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.
|
|
Wednesday, 03 July 13
NEWCASTLE COAL EXPORTS DIP 24.79 PER CENT WOW
COALspot.com - Newcastle Coal exports fell 24.79% to 2.33 million tons WoW.
Newcastle port in Australia has loaded 2,332,513 tons of coal for the ...
Monday, 01 July 13
12TH CLEAN COAL FORUM INDONESIA 2013
Press Release: Produced by CDMC Events, The 12th Clean Coal Forum Indonesia 2013 will be held on Dec 5-6,2013 in Jakarta, Indonesia. It will generat ...
Monday, 01 July 13
INDIA AND CHINA STILL DOMINATING THE INDONESIAN THERMAL COAL EXPORT MARKET
COALspot.com: Indonesia, the world's largest multi types coal exporter shipped 35.83* million tons of coal in May 2013, 1.40 per cent l ...
Sunday, 30 June 13
YEAR 2014 INDO SUB-BIT COAL SWAPS EXPECTED TO STAY BELOW 2013 LEVEL
COALspot.com – Sub-Bit Indonesia coal swaps (FOB ) for average August 2013 delivery have gained 0.08 percent on a day lost on week ...
Sunday, 30 June 13
CAPESIZE RATES SEEN INCREASING ON HIGH DEMAND - VISTAAR
COALspot.com - The BDI continued to rise and saw a big gain on Friday. BDI increased 14 per cent week ended 28 June 2013, closed at 1171 points driv ...
|
|
|
Showing 4226 to 4230 news of total 6871 |
|
 |
|
|
|
|
| |
|
 |
|
|
| |
|
- Asia Pacific Energy Resources Ventures Inc, Philippines
- Karaikal Port Pvt Ltd - India
- Karbindo Abesyapradhi - Indoneisa
- Kapuas Tunggal Persada - Indonesia
- Bukit Makmur.PT - Indonesia
- Kaltim Prima Coal - Indonesia
- Latin American Coal - Colombia
- Kartika Selabumi Mining - Indonesia
- Jaiprakash Power Ventures ltd
- Global Green Power PLC Corporation, Philippines
- Ceylon Electricity Board - Sri Lanka
- Manunggal Multi Energi - Indonesia
- TNB Fuel Sdn Bhd - Malaysia
- Sree Jayajothi Cements Limited - India
- New Zealand Coal & Carbon
- Wilmar Investment Holdings
- Bukit Baiduri Energy - Indonesia
- Planning Commission, India
- Altura Mining Limited, Indonesia
- Deloitte Consulting - India
- Kobexindo Tractors - Indoneisa
- Romanian Commodities Exchange
- Straits Asia Resources Limited - Singapore
- European Bulk Services B.V. - Netherlands
- Ministry of Mines - Canada
- Vizag Seaport Private Limited - India
- Marubeni Corporation - India
- Intertek Mineral Services - Indonesia
- Directorate General of MIneral and Coal - Indonesia
- Cement Manufacturers Association - India
- Tamil Nadu electricity Board
- Petrochimia International Co. Ltd.- Taiwan
- CIMB Investment Bank - Malaysia
- Sindya Power Generating Company Private Ltd
- Wood Mackenzie - Singapore
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- London Commodity Brokers - England
- Eastern Coal Council - USA
- Attock Cement Pakistan Limited
- Siam City Cement PLC, Thailand
- Sarangani Energy Corporation, Philippines
- Meralco Power Generation, Philippines
- Simpson Spence & Young - Indonesia
- Sojitz Corporation - Japan
- SN Aboitiz Power Inc, Philippines
- Larsen & Toubro Limited - India
- Pendopo Energi Batubara - Indonesia
- Chettinad Cement Corporation Ltd - India
- Minerals Council of Australia
- Star Paper Mills Limited - India
- Jorong Barutama Greston.PT - Indonesia
- Bank of Tokyo Mitsubishi UFJ Ltd
- Oldendorff Carriers - Singapore
- Maheswari Brothers Coal Limited - India
- Banpu Public Company Limited - Thailand
- Commonwealth Bank - Australia
- Ministry of Transport, Egypt
- Riau Bara Harum - Indonesia
- Indonesian Coal Mining Association
- Vijayanagar Sugar Pvt Ltd - India
- Bahari Cakrawala Sebuku - Indonesia
- Global Coal Blending Company Limited - Australia
- Orica Australia Pty. Ltd.
- South Luzon Thermal Energy Corporation
- Thai Mozambique Logistica
- Heidelberg Cement - Germany
- Indo Tambangraya Megah - Indonesia
- Rashtriya Ispat Nigam Limited - India
- Pipit Mutiara Jaya. PT, Indonesia
- Tata Chemicals Ltd - India
- Standard Chartered Bank - UAE
- Goldman Sachs - Singapore
- Sinarmas Energy and Mining - Indonesia
- PowerSource Philippines DevCo
- Asmin Koalindo Tuhup - Indonesia
- Aditya Birla Group - India
- Dalmia Cement Bharat India
- Siam City Cement - Thailand
- Kohat Cement Company Ltd. - Pakistan
- PTC India Limited - India
- Kideco Jaya Agung - Indonesia
- Carbofer General Trading SA - India
- Central Electricity Authority - India
- Meenaskhi Energy Private Limited - India
- Energy Link Ltd, New Zealand
- Baramulti Group, Indonesia
- Uttam Galva Steels Limited - India
- Thiess Contractors Indonesia
- Ind-Barath Power Infra Limited - India
- Formosa Plastics Group - Taiwan
- Aboitiz Power Corporation - Philippines
- Barasentosa Lestari - Indonesia
- Sakthi Sugars Limited - India
- Savvy Resources Ltd - HongKong
- Sical Logistics Limited - India
- Edison Trading Spa - Italy
- Kumho Petrochemical, South Korea
- Salva Resources Pvt Ltd - India
- Binh Thuan Hamico - Vietnam
- Bhatia International Limited - India
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- Ambuja Cements Ltd - India
- Antam Resourcindo - Indonesia
- Makarim & Taira - Indonesia
- ASAPP Information Group - India
- Bulk Trading Sa - Switzerland
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- Bayan Resources Tbk. - Indonesia
- Metalloyd Limited - United Kingdom
- International Coal Ventures Pvt Ltd - India
- ICICI Bank Limited - India
- Parliament of New Zealand
- Coalindo Energy - Indonesia
- Indogreen Group - Indonesia
- IHS Mccloskey Coal Group - USA
- The Treasury - Australian Government
- SMG Consultants - Indonesia
- Grasim Industreis Ltd - India
- Petron Corporation, Philippines
- Cigading International Bulk Terminal - Indonesia
- Kepco SPC Power Corporation, Philippines
- Miang Besar Coal Terminal - Indonesia
- Medco Energi Mining Internasional
- Therma Luzon, Inc, Philippines
- Eastern Energy - Thailand
- Mjunction Services Limited - India
- Africa Commodities Group - South Africa
- Madhucon Powers Ltd - India
- The University of Queensland
- Power Finance Corporation Ltd., India
- Leighton Contractors Pty Ltd - Australia
- Billiton Holdings Pty Ltd - Australia
- Borneo Indobara - Indonesia
- SMC Global Power, Philippines
- Coal and Oil Company - UAE
- Bhoruka Overseas - Indonesia
- Bharathi Cement Corporation - India
- Offshore Bulk Terminal Pte Ltd, Singapore
- TeaM Sual Corporation - Philippines
- Parry Sugars Refinery, India
- LBH Netherlands Bv - Netherlands
- Posco Energy - South Korea
- Port Waratah Coal Services - Australia
- Energy Development Corp, Philippines
- Indika Energy - Indonesia
- Price Waterhouse Coopers - Russia
- White Energy Company Limited
- Georgia Ports Authority, United States
- Kalimantan Lumbung Energi - Indonesia
- Krishnapatnam Port Company Ltd. - India
- Chamber of Mines of South Africa
- Timah Investasi Mineral - Indoneisa
- Coastal Gujarat Power Limited - India
- Bhushan Steel Limited - India
- India Bulls Power Limited - India
- Singapore Mercantile Exchange
- PetroVietnam Power Coal Import and Supply Company
- Gujarat Mineral Development Corp Ltd - India
- Central Java Power - Indonesia
- Iligan Light & Power Inc, Philippines
- Ministry of Finance - Indonesia
- Toyota Tsusho Corporation, Japan
- GMR Energy Limited - India
- Mintek Dendrill Indonesia
- Mercuria Energy - Indonesia
- McConnell Dowell - Australia
- Samtan Co., Ltd - South Korea
- Neyveli Lignite Corporation Ltd, - India
- Bangladesh Power Developement Board
- Australian Commodity Traders Exchange
- Australian Coal Association
- Gujarat Electricity Regulatory Commission - India
- Electricity Authority, New Zealand
- Alfred C Toepfer International GmbH - Germany
- San Jose City I Power Corp, Philippines
- GVK Power & Infra Limited - India
- Maharashtra Electricity Regulatory Commission - India
- Jindal Steel & Power Ltd - India
- Malabar Cements Ltd - India
- Essar Steel Hazira Ltd - India
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- OPG Power Generation Pvt Ltd - India
- Lanco Infratech Ltd - India
- Gujarat Sidhee Cement - India
- Holcim Trading Pte Ltd - Singapore
- Globalindo Alam Lestari - Indonesia
- Electricity Generating Authority of Thailand
- Directorate Of Revenue Intelligence - India
- Independent Power Producers Association of India
- Orica Mining Services - Indonesia
- Vedanta Resources Plc - India
- Indian Oil Corporation Limited
- Anglo American - United Kingdom
- Renaissance Capital - South Africa
- Agrawal Coal Company - India
- Economic Council, Georgia
- IEA Clean Coal Centre - UK
- Semirara Mining and Power Corporation, Philippines
- Rio Tinto Coal - Australia
- AsiaOL BioFuels Corp., Philippines
- The State Trading Corporation of India Ltd
- PNOC Exploration Corporation - Philippines
- Mercator Lines Limited - India
- Interocean Group of Companies - India
- Videocon Industries ltd - India
- Global Business Power Corporation, Philippines
- Semirara Mining Corp, Philippines
- Trasteel International SA, Italy
- GAC Shipping (India) Pvt Ltd
- Indian Energy Exchange, India
- Merrill Lynch Commodities Europe
- Bukit Asam (Persero) Tbk - Indonesia
- VISA Power Limited - India
- Xindia Steels Limited - India
- MS Steel International - UAE
- CNBM International Corporation - China
- GN Power Mariveles Coal Plant, Philippines
|
| |
| |
|
