. The target is higher than the up to 60pc range proposed by its climate and energy ministry Mcee last week . The upper limit reflects IPCC guidance on the reductions to keep the temperature rise within 1.5°C from pre-industrial levels, while also considering the potential burden on future generations and domestic industry conditions, Democratic Party chief spokesperson Park Soo-hyun said. Following the updated goal, South Korea's GHG emissions would fall to 289.5mn-348.9mn t in 2035 from 742.3mn t in 2018. The power and transport sectors face the steepest reductions at 68.8-75.3pc and 60.2-62.8pc from 2018 levels, respectively. But the industry sector has been eased to 24.3-31pc, with additional support through transition finance, reflecting restructuring needs. Given power polices now set to be aligned with the new nationally determined contribution (NDC), the change is seen placing greater pressure on the power sector, not only in terms of emissions reductions but also in managing the transition and supply stability, market sources noted. The finalised NDC is set to be approved at a cabinet meeting tomorrow and presented at the UN Cop 30 summit in Brazil later this month. South Korea's next emission trading scheme (ETS) 2025-30 The South Korean government also confirmed the total emissions cap for the fourth phase of its emission trading scheme (ETS) at 2.5373bn t for 2025-30, 16.8pc lower than the previous phase. The government will raise paid allocation for the power sector to 50pc gradually by 2030 from the current 10pc — increasing to 15pc in 2026, 20pc in 2027, 30pc in 2028 and 40pc in 2029 — with the revenue directed to support corporate decarbonisation. In contrast, key export industries accounting for around 95pc of industrial emissions — including steel, petrochemicals, cement, refining, semiconductors and displays — will continue to receive 100pc free allocation, with only the remaining 5pc of industrial emissions seeing paid allocation rise from 10pc to 15pc. Government speeds up energy transition plan The decision is expected to accelerate South Korea's transition in its power mix, expanding the share of renewables in line with its 2040 coal phase-out plan. The country's government aims to increase renewable power capacity by up to 150GW by 2035, from 34GW last year. To support this, it plans to ease solar setback rules and accelerate wind project approvals. But grid bottlenecks , along with ongoing intermittency and cost challenges in solar and wind, remain key obstacles, potentially pushing the system marginal price (SMP) higher. A faster reduction in coal-fired output could also increase reliance on gas, which is relatively more expensive than coal, adding further pressure on the SMP. At the same time, some market participants cast doubt over the feasibility of the government's plan, saying it seems unrealistic at the current pace given grid congestion and permitting delays. Meanwhile, the new targets will be reflected in the country's 12th power supply plan, covering its renewable expansion and coal phase-out roadmap, climate and energy minister Kim Seong-hwan said. Despite the country's energy transition trends, coal still plays a crucial role in South Korea's power supply, accounting for around 27pc of electricity generation in January-August, more than twice the share of renewables — about 10pc of its total — over the same period, Argus data show. By Dayu Park South Korea power generation mix chart GW Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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TotalEnergies pushes peak oil demand back by a decade


04/11/25
News
04/11/25

TotalEnergies pushes peak oil demand back by a decade

London, 4 November (Argus) — TotalEnergies has pushed back the timing of peak oil demand in its latest Energy Outlook, with consumption now reaching its highest level in 2040 under the base-case ‘Trends' scenario — a decade later than previously modelled. In Trends, oil demand rises from 103mn b/d in 2024 to 107mn b/d in 2030, peaking at 108mn b/d in 2040 before gradually declining to 98mn b/d by 2050. The same scenario in last year's outlook had demand peaking at 108mn b/d in 2030 and falling to 93mn b/d by mid-century. Trends reflects the current policy and technology trajectory through to 2030, and assumes no major shifts thereafter. Under these conditions, rising consumption in India, the Middle East and other Asian economies offsets declines in Europe and China. Sectorally, aviation and petrochemicals drive much of the increase to 2040, while electric vehicle uptake contributes to the gradual decline beyond that point. Gas demand in the Trends scenario rises from an estimated 4.2 trillion m³ in 2024 to a peak of 4.63 trillion m³ in 2040, remaining near that level through to 2050. Oil, gas and coal still account for 60pc of global primary energy demand by 2050, down from 81pc in 2023. This energy mix would result in an estimated global temperature rise of 2.6–2.8°C by 2100 — above the Paris Agreement's target to keep warming well below 2°C. Last year's Trends scenario had a slightly lower increase of 2.6–2.7°C. TotalEnergies also outlines two alternative pathways. The ‘Momentum' scenario assumes OECD countries reach carbon neutrality by 2050 and China by 2060, resulting in a temperature rise of 2.2–2.4°C by 2100. The ‘Rupture' scenario — which would limit warming to below 2°C — requires significantly stronger global co-operation on decarbonisation, which "seems out of reach at present given the current state of geopolitical tensions", the company said. By Aydin Calik Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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Alliance further lowers 2025 coal sales outlook


27/10/25
News
27/10/25

Alliance further lowers 2025 coal sales outlook

Houston, 27 October (Argus) — US coal producer Alliance Resource Partners further reduced its sales guidance for 2025 primarily because of mining setbacks and elevated production costs at some Appalachian operations. The company, which operates mines in Appalachia and the Illinois basin, now expects to ship around 32.5mn-33.3mn short tons (st)(29.5mn-30.2mn metric tonnes) of coal this year. The midpoint of the new guidance is about 500,000st lower than what Alliance had forecast in July. Most of the reduction in the sales outlook is for Alliance's Appalachian coal operations, where the Mettiki mine in West Virginia is confronting geological challenges. Alliance lowered its expectations for 2025 Appalachian coal sales to 7.5mn-7.75mn st from a previous 7.75mn-8.25mn st. It also is expecting production costs for the Appalachian segment to be higher this quarter than in the third quarter of 2025, according to company chief executive Joseph Craft. "We do believe that the Mettiki situation is tied to a specific geologic issue in the fourth quarter," Craft said. "Going forward, we do believe Appalachia is going to show very sustainable lower costs than what we've seen over the last several quarters." Mining conditions at Alliance's Tunnel Ridge mine, which also is in West Virginia, started to improve last quarter after miners moved longwall operations to a different section of the mine in July. The company expects improvements from that mine to continue this quarter. Alliance also tightened its Illinois basin 2025 sales outlook to 25mn-25.5mn st from the previously expected 25mn-25.75mn st. This still would be an increase from 2024's 24.8mn st of company coal sales from the basin. Alliance expects growth in Illinois basin coal sales and production after implementing automated longwall shield and shears at the Hamilton mine in Illinois immediately following the completion of its longwall move in early-August, Craft said. The company also opened a new portal facility at the Henderson County mine in western Kentucky in August. Henderson County is an expansion of Alliance's River View mining complex. Six units are scheduled to be operating at Henderson early next year and three units will continue to run at River View, according to Craft. During the third quarter, Alliance sold 8.7mn st of coal and produced a combined 8.4mn st, increasing by 3.9pc and 8.5pc, respectively, from a year earlier. The entire increase was from the Illinois basin, where sales climbed to 6.61mn st from 5.97mn st. Still, the company's average sales price fell by 7.5pc to $58.78/st for all of its coal production because many higher-priced contracts finalized during the supply shortage in 2022 expired at the end of last year, chief financial officer Cary Marshall said. Some additional higher-priced contracts for Appalachian coal are expiring at the end of this year, which could result in the company's average sales price per ton in 2026 being lower, executives said. But Alliance is expecting lower production costs and higher volumes from Appalachian mines. Overall, a strong cooling season and "a steady stream of domestic customer solicitations for long-term supply contracts" helped Alliance to boost its contracted position for this year and for 2026 during the third quarter, Marshall said. Last quarter, Alliance added around 500,000st to its book for 2025, bringing the volumes under contract for this year up to 32.8mn st as of 30 September. All but 3mn st of the coal under contract is being shipped to US customers. For 2026, the company has 27.5mn st of coal under contract to sell domestically and 1.6mn st to be shipped into the export market. That is up from committed volumes of 25.3mn st and 1.3mn st recorded at the end of June. Alliance expects its coal commitments to continue to grow beyond next year in response to projected demand from data center developments. Craft cited forecasts of up to 4pc-6pc/yr electricity demand growth in the PJM Interconnection and other markets. In addition, "we are seeing the actual competition of gas-to-coal being less of a factor as data centers come online than what it has in the past", because the anticipated load growth would require reliable energy from all available generation sources, Craft said. By Anna Harmon Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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