Bottlenecks crimp Mongolian coal miner's access to Chinese markets

Despite record commodity prices, Mongolian coal miner SouthGobi Resources (TSE:SGQ) announced a profit warning today.

In a news release published last week, SouthGobi wrote that it expected a net loss "...primarily attributable to the continued impact caused by the COVID-19 pandemic, including, but not limited to, restrictions on the number of trucks of coal crossing the border at the Ceke Port of Entry during the third quarter of 2021."

SouthGobi announces its financial results mid-month.

Coal prices soared in China by as much as 190% this year, but have since come down with government intervention, according to Reuters.

SouthGobi is listed on the Toronto Stock Exchange.

In its Q3 Newmont said COVID was impacting operations at some of its Australian mines.

By Michael McCrae

For Kitco News

Follow michaelmccraemmccrae@kitco.comwww.kitco.com Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.

Monetary-driven precious metals outperform major base metals

Gold stocks hit by plunging equities markets

Gold stocks down as metal and equities momentum fades

Another Kazatomprom guidance announcement shakes uranium price

Major monetary drivers still supporting gold