Vale SA, the world’s biggest exporter of iron ore, said it’s expanding its coal business across the globe as part of a strategy to diversify production.

Vale is mining and developing coal projects from Australia to Columbia and Mozambique, aiming to boost global output to 40 million tonnes by 2016.

 
Vale has 7,000 square kilometers of exploration ground in Australia, the world’s biggest exporter of the fuel.Two of Vale’s projects in Australia are expected to start construction next year following board approval.

Prices for steelmaking coal will peak in eight years while Deutsche Bank AG raised its forecasts for thermal coal prices through the 2013 Japanese fiscal year, citing the “emergence of large energy-hungry emerging markets.”
 

Source: Bloomberg