COALspot.com keeps you connected across the coal world
  • JUNE 2020 INDONESIAN COAL PRICE REFERENCE FOR EXPORTS AND DOMESTIC BUYERS INCLUDING POWER PRODUCERS FIXED AT US$ 52.98 A TON

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, 01 July 20
COLOMBIA'S COAL EXPORT VOLUMES HAVE STEADILY DECLINED IN RECENT YEARS - BANCHERO COSTA
Colombia is the world’s fifth largest seaborne exporter of coal, coming after Australia, Indonesia, Russia and the USA.   Export ...


Wednesday, 01 July 20
MARKET INSIGHT - INTERMODAL
It was beginning of 2020 – close to 6 months from now – when we first experienced the huge impact of the COVID 19 outbreak on Ship Repa ...


Monday, 29 June 20
INDONESIAN COAL AT THE MERCY OF THE DRAGON AND TIGER - GHEE PEH | IEEFA
Coal sector analysts have been busy in recent months mapping the negative impact of low coal prices from the COVID-19 pandemic on Indonesian coal c ...


Monday, 29 June 20
FALLING DEMAND IN CHINA AND INDIA SIGNAL TOUGH TIMES AHEAD FOR INDONESIAN EXPORTS - GHEE PEH | EEFA
Assessing the Impact on Indonesian Coal Companies   The bad news for Indonesia’s coal companies is that they are likely to have ...


Monday, 29 June 20
INDIA COAL IMPORT OUTLOOK: WEAK DEMAND, IMPORT SUBSTITUTION, EXPECT 20% YOY DECLINE - GHEE PEH | IEEFA
For India, the coal demand indicators have clearly turned negative.    According to Argus Media, since the government declared a ...


   1 2 3 4 5   
Showing 11 to 15 news of total 5994
News by Category
Popular News
 
Total Members : 26,978
Member
Panelist
User ID
Password
Remember Me
By logging on you accept our TERMS OF USE.
Free
Register
Forgot Password
 
Our Members Are From ...

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