Coal makes a comeback – but is it short-lived?

The environmental case against coal may be clear, but it’s still a cash spinner

Seedling growing in pile of coal
(Image credit: Getty Images)

“Make your mind up, Glencore,” says Alistair Osborne in The Times. The FTSE 100 commodities giant, which is the world’s biggest listed coal producer, has scrapped plans to spin off its coal business. “One day coal is a filthy commodity” that harms a blue-chip’s environmental, social and governance (ESG) credentials, the next it is declared “a delightful mineral”, cash-generative and with a role to play in the energy transition.  

Many energy companies and miners announced plans to step away from fossil fuels amid the 2021 ESG “frenzy”, say Harry Dempsey and Emma Dunkley in the Financial Times. Most greenhouse gas emissions come from fuels burnt for energy and heating, and coal accounts for more than any other source. 

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Markets editor

Alex is an investment writer who has been contributing to MoneyWeek since 2015. He has been the magazine’s markets editor since 2019. 

Alex has a passion for demystifying the often arcane world of finance for a general readership. While financial media tends to focus compulsively on the latest trend, the best opportunities can lie forgotten elsewhere. 

He is especially interested in European equities – where his fluent French helps him to cover the continent’s largest bourse – and emerging markets, where his experience living in Beijing, and conversational Chinese, prove useful. 

Hailing from Leeds, he studied Philosophy, Politics and Economics at the University of Oxford. He also holds a Master of Public Health from the University of Manchester.