COALspot.com keeps you connected across the coal world
  • JULY 2019 INDONESIAN COAL PRICE REFERENCE FOR EXPORTS AND DOMESTIC BUYERS EXCEPT POWER PRODUCERS FIXED AT US$ 71.92 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, 13 June 12
LOW COAL PRICES COULD CHANGE SUPPLY SIDE DYNAMICS - FITCH RATINGS


Fitch Ratings believes that the weakness seen in thermal coal prices in recent months should reverse once demand from major importers recovers, although there is a risk low prices may persist into 2013, changing the industry's supply side dynamics.

The price of thermal coal (5,500 kcal coal at Newcastle Australia on a free-on-board basis) reached a two-year low of USD87 per metric ton in early June 2012, down from USD142/mt in January 2011. Major reasons for this decline include China's economic slowdown and high coal inventory levels, increased production and exports from Indonesia and Australia, and increased exports by US coal producers due to cheap natural gas displacing coal used in US power generation.

Fitch believes that prices can recover from current lows once demand from key importers - China and India - improves, and the supply side adjusts to reflect the price environment.  India depends on coal as its major energy source and is increasingly relying on imported coal as it struggles to increase domestic production. Likewise in China, thermal coal fired power represents more than 70% of the country's energy needs; Fitch believes thermal coal demand from China will lift again post sufficient policy easing by the government, and continue rising over the medium-to-long term in line with the country's strong GDP growth outlook, albeit lower than previous years.

The weak pricing environment is exposing the business risks of high-cost coal producers, as coal prices fall near or below the marginal cost of production. Many Australian producers have high cash costs of production; such operators will be significantly affected if prices remain low for an extended period. At the same time, sustained low coal prices can shift buyers from low-rank coal to higher-grade coals and thus negatively affect both demand and realized prices for low-rank coal.

Fitch notes that many large coal producers have contracts in place with both volumes and prices fixed, typically for a period of one year; such contracts can account for a meaningful share of their total revenues - for example around 65% for Adaro Indonesia ('BB+'/Stable) and around 45% PT Indika Energy ('B+'/Positive). These operators would be insulated from a temporary weakening of coal prices to some extent. However, should low prices persist through 2012 and into 2013, it will negatively affect the prices they negotiate for 2013; such negotiations typically take place in Q4 and Q1 of each calendar year.

Should the current low price environment persist into 2013, Fitch expects high-cost producers in Australia and the US to undertake production cuts, and review expansion projects under consideration. Fitch also believes that production expansion plans by low-cost producing countries like Indonesia may be curtailed.  Such actions would limit coal production levels (or growth) and help address oversupply.

In rating companies producing commodities, like coal, Fitch takes a through-the-cycle approach to its ratings; this factors in a reasonable level of rating headroom to accommodate weakening of coal prices. Cash cost of production and cash margins over an industry cycle are given a heavy emphasis and factored into the ratings. Hence, Fitch does not expect any immediate negative rating actions on its rated coal producers in the Asia-Pacific region. 
Source: Fitch Ratings



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

Recent News

Tuesday, 11 June 19
INDONESIAN COAL PRICE REFERENCE SET AT $81.48 PER TON IN JUNE, DOWN 15.66 PERCENT YEAR-ON-YEAR
COALspot.com: The Ministry of Energy and Mineral Resources of the Republic of Indonesia has revised down again the benchmark price of Indonesian th ...


Monday, 10 June 19
CONSECUTIVE OWNERS OF CARGO: WHO HOLDS TITLE AND THE RIGHT TO SUE? - COLIN BIGGERS & PAISLEY
KNOWLEDGE TO ELEVATE In Tritton Resources Pty Ltd v Ever Rock Navigation S.A. [2019] FCA 276, the Federal Court considered the application of ...


Monday, 10 June 19
KOSPO INVITES BIDS FOR 1,305,000 MT OF MIN 5600 KCAL/KG NCV COAL FOR SEPT 2019 TO DEC 2021
COALspot.com: South Korea state-owned utility Korea Southern Power Co. Ltd (KOSPO) issued a tender for 435,000 MT (per year) of max 5,600 kcal/kg N ...


Sunday, 09 June 19
SUPRAMAX: ASIA LOST GROUND; THE INDIAN OCEAN SAW SLOWER ACTIVITY - BALTIC BRIEFING
Capesize The market continued in an unusually steady ascent last week. With no major news in the market, each day improved on the last, breakin ...


Friday, 07 June 19
KOEN INVITED BIDS FOR 1.87 MILLION TONS OF COAL FOR JULY - OCTOBER 2019 DELIVERY
COALspot.com: South Korea’s KOREA SOUTH-EAST POWER CO., LTD. (KOEN) has issued an international tender for 1,700,000 to 1,870,000 Metric Tons ...


   4 5 6 7 8   
Showing 26 to 30 news of total 5508
News by Category
Popular News
 
Total Members : 26,344
Member
Panelist
User ID
Password
Remember Me
By logging on you accept our TERMS OF USE.
Free
Register
Forgot Password
 
Our Members Are From ...

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