It is reported that Colombia's annual coal exports are expected to reach 100 million tonnes by 2015, up by a third from current levels following a surge in foreign investment into the sector.

Mr Mauricio Cardenas mining and energy minister of Colombia said that the country's coal projects benefit from ample reserves, relatively high calorific product and Colombia's proximity to Atlantic ports. In addition, its largest mines are open pit operations from which coal extraction is relatively straightforward.

He added that "We aren't in the big leagues of production, but we are in exports partly because Colombia uses very little coal, generating most of our electricity with hydropower. So we have a lot to export. And with coal prices where they are, royalties are becoming a very important source of revenue for the government."

Mr Cardenas said that the country is forecast to export 75 million tonnes of coal in 2011, making it the fifth largest coal exporter globally after Australia, Indonesia, South Africa and Russia.

Mr Sergio Diaz Granados, minister of commerce, industry and tourism, said that investment in energy and mining project stood for 83.4% of overall year to date foreign direct investment in Colombia. Vale, Votorantim and Eike Battista's EBX are some of the foreign companies that have established a presence in the country recently.

(Sourced from www.ifandp.com)