Glencore to Shut Australian Thermal Coal Mines for Three Weeks

According to the Wall Street Journal, Glencore Plc (LSE:GLEN) is bucking wider trends and shutting its Australian coal mines for three weeks in response to weak coal prices this year.

As quoted in the publication:

The Swiss resources giant, the world’s largest exporter of thermal coal, which is used to generate electricity, said the shut downs would begin in mid-December. They will reduce Glencore’s production of the fuel by about five million metric tons, the company said.

The company said in a statement:

This is a considered management decision given the current oversupply situation and reduces the need to push incremental sales into an already weak pricing environment.

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