We welcome article submissions from experts in the areas of coal, mining,
shipping, etc.
To Submit your article please click here.
|
|
|
Monday, 09 January 12
2012: WHAT WILL IT BRING FOR THE DRY BULK MARKET? - NIKOS ROUSSANOGLOU, HELLENIC SHIPPING
 A further increase in dry bulk demand could be the remedy for most of the industry's oversupply issues, together of course with the high level of scrapping activity, as observed during the course of 2011. According to the latest BIMCO report on 2012, a large part of this increase in demand could come from India and its coal needs. The report said that "the year 2011 had barely started before a series of unforeseen events took place across the globe. Most of them affected dry bulk shipping negatively and the large Capesize vessels were particularly under pressure. Amongst the events were the flooding in Australia and South Africa, the triple disaster in Japan and the “Arab Spring” that also affected the supply of oil into Europe.
Half a year down the road, during which many Capesize vessels had earned less than any other dry bulk vessel size, the unexpected happened again. Strong demand for iron ore and coal from China and the recovering Japan, sourced from Brazil and Australia, ignited freight rates for Capesize vessels. A tight tonnage situation in the Atlantic basin combined with increased congestion in loading and discharging ports pushed average rates above USD 30,000 per day.
A far cry from the peaks of the super cycle, but surely an indication of the peak levels we have in sight for the near- to mid-term future as the supply side remains a considerable burden for the industry. The demand side is set to be relatively stable in 2012 although it’s likely to grow somewhat slower than in 2011 – at least in volume terms. Overall iron ore demand is likely to slow. Still, a lower world market price as compared to the domestic costs of mining it within China holds the key to provide positive demand shocks for this valuable steel ingredient. Growing demand for thermal coal from large Asian consumers is said to be a steady demand driver" said BIMCO.
In a separate research report on the outlook of the dry bulk industry, DVB Bank said that the current dry bulk fleet now stands at 8,877 vessels (585.1mio dwt). The average age of the fleet is about 12 years and 59.1% of the fleet is less than 10 years of age. In addition, the average age of vessels less than 10 years old is merely 2.8 years – a very young fleet. Similarly, the orderbook stands at 2,371 vessels (196.3mio dwt) which equates to 33.6% of the current fleet. In dwt terms, large Capes constitute the largest portion of the current fleet while Panamax size vessels have the largest Orderbook. ULBC size range is expanding substantially. So far, three of the 34 Vale ULBCs of 400K+ dwt have delivered.DVB Bank said in its analysis that if the remaining 31 vessels actually deliver, this will have a huge negative impact on all large Cape asset values as well as T/C rates and impact earnings of other Sub-Sectors as well.
Looking at deliveries, a total of 366 vessels of 28.3 million dwt are still headed towards delivery, according to figures up to November of 2011. These vessels represent 14.4% of the orderbook. Given that for the most part these weren't expected to be delivered within 2011, the researcher said that they will be rolled over to 2012. So, it draws the conclusion that "even Even with 40% delays due to slippage, postponement and cancellation, we are poised to cross the 100mio dwt mark this year. In 2012, some 1,431 vessels (121.6mio dwt) are scheduled for delivery, which is about 62% of the current orderbook" said DVB Bank.
In total the dry bulk cargo demand is forecast to rise to approximatly 3.7 billion tons this year. But, as DVB states, the level of the orderbook is too much for it to be absorbed without problems and downward pressure both on ship values and freight rates. "Although scrapping picked up in 2011 to 21.4mio dwt (334 vessels) as of November, this figure is merely 3.5% of the existing fleet" said DVB Bank. It concluded that the vessels which were ordered at the peak of the market back in 2007-2008 should add to distressed asset sales, as their owners won't be able to repay them without huge losses. In essence, the researcher said that the current slowdown will see many ship owners out of the market and bankrupt, due to cash flow problems, as at the moment, they don't have the necessary cash reserves to survive the downturn, like they did back in 2008.
BIMCO's advice towards dry bulk ship owners they should expect the unexpected, as has been the lesson learned. "Maybe even India will begin to influence the market as a significant importer. This would fulfil the prophecy and release a vast potential that has been simmering for a very long time and provide a much-needed second major demand driver. Supplementing China as the dominant factor in the market would create a more sustainable freight market going forward. However, this will not happen in just one year; moreover it appears destined to remain a long and dusty road for several years to come. An optimist would surely name India as the best thing that could happen to the dry bulk shipping industry. In the meantime volatile iron ore exports and strong demand for thermal coal is likely to characterise India’s contribution to the dry bulk markets" concluded the organization.
Source: Nikos Roussanoglou, Hellenic Shipping
If you believe an article violates your rights or the rights of others, please contact us.
|
|
Monday, 19 January 15
FOB RICHARDS BAY COAL SWAP FOR Q4 DELIVERY CLOSED 4% LOWER THAN Q1 DELIVERY PRICE
COALspot.com: API 4 FOB Richards Bay Coal swap for delivery Q1' 2015 declined month over month and week over week.
The Q1 swap has f ...
Sunday, 18 January 15
INDONESIA TO INDIA SUPRAMAX FREIGHT RATES ARE EXPECTED TO REMAIN WEAK NEXT WEEK
COALspot.com: The BDI was up 4.51 pct week on week on Friday 16, January 2015. The BDI closed at 741 points on this Friday after gaining arou ...
Friday, 16 January 15
U.S. WEEKLY COAL PRODUCTION UP 7.3% W-O-W
COALspot.com – United States the world's one of the largest coal producers, produced approximately 18.9 million short tons (mmst) of coal ...
Thursday, 15 January 15
PANAMAX : MARKET CONTINUE ON LOW PACE - FEARNLEYS
Handy
On a general basis we can say that rates are softening in both hemispheres. Although for some specific trades we can see premiums being ach ...
Thursday, 15 January 15
LOW CASH COSTS, GOOD LIQUIDITY HELP ASIAN OIL COMPANIES IN PRICE ROUT - FITCH
Fitch Ratings says that rated oil and gas production companies in Asia can comfortably operate under low oil prices for some time given their gener ...
|
|
|
Showing 3251 to 3255 news of total 6871 |
|
 |
|
|
|
|
| |
|
 |
|
|
| |
|
- Electricity Authority, New Zealand
- Kepco SPC Power Corporation, Philippines
- Mercuria Energy - Indonesia
- Asia Pacific Energy Resources Ventures Inc, Philippines
- Latin American Coal - Colombia
- The State Trading Corporation of India Ltd
- Cement Manufacturers Association - India
- Georgia Ports Authority, United States
- White Energy Company Limited
- Carbofer General Trading SA - India
- Riau Bara Harum - Indonesia
- Siam City Cement - Thailand
- Bhushan Steel Limited - India
- Attock Cement Pakistan Limited
- Global Coal Blending Company Limited - Australia
- Kumho Petrochemical, South Korea
- Indogreen Group - Indonesia
- Thai Mozambique Logistica
- Sarangani Energy Corporation, Philippines
- Coal and Oil Company - UAE
- Altura Mining Limited, Indonesia
- Bukit Baiduri Energy - Indonesia
- India Bulls Power Limited - India
- Australian Coal Association
- Semirara Mining and Power Corporation, Philippines
- Merrill Lynch Commodities Europe
- Karbindo Abesyapradhi - Indoneisa
- Maheswari Brothers Coal Limited - India
- Singapore Mercantile Exchange
- Gujarat Mineral Development Corp Ltd - India
- Siam City Cement PLC, Thailand
- Banpu Public Company Limited - Thailand
- Borneo Indobara - Indonesia
- Trasteel International SA, Italy
- Electricity Generating Authority of Thailand
- Interocean Group of Companies - India
- Global Green Power PLC Corporation, Philippines
- Coastal Gujarat Power Limited - India
- AsiaOL BioFuels Corp., Philippines
- Star Paper Mills Limited - India
- Romanian Commodities Exchange
- Bank of Tokyo Mitsubishi UFJ Ltd
- Vijayanagar Sugar Pvt Ltd - India
- Vizag Seaport Private Limited - India
- Parliament of New Zealand
- Bukit Makmur.PT - Indonesia
- GVK Power & Infra Limited - India
- Economic Council, Georgia
- TeaM Sual Corporation - Philippines
- Salva Resources Pvt Ltd - India
- Antam Resourcindo - Indonesia
- Makarim & Taira - Indonesia
- Bayan Resources Tbk. - Indonesia
- Bahari Cakrawala Sebuku - Indonesia
- SMC Global Power, Philippines
- Planning Commission, India
- International Coal Ventures Pvt Ltd - India
- PetroVietnam Power Coal Import and Supply Company
- Billiton Holdings Pty Ltd - Australia
- Chamber of Mines of South Africa
- Sojitz Corporation - Japan
- Sinarmas Energy and Mining - Indonesia
- Coalindo Energy - Indonesia
- Ministry of Finance - Indonesia
- Rio Tinto Coal - Australia
- Deloitte Consulting - India
- San Jose City I Power Corp, Philippines
- Central Java Power - Indonesia
- European Bulk Services B.V. - Netherlands
- Power Finance Corporation Ltd., India
- Intertek Mineral Services - Indonesia
- Karaikal Port Pvt Ltd - India
- Uttam Galva Steels Limited - India
- Simpson Spence & Young - Indonesia
- Mercator Lines Limited - India
- CIMB Investment Bank - Malaysia
- Formosa Plastics Group - Taiwan
- Essar Steel Hazira Ltd - India
- Kaltim Prima Coal - Indonesia
- Directorate General of MIneral and Coal - Indonesia
- The Treasury - Australian Government
- PTC India Limited - India
- Posco Energy - South Korea
- Ministry of Mines - Canada
- Vedanta Resources Plc - India
- Metalloyd Limited - United Kingdom
- Grasim Industreis Ltd - India
- Mintek Dendrill Indonesia
- VISA Power Limited - India
- SN Aboitiz Power Inc, Philippines
- Eastern Coal Council - USA
- Kideco Jaya Agung - Indonesia
- Sindya Power Generating Company Private Ltd
- ICICI Bank Limited - India
- Bharathi Cement Corporation - India
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- Kalimantan Lumbung Energi - Indonesia
- Chettinad Cement Corporation Ltd - India
- Tata Chemicals Ltd - India
- MS Steel International - UAE
- Indo Tambangraya Megah - Indonesia
- GN Power Mariveles Coal Plant, Philippines
- Leighton Contractors Pty Ltd - Australia
- SMG Consultants - Indonesia
- PNOC Exploration Corporation - Philippines
- Dalmia Cement Bharat India
- Neyveli Lignite Corporation Ltd, - India
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- Alfred C Toepfer International GmbH - Germany
- Jorong Barutama Greston.PT - Indonesia
- PowerSource Philippines DevCo
- Madhucon Powers Ltd - India
- Ceylon Electricity Board - Sri Lanka
- Kapuas Tunggal Persada - Indonesia
- Mjunction Services Limited - India
- Parry Sugars Refinery, India
- London Commodity Brokers - England
- Gujarat Sidhee Cement - India
- OPG Power Generation Pvt Ltd - India
- Miang Besar Coal Terminal - Indonesia
- Lanco Infratech Ltd - India
- Globalindo Alam Lestari - Indonesia
- Orica Mining Services - Indonesia
- CNBM International Corporation - China
- Therma Luzon, Inc, Philippines
- Petrochimia International Co. Ltd.- Taiwan
- Holcim Trading Pte Ltd - Singapore
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- Asmin Koalindo Tuhup - Indonesia
- Thiess Contractors Indonesia
- Goldman Sachs - Singapore
- IEA Clean Coal Centre - UK
- Jindal Steel & Power Ltd - India
- Binh Thuan Hamico - Vietnam
- Anglo American - United Kingdom
- Iligan Light & Power Inc, Philippines
- Sree Jayajothi Cements Limited - India
- GAC Shipping (India) Pvt Ltd
- Ministry of Transport, Egypt
- Renaissance Capital - South Africa
- Africa Commodities Group - South Africa
- Toyota Tsusho Corporation, Japan
- ASAPP Information Group - India
- Kartika Selabumi Mining - Indonesia
- Ambuja Cements Ltd - India
- Price Waterhouse Coopers - Russia
- Bulk Trading Sa - Switzerland
- Meralco Power Generation, Philippines
- Edison Trading Spa - Italy
- Indonesian Coal Mining Association
- Larsen & Toubro Limited - India
- Marubeni Corporation - India
- Bhoruka Overseas - Indonesia
- Semirara Mining Corp, Philippines
- New Zealand Coal & Carbon
- Australian Commodity Traders Exchange
- Sical Logistics Limited - India
- Tamil Nadu electricity Board
- Indika Energy - Indonesia
- McConnell Dowell - Australia
- Xindia Steels Limited - India
- Cigading International Bulk Terminal - Indonesia
- Petron Corporation, Philippines
- Samtan Co., Ltd - South Korea
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- IHS Mccloskey Coal Group - USA
- Agrawal Coal Company - India
- Timah Investasi Mineral - Indoneisa
- Krishnapatnam Port Company Ltd. - India
- GMR Energy Limited - India
- Orica Australia Pty. Ltd.
- Aboitiz Power Corporation - Philippines
- Central Electricity Authority - India
- Wilmar Investment Holdings
- Bhatia International Limited - India
- Commonwealth Bank - Australia
- Bangladesh Power Developement Board
- Indian Oil Corporation Limited
- Malabar Cements Ltd - India
- Global Business Power Corporation, Philippines
- Manunggal Multi Energi - Indonesia
- Aditya Birla Group - India
- Ind-Barath Power Infra Limited - India
- The University of Queensland
- Medco Energi Mining Internasional
- Heidelberg Cement - Germany
- Kohat Cement Company Ltd. - Pakistan
- Straits Asia Resources Limited - Singapore
- Pendopo Energi Batubara - Indonesia
- Jaiprakash Power Ventures ltd
- Pipit Mutiara Jaya. PT, Indonesia
- Videocon Industries ltd - India
- Gujarat Electricity Regulatory Commission - India
- LBH Netherlands Bv - Netherlands
- Sakthi Sugars Limited - India
- Energy Link Ltd, New Zealand
- Baramulti Group, Indonesia
- Independent Power Producers Association of India
- Wood Mackenzie - Singapore
- Oldendorff Carriers - Singapore
- Minerals Council of Australia
- Barasentosa Lestari - Indonesia
- South Luzon Thermal Energy Corporation
- Directorate Of Revenue Intelligence - India
- Bukit Asam (Persero) Tbk - Indonesia
- Rashtriya Ispat Nigam Limited - India
- Savvy Resources Ltd - HongKong
- Meenaskhi Energy Private Limited - India
- TNB Fuel Sdn Bhd - Malaysia
- Maharashtra Electricity Regulatory Commission - India
- Eastern Energy - Thailand
- Indian Energy Exchange, India
- Offshore Bulk Terminal Pte Ltd, Singapore
- Kobexindo Tractors - Indoneisa
- Energy Development Corp, Philippines
- Standard Chartered Bank - UAE
- Port Waratah Coal Services - Australia
|
| |
| |
|
