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The world's second biggest coal miner has officially filed for bankruptcy

Apr 13, 2016, 12:57 IST

Peabody's shares have fallen by more than 95% in the past year.

Prices for coal have followed the general trend for commodities in the past few years, crashing ever lower. Coal's market price has halved since 2011, and fallen 41% since late 2013. Here's how that looks:

Investing.com

Coal has been particularly badly hit by the commodity crash as governments across the world have started to look at using more renewable energy sources, and lowering carbon emissions. That was compounded in late 2015 when the COP21 conference in Paris ended with an international agreement on cutting carbon emissions, which will necessitate less usage of coal, which was once by far the most important means of producing power globally.

Peabody is not the first coal miner to file, with rivals Alpha Natural Resources and Arch Coal both entering bankruptcy within the last year. Other coal-based firms that fileed for bankruptcy protection last year included Walter Energy and Patriot Coal.

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