Black coal mining has been predicted to be one of the Australian industries that will experience a decline in revenues this year as markets turn, according to market research company IBISWorld.
The company expects revenues in the black mining industry to fall by 14.2 per cent in 2018-19 due to a decline in process for coking and thermal coal.
However, Australian production of coking and thermal coal is on track to increase in the 2019 financial year.
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IBISWorld senior industry analyst Kim Do said coking coal prices were anticipated to decline following an increase in global supply and softening demand from China.
“Thermal coal prices are expected to decline as global economies continue to transition away from coal as part of increasing efforts to reduce greenhouse gas emissions,” Do said.
“In addition, Australian coal production capacity is anticipated to remain limited due to slowing investment in the industry.”