Coal prices soared, South Africa's Thungela company doubled its annual profit

South African thermal coal exporter Thungela Resources expects revenue to double year-on-year in 2022 as coal prices surge to record highs on global markets following the outbreak of the Russia-Ukraine conflict.

The company expects that for the full year of 2022, the company's total earnings per share are expected to be 130-133 rand, much higher than the 61.08 rand in 2021.

Since the Russia-Ukraine conflict, affected by a series of sanctions imposed on Russia by Western countries, the existing supply pattern has changed, and coal prices have soared, which has led to a substantial increase in the income of global coal producers.

However, South African coal exports are still plagued by problems such as low railway capacity, shortage of locomotives, cable theft, and infrastructure damage. As a result, railways cannot operate at full capacity, and coal exports are also limited accordingly.