Reuters reported that Consol Energy Inc expects lower first quarter coal production as the coal miner looks to strengthen its gas business by investing a major part of its 2012 capital in it.

Earlier this month, the company said it will invest USD 755 million in gas out of the capital budget of USD 1.7 billion it had earmarked. It sees gas production rising 12% this year.

Consol had said in October it was focused on exporting more coal to steelmakers in Asian markets, especially China. But the export market for coal is weak due to the slowdown in the global economy.

The Pittsburgh based company expects first quarter coal production at 15.5-15.9 million tons lower than 17.2 million tons last year.

For the fourth quarter, Consol production was 15.3 million tonnes.

(Sourced from Reuters)