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Wednesday, 08 September 21
FITCH RATINGS RAISES THERMAL COAL PRICE ASSUMPTIONS ON TIGHT SUPPLY
 Fitch Ratings has increased all its Qinhuangdao 5,500kcal/kg price assumptions and short- and medium-term Newcastle 6,000kcal/kg price assumptions due to thermal coal supply constraints in China.
Chinese regulations further tightening the mine safety requirements implemented earlier this year have reduced thermal coal production in the country despite strong demand driven by the economic recovery. Thermal power generation increased in China in January to July by 13.2% yoy, while non-power coal consumption increased by 7.7% yoy, causing rapid increases in coal prices. Coal inventories have been declining, even though import volumes increased in June and July.
The government has launched some mitigating actions, including re-opening open-pit mines capable of producing 67 million tonnes of coal per year, approving new production capacities and requesting mines increase production volumes. These measures, and seasonally weaker demand in September and October, should help moderate prices from the current high levels; however, we expect average domestic prices for 2021 to be higher than in our previous price deck.
Our increased price assumptions for the Chinese benchmark in 2022 and thereafter reflect structurally tighter supply, lower incentives to invest in new coal mines and an emerging trend of local governments and mining companies closing older coal mines in order to meet carbon-reduction targets. Furthermore, the central government has demonstrated its tolerance of high coal prices, while local governments in coal-producing regions are motivated to keep supply relatively tight.
The stronger domestic prices in China have also affected seaborne prices, despite China’s ban on coal imports from Australia. Trade flows have adjusted as a result, with China now importing more coal from Russia, Indonesia and other countries, with Australia now exporting more to India and Korea. We therefore have increased our 2021–2023 Newcastle 6,000kcal/kg assumptions. We have kept longer-term price assumptions for the Australian benchmark unchanged. We anticipate that pressures to reduce coal power generation in many key markets consuming Australian coal will eventually lessen coal demand and help normalise the seaborne prices.
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Monday, 25 October 21
A QUESTION OF POSSESSION - THE BALTIC EXCHANGE
Possession and tangibility are closely related concepts long established under English law. Yet a change to these concepts is around the corner. Th ...
Monday, 25 October 21
CHINA VOWS TO SEVERELY PUNISH MARKET VIOLATIONS AMID LOW COAL FUTURES PRICES - GLOBAL TIMES
Domestic coal futures had plunged for three consecutive trading days after the government vowed to crack down on soaring prices, and China’s ...
Monday, 25 October 21
FARMERS MAY JOIN THE COAL COMMODITY MARKET TO REDUCE RISKS - GLOBAL TIMES
A recent trip to by the Global Times to East China’s Shandong Province to get a glimpse of China’s coal supply chain revealed a surpris ...
Monday, 25 October 21
CHINA COAL PRICES MARK WORST WEEK SINCE MAY ON GOVERNMENT INTERVENTION - REUTERS
China’s thermal coal futures plunged on Friday and turned in their worst week in five months, following Beijing’s strongest interventio ...
Friday, 22 October 21
THE BIG PICTURE: ENERGY MARKETS - BREAK WAVE ADVISORS
The shipping markets have been pulled further into wild markets of coal and other energy sources. Given how nebulous this sector is, it’s alw ...
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- Global Coal Blending Company Limited - Australia
- Rashtriya Ispat Nigam Limited - India
- PNOC Exploration Corporation - Philippines
- Chamber of Mines of South Africa
- Africa Commodities Group - South Africa
- VISA Power Limited - India
- Offshore Bulk Terminal Pte Ltd, Singapore
- Aboitiz Power Corporation - Philippines
- Vedanta Resources Plc - India
- Eastern Energy - Thailand
- Global Green Power PLC Corporation, Philippines
- Kalimantan Lumbung Energi - Indonesia
- Kartika Selabumi Mining - Indonesia
- Jaiprakash Power Ventures ltd
- Orica Mining Services - Indonesia
- India Bulls Power Limited - India
- Romanian Commodities Exchange
- The Treasury - Australian Government
- Billiton Holdings Pty Ltd - Australia
- Tata Chemicals Ltd - India
- Medco Energi Mining Internasional
- Indo Tambangraya Megah - Indonesia
- Krishnapatnam Port Company Ltd. - India
- Meenaskhi Energy Private Limited - India
- Bhatia International Limited - India
- Port Waratah Coal Services - Australia
- LBH Netherlands Bv - Netherlands
- Aditya Birla Group - India
- Baramulti Group, Indonesia
- Globalindo Alam Lestari - Indonesia
- Leighton Contractors Pty Ltd - Australia
- Central Java Power - Indonesia
- Asia Pacific Energy Resources Ventures Inc, Philippines
- GVK Power & Infra Limited - India
- Meralco Power Generation, Philippines
- Ceylon Electricity Board - Sri Lanka
- Wilmar Investment Holdings
- Jorong Barutama Greston.PT - Indonesia
- Thai Mozambique Logistica
- Asmin Koalindo Tuhup - Indonesia
- Bayan Resources Tbk. - Indonesia
- Kohat Cement Company Ltd. - Pakistan
- Borneo Indobara - Indonesia
- Latin American Coal - Colombia
- GN Power Mariveles Coal Plant, Philippines
- Marubeni Corporation - India
- Eastern Coal Council - USA
- Coalindo Energy - Indonesia
- Salva Resources Pvt Ltd - India
- Manunggal Multi Energi - Indonesia
- Semirara Mining and Power Corporation, Philippines
- Holcim Trading Pte Ltd - Singapore
- European Bulk Services B.V. - Netherlands
- Directorate General of MIneral and Coal - Indonesia
- Sinarmas Energy and Mining - Indonesia
- MS Steel International - UAE
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- SMC Global Power, Philippines
- PowerSource Philippines DevCo
- Renaissance Capital - South Africa
- Dalmia Cement Bharat India
- Karaikal Port Pvt Ltd - India
- Bangladesh Power Developement Board
- San Jose City I Power Corp, Philippines
- Bank of Tokyo Mitsubishi UFJ Ltd
- Bhushan Steel Limited - India
- Planning Commission, India
- New Zealand Coal & Carbon
- Energy Development Corp, Philippines
- Standard Chartered Bank - UAE
- Global Business Power Corporation, Philippines
- Sakthi Sugars Limited - India
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- Barasentosa Lestari - Indonesia
- Indika Energy - Indonesia
- Maheswari Brothers Coal Limited - India
- TNB Fuel Sdn Bhd - Malaysia
- IHS Mccloskey Coal Group - USA
- Wood Mackenzie - Singapore
- Neyveli Lignite Corporation Ltd, - India
- Mercuria Energy - Indonesia
- Intertek Mineral Services - Indonesia
- Mintek Dendrill Indonesia
- Madhucon Powers Ltd - India
- Therma Luzon, Inc, Philippines
- Alfred C Toepfer International GmbH - Germany
- Videocon Industries ltd - India
- Edison Trading Spa - Italy
- Economic Council, Georgia
- Siam City Cement - Thailand
- Pipit Mutiara Jaya. PT, Indonesia
- Kideco Jaya Agung - Indonesia
- GAC Shipping (India) Pvt Ltd
- McConnell Dowell - Australia
- Gujarat Sidhee Cement - India
- Trasteel International SA, Italy
- Bukit Baiduri Energy - Indonesia
- Bahari Cakrawala Sebuku - Indonesia
- Oldendorff Carriers - Singapore
- Energy Link Ltd, New Zealand
- Interocean Group of Companies - India
- SMG Consultants - Indonesia
- Minerals Council of Australia
- Jindal Steel & Power Ltd - India
- Bukit Makmur.PT - Indonesia
- Pendopo Energi Batubara - Indonesia
- Indian Oil Corporation Limited
- London Commodity Brokers - England
- Grasim Industreis Ltd - India
- Coastal Gujarat Power Limited - India
- Posco Energy - South Korea
- Cement Manufacturers Association - India
- Orica Australia Pty. Ltd.
- Agrawal Coal Company - India
- Larsen & Toubro Limited - India
- Power Finance Corporation Ltd., India
- Banpu Public Company Limited - Thailand
- Petrochimia International Co. Ltd.- Taiwan
- Simpson Spence & Young - Indonesia
- Timah Investasi Mineral - Indoneisa
- Kumho Petrochemical, South Korea
- Star Paper Mills Limited - India
- Formosa Plastics Group - Taiwan
- Tamil Nadu electricity Board
- Heidelberg Cement - Germany
- Indian Energy Exchange, India
- Antam Resourcindo - Indonesia
- CNBM International Corporation - China
- Australian Commodity Traders Exchange
- PTC India Limited - India
- Goldman Sachs - Singapore
- White Energy Company Limited
- Maharashtra Electricity Regulatory Commission - India
- Electricity Generating Authority of Thailand
- Cigading International Bulk Terminal - Indonesia
- Kepco SPC Power Corporation, Philippines
- Sree Jayajothi Cements Limited - India
- Electricity Authority, New Zealand
- Toyota Tsusho Corporation, Japan
- Altura Mining Limited, Indonesia
- Ind-Barath Power Infra Limited - India
- ASAPP Information Group - India
- Anglo American - United Kingdom
- IEA Clean Coal Centre - UK
- Ministry of Mines - Canada
- Bharathi Cement Corporation - India
- Indonesian Coal Mining Association
- Samtan Co., Ltd - South Korea
- Miang Besar Coal Terminal - Indonesia
- PetroVietnam Power Coal Import and Supply Company
- Gujarat Electricity Regulatory Commission - India
- Independent Power Producers Association of India
- Ambuja Cements Ltd - India
- Mjunction Services Limited - India
- Commonwealth Bank - Australia
- Straits Asia Resources Limited - Singapore
- Carbofer General Trading SA - India
- Coal and Oil Company - UAE
- Deloitte Consulting - India
- Mercator Lines Limited - India
- Bhoruka Overseas - Indonesia
- Sojitz Corporation - Japan
- Riau Bara Harum - Indonesia
- Chettinad Cement Corporation Ltd - India
- Malabar Cements Ltd - India
- Indogreen Group - Indonesia
- Central Electricity Authority - India
- Sical Logistics Limited - India
- Merrill Lynch Commodities Europe
- Semirara Mining Corp, Philippines
- TeaM Sual Corporation - Philippines
- Singapore Mercantile Exchange
- OPG Power Generation Pvt Ltd - India
- Parry Sugars Refinery, India
- Gujarat Mineral Development Corp Ltd - India
- Thiess Contractors Indonesia
- Karbindo Abesyapradhi - Indoneisa
- Price Waterhouse Coopers - Russia
- Australian Coal Association
- Sindya Power Generating Company Private Ltd
- Vizag Seaport Private Limited - India
- International Coal Ventures Pvt Ltd - India
- Kaltim Prima Coal - Indonesia
- Bulk Trading Sa - Switzerland
- SN Aboitiz Power Inc, Philippines
- The State Trading Corporation of India Ltd
- Bukit Asam (Persero) Tbk - Indonesia
- Rio Tinto Coal - Australia
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- Binh Thuan Hamico - Vietnam
- Attock Cement Pakistan Limited
- Savvy Resources Ltd - HongKong
- Lanco Infratech Ltd - India
- Petron Corporation, Philippines
- CIMB Investment Bank - Malaysia
- Georgia Ports Authority, United States
- Ministry of Finance - Indonesia
- Essar Steel Hazira Ltd - India
- Directorate Of Revenue Intelligence - India
- GMR Energy Limited - India
- Kobexindo Tractors - Indoneisa
- Metalloyd Limited - United Kingdom
- Xindia Steels Limited - India
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- Parliament of New Zealand
- AsiaOL BioFuels Corp., Philippines
- Ministry of Transport, Egypt
- Uttam Galva Steels Limited - India
- Siam City Cement PLC, Thailand
- Iligan Light & Power Inc, Philippines
- Vijayanagar Sugar Pvt Ltd - India
- Kapuas Tunggal Persada - Indonesia
- ICICI Bank Limited - India
- Sarangani Energy Corporation, Philippines
- The University of Queensland
- South Luzon Thermal Energy Corporation
- Makarim & Taira - Indonesia
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