Bloomberg reported that MPX Energia SA, the energy company controlled by Brazilian billionaire Eike Batista is targeting China as the main market for the coal it will produce in Colombia.

Mr Gustavo Gomes the company chief operating officer for mining and gas said utilities in China, India, South Korea and the rest of Asia likely will buy half of MPX’s coal from Colombia. He said that MPX is seeking to negotiate the supply deals as well as buy mine equipment in China.

Mr Gomes said in Bogota that “China is the new demand. The future in Asia is certainly coal.”

He said that MPX will be aided by excess capacity in the market for capsize ships that haul coal a surplus that probably will last until 2018. MPX’s mine in northern Colombia will begin output in 2012 and aims to produce 35 million tonnes in 2020.

(Sourced from Bloomberg)