RE: China January Coal Imports Rise 56% From Year "Accidents killed 1,973 people in 2011 and 2,433 in 2010, according to the State Administration of Work Safety. That compares with 48 deaths in 2010 in the U.S., the world’s second-biggest coal producer. Regulators will close about 5,000 mines this year, the official Xinhua News Agency reported yesterday, citing the safety bureau. “Recent intensive coal mine accidents are the direct reason for a boost in imports,” Liu Dongna, a coal analyst with Shandong-based energy consultancy Chem99, said by phone today. “This led to a halt of production in major coal mines, interfering with local supply.”
WOW, ABSOLUTELY WOW! This is awesome news, the best I might have ever seen. The above is extremely enlightening to me. For one, the large disparity beteen US and China coal mine related deaths shows the importance of US mine safety technology and what it has to offer China (Mr. Lee does have this, or at least did have it, somewhere on the L and L website, to the effect that working with Bowie was/is a technological learning experience; I was aware China had a lot more accidents than the US but this article really brings it to light for me). This also shows the significance of Mr. Peng's addition to L and L's management.
Second, I was confused by the increase in coal imports to China as I had read that China was moving to being less reliant on imports towards being self sufficient and I was thus wondering why the large increase in coal imports. Now I see that the reason for the larger coal imports from the US and perhaps elsewhere, was not so much due to US companies' excess inventories due to the natural gas explosion and tighter EPA regulations, but due rather to the mine shut downs. What this all means is there is a huge need probably everywhere in China - such as, but not limited to, Shaanxi as mentioned - for better mine technology such as that which L and L purports to have. It also means as that technology is put into place, China should be importing less and relying on its own coal production.
Race I absolutely love you. I need to find the link to this article so I can save it to my "sentimental" L and L folder.