Shares in Russia's leading coal producers, OAO Raspadskaya (RASP.RS) and Mechel (MTL), were outperforming the country's wider MICEX index on Russia's first trading day this year Tuesday, with coal prices having been pushed up by devastating floods in Queensland, Australia.

The flooding of coal pits in Queensland could result in the loss of about 18 million tons of coking coal this year, according to Deutsche Bank AG (DB) calculations.

Spot prices for coking coal reached $253 a metric ton last week, up 12% from the quarterly settlement price before the flooding.

The state's coal industry is estimated to be losing A$480 million ($473 million) a week because of flooded pits, according to Australia & New Zealand Banking Group Ltd. (ANZ.AU).

Major global coal producers have already declared force majeure, and said they may fail to deliver on their contracts. Russian coal miners, which sell domestically to coal-hungry steel producers, may expect higher earnings.

Deutsche Bank has increased its 2011 earnings before interest, taxes, depreciation and amortization, or Ebitda, forecasts for both Raspadskaya and Mechel by 32% and 21% respectively on expectations of higher coal prices.

At 1400 GMT, shares in Raspadskaya were up 7.0% at RUB229.99, and shares in Mechel were up 7.5% at RUB948, outperforming the wider MICEX index, up 1.4%.

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