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

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 ...


Wednesday, 04 December 19
INDONESIA REVIEWING RULES MANDATING COAL SALES TO LOCAL BUYERS: OFFICIAL - REUTERS
Indonesia is reviewing rules that require coal miners to sell a portion of their coal to local buyers, a government official said on Monday, as sup ...


Tuesday, 03 December 19
STABILITY AND COMPATIBILITY OF VERY LOW SULPHUR FUEL OILS - GARD
In order to meet increasing restrictions on the sulphur content in marine fuel as defined by MARPOL Annex VI Regulation 14.1.3, the characteristics ...


Monday, 02 December 19
COAL PRODUCTION IN INDIA UP BY 164.58 MT IN 5 YEARS - BUSINESS LINE
Raw coal production in the country has increased from 567.77 million tons (MT) in 2013-14 to 730.35 MT in 2018-19, Union Coal and Parliamentary Aff ...


Monday, 02 December 19
OPEC PREPS FOR OIL'S 2020 BALANCING ACT - WOOD MACKENZIE
What steps should OPEC and its non-OPEC partners take to keep the market in balance in 2020? Ahead of OPEC’s meeting in Vienna on 5 and 6 Dec ...


   1 2 3 4 5   
Showing 11 to 15 news of total 5624
News by Category
Popular News
 
Total Members : 26,661
Member
Panelist
User ID
Password
Remember Me
By logging on you accept our TERMS OF USE.
Free
Register
Forgot Password
 
Our Members Are From ...

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