Global Coal Demand Rises as LNG Shortage Deepens

LNG flows from the Persian Gulf remain over 75% below pre-February 28 levels, while European November gas contracts trade above 81 euros/MWh and Asian spot LNG prices exceed European levels, diverting cargoes eastward. Coal, now 80% cheaper than LNG, is seeing renewed demand despite climate regulations. The shift underscores a structural energy supply squeeze driven by geopolitical disruption, with coal acting as the marginal fuel.