COALspot.com keeps you connected across the coal world
  • APRIL 2019 INDONESIAN COAL PRICE REFERENCE FOR EXPORTS AND DOMESTIC BUYERS EXCEPT POWER PRODUCERS FIXED AT US$ 88.85 A TON
  • SHARE YOUR CORPORATE COAL & SHIPPING NEWS WITH US - NEWS@COALSPOT.COM
  • WE WELCOME ARTICLE SUBMISSIONS FROM EXPERTS IN THE AREAS OF COAL, MINING, SHIPPING, ETC.

Submit Your Articles
We welcome article submissions from experts in the areas of coal, mining, shipping, etc.

To Submit your article please click here.

International Energy Events


WTI Crude Oil

BRENT Crude Oil

Search News
Latest CoalNews Headlines
Wednesday, 22 June 11
BOOMING INDONESIAN COAL EXPORTS - BLEEDING INDIAN POWER INDUSTRY


COALspot.com - Indonesia shipped 28.962 Million tons of coal  in May 2011, up by 15.86 percent compared to April export of about  24.995 million tons, Indonesian coal industry sources said. 56.30 percent up year-to year.

China's Indonesian coal imports have jumped up drastically in May by 2.105 MMt compared to its April imports. Chinese coal imports from Indonesia in May was higher than India's imports from Indonesia. India has imported 6.368 million tons in May where’s China has imported about 8.21 MMt which was 1.841 million MT higher. 

India has lost its largest Indonesian coal importer status to China first time in the last five months. India was the largest Indonesian coal importer since January 2011 followed by China and other Asian countries. China is expected to import more coal in this month and coming months to increase energy supplies to prevent a worsening of its  summer power shortage in seven years.

According to analyst, China faces a power shortfall, and that may extend to 40GW this northern summer, surpassing its 2004 power shortfall. China’s benchmark power-station coal prices rose to the highest since October 2008 as summer electricity demand increased in the world’s fastest-growing major economy, as quoted by Bloomberg its report early this week.

According to Indian coal minister,  Indian coal imports may be at 250 million tons per annum by 2016. Coal imports is unavoidable option for Indian utilities due to non availability of  economically viable coal from domestic mines.  However, according to Indian UMPPs, due to Indonesian government regulation that forces all coal producers must sell coal at government declared monthly prices, would cost them at least US$ 30 per ton higher than they previously budgeted.

"Implementation of this proposed new rule  by the Indonesian government ( I.e., the law mandates all coal producers to sell coal at government declared prices) will adversely impact all existing and future imported coal-based power plants in India, including UMPPs," Ashok Khurana, the Director General of the Association of Power Producers, said as reported by an Indian paper.

“When Indian companies invest in Indonesia, they tend to have the intent to sell coal at cost, so that Indonesian business unit remained at no or negligible profits. Taking a holistic view, however, the cash flows in an integrated Indonesian coal mining and Indian power generation unit after this regulation will continue to be similar, except that income taxes will be paid in Indonesia, and the cash flows will need to be brought on the books on Indian power project after paying taxes in Indonesia through appropriate and innovative business structuring,” said Dipesh Dipu, director, at Deloitte, mydigitalfc reported.


Indonesia has introduced bench mark pricing mechanism for its coal  since February 2010, and it has implemented for the domestic supplies as well export market. The pricing was done on very transparent way using four internationally acceptable coal indices to generate monthly Indonesian coal reference prices for about 62 types of coal including 8 types of bench mark qualities.

The regulation also requires miners to report sales volumes, prices, and buyers every month to the government, allowing it to ensure that the rules are being followed. Violations can lead to revocation of mining permits. The price benchmark aims to prevent firms selling coal to affiliates at low prices to avoid taxes that hurts Indonesia's efforts to collect revenues from its massive commodity exports.

Ministry of Energy and Mineral Resources of Indonesia has set the June 2011 Indonesian Coal Reference Price for thermal coal at US$ 119.03 per ton per ton, which was 1.20 percent higher than May 2011 price of US$ US$ 117.61. Assessment basis of coal price reference was calculated considering coal with GCV (GAR)  6,322 kcal/kg, Total Moisture (arb) 8.00%, Total Sulphur (arb) 0.8%, Ash Content (arb) 15.00% and  delivery free on Board (FOB) Vessel basis  and applicable for spot contract, delivery between 1 – 30 June 2011.

Indonesian bituminous coal of 5,500 kcal/kg NAR was offered at between $ 108 - 110 a ton, FOB vessel basis this week, slightly up from last week price, traders said.

According to Indian power industry sources opined that  Indian UMPPs ( ultra-mega power project) suddenly caught in between as the concept of UMPP was implemented 4 to 5 years back. The large scale industrial houses in India  have bided and secured UMPP licenses based on the open market prices /long term coal contracts from Indonesian producers (I.e., pre regulated Indonesian market). Now that Indonesian coal reference price mechanism is in place all the UMPP's are seeking Indian government’s assistance in revising the Power Tariff of UMPP.

Now, the bankers who have funded the projects are bit worried about the rising Indonesian coal costs versus the power sales price which was pegged at pre-regulation prices, Indian banking industry sources said. Now, we need to see whether Indian Government allows the UMPPs to revise the power sale prices based on Indonesian coal reference price mechanism.

As such India cement and steel industries were used to buy coal from South Africa and Australia on index base pricing mechanism since last four to five years. in view of the attractive profit margin levels, entire Indonesian coal producers migrated to Index based pricing for coal contracts . “Where's still many of the Indian utilities and private consumers are still procuring the coal on firm delivered basis. This concept is creating lot of confusion in the Indian trade circles” an Indian trader commented.

77.12 percent of total coal exports in May goes to China, India, South Korea, Japan and Taiwan respectively.

The coal export information within this article is provided by coalspot.com on an "as is" and "as available” basis. All details about, given in good faith, without guarantee. While every care has been taken to ensure the accuracy of information furnished in this article. COALspot.com shall be obliged if errors / omissions are brought to its notice for carrying out corrections in this article.



If you believe an article violates your rights or the rights of others, please contact us.

Recent News

Wednesday, 24 April 19
PANAMAX: IN THE EAST, THE MARKET MOVED SIDE-WAYS, WITH FEWER COAL CARGOES FROM INDONESIA PUTTING PRESSURE ON RATES - INTERMODAL
Sentiment in the Dry Bulk market slowly but steadily kept improving last week as Capesize rates remained in recovery mode and Panamax earnings also ...


Wednesday, 24 April 19
SHIPPING MARKET INSIGHT - IS THIS A BANKERS' MARKET? - INTERMODAL
Over the last 10 years, many of the traditional and top lending banks have made the decision to either downsize their portfolios or even exit shipp ...


Monday, 22 April 19
COAL INDIA TO ASK POWER PLANTS TO CUT COAL IMPORTS - DNA
Co to encourage import substitution with domestic supplies at power plants   Surge in coal imports has now forced Coal India Ltd (CIL) ...


Thursday, 18 April 19
BIMCO SEES HARD TIMES AHEAD FOR CAPESIZES
China’s increased use of scrap metal for its production of crude steel is fundamentally critical to the dry bulk shipping industry. Mostly Ca ...


Wednesday, 17 April 19
ONCE AGAIN WE FACED WITH THE SITUATION OF THE DRY BALTIC INDEX BEING BELOW 1,000 POINTS - INTERMODAL
Once again we are faced with the situation of the Dry Baltic Index being below 1,000 points. In a market where the feeling of insecurity is almost ...


   1 2 3 4 5   
Showing 1 to 5 news of total 5458
News by Category
Popular News
 
Total Members : 26,075
Member
Panelist
User ID
Password
Remember Me
By logging on you accept our TERMS OF USE.
Free
Register
Forgot Password
 
Our Members Are From ...

  • NTPC Limited - India
  • Central Electricity Authority - India
  • Siam City Cement - Thailand
  • IOL Indonesia
  • Price Waterhouse Coopers - Russia
  • Thomson Reuters GRC
  • Kartika Selabumi Mining - Indonesia
  • Eastern Coal Council - USA
  • Gujarat Sidhee Cement - India
  • Kohat Cement Company Ltd. - Pakistan
  • Tata Power - India
  • Mjunction Services Limited - India
  • Inspectorate - India
  • CNBM International Corporation - China
  • Parliament of New Zealand
  • Adaro Indonesia
  • Thriveni
  • Indian Oil Corporation Limited
  • Essar Steel Hazira Ltd - India
  • Salva Resources Pvt Ltd - India
  • Dong Bac Coal Mineral Investment Coporation - Vietnam
  • New Zealand Coal & Carbon
  • NALCO India
  • Formosa Plastics Group - Taiwan
  • Bangladesh Power Developement Board
  • The State Trading Corporation of India Ltd
  • Australian Commodity Traders Exchange
  • Shree Cement - India
  • Malco - India
  • OCBC - Singapore
  • Infraline Energy - India
  • Medco Energi Mining Internasional
  • Altura Mining Limited, Indonesia
  • India Bulls Power Limited - India
  • Intertek Mineral Services - Indonesia
  • Aditya Birla Group - India
  • Globalindo Alam Lestari - Indonesia
  • Arch Coal - USA
  • Economic Council, Georgia
  • Maruti Cements - India
  • Barclays Capital - USA
  • Merrill Lynch Commodities Europe
  • Glencore India Pvt. Ltd
  • Australian Coal Association
  • Thai Mozambique Logistica
  • Rio Tinto Coal - Australia
  • Aboitiz Power Corporation - Philippines
  • Rashtriya Ispat Nigam Limited - India
  • EMO - The Netherlands
  • Humpuss - Indonesia
  • Larsen & Toubro Limited - India
  • SUEK AG - Indonesia
  • Cement Manufacturers Association - India
  • GNFC Limited - India
  • Freeport Indonesia
  • Bank of China, Malaysia
  • Pinang Coal Indonesia
  • PTC India Limited - India
  • Samsung - South Korea
  • Gujarat Mineral Development Corp Ltd - India
  • Commonwealth Bank - Australia
  • Thailand Anthracite
  • Coaltrans Conferences
  • EIA - United States
  • Kobe Steel Ltd - Japan
  • Mercuria Energy - Indonesia
  • Dr Ramakrishna Prasad Power Pvt Ltd - India
  • Orica Australia Pty. Ltd.
  • Ambuja Cements Ltd - India
  • UOB Asia (HK) Ltd
  • Indika Energy - Indonesia
  • Kobexindo Tractors - Indoneisa
  • Timah Investasi Mineral - Indoneisa
  • Alfred C Toepfer International GmbH - Germany
  • CIMB Investment Bank - Malaysia
  • Planning Commission, India
  • IEA Clean Coal Centre - UK
  • Wood Mackenzie - Singapore
  • BRS Brokers - Singapore
  • MS Steel International - UAE
  • TeaM Sual Corporation - Philippines
  • The Treasury - Australian Government
  • Platts
  • Vale Mozambique
  • TANGEDCO India
  • Kaltim Prima Coal - Indonesia
  • Bank of Tokyo Mitsubishi UFJ Ltd
  • Deloitte Consulting - India
  • KPCL - India
  • Central Java Power - Indonesia
  • South Luzon Thermal Energy Corporation
  • Vedanta Resources Plc - India
  • Kumho Petrochemical, South Korea
  • Directorate General of MIneral and Coal - Indonesia
  • Coal Orbis AG
  • Grasim Industreis Ltd - India
  • Riau Bara Harum - Indonesia
  • Mitsubishi Corporation
  • Mercator Lines Limited - India
  • World Coal - UK
  • Georgia Ports Authority, United States
  • Surastha Cement
  • White Energy Company Limited
  • Cargill India Pvt Ltd
  • Tanito Harum - Indonesia
  • Peabody Energy - USA
  • Bukit Makmur.PT - Indonesia
  • PLN Batubara - Indonesia
  • Maersk Broker
  • European Bulk Services B.V. - Netherlands
  • Ernst & Young Pvt. Ltd.
  • Sojitz Corporation - Japan
  • Ministry of Mines - Canada
  • Xstrata Coal
  • Merrill Lynch Bank
  • London Commodity Brokers - England
  • Tamil Nadu electricity Board
  • TNPL - India
  • CCIC - Indonesia
  • Posco Energy - South Korea
  • Africa Commodities Group - South Africa
  • Bhatia International Limited - India
  • Vizag Seaport Private Limited - India
  • JPMorgan - India
  • Deutsche Bank - India
  • Sinarmas Energy and Mining - Indonesia
  • Coal and Oil Company - UAE
  • Standard Chartered Bank - UAE
  • APGENCO India
  • U S Energy Resources
  • MEC Coal - Indonesia
  • Bulk Trading Sa - Switzerland
  • Adani Power Ltd - India
  • Bank of America
  • Asian Development Bank
  • ETA - Dubai
  • Filglen & Citicon Mining (HK) Ltd - Hong Kong
  • Russian Coal LLC
  • UBS Singapore
  • Ministry of Finance - Indonesia
  • Jaiprakash Power Ventures ltd
  • Vijayanagar Sugar Pvt Ltd - India
  • Qatrana Cement - Jordan
  • Credit Suisse - India
  • PowerSource Philippines DevCo
  • Power Finance Corporation Ltd., India
  • Sree Jayajothi Cements Limited - India
  • Oldendorff Carriers - Singapore
  • McKinsey & Co - India
  • HSBC - Hong Kong
  • Directorate Of Revenue Intelligence - India
  • Straits Asia Resources Limited - Singapore
  • Agrawal Coal Company - India
  • IBC Asia (S) Pte Ltd
  • Chettinad Cement Corporation Ltd - India
  • Leighton Contractors Pty Ltd - Australia
  • Marubeni Corporation - India
  • KOWEPO - South Korea
  • Jorong Barutama Greston.PT - Indonesia
  • Britmindo - Indonesia
  • Antam Resourcindo - Indonesia
  • Cosco
  • Borneo Indobara - Indonesia
  • Core Mineral Indonesia
  • Platou - Singapore
  • IMC Shipping - Singapore
  • Indo Tambangraya Megah - Indonesia
  • Banpu Public Company Limited - Thailand
  • International Coal Ventures Pvt Ltd - India
  • Lafarge - France
  • Bangkok Bank PCL
  • Sucofindo - Indonesia
  • Metalloyd Limited - United Kingdom
  • Madhucon Powers Ltd - India
  • Malabar Cements Ltd - India
  • Savvy Resources Ltd - HongKong
  • Meenaskhi Energy Private Limited - India
  • Kapuas Tunggal Persada - Indonesia
  • World Bank
  • Gupta Coal India Ltd
  • Bahari Cakrawala Sebuku - Indonesia
  • Indian School of Mines
  • Maheswari Brothers Coal Limited - India
  • Indonesia Power. PT
  • Ceylon Electricity Board - Sri Lanka
  • KEPCO - South Korea
  • Romanian Commodities Exchange
  • Binh Thuan Hamico - Vietnam
  • Kalimantan Lumbung Energi - Indonesia
  • The University of Queensland
  • PNOC Exploration Corporation - Philippines
  • Wilmar Investment Holdings
  • Toyota Tsusho Corporation, Japan
  • Singapore Mercantile Exchange
  • Truba Alam Manunggal Engineering.Tbk - Indonesia
  • GB Group - China
  • Argus Media - Singapore
  • Japan Coal Energy Center
  • Idemitsu - Japan
  • Latin American Coal - Colombia
  • GAC Shipping (India) Pvt Ltd
  • Moodys - Singapore
  • Indonesian Coal Mining Association
  • Ind-Barath Power Infra Limited - India
  • Independent Power Producers Association of India
  • Noble Europe Ltd - UK
  • Panama Canal Authority
  • Coalindo Energy - Indonesia
  • Xindia Steels Limited - India
  • Bayan Resources Tbk. - Indonesia
  • PLN - Indonesia
  • GVK Power & Infra Limited - India
  • Bukit Asam (Persero) Tbk - Indonesia
  • Bukit Baiduri Energy - Indonesia
  • Pendopo Energi Batubara - Indonesia
  • ANZ Bank - Australia
  • Enel Italy
  • Holcim Trading Pte Ltd - Singapore
  • Thiess Contractors Indonesia
  • Maybank - Singapore
  • Tata Chemicals Ltd - India
  • GMR Energy Limited - India
  • IHS Mccloskey Coal Group - USA
  • RBS Sempra - UK
  • Neyveli Lignite Corporation Ltd, - India
  • Samtan Co., Ltd - South Korea
  • Runge Indonesia
  • Cigading International Bulk Terminal - Indonesia
  • Trasteel International SA, Italy
  • Bhushan Steel Limited - India
  • JPower - Japan
  • J M Baxi & Co - India
  • Total Coal South Africa
  • Geoservices-GeoAssay Lab
  • The India Cements Ltd
  • BNP Paribas - Singapore
  • Heidelberg Cement - Germany
  • Thermax Limited - India
  • Petrochimia International Co. Ltd.- Taiwan
  • bp singapore
  • Interocean Group of Companies - India
  • Mitra SK Pvt Ltd - India
  • GHCL Limited - India
  • Kideco Jaya Agung - Indonesia
  • SMG Consultants - Indonesia
  • Coal India Limited
  • Siam City Cement PLC, Thailand
  • Goldman Sachs - Singapore
  • Sical Logistics Limited - India
  • Minerals Council of Australia
  • Renaissance Capital - South Africa
  • ASAPP Information Group - India
  • Berau Coal - Indonesia
  • Electricity Generating Authority of Thailand
  • WorleyParsons
  • PetroVietnam Power Coal Import and Supply Company
  • Indorama - Singapore
  • ICICI Bank Limited - India
  • Gresik Semen - Indonesia
  • Orica Mining Services - Indonesia
  • Coeclerici Indonesia
  • SGS (Thailand) Limited
  • Simpson Spence & Young - Indonesia
  • Uttam Galva Steels Limited - India
  • Offshore Bulk Terminal Pte Ltd, Singapore
  • PetroVietnam
  • Rudhra Energy - India
  • Barasentosa Lestari - Indonesia
  • VISA Power Limited - India
  • CoalTek, United States
  • Cemex - Philippines
  • Makarim & Taira - Indonesia
  • SRK Consulting
  • Arutmin Indonesia
  • Edison Trading Spa - Italy
  • ACC Limited - India
  • CESC Limited - India
  • Krishnapatnam Port Company Ltd. - India
  • Reliance Power - India
  • Mechel - Russia
  • Chamber of Mines of South Africa
  • Energy Link Ltd, New Zealand
  • Global Coal Blending Company Limited - Australia
  • Petrosea - Indonesia
  • Manunggal Multi Energi - Indonesia
  • Shenhua Group - China
  • Jindal Steel & Power Ltd - India
  • Dalmia Cement Bharat India
  • Carbofer General Trading SA - India
  • Asmin Koalindo Tuhup - Indonesia
  • OPG Power Generation Pvt Ltd - India
  • Ministry of Transport, Egypt
  • Fearnleys - India
  • Karaikal Port Pvt Ltd - India
  • Sakthi Sugars Limited - India
  • Star Paper Mills Limited - India
  • Asia Cement - Taiwan
  • Ince & co LLP
  • Videocon Industries ltd - India
  • KPMG - USA
  • Permata Bank - Indonesia
  • Billiton Holdings Pty Ltd - Australia
  • Jatenergy - Australia
  • Lanco Infratech Ltd - India
  • Bharathi Cement Corporation - India
  • Clarksons - UK
  • globalCOAL - UK
  • Mintek Dendrill Indonesia
  • Cardiff University - UK
  • McConnell Dowell - Australia
  • Coastal Gujarat Power Limited - India
  • Karbindo Abesyapradhi - Indoneisa
  • Inco-Indonesia
  • Port Waratah Coal Services - Australia
  • Parry Sugars Refinery, India
  • Indogreen Group - Indonesia
  • Attock Cement Pakistan Limited
  • Bhoruka Overseas - Indonesia
  • Maharashtra Electricity Regulatory Commission - India
  • Sindya Power Generating Company Private Ltd
  • Mitsui
  • Eastern Energy - Thailand
  • ING Bank NV - Singapore
  • Anglo American - United Kingdom
  • Vitol - Bahrain
  • SASOL - South Africa
  • LBH Netherlands Bv - Netherlands
  • DBS Bank - Singapore
  • Miang Besar Coal Terminal - Indonesia
  • TNB Fuel Sdn Bhd - Malaysia
  • Gujarat Electricity Regulatory Commission - India