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Monday, 22 August 16
INDONESIA'S CS 5000 GAR THERMAL COAL INDEX, ROSE TO A 57-WEEKS HIGH TO TOP $43.47 A TON
Coal ExcavatorCOALspot.com: Indonesia’s CS 5000 GAR thermal coal index, rose to a 57-weeks high to top $US43. 47 a ton in the latest week, extending a 18-week rally that was supported by Chinese demand amid China’s introduction of new coal production caps, limiting the number of working days for its coal miners to 276 a year from 330 previously.

In additions to China’s renewed demand for Imported coal, Indonesian’s domestic demand is also gradually increasing in recent months. The Indonesian government is also taking strict actions to curb illegal coal mine operations. The country's coal regulator has recently revoked 202 coal mining licenses (IUP's).

The CS (i) Coal index is newly established an independent coal benchmark forecast for Indonesian particular coal types.  The CS (i) Coal indices are generated through a Technology aided system, based on COALspot’s own proprietary algorithm requiring minimal human involvement.  Therefore, these can be considered as a set of highly transparent  & realistic indices for the Indonesian coals of 5700, 5000, 4200 and 3800 GAR grades.

The CS 5000 index was rising to USD 0.63 per ton from a week earlier to USD 43.47 a tonne, the CS (i) Coal weekly index showed in the week ended August 19, 2016.

China’s coal output cut and demand from utilities lifting coal prices across the globe since the end of April. Industry sources said, China’s imports have arisen due to the China’s State Administration of Work Safety regulation, asking the domestic mines to cut output 16 percent and reduce their operating days to 276 from 330 annually.

China’s raw coal output is expected to fall 9 percent this year. According to analysts, the Chinese production cuts were actually being larger than the consumption declines, the price rally is unavoidable at least for a short term.

Indonesian large scale coal producers are foreseeing the coal price will further increase coming weeks from this level. However the price rally is may stop if the China retreats its production cut policy.


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Thursday, 04 August 16
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