Thermal coal
Thermal coal, also known as steam coal, is used in combustion processes by power producers and industrial users to produce steam for power and heat.
The market for thermal coal remains strong. In the Czech Republic approximately 59 per cent of electricity is generated from coal whilst Poland generates over 90 per cent of its electricity from coal.
In 2011 NWR produced 11.2 million tonnes of coal, with thermal coal sales volumes accounting for 6.2 million tonnes of total external sales. Thermal coal sales in the period were approximately 77 % coal, 6 % PCI coking coal (Pulverised Coal Injection) and 17 % middlings.
PCI coking coal is a type of coal used in steel production where it can partially replace coke in the process of solid iron ore melting in blast furnaces. The blast furnace design needs to be adjusted in order to accommodate the PCI technology.
Given the ultimate consumer of PCI coking coal is the steel making industry, we started to classify its sales as coking coal as of 1 January 2012, in line with industry practice.
Coal middlings are a lower quality coal product separated in the second phase of coal preparation based on the specific density of coal.
Within the NWR group, high-quality thermal coal is produced by Karvina Mine, operated by OKD.
NWR thermal coal customers 2011 by sales volumes