Energy Earth expects to double sales this year

The company has also speeded up its search for new coal resources to expand its customer base in Thailand and overseas.

Khajohnpong Khamdee, managing director at Energy Earth, said he expected continuous demand for coal this year, especially as it is an alternative fuel for bunker oil and liquefied petroleum gas (LPG), natural gas vehicle (NGV) and nuclear energy. There are concerns about LPG and NGV becoming more expensive, and the safety of nuclear energy.

Such concerns are helping push up the price of coal.

There could be an increase in demand from China and India, which need to import coal to supplement their local production – something that could be quite beneficial for Energy Earth.
This year, the company has set its sales target at 3.2 million tonnes, up 100 per cent from 2011.

“Demand for coal rises every year and the prices tend to increase too,” Khajohnpong said.
The amount of coal available is not enough, especially for China and India – the two countries that consume coal to generate electricity.

“Coal prices are expected to rise to US$65-$70 [Bt2,006-Bt2,160] per tonne,” he said.
This year, Energy Earth will focus on mining operations in Indonesia to meet both local and foreign orders and is also planning to seek new mines to meet demands from India.
Khajohnpong said the ownership of mines gives Energy Earth greater opportunities in finding new customers. So far, the firm has won custom from three power plants and is currently negotiating terms with two others.

He explained that the coal market is constantly growing because it allows the production of low-cost clean energy. Many factories are cutting down their costs by switching to bituminous coal from liquid fuel.

In a move to improve its efficiency, Energy Earth is focusing on developing its human resources and teamwork with the target of becoming one of the leading integrated coal distributors.