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Tuesday, 23 June 09
NAPOCOR TO RE-TENDER FOR 195,000 T COAL IN JULY


Electricity producer National Power Corp. (Napocor) will hold a tender on July 15 to buy 195,000 tons of steam coal for its Sual power station, the state-run firm said on Tuesday.

Napocor is under pressure to source coal for its power plants following two failed tenders last month for a total 390,000 tons of the fuel, as potential suppliers turned away because of the firm's low budget.

The coal for Sual, in three lots of 65,000 tons each with gross calorific value of 5,960-6,750 kcal/kg, is scheduled for delivery between August and October.

Napocor is also to hold a separate tender on July 1 to secure 390,000 tons of steam coal for its Pagbilao power station.

The company needs to import almost 3.5 million tons of coal this year, and has awarded 1.365 million tons in supply contracts to several Indonesian suppliers.

The forecast volume is lower than the 4.18 million tons that Napocor imported in 2008, as it has privatized a number of coal-fed power facilities and since it also sources some of the fuel from domestic suppliers.

Prices of power-station coal from Australia, a benchmark for Asia, fell below $73 a ton last week, taking their cue from easing oil prices and ample supply.
Source:  ABC-CBN NEWS (http://www.abs-cbnnews.com/business/06/23/09/napocor-re-tender-195000-t-coal-july)



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