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Thursday, 14 April 16
AUSTRALIAN MINING SERVICES SECTOR SQUEEZED BY MINERS' COST CUTS - FITCH RATINGS
 Fitch Ratings says mining services companies' revenues and margins will remain under pressure as miners continue to focus on reducing costs amid lower commodity prices.
Mining companies continue to move operations in-house, renegotiate service contracts to reduce value or scope, extend payment terms and limit further exploration as they seek to minimise costs and restore profitability. This directly impacts the work contracted to mining services companies, either squeezing margins, delaying cash inflows or reducing the pipeline of work available.
The decision last week by Fortescue Metals Group Limited not to renew its contract with Downer EDI Limited, as its moves to an owner-operator model at its Christmas Creek mines, highlights this trend. Fortescue had also reduced the scope of the contract in February 2015. In addition, Rio Tinto Ltd announced last week that it was extending its supplier payment terms to 90 days from 45 days for contracts greater than USD3m, and to 60 days for contracts under this threshold. Other solutions over the past year include Atlas Iron announcing a profit sharing arrangement linked to iron ore prices with its contractors to address the impact of price volatility on its returns.
Fitch expects mining service companies with limited operations outside the resources sector to be more affected by the mining companies' actions because they have fewer opportunities to replace lost revenues. Fitch downgraded Emeco Holding Limited's Issuer Default Rating by two notches to 'B-' in September 2015, which reflected the impact of the prolonged weakness in global commodity markets on its profitability, cash flows and scale. The recent insolvencies of Civil Australia Holdings and WDS Ltd. continue to highlight the increasing challenges smaller mining service companies face in this new environment.
Larger and more diversified engineering firms, such as Downer, are likely to be less affected by the miners' actions. Their exposure to other sectors, including infrastructure and civil sectors, allows them to mitigate any loss of mining services revenue.
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Monday, 04 April 16
CAPE INDEX JUMPED 70% WEEK ON WEEK
COALspot.com: The Baltic Exchange, tracking rates for ships carrying dry bulk commodities continued to rose this week.
The freight market was ...
Friday, 01 April 16
ASSESSING THE DRY BULK MARKET AT ROCK BOTTOM - CLARKSONS
While the opening months of the year are typically a weak period for the dry bulk market, the downturn so far this year has been severe. Earnings h ...
Friday, 01 April 16
NINE AM - TIME TO GET AN INDONESIAN LANGUAGE VERSION OF YOUR CHARTERPARTIES - CLYDE & CO
KNOWLEDGE TO ELEVATE
For several years, Indonesian law (Article 31, Law Number 24 of 2009) has required that memoranda of understanding (" ...
Friday, 01 April 16
U.S. COAL PRODUCTION UP SLIGHTLY WEEK OVER WEEK - EIA
COALspot.com – United States the world’s second largest coal producer has produced approximately totaled an estimated 11.6 million shor ...
Thursday, 31 March 16
CAPE: ANOTHER UNEVENTFUL WEEK WITH FIXTURES CONCLUDED AT LAST DONE LEVELS - FEARNLEYS
Cape
Another uneventful week with fixtures concluded at last done levels, CS levels remain around the USD 3 mark, whilst C3 is still just short o ...
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- Posco Energy - South Korea
- Merrill Lynch Commodities Europe
- Binh Thuan Hamico - Vietnam
- Asia Pacific Energy Resources Ventures Inc, Philippines
- Ind-Barath Power Infra Limited - India
- Leighton Contractors Pty Ltd - Australia
- Jaiprakash Power Ventures ltd
- Intertek Mineral Services - Indonesia
- Antam Resourcindo - Indonesia
- Ministry of Transport, Egypt
- Barasentosa Lestari - Indonesia
- Wilmar Investment Holdings
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- Marubeni Corporation - India
- SN Aboitiz Power Inc, Philippines
- IHS Mccloskey Coal Group - USA
- Georgia Ports Authority, United States
- Kapuas Tunggal Persada - Indonesia
- Gujarat Sidhee Cement - India
- Energy Development Corp, Philippines
- Bulk Trading Sa - Switzerland
- Latin American Coal - Colombia
- Jindal Steel & Power Ltd - India
- Indonesian Coal Mining Association
- Sarangani Energy Corporation, Philippines
- Mercuria Energy - Indonesia
- Bharathi Cement Corporation - India
- Bayan Resources Tbk. - Indonesia
- Straits Asia Resources Limited - Singapore
- PTC India Limited - India
- GN Power Mariveles Coal Plant, Philippines
- Bhatia International Limited - India
- Samtan Co., Ltd - South Korea
- Commonwealth Bank - Australia
- Bhushan Steel Limited - India
- Wood Mackenzie - Singapore
- Mjunction Services Limited - India
- PetroVietnam Power Coal Import and Supply Company
- Riau Bara Harum - Indonesia
- Oldendorff Carriers - Singapore
- Price Waterhouse Coopers - Russia
- ASAPP Information Group - India
- San Jose City I Power Corp, Philippines
- Semirara Mining Corp, Philippines
- Cement Manufacturers Association - India
- AsiaOL BioFuels Corp., Philippines
- Savvy Resources Ltd - HongKong
- GMR Energy Limited - India
- McConnell Dowell - Australia
- Eastern Energy - Thailand
- Semirara Mining and Power Corporation, Philippines
- Planning Commission, India
- Maharashtra Electricity Regulatory Commission - India
- Formosa Plastics Group - Taiwan
- Global Green Power PLC Corporation, Philippines
- Indo Tambangraya Megah - Indonesia
- IEA Clean Coal Centre - UK
- Thiess Contractors Indonesia
- South Luzon Thermal Energy Corporation
- Heidelberg Cement - Germany
- Meralco Power Generation, Philippines
- Australian Coal Association
- Indian Oil Corporation Limited
- Ambuja Cements Ltd - India
- Goldman Sachs - Singapore
- Parliament of New Zealand
- Deloitte Consulting - India
- Lanco Infratech Ltd - India
- Kumho Petrochemical, South Korea
- Bhoruka Overseas - Indonesia
- Renaissance Capital - South Africa
- Directorate General of MIneral and Coal - Indonesia
- Orica Australia Pty. Ltd.
- Agrawal Coal Company - India
- Star Paper Mills Limited - India
- Sakthi Sugars Limited - India
- Krishnapatnam Port Company Ltd. - India
- Aboitiz Power Corporation - Philippines
- Petrochimia International Co. Ltd.- Taiwan
- PowerSource Philippines DevCo
- CIMB Investment Bank - Malaysia
- Tata Chemicals Ltd - India
- Vijayanagar Sugar Pvt Ltd - India
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- Vedanta Resources Plc - India
- OPG Power Generation Pvt Ltd - India
- Banpu Public Company Limited - Thailand
- TNB Fuel Sdn Bhd - Malaysia
- Bukit Asam (Persero) Tbk - Indonesia
- Malabar Cements Ltd - India
- Siam City Cement - Thailand
- Energy Link Ltd, New Zealand
- Toyota Tsusho Corporation, Japan
- Indika Energy - Indonesia
- SMG Consultants - Indonesia
- The Treasury - Australian Government
- Cigading International Bulk Terminal - Indonesia
- The University of Queensland
- Offshore Bulk Terminal Pte Ltd, Singapore
- Altura Mining Limited, Indonesia
- Kohat Cement Company Ltd. - Pakistan
- International Coal Ventures Pvt Ltd - India
- Attock Cement Pakistan Limited
- Metalloyd Limited - United Kingdom
- GAC Shipping (India) Pvt Ltd
- Makarim & Taira - Indonesia
- Australian Commodity Traders Exchange
- Kobexindo Tractors - Indoneisa
- New Zealand Coal & Carbon
- Sindya Power Generating Company Private Ltd
- Singapore Mercantile Exchange
- Directorate Of Revenue Intelligence - India
- Africa Commodities Group - South Africa
- Coastal Gujarat Power Limited - India
- PNOC Exploration Corporation - Philippines
- Baramulti Group, Indonesia
- Bukit Makmur.PT - Indonesia
- Eastern Coal Council - USA
- Power Finance Corporation Ltd., India
- Mintek Dendrill Indonesia
- Standard Chartered Bank - UAE
- Pendopo Energi Batubara - Indonesia
- ICICI Bank Limited - India
- Medco Energi Mining Internasional
- Bangladesh Power Developement Board
- Romanian Commodities Exchange
- Alfred C Toepfer International GmbH - Germany
- Mercator Lines Limited - India
- Gujarat Mineral Development Corp Ltd - India
- Borneo Indobara - Indonesia
- Chettinad Cement Corporation Ltd - India
- Electricity Authority, New Zealand
- Electricity Generating Authority of Thailand
- Carbofer General Trading SA - India
- Petron Corporation, Philippines
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- Thai Mozambique Logistica
- Edison Trading Spa - Italy
- Karaikal Port Pvt Ltd - India
- Coal and Oil Company - UAE
- Globalindo Alam Lestari - Indonesia
- Kaltim Prima Coal - Indonesia
- VISA Power Limited - India
- Timah Investasi Mineral - Indoneisa
- Coalindo Energy - Indonesia
- Parry Sugars Refinery, India
- SMC Global Power, Philippines
- CNBM International Corporation - China
- Bukit Baiduri Energy - Indonesia
- Bank of Tokyo Mitsubishi UFJ Ltd
- Aditya Birla Group - India
- Neyveli Lignite Corporation Ltd, - India
- Dalmia Cement Bharat India
- Trasteel International SA, Italy
- TeaM Sual Corporation - Philippines
- Salva Resources Pvt Ltd - India
- Uttam Galva Steels Limited - India
- Pipit Mutiara Jaya. PT, Indonesia
- Global Coal Blending Company Limited - Australia
- Siam City Cement PLC, Thailand
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- Indogreen Group - Indonesia
- Miang Besar Coal Terminal - Indonesia
- Interocean Group of Companies - India
- Minerals Council of Australia
- Sojitz Corporation - Japan
- Videocon Industries ltd - India
- Karbindo Abesyapradhi - Indoneisa
- Simpson Spence & Young - Indonesia
- Orica Mining Services - Indonesia
- Chamber of Mines of South Africa
- Economic Council, Georgia
- Independent Power Producers Association of India
- Ceylon Electricity Board - Sri Lanka
- LBH Netherlands Bv - Netherlands
- Kideco Jaya Agung - Indonesia
- Therma Luzon, Inc, Philippines
- Billiton Holdings Pty Ltd - Australia
- White Energy Company Limited
- Sical Logistics Limited - India
- Ministry of Finance - Indonesia
- Indian Energy Exchange, India
- Tamil Nadu electricity Board
- Jorong Barutama Greston.PT - Indonesia
- Xindia Steels Limited - India
- Vizag Seaport Private Limited - India
- Sinarmas Energy and Mining - Indonesia
- Central Java Power - Indonesia
- Manunggal Multi Energi - Indonesia
- London Commodity Brokers - England
- Madhucon Powers Ltd - India
- Holcim Trading Pte Ltd - Singapore
- Iligan Light & Power Inc, Philippines
- European Bulk Services B.V. - Netherlands
- GVK Power & Infra Limited - India
- The State Trading Corporation of India Ltd
- Anglo American - United Kingdom
- Grasim Industreis Ltd - India
- Ministry of Mines - Canada
- Rashtriya Ispat Nigam Limited - India
- India Bulls Power Limited - India
- Asmin Koalindo Tuhup - Indonesia
- Rio Tinto Coal - Australia
- Central Electricity Authority - India
- Port Waratah Coal Services - Australia
- Gujarat Electricity Regulatory Commission - India
- Kartika Selabumi Mining - Indonesia
- Larsen & Toubro Limited - India
- Maheswari Brothers Coal Limited - India
- Bahari Cakrawala Sebuku - Indonesia
- Meenaskhi Energy Private Limited - India
- Kepco SPC Power Corporation, Philippines
- Sree Jayajothi Cements Limited - India
- Essar Steel Hazira Ltd - India
- MS Steel International - UAE
- Kalimantan Lumbung Energi - Indonesia
- Global Business Power Corporation, Philippines
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