Shooting the messenger? Shipping carries the can as investors shun coal
LONDON (Reuters) – Shipping companies that transport the world’s coal are in the crosshairs of some financial backers who are cleaning up their businesses in the absence of a truly global drive by nations to renounce the dirtiest fossil fuel.
In a sign of investors taking the initiative, six European firms collectively representing over 5% of the estimated annual $16 billion capital financing requirements of the dry bulk industry told Reuters they were either reducing their exposure to vessels that transport coal or were considering doing so.
Such carriers – titanic vessels stretching up to 270 metres (885 ft) long and able to carry hundreds of thousands of tonnes of cargo – are the cheapest way to transport coal and other commodities like iron ore and grain in large quantities.
