We welcome article submissions from experts in the areas of coal, mining,
shipping, etc.
To Submit your article please click here.
|
|
|
Monday, 07 February 11
COAL PRICES ON RISE: DEMAND FROM INDIA AND CHINA - ANALYZED SUNIL K KUMBHAT
 INDONESIA IS HEART OF ASIAN COAL BOOM
COALspot.com - Rising demand of Coal from India and China, coupled with global financial recovery, is driving thermal coal prices that have appreciated in the recent past few months and it is expected that the global prices of Coal shall remain firm and go up further.
Power generation is what is driving the demand of Coal in India and China . In India new coal-fired power plants, ranging in the size from 50 MW to 4,000 MW, are being built throughout India. Power plants are symbol of how rapidly India's economy is expanding.
Similarly China, shall remain a net importer of thermal coal for coming few years as it's economy is growing at firm speed and is expected to deliver mind-boggling growth in 2011. China's coal imports more than doubled to 150 million tonnes from the previous year. Closure of smaller mines, coupled with increased demand from power sector, has triggered China's demand for imported coal.
India has also emerged as one of the major importer of coal. The imports are likely to be around 100-150 million tonnes for the current year as it adds new thermal capacities. India imports about three-fourths of its coal requirement from Indonesia, while South Africa and Australia accounts for the rest.
The quality of Indonesian coal is much better than Indian coal. The gross calorific value of Indonesian coal ranges between 5,000 and 6,500 kilo calories per kilogram (kcl/kg); while for Indian coal it is only 3,000-4,500 kcl/kg- with high ash contents. Bulk of the imported coal in India is used by power companies, which use it to blend with the local coal to improve calorific value. The coal prices also depend upon the ash content and the calorific value .Indonesia’s strategic geographic location makes it the most preferred country for Indian companies for its proximity to the country, which means lower ocean freight charges and better timing compared to other countries such as Australia.
Indonesia's coal Industry has transformed itself from being an minor player in Asia's Coal market to the world's largest Exporter of Steam Coal .Indonesia has come from nowhere to challenge Australia as the world’s largest exporter of thermal coal and is expected soon to topple Australia as the largest coal exporter.
The higher energy demand in India would drive up import of coal .The overall energy generated in India could double within a decade.
Indian power sector will be heavily depend on coal for decades to come. At the same time, India's steel industry, also dependent on coal, is expected to treble its output within a decade.
But there is growing concern about where all the coal is going to come from. India has significant coal reserves suitable for power generation and boasts the world's biggest coal company - the government-owned Coal India Limited. But the expansion of the Indian economy has been so rapid, demand is outstripping domestic supply.
The government wants the economy to expand at 9-10 per cent a year to help lift millions of poor families out of poverty. But an energy supply crunch could compromise that growth target.
India has theoretically significant reserves but it will take a long time to get into actual production, There is a urgent need to re-examine the regulations and policies associated with exploration, exploitation and production. India is still not fully encouraging commercial coal mining by the private sector.
India's coal reserves are concentrated in the eastern states of Orissa, Jharkhand, Chhattisgarh, West Bengal and Madhya Pradesh, where basic logistics infrastructure (such as ports and railways) is lacking. Various government regulation concerning forestry and environmental restrictions are also hindering mine development. Unless such bottlenecks are addressed, growth in domestic coal production could be difficult.'
Due to government regulatory delays, infrastructure bottlenecks and security risks are encouraging Indian firms to look overseas to secure coal supply especially in Indonesia, South Africa, Mozambique, Australia etc. for their ambitious power projects in India.
Indonesia's thermal coal mines have a comparative advantage over Australia's because they are nearer to India but Australia's reputation as a reliable supplier is attractive to Indian buyers.’ Australian mines might be more expensive but they are reliable. Australia’s advantages are that the coal is good and the infrastructure is good'
In spit of all , Australia will face stiff competition from Indonesia - which has lower transport costs. A significant proportion of coal transport in Indonesia is water based, which allows for coal to be transported along rivers via barges to the open sea for loading onto larger vessels. Indonesia’s coal suppliers rely heavily on floating transhipment facilities due to economic reasons.
Indonesia's coal Industry has transformed itself from being an minor player in Asia's Coal market to the world's largest Exporter of Steam Coal .Indonesia has come from nowhere to challenge Australia as the world’s largest exporter of thermal coal and is expected soon to topple Australia as the largest coal exporter.
Indonesia’s government needs to accelerate reforms for foreign direct investment (FDI) in mining and energy sector to give direct control to foreign investors, in order to win confidence and attract/invite major international companies into Indonesia. There is need of more coordination between Ministry of Energy and Mineral Resources Deptt , Indonesian Investment Co-ordination Board (BKPM) ,and Various Regional administrations.
The phenomenal growth in Indonesia’s coal exports in last five years reflects the ability of its coal industry to respond to the rapid growth in Asian demand for thermal coal.
Indonesia has huge coal reserves and exporting coal to many countries for use in power plants for generating energy but it is paradoxical that Indonesia is short of energy. Many Indian companies (Tata , Reliance,Jindal ,L&T, Monnet, Adani ,Essar etc) are capable of sharing power technology and setting up mega power plants in Indonesia
Indonesian private companies can buy equity stakes in Indian power plants in exchange / barter for long-term coal supply. Since India is today one of the fastest growing economies and also has a shortage of power supply then such deals can be beneficial to both parties .Indonesian government or Indonesian companies can invite Coal barter bids (CBB) ,where from foreign companies for development of ports , Roads , Railway lines , Power Plants etc. In Coal barter bids , coal will be supplied to party who will set up Power plants or develop infrastructure etc. Coal mining in Indonesia can be an extremely lucrative sector for overall economic growth. Indonesian government should make single window clearance system to operate business in Indonesia to encourage foreign enterprises and Investment for Coal barter bids. Indonesian Coal companies are fully aware that India is a market into which they can export or thru barter transactions, its major share of Coal Production.
Today Indonesia has stable economic outlook and if reform efforts towards basic infrastructures continues it may become Economic Tiger of Asia by 2020.
Today Indonesia is the heart of the Asian Coal boom.
Analyst - Sunil K Kumbhat , Jodhpur (Rajasthan), India
If you believe an article violates your rights or the rights of others, please contact us.
|
|
Tuesday, 08 February 11
PUSTAKA JAYA PALU POWER LOOKING FOR 5800 GAD COAL
COALspot.com - According to market information, PT Pustaka Jaya Palu Power, a power plant operator of the Mpanau plant, Palu, Sulawesi has invited c ...
Tuesday, 08 February 11
BAYAN, KANGAROO EXTEND DUE DILIGENCE
Coal miner controlled by businessman Dato' Low Tuck Kwong PT Bayan Resources Tbk (BYAN) and Australia-listed coal company Kangaroo Resources Limite ...
Tuesday, 08 February 11
DRY BULK: IS THE TIDE TURNING? - NIKOS ROUSSANOGLOU, HELLENIC SHIPPING
In what could be perceived as a change of market sentiment for the better, the dry bulk industry’s benchmark, the Baltic Dry Index (BDI) poste ...
Monday, 07 February 11
THE INDONESIAN COAL REFERENCE PRICE HAS JUMPED 13.03 PERCENT IN FEBRUARY 2011
COALspot.com - Indonesia’s Ministry of Energy and Mineral Resources has set the February 2011 Indonesian Coal Reference Price for therma ...
Monday, 07 February 11
RICHARDS BAY COAL TERMINAL EXPORTS SURGE, BUOYED BY ECONOMIC DEVELOPMENT IN CHINA AND INDIA
COALspot.com - Richards Bay Coal Terminal (RBCT) announced today that 2010 exports have exceeded the last two years’ performance, said in a re ...
|
|
|
Showing 5386 to 5390 news of total 6871 |
|
 |
|
|
|
|
| |
|
 |
|
|
| |
|
- Marubeni Corporation - India
- Maheswari Brothers Coal Limited - India
- Gujarat Electricity Regulatory Commission - India
- LBH Netherlands Bv - Netherlands
- Lanco Infratech Ltd - India
- Jindal Steel & Power Ltd - India
- Independent Power Producers Association of India
- Bhoruka Overseas - Indonesia
- Orica Mining Services - Indonesia
- Coal and Oil Company - UAE
- Deloitte Consulting - India
- Intertek Mineral Services - Indonesia
- Alfred C Toepfer International GmbH - Germany
- Anglo American - United Kingdom
- Pipit Mutiara Jaya. PT, Indonesia
- Riau Bara Harum - Indonesia
- Indian Energy Exchange, India
- Electricity Authority, New Zealand
- Miang Besar Coal Terminal - Indonesia
- The Treasury - Australian Government
- Sarangani Energy Corporation, Philippines
- Indian Oil Corporation Limited
- London Commodity Brokers - England
- ASAPP Information Group - India
- AsiaOL BioFuels Corp., Philippines
- Oldendorff Carriers - Singapore
- European Bulk Services B.V. - Netherlands
- Directorate General of MIneral and Coal - Indonesia
- Malabar Cements Ltd - India
- Petron Corporation, Philippines
- Vedanta Resources Plc - India
- Price Waterhouse Coopers - Russia
- Kohat Cement Company Ltd. - Pakistan
- San Jose City I Power Corp, Philippines
- Sinarmas Energy and Mining - Indonesia
- Indika Energy - Indonesia
- Standard Chartered Bank - UAE
- Kalimantan Lumbung Energi - Indonesia
- Bukit Makmur.PT - Indonesia
- Mjunction Services Limited - India
- Planning Commission, India
- GVK Power & Infra Limited - India
- Energy Development Corp, Philippines
- Siam City Cement PLC, Thailand
- Binh Thuan Hamico - Vietnam
- Leighton Contractors Pty Ltd - Australia
- Tata Chemicals Ltd - India
- Coastal Gujarat Power Limited - India
- Global Business Power Corporation, Philippines
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- Timah Investasi Mineral - Indoneisa
- Orica Australia Pty. Ltd.
- CIMB Investment Bank - Malaysia
- Posco Energy - South Korea
- Star Paper Mills Limited - India
- Savvy Resources Ltd - HongKong
- Parry Sugars Refinery, India
- Meenaskhi Energy Private Limited - India
- Billiton Holdings Pty Ltd - Australia
- SN Aboitiz Power Inc, Philippines
- Chettinad Cement Corporation Ltd - India
- Latin American Coal - Colombia
- Global Coal Blending Company Limited - Australia
- Medco Energi Mining Internasional
- Eastern Energy - Thailand
- Indonesian Coal Mining Association
- Jaiprakash Power Ventures ltd
- Banpu Public Company Limited - Thailand
- Coalindo Energy - Indonesia
- Central Electricity Authority - India
- Formosa Plastics Group - Taiwan
- GMR Energy Limited - India
- PetroVietnam Power Coal Import and Supply Company
- Bhushan Steel Limited - India
- Asmin Koalindo Tuhup - Indonesia
- Pendopo Energi Batubara - Indonesia
- Port Waratah Coal Services - Australia
- Mercator Lines Limited - India
- Carbofer General Trading SA - India
- Singapore Mercantile Exchange
- Commonwealth Bank - Australia
- TNB Fuel Sdn Bhd - Malaysia
- Attock Cement Pakistan Limited
- Australian Coal Association
- Cigading International Bulk Terminal - Indonesia
- Makarim & Taira - Indonesia
- CNBM International Corporation - China
- Uttam Galva Steels Limited - India
- PowerSource Philippines DevCo
- Holcim Trading Pte Ltd - Singapore
- Bulk Trading Sa - Switzerland
- Chamber of Mines of South Africa
- McConnell Dowell - Australia
- Rashtriya Ispat Nigam Limited - India
- Videocon Industries ltd - India
- The University of Queensland
- Toyota Tsusho Corporation, Japan
- SMC Global Power, Philippines
- The State Trading Corporation of India Ltd
- Neyveli Lignite Corporation Ltd, - India
- Trasteel International SA, Italy
- Ministry of Finance - Indonesia
- Aditya Birla Group - India
- TeaM Sual Corporation - Philippines
- Maharashtra Electricity Regulatory Commission - India
- Antam Resourcindo - Indonesia
- OPG Power Generation Pvt Ltd - India
- India Bulls Power Limited - India
- Xindia Steels Limited - India
- IEA Clean Coal Centre - UK
- GN Power Mariveles Coal Plant, Philippines
- Grasim Industreis Ltd - India
- Semirara Mining Corp, Philippines
- Dalmia Cement Bharat India
- Renaissance Capital - South Africa
- White Energy Company Limited
- PNOC Exploration Corporation - Philippines
- Bangladesh Power Developement Board
- Merrill Lynch Commodities Europe
- IHS Mccloskey Coal Group - USA
- Krishnapatnam Port Company Ltd. - India
- Bhatia International Limited - India
- Vijayanagar Sugar Pvt Ltd - India
- Central Java Power - Indonesia
- Rio Tinto Coal - Australia
- Energy Link Ltd, New Zealand
- Larsen & Toubro Limited - India
- Interocean Group of Companies - India
- Manunggal Multi Energi - Indonesia
- Directorate Of Revenue Intelligence - India
- Bukit Baiduri Energy - Indonesia
- Siam City Cement - Thailand
- International Coal Ventures Pvt Ltd - India
- Goldman Sachs - Singapore
- Wood Mackenzie - Singapore
- Essar Steel Hazira Ltd - India
- Borneo Indobara - Indonesia
- Kumho Petrochemical, South Korea
- Romanian Commodities Exchange
- Kideco Jaya Agung - Indonesia
- Altura Mining Limited, Indonesia
- Tamil Nadu electricity Board
- Bahari Cakrawala Sebuku - Indonesia
- Kobexindo Tractors - Indoneisa
- Offshore Bulk Terminal Pte Ltd, Singapore
- GAC Shipping (India) Pvt Ltd
- Ministry of Mines - Canada
- Heidelberg Cement - Germany
- PTC India Limited - India
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- Sindya Power Generating Company Private Ltd
- Gujarat Sidhee Cement - India
- Iligan Light & Power Inc, Philippines
- Therma Luzon, Inc, Philippines
- Economic Council, Georgia
- Agrawal Coal Company - India
- Aboitiz Power Corporation - Philippines
- Georgia Ports Authority, United States
- Kartika Selabumi Mining - Indonesia
- Karaikal Port Pvt Ltd - India
- SMG Consultants - Indonesia
- Parliament of New Zealand
- Baramulti Group, Indonesia
- Bayan Resources Tbk. - Indonesia
- Wilmar Investment Holdings
- Meralco Power Generation, Philippines
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- Barasentosa Lestari - Indonesia
- Globalindo Alam Lestari - Indonesia
- Asia Pacific Energy Resources Ventures Inc, Philippines
- Semirara Mining and Power Corporation, Philippines
- Minerals Council of Australia
- Global Green Power PLC Corporation, Philippines
- Electricity Generating Authority of Thailand
- Samtan Co., Ltd - South Korea
- Sree Jayajothi Cements Limited - India
- Straits Asia Resources Limited - Singapore
- Indogreen Group - Indonesia
- Sakthi Sugars Limited - India
- ICICI Bank Limited - India
- Africa Commodities Group - South Africa
- Kepco SPC Power Corporation, Philippines
- Bank of Tokyo Mitsubishi UFJ Ltd
- Ind-Barath Power Infra Limited - India
- Indo Tambangraya Megah - Indonesia
- Gujarat Mineral Development Corp Ltd - India
- Sojitz Corporation - Japan
- Kapuas Tunggal Persada - Indonesia
- VISA Power Limited - India
- Kaltim Prima Coal - Indonesia
- Metalloyd Limited - United Kingdom
- Bukit Asam (Persero) Tbk - Indonesia
- MS Steel International - UAE
- Eastern Coal Council - USA
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- Cement Manufacturers Association - India
- South Luzon Thermal Energy Corporation
- Simpson Spence & Young - Indonesia
- Madhucon Powers Ltd - India
- Petrochimia International Co. Ltd.- Taiwan
- Edison Trading Spa - Italy
- Ministry of Transport, Egypt
- New Zealand Coal & Carbon
- Mercuria Energy - Indonesia
- Thiess Contractors Indonesia
- Power Finance Corporation Ltd., India
- Jorong Barutama Greston.PT - Indonesia
- Ceylon Electricity Board - Sri Lanka
- Sical Logistics Limited - India
- Thai Mozambique Logistica
- Karbindo Abesyapradhi - Indoneisa
- Salva Resources Pvt Ltd - India
- Australian Commodity Traders Exchange
- Bharathi Cement Corporation - India
- Ambuja Cements Ltd - India
- Vizag Seaport Private Limited - India
- Mintek Dendrill Indonesia
|
| |
| |
|
