Coal

United States

U.S. proved coal reserves account for 28.6% of the world total, more than 50% higher than the next largest country (Russia). Coal has provided the largest single source of domestically produced energy in the United States since 1984, and it has been one of the three most commonly consumed energy resources since the mid 19th century. The vast majority of coal is used for electricity generation, with the remainder dedicated for coking coal in the steel industry and other industrial applications, with a small quantity used in heating homes or offices or exported.

Two main U.S. coal regions exist: one each east and west of the Mississippi River. The eastern market developed first, with its coal older and of higher rank. The main mining areas are in the Appalachian states of West Virginia, Kentucky, Ohio, and Virginia, as well as Pennsylvania (Figure 1). In general, eastern coal has higher heating value and more sulfur and is mined by both underground and surface (strip) mining methods. There are also significant coal reserves and mining in the Illinois Basin, which includes Illinois, Western Indiana, and Western Kentucky. Eastern mines are known for high production costs, being more labor intensive, and having higher unionization rates. However, United Mine Workers of America membership has steadily fallen for decades.

The Western state of Wyoming is by far the dominant coal producer in the nation, and it has been so since 1988. Almost all its output comes from 20 large surface mines, with thick seams, high capital requirements, and low labor and production costs. All subbituminous and lignite coal in the United States is in the west. Several other Western states provide much smaller coal output, including Texas, whose ample lignite supply is usually consumed close to the mines because of low energy content and high production costs.

China

China's coal sector is more dominant than any other country's. While it is only third in reserves (after the United States and Russia), China is the world's largest coal producer and user, and the fuel accounts for 69% of its total primary energy consumption. In contrast to the United States, coal use in China is much more concentrated in industrial applications and residential heating, though electricity generation is still the main application.

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