COALspot.com keeps you connected across the coal world
  • DEC 2019 INDONESIAN COAL PRICE REFERENCE FOR EXPORTS AND DOMESTIC BUYERS INCLUDING POWER PRODUCERS FIXED AT US$ 66.30 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

Saturday, 07 December 19
SUPRAMAX: OVERALL, THE BALTIC SUPRAMAX INDEX REMAINED IN POSITIVE MODE, DESPITE SOME AREAS LACKING FRESH ACTIVITY - BALTIC BRIEFING
Capesize This week the Capesize market maintained healthy earnings, as an end of year surge took the Capesize 5TC back up to $25,202 by mid-wee ...


Friday, 06 December 19
INDONESIA COAL BENCHMARK PRICE FOR DECEMBER INCREASES BY US 3 CENTS MOM
COALspot.com: The Ministry of Energy and Mineral Resources of the Republic of Indonesia has revised up the benchmark price of Indonesian thermal co ...


Thursday, 05 December 19
IMO 2020 IS ABOUT TO GET REAL - GAVIN THOMPSON
As I write this edition of the APAC Energy Buzz from my desk in Singapore I can see ships. Lots of ships. No surprise given that Singapore is among ...


Wednesday, 04 December 19
FITCH RATINGS: CASH FLOW GENERATION TO SLOW DOWN FOR INDONESIAN COAL MINERS
Fitch Ratings' negative outlook on the Indonesian coal-mining sector reflects our view of weaker cash flow generation on account of declining c ...


Wednesday, 04 December 19
SHIPPING MARKET INSIGHT - INTERMODAL
Dry bulk freight rates rebounded last week, a development that came as a relief following the recent negative sentiment that prevailed in the marke ...


   1 2 3 4 5   
Showing 6 to 10 news of total 5623
News by Category
Popular News
 
Total Members : 26,656
Member
Panelist
User ID
Password
Remember Me
By logging on you accept our TERMS OF USE.
Free
Register
Forgot Password
 
Our Members Are From ...

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