JX Nippon Oil & Energy expands coal business to coking coal and Canada through participation in Canadian coking coal project. The firm also develops offshore users for coal including thermal coal. The firm expands the coal sales by more than 30% to 12 million tonnes in 2015 through developing new sources. The firm eyes new investment in coal projects to expand the business as one of core as a diversified energy company.
The firm sells annual more than 7 million tonnes of coal from Bulga mine of Australia, in which the firm has 13.3% interest. The Bulga coal is now largest volume thermal coal brand for Japanese power companies. JX Nippon Oil & Energy acquires 25% interest in Xstrata’s Canadian coking coal asset through the marketing advantage and closer relationship with Xstrata. JX Nippon Oil & Energy and Xstrata try to launch new coking coal operation with maximum 9.5 million tonnes of annual output in around late 2015. They provide new option of high quality coking coal for seaborne coking coal buyers, which depend heavily on Australian source. JX Nippon Oil & Energy already sells pulverized coal injection coal to Japanese steel makers while the firm has no coking coal sales. Japanese integrated steel makers would welcome new coking coal sources other than Australia. JX Nippon Oil & Energy also starts development of offshore buyers in the year while the firm has focused on Japanese buyers. The firm got 5% share in Indonesian coal company, which starts new thermal coal mine operation with annual 2 million tonnes of output capacity in 2013. JX Nippon Oil & Energy tries to develop offshore buyers especially in emerging countries.
