Interfax citing Mr Vladimir Putin Prime Minister of Russia as saying that a coal industry development program could enable Russia to boost output of the fuel by 40% to 430 million tonnes by 2030.

He said that but problems with the shipment of the coal need to be resolved. He added that "The fundamental modernization of existing railway lines is needed."

Mr Putin said also, a self-regulating organization along the same lines as the power sector's Market Council needs to be set up to coordinate work and achieve a balance of interests between rail freight market participants.

Mr Putin gave instructions to the Economic Development Ministry, Finance Ministry, Transport Ministry and Health and Social Development Ministry to work on the issue of investing the funded part of pension savings in long-term infrastructure bonds as a standby option to finance railway infrastructure development.

Mr Sergei Shmatko Russian Energy Minister said during the meeting that production of coking coal should run to 132 million tonnes during the development program and that of concentrate to 84 million tonnes. The Russian market will need 47 million tonnes of concentrate at most.

He said that Russia domestic coal market amounts to 219 million tonnes. Coal exports eastwards will increase from 32 million to 85 million tonnes under the program.

(Sourced from Interfax)