The Illinois Office of Coal Development commissioned Energy Ventures Analysis to produce the report on the state’s 2012 coal mining activity, which it released Wednesday.
The report found a massive increase in Illinois coal exports to 13 million tons, up from the 2.5 million tons in 2010 and 5.5 million tons in 2011.
The report, Realizing Illinois’ Coal Export Potential, said the almost fivefold increase in two years was due to the rivers and railroads in the state that provided easy export channels, among other factors.
“Illinois coal exports have increased as a result of the overall growth in the global steam coal market, the marketing efforts of the major Illinois coal producers and traders, the relative competitiveness of Illinois exports on the global market, and the increased market acceptance of Illinois-quality coal,” a principal at Energy Ventures Analysis Emily Medine said.
Total Illinois coal output rose 25% to 47.2 million tons in 2012, up from 37.8 million tons in 2011. Coal production nationwide fell 11% as a decrease in demand due to a surge in the popularity of natural gas drove down coal prices and consumption.
“Illinois coal has made significant inroads into the global market in the last two years and, in doing so, has contributed to the increase in exports of US goods,” Adam Pollet, acting director of the Illinois Department of Commerce and Economic Opportunity, which houses the state’s coal development office, said.
The report found exports made their way to at least 18 countries, most notably China and other Asian countries where demand for coal had increased exorbitantly.
“We are working hard to raise the awareness around the world of Illinois coal and to help small producers in Illinois access overseas markets in Europe, Asia and South America,” Pollet said.
Illinois has moved up to become the nation’s fifth-biggest coal-producing state, with the report noting it had the largest bituminous steam coal reserves in the country.
“Illinois coal is in high demand overseas and we have the resources and infrastructure to take advantage of this opportunity for economic growth,” state governor Pat Quinn said.
