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ARTICLE · 22 JULY 2012

The Great Indian Coal Rush

Corrs Chambers Westgarth
Corrs Chambers Westgarth
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Corrs Chambers Westgarth

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The demand for Australian thermal coal to fuel power stations in India is expected to increase significantly.

AustraliaEnergy and Natural Resources

Recent commentary on the Australian coal industry has focused on domestic issues such as the Mineral Resources Rent Tax, the Carbon Tax and the conflict between mining and agricultural lands.

However, little focus has been given to one matter with the potential to have the single biggest impact on the Australian coal sector.

We have already begun to witness Indian investment into the Australian thermal coal sector, including Adani's acquisition of the Carmichael coal project in mid 2010, Lanco Infratech's acquisition of Griffin Coal later that same year and, most recently, GVK's acquisition of Hancock Coal and the massive Alpha, Alpha West and Kevin's Corner coal projects.

In our view this is just the beginning, with the demand for Australian thermal coal to fuel power stations in India set to increase significantly.

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