Hot summer in Europe drives interest in Kazakh coal

Kazakhstan may increase coal exports to Europe, and Russia will earn money from transit, according to Kommersant.ru, citing Maria Nikitina, founder of N.trans Lab, a project dedicated to transport, logistics and supply chain management.

Hot weather in Europe and increased demand for electricity have driven up prices for thermal coal on the local market. The duration of this trend depends on the dynamics of gas prices and the volume of solid fuel reserves in ports.

According to a review by NEFT Research, as of July 11, prices for standard 6,000 kcal/kg NAR quality thermal coal increased by 4% in one week in Europe, reaching $108.4 per ton.

Kazakhstan is an active coal exporter. From January to May 2025, it shipped 1.1 million tons of coal and processed coal products to Turkey for $19.7 million, representing a 4.7-fold increase in volume and a 3.8-fold increase in value year-over-year. India purchased 685,000 tons (+270%) for $15.9 million (+360%). Poland increased imports to 1.2 million tons (+72%) for $57.4 million (+14.2%). Russia increased purchases to 7 million tons (+8%) for $66.2 million (+0.6%).

On the other hand, China reduced imports to 249,700 tons (-7.6%) for $7.4 million (-35.5%), whereas Kyrgyzstan purchased 200,100 tons (+8.7%) for $9.5 million (+34.1%), and Uzbekistan bought 353,300 tons (+28.9%) for $7.9 million (+19.2%). More generally, total coal exports from Kazakhstan amounted to 11.4 million tons (+14%) and $215.4 million (+2.7%) over the first five months of the year.

Kazakhstan ranks among the world’s 10 largest coal producers, possessing reserves of 33.4 billion tons. The country has maintained stable production since 2021, when coal output reached 112.1 million tons. In 2022, it produced 113.7 million tons; 112.7 million tons in 2023; 112.6 million tons in 2024; and this year, the production rate is expected to reach 113 million tons.

Meanwhile, China Energy, the world’s largest energy company specializing in coal production and processing, is reviewing coal mines in Kazakhstan to select the best one. This is part of a broader effort to boost the development of coal chemistry in the country, according to Prime Minister Olzhas Bektenov.