Allegations that a new coal mine in Cumbria will help supply British steel and replace Russian imports are not “accumulating”, an industry spokesman warned as the government prepares for a final decision on the project.
Proponents of the proposed mine, which will be the first new coal mine in the UK in 30 years, suggest that at least some of the coal produced will be used for domestic steel production. They also say it could reduce dependence on Russian coking coal after the invasion of Ukraine.
However, influential figures in the steel industry are becoming increasingly frustrated with the allegations – of course, the two local steelmakers are unlikely to be significant customers for the mine’s coal. Chris MacDonald, chief executive of the Institute for Materials Processing, which serves as the UK’s national center for steel research, said there was no demand from his industry for the West Cumbria mine.
“It is disappointing to hear that other industries are speaking on behalf of the steel industry when the steel industry itself has not come out to say it wants this mine,” he told the Observer. “I would say there is no demand for that. The case of the mine is built around the need for coking coal produced in the United Kingdom for the United Kingdom’s steel industry. This is what the coal industry is doing. But this does not meet the needs of the steel industry.
“There are only two potential customers for this coal in the United Kingdom: Tata Steel and British Steel. British Steel said it could not use the coal from the mine because sulfur levels were too high. Tata Steel said that if coal is available, then they may or may not use a small amount. There is no one in the steel industry to call for the mine. “
Woodhouse Colliery was originally approved by councilors in 2020. However, ministers intervened and launched an investigation following opposition to the project, which grew on the eve of last year’s Cop26 climate conference in Glasgow. Michael Gove has to decide whether to approve the mine by July. Recent reports indicate that he intends to do so, although his department says no decision has been made.
West Cumbria Mining (WCM) said the plan would create 530 permanent jobs, 80% of which would be for local people.
A miner holds a handful of coal at the Lodge House surface coal mine in Ilkeston, Derbyshire. Photo: Chris Ratcliffe / Bloomberg / Getty Images
MacDonald, who also chairs the UK’s Metal Council, has questioned claims that the mine will reduce dependence on Russian energy imports. Mike Starkey, the conservative mayor of Copeland, which includes the proposed location of the Whitehaven mine, said the invasion of Ukraine “demonstrated why we need much more independence for all our natural resources.” Local MP Trudy Harrison said the UK “usually” imports coking coal from Russia.
MacDonald rejected the request. “I think it’s important to be clear that even if this mine opens tomorrow, it won’t displace a ton of Russian coking coal from the UK – and I can say that with confidence,” he said. “Tata Steel no longer uses Russian coking coal. British Steel has said it cannot use Cumbria coal. So there is no way it can displace any Russian imports.
“We have all the major players in the European steel industry, with plans to gradually reduce their dependence on coking coal from 2030 onwards. If the mine gets approved tomorrow, I don’t think it will open until 2026 or something. So it is unlikely to have a very long life in this regard. There may be some other basis or some other case that someone is doing for the mine. From my point of view, as someone who has worked in the steel industry for 20 years and is very much involved in future steel technology, there is no demand from the steel industry for the mine. Leaving aside the arguments about the environment, I think they have essentially missed the boat on the market.
Sources at Tata Steel agreed with McDonald’s, although the company did not express a public opinion about the mine. British Steel declined to comment. They contacted WCM for comment, but had not responded by the time of publication.
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