‘The notion of stranded assets is a fallacy’: this boss is banking on coal being around long term
Whitehaven boss Paul Flynn is riding high on astronomical coal prices. He’s worried our emissions reduction targets are out of step with the reality of delivery.
When Paul Flynn hands down Whitehaven Coal’s huge profit today, it will be hard to believe it’s only two years since the company was barely breaking even and seeking covenant relief amid coal prices below $US50 per tonne.
Top quality NSW thermal coal has been fetching more than $US400 per tonne in recent months and with Europe expected to suffer an energy shortage during the northern winter, prices look set to stay strong for some time.
Peter KerResources reporterPeter Ker covers resource companies for The Australian Financial Review, based in Melbourne. Connect with Peter on Twitter. Email Peter at pker@afr.com
