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Wednesday, 12 February 20
CHANGES IN LNG MARKET COULD UNDERCUT PLANS FOR NEW JAPANESE COAL PLANTS - CLYDE RUSSELL
Reuters: Clyde Russell
The collapse in the spot price of liquefied natural gas (LNG) in Asia is a short-term phenomenon that may well end up having a longer-term impact, especially on thermal coal.
The spot price dropped to $2.95 per million British thermal units (mmBtu) for the week ended Feb. 7, the lowest price in records stretching back to 2010. It has lost 57% of its value since the pre-winter peak of $6.80 per mmBtu in mid-October, and is down 74% from the peak price in 2018 and 86% from the all-time high from February 2014.
While it’s unlikely that spot LNG prices will stay at the current depressed levels indefinitely, the trend toward structurally lower prices appears sustainable. There is still no shortage of LNG projects being built, with 17 million tonnes of capacity due to be commissioned this year alone, and considerably more likely in the next five years, as projects from Russia to East Africa start to come online.
This supply surge is likely to have two impacts on prices. Firstly, it will ensure that spot prices remain under downward pressure, and secondly, it will likely accelerate the shift away from long-term, oil-linked contracts to shorter-term, more flexibly priced deals.
This change in the way LNG is priced should give pause for considerable thought to any would-be developers of thermal coal power projects based on imported fuel in Asia, especially Japan. As a country that relies on imports for virtually all its energy, Japan has long prioritized security of supply and diversity in its energy mix. But perhaps the sands have shifted enough to lead to a re-think.
It would in all likelihood be possible to sign long-term or medium-term LNG supply pacts that are not linked to the price of crude oil, but rather to other instruments such as U.S. Henry Hub natural gas, or European gas prices, or even seaborne thermal coal costs. This could give Japan the security of supply it desires, but virtually eliminate the problem LNG has always had, its high cost relative to thermal coal.
Source: IEEFA | Reuters
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Monday, 03 February 20
KOWEPO INVITING BIDS FOR 2.46 MILLION TONS OF MIN.5700 AND MIN.5600 NCV COAL
COALspot.com: South Korea’s Korea Western Power Co., Ltd. (KOWEPO) has issued an international tender for total 2,460,000 tons of (Sub) Bitum ...
Sunday, 02 February 20
NOVEL CORONAVIRUS OUTBREAK IN CHINA - STANDARD CLUB
Members will be aware of the recent novel coronavirus outbreak in China, which has now been declared a global emergency by the World Health Organis ...
Sunday, 02 February 20
SUPRAMAX: A 52,000DWT SHIP WAS FIXED BASIS DELIVERY SOUTH KALIMANTAN TRIP TO INDIA, AT $6,000 - BALTIC BRIEFING
Capesize
The week proved conspicuous for all the wrong reasons. This was the week when the Baltic Capesize Index (BCI) turned negative, closing ...
Saturday, 01 February 20
50 MILLION PEOPLE QUARANTINED IN CHINA TO CONTAIN SPREAD OF CORONAVIRUS - HOW DOES IT AFFECT SHIPPING? - BIMCO
The outbreak of the novel coronavirus, declared a global health emergency by the WHO, has caused massive uncertainty across the global markets with ...
Saturday, 01 February 20
THERMAL COAL MARKETS: 5 TRENDS TO WATCH OUT FOR IN 2020 - MINING REVIEW
The seaborne thermal coal market entered the year challenged by low priced LNG in the Atlantic and rapidly increasing supply in the Pacific.
&n ...
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- Bhoruka Overseas - Indonesia
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- Kepco SPC Power Corporation, Philippines
- Alfred C Toepfer International GmbH - Germany
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- Ministry of Finance - Indonesia
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- Banpu Public Company Limited - Thailand
- Romanian Commodities Exchange
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- GN Power Mariveles Coal Plant, Philippines
- Coastal Gujarat Power Limited - India
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- Global Green Power PLC Corporation, Philippines
- Star Paper Mills Limited - India
- Bhushan Steel Limited - India
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- Electricity Authority, New Zealand
- The University of Queensland
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- Coalindo Energy - Indonesia
- Goldman Sachs - Singapore
- Energy Link Ltd, New Zealand
- Samtan Co., Ltd - South Korea
- Billiton Holdings Pty Ltd - Australia
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- Orica Australia Pty. Ltd.
- Asia Pacific Energy Resources Ventures Inc, Philippines
- Semirara Mining and Power Corporation, Philippines
- Bank of Tokyo Mitsubishi UFJ Ltd
- Bukit Makmur.PT - Indonesia
- Kapuas Tunggal Persada - Indonesia
- GMR Energy Limited - India
- Pendopo Energi Batubara - Indonesia
- Wood Mackenzie - Singapore
- Kaltim Prima Coal - Indonesia
- Port Waratah Coal Services - Australia
- Bayan Resources Tbk. - Indonesia
- PetroVietnam Power Coal Import and Supply Company
- Bangladesh Power Developement Board
- Sojitz Corporation - Japan
- Sindya Power Generating Company Private Ltd
- Sarangani Energy Corporation, Philippines
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- New Zealand Coal & Carbon
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- International Coal Ventures Pvt Ltd - India
- GAC Shipping (India) Pvt Ltd
- Makarim & Taira - Indonesia
- Offshore Bulk Terminal Pte Ltd, Singapore
- Latin American Coal - Colombia
- Petrochimia International Co. Ltd.- Taiwan
- Mjunction Services Limited - India
- Commonwealth Bank - Australia
- SN Aboitiz Power Inc, Philippines
- Kalimantan Lumbung Energi - Indonesia
- IHS Mccloskey Coal Group - USA
- Heidelberg Cement - Germany
- CNBM International Corporation - China
- Manunggal Multi Energi - Indonesia
- Maheswari Brothers Coal Limited - India
- Semirara Mining Corp, Philippines
- Electricity Generating Authority of Thailand
- Interocean Group of Companies - India
- Ambuja Cements Ltd - India
- Central Electricity Authority - India
- White Energy Company Limited
- Mercator Lines Limited - India
- Wilmar Investment Holdings
- Economic Council, Georgia
- Indika Energy - Indonesia
- PowerSource Philippines DevCo
- VISA Power Limited - India
- Bharathi Cement Corporation - India
- Gujarat Electricity Regulatory Commission - India
- SMG Consultants - Indonesia
- Kartika Selabumi Mining - Indonesia
- Malabar Cements Ltd - India
- Karaikal Port Pvt Ltd - India
- Pipit Mutiara Jaya. PT, Indonesia
- PNOC Exploration Corporation - Philippines
- Videocon Industries ltd - India
- Tamil Nadu electricity Board
- Global Business Power Corporation, Philippines
- Aboitiz Power Corporation - Philippines
- Barasentosa Lestari - Indonesia
- ASAPP Information Group - India
- Jindal Steel & Power Ltd - India
- CIMB Investment Bank - Malaysia
- Medco Energi Mining Internasional
- Rio Tinto Coal - Australia
- Metalloyd Limited - United Kingdom
- Siam City Cement - Thailand
- European Bulk Services B.V. - Netherlands
- Planning Commission, India
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- Madhucon Powers Ltd - India
- Power Finance Corporation Ltd., India
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- Renaissance Capital - South Africa
- Indian Oil Corporation Limited
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- Karbindo Abesyapradhi - Indoneisa
- Eastern Energy - Thailand
- Kumho Petrochemical, South Korea
- Singapore Mercantile Exchange
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- Kobexindo Tractors - Indoneisa
- Toyota Tsusho Corporation, Japan
- Kohat Cement Company Ltd. - Pakistan
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- Binh Thuan Hamico - Vietnam
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- Indo Tambangraya Megah - Indonesia
- AsiaOL BioFuels Corp., Philippines
- Ministry of Mines - Canada
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- Sical Logistics Limited - India
- Bukit Baiduri Energy - Indonesia
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- Vedanta Resources Plc - India
- Posco Energy - South Korea
- MS Steel International - UAE
- Coal and Oil Company - UAE
- Australian Coal Association
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- ICICI Bank Limited - India
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- Bhatia International Limited - India
- Simpson Spence & Young - Indonesia
- PTC India Limited - India
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- Global Coal Blending Company Limited - Australia
- Formosa Plastics Group - Taiwan
- Eastern Coal Council - USA
- Chettinad Cement Corporation Ltd - India
- Agrawal Coal Company - India
- San Jose City I Power Corp, Philippines
- Grasim Industreis Ltd - India
- Leighton Contractors Pty Ltd - Australia
- Energy Development Corp, Philippines
- Altura Mining Limited, Indonesia
- Meenaskhi Energy Private Limited - India
- Independent Power Producers Association of India
- Cigading International Bulk Terminal - Indonesia
- OPG Power Generation Pvt Ltd - India
- SMC Global Power, Philippines
- Petron Corporation, Philippines
- Xindia Steels Limited - India
- Straits Asia Resources Limited - Singapore
- Borneo Indobara - Indonesia
- Kideco Jaya Agung - Indonesia
- Asmin Koalindo Tuhup - Indonesia
- Gujarat Sidhee Cement - India
- Ceylon Electricity Board - Sri Lanka
- Rashtriya Ispat Nigam Limited - India
- Ministry of Transport, Egypt
- Bulk Trading Sa - Switzerland
- Vizag Seaport Private Limited - India
- Maharashtra Electricity Regulatory Commission - India
- Merrill Lynch Commodities Europe
- Edison Trading Spa - Italy
- Oldendorff Carriers - Singapore
- Therma Luzon, Inc, Philippines
- Deloitte Consulting - India
- Minerals Council of Australia
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- Attock Cement Pakistan Limited
- Iligan Light & Power Inc, Philippines
- Intertek Mineral Services - Indonesia
- IEA Clean Coal Centre - UK
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- Essar Steel Hazira Ltd - India
- Parliament of New Zealand
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- Thiess Contractors Indonesia
- LBH Netherlands Bv - Netherlands
- McConnell Dowell - Australia
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- Dr Ramakrishna Prasad Power Pvt Ltd - India
- Neyveli Lignite Corporation Ltd, - India
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- TNB Fuel Sdn Bhd - Malaysia
- Larsen & Toubro Limited - India
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- Baramulti Group, Indonesia
- Bahari Cakrawala Sebuku - Indonesia
- The Treasury - Australian Government
- Meralco Power Generation, Philippines
- Indonesian Coal Mining Association
- Carbofer General Trading SA - India
- Gujarat Mineral Development Corp Ltd - India
- Sinarmas Energy and Mining - Indonesia
- Standard Chartered Bank - UAE
- Chamber of Mines of South Africa
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