ASX coal shares have dominated this year and a recent set of external catalysts could push the sector even higher.
Names such as Whitehaven Coal Ltd (ASX: WHC) and Yancoal Ltd (ASX: YAL) are well positioned to benefit from any further upside.
Meanwhile, the price of coal trades 4% higher on the month at US$410 per tonne, within reach of its all-time highs.
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ASX coal shares to flame higher?
With the price of coal continuing along its upward trajectory, the question turns to what's next for ASX coal shares.
Whitehaven reported solid fourth quarter production, growing production by 17% thanks to increased output at its Narrabri mine.
It also expects earnings before interest, tax, depreciation and amortisation (EBITDA) of around $3 billion in FY22, well up from last year's result.
Fellow coal player New Hope Corporation Limited (ASX: NHC) also signalled a bright outlook for coal sales earlier in FY22.
It reported that it had "received more requests for metallurgical coal from existing and new European customers ahead of a European Union ban on Russian coal imports in August," according to reporting from Reuters.
Coal shares were also helped by recent news that China may be willing to reverse its stance on Australian coal imports when procuring metallurgical coal exports.
This, combined with the surge in coal prices underscores a positive outlook for ASX coal shares.
Consequently, the sector continues to catch a bid today, propping up other names within the wider resources segment.
The 3 ASX coal players, Whitehaven, Yancoal and New Hope, are up 173%, 174% and 125% in the past 12 months respectively.
