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Baltimore port closure could dent US coal export volumes, EIA says
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Baltimore port closure could dent US coal export volumes, EIA says
Mar 28, 2024 8:23 AM

March 28 (Reuters) - Halted shipping traffic from the

Port of Baltimore, the second-largest U.S. hub for coal exports,

will slow the growth in U.S. coal exports and reduce bunker fuel

use, the Energy Information Administration (EIA) said on

Thursday.

Coal exports from the busy U.S. port have been disrupted

following the collapse of Baltimore's Francis Scott Key Bridge

which was struck by a massive cargo ship early Tuesday morning.

"Since the port is a major transit point for freight and

bulk vessels, we expect bunker fuel consumption to decrease,"

the EIA added.

Baltimore handled exports of 28 million short tons last

year, making up 28% of total U.S. coal exports and second only

to the Hampton Roads port in Norfolk, Virginia, according to

census data.

"An attractive feature of the Port of Baltimore is its

proximity to the northern Appalachia coal fields in western

Pennsylvania and northern West Virginia," the EIA said.

"Other nearby ports, most notably Hampton Roads, have

additional capacity to export coal, although factors including

coal quality, pricing, and scheduling will affect how easily

companies can switch to exporting from another port."

About 19 million short tons of the exports in 2023 were

steam coal, used to generate power and heat, and the remaining 9

million short tons were metallurgical coal, an ingredient in

steelmaking.

India was the top destination for steam coal over the last

five years, where the brick manufacturing industry is a major

customer, while metallurgical coal went to various Asian

countries including Japan, China, and South Korea, the EIA said.

Baltimore also imported 3,000 barrels per day (bpd) of

biodiesel in 2023, mostly from Central America and Western

Europe, alongside 4,000 bpd of asphalt from Canada and 2,000 bpd

of urea ammonium nitrate largely from Russia.

More widely used refined oil products are less affected, the

EIA noted.

(Reporting by Deep Vakil in Bengaluru

Editing by Ros Russell

)

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