Tokyo — Japanese trading houses, including top-ranked Mitsubishi Corporation, are off-loading thermal coal assets on growing concerns about the fuel’s environmental impact, in a move that also reflects a shift in their focus to the more profitable coking coal. With networks spanning the globe, trading houses are trying to mitigate global criticism around the harm the fuel causes. Japan — which had to burn record amounts of the dirtiest fossil fuel to generate power after the Fukushima disaster paralysed its nuclear sector in 2011 — is looking to slash its carbon emissions by 26% by 2030 from 2013 levels. Among recent thermal coal asset sales by Japanese trading houses is Mitsubishi’s decision to off-load its minority stakes in Hunter Valley Operations and Warkworth mine in Australia, tagging along with Rio Tinto’s sale of those assets. Last week, miner-trader Glencore said it has offered $2.55bn cash for the Rio mines, out-bidding an offer from Chinese-owned Yancoal. "We’ve decided ...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.