We welcome article submissions from experts in the areas of coal, mining,
shipping, etc.
To Submit your article please click here.
|
|
|
Thursday, 25 November 10
ANALYSIS: COAL SECTOR: VALUE EMERGENCE - THE JAKARTA POST
 Coal demand will remain firm due to a build-up of coal-fired power plants in India, China and Indonesia. As a result, we have upgraded our coal price from US$95 per ton to a range of between $100, 105, 108, 110 and 115 per ton, respectively in 2011, 2012, 2013, 2014 and 2015 (inflation rate of 1 percent thereafter).
Additionally, Indonesia is one of the lowest cost coal producers in the world, which means that coal prices have to adjust with the incremental cost of production of higher-cost structured companies.
Thermal Seaborne coal demand is set to rise by 74 percent to 1,187 million tons in 2025 from 680 million tons in 2010, according to Coaltrans Coal Conference in Amsterdam last month. This is driven by a higher demand from China and India, which currently accounts for about 28 percent of the global thermal coal market.
China, which currently relies on coal to produce 80 percent of its power needs, is installing two new coal-fired power plants per week with capacities of 500 megawatts per plant. This pace will persist at least in the next decade, potentially doubling power capacity by 2020 and adding a 500-gigawatts new coal-fired electricity generation capacity according to the International Energy Agency. We highlight that with China consuming 43 percent of the global thermal coal production, imbalances between its indigenous production and consumption will drive global coal prices higher.
As for India, at present it imports about 8 percent of global coal production. But the number is set to grow to 25 percent by 2015. Indian thermal coal demand is expected to rise 810 million tons, or 131 percent, by 2025, driven by a 158 percent hike in coal-fired power capacity, in line with power demand, which will rise from the current 147 gigawatts to 380 gigawatts by 2025.
Meanwhile, Vietnam, which three years ago was the largest exporter of coal to China, is expected to become a net importer by 2015, putting further pressure on global supply in the medium term. Vietnam currently exports about 50 percent of its production or about 24 million tons, but this will fall to only 3 million tons, despite rising coal production from 48 million tons in 2009 to about 105 million tons in 2025.
Stripping out PT Bayan Resources’ (BYAN’s) price movements, the coal sector has underperformed the market by 9.8 percent year-to-date (ytd). We believe value is emerging, particularly for our top picks, and we raise our sector weighting to overweight.
At this stage, PT Bukit Asam (PTBA) has the highest upside potential based on Discounted Cash Flow (DCF), helped by the inclusion of the Banjarsari power project in our forecasts. We like PTBA’s railway expansion projects, which will increase PTBA’s railway capacity from 11 million tons currently to 47.7 million tons by 2015 or 82.7 million tons by 2018.
This will increase fourfold PTBA’s production from 12.7 million tons to 52.5 million tons by 2015 or by seven fold to 87.5 million tons by 2018. We also like PTBA for its government link, translating to more secured supply contracts to PLN. Additionally, we like its huge reserves (fives times Indonesia’s coal production), which will pave the way for it to become the second-largest coal producer after BUMI starting in 2018.
This means 33 percent compound annual growth rate (CAGR) for earning per share (EPS) in the next five years through 2015. It also has cash reserves of Rp 4.9 trillion with no debt and solid corporate governance. Our second pick is PT Indika Energy or INDY (+27 percent upside), due to Kideco’s strong performance (which contributes 76 percent of its pre-tax profit). This is followed by Adaro Energy (+19 percent), the largest market cap and second-highest average daily turnover after BUMI, which plans to nearly double production from about 42 million tons in 2010 to 80 million tons by 2014.
Surabhi Chopra, The writer is an analyst at PT Bahana Securities Source: The Jakarta Post
If you believe an article violates your rights or the rights of others, please contact us.
|
|
Monday, 27 December 10
HUNT FOR OVERSEAS COAL ASSETS TO INTENSIFY - FINANCIAL EXPRESS
Financial Express reported that, With the Indian economy back on the track after the slowdown, merger and acquisition (M&A) activities in the re ...
Monday, 27 December 10
RIO TINTO EYES AUSTRALIAN COAL MINER - RTE NEWS
Global resources giant Rio Tinto has made a $3.9 billion bid for Australian coal miner Riversdale.
RTE News reported that, Global resources giant ...
Sunday, 26 December 10
ANGLO SELLS AUSTRALIAN COAL ASSETS - BARCELONA NEWS
Barcelona News reported that, Anglo American has sold off undeveloped Australia coal assets for $577 million.
The global resources giant ha ...
Saturday, 25 December 10
FREIGHT MARKET - LOWEST FIXTURES REPORTED SINCE MID 2009 - CAPT. REDDY
COALspot.com - We wish you a Merry Christmas and a Happy New Year 2011.
The holiday season seems to have severely affected the fr ...
Friday, 24 December 10
CIL SHORTLISTS 21 FIRMS TO IMPORT 250 MT COAL - THE HINDU
The Hindu reported that, Coal India plans to import about 250 million tonnes (mt) over the next 10 years to meet the country's growing requirement. ...
|
|
|
Showing 5466 to 5470 news of total 6871 |
|
 |
|
|
|
|
| |
|
 |
|
|
| |
|
- Bukit Baiduri Energy - Indonesia
- SMC Global Power, Philippines
- Altura Mining Limited, Indonesia
- Bukit Asam (Persero) Tbk - Indonesia
- Sinarmas Energy and Mining - Indonesia
- Vedanta Resources Plc - India
- Kapuas Tunggal Persada - Indonesia
- Coal and Oil Company - UAE
- The University of Queensland
- MS Steel International - UAE
- Indian Energy Exchange, India
- Parliament of New Zealand
- Petrochimia International Co. Ltd.- Taiwan
- Borneo Indobara - Indonesia
- Formosa Plastics Group - Taiwan
- Vizag Seaport Private Limited - India
- Kumho Petrochemical, South Korea
- Tata Chemicals Ltd - India
- Ministry of Finance - Indonesia
- LBH Netherlands Bv - Netherlands
- Indian Oil Corporation Limited
- Grasim Industreis Ltd - India
- GN Power Mariveles Coal Plant, Philippines
- Economic Council, Georgia
- Petron Corporation, Philippines
- Australian Commodity Traders Exchange
- Holcim Trading Pte Ltd - Singapore
- Jindal Steel & Power Ltd - India
- Bhushan Steel Limited - India
- The Treasury - Australian Government
- Alfred C Toepfer International GmbH - Germany
- Merrill Lynch Commodities Europe
- Kideco Jaya Agung - Indonesia
- Power Finance Corporation Ltd., India
- Antam Resourcindo - Indonesia
- Minerals Council of Australia
- Aboitiz Power Corporation - Philippines
- Chettinad Cement Corporation Ltd - India
- SMG Consultants - Indonesia
- Maharashtra Electricity Regulatory Commission - India
- Orica Mining Services - Indonesia
- Larsen & Toubro Limited - India
- Planning Commission, India
- The State Trading Corporation of India Ltd
- Gujarat Mineral Development Corp Ltd - India
- Mercator Lines Limited - India
- Directorate Of Revenue Intelligence - India
- Pipit Mutiara Jaya. PT, Indonesia
- Meenaskhi Energy Private Limited - India
- Central Electricity Authority - India
- Sojitz Corporation - Japan
- OPG Power Generation Pvt Ltd - India
- Jaiprakash Power Ventures ltd
- Madhucon Powers Ltd - India
- Thai Mozambique Logistica
- Edison Trading Spa - Italy
- Rio Tinto Coal - Australia
- Offshore Bulk Terminal Pte Ltd, Singapore
- Malabar Cements Ltd - India
- Renaissance Capital - South Africa
- Maheswari Brothers Coal Limited - India
- Billiton Holdings Pty Ltd - Australia
- European Bulk Services B.V. - Netherlands
- Thiess Contractors Indonesia
- Kobexindo Tractors - Indoneisa
- Binh Thuan Hamico - Vietnam
- Uttam Galva Steels Limited - India
- Bangladesh Power Developement Board
- India Bulls Power Limited - India
- Kartika Selabumi Mining - Indonesia
- Videocon Industries ltd - India
- Mercuria Energy - Indonesia
- Latin American Coal - Colombia
- Bukit Makmur.PT - Indonesia
- Iligan Light & Power Inc, Philippines
- ICICI Bank Limited - India
- Georgia Ports Authority, United States
- Aditya Birla Group - India
- GMR Energy Limited - India
- Toyota Tsusho Corporation, Japan
- Kalimantan Lumbung Energi - Indonesia
- TNB Fuel Sdn Bhd - Malaysia
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- Singapore Mercantile Exchange
- McConnell Dowell - Australia
- Sarangani Energy Corporation, Philippines
- Xindia Steels Limited - India
- Central Java Power - Indonesia
- South Luzon Thermal Energy Corporation
- VISA Power Limited - India
- Electricity Authority, New Zealand
- Kohat Cement Company Ltd. - Pakistan
- Karbindo Abesyapradhi - Indoneisa
- Sakthi Sugars Limited - India
- Samtan Co., Ltd - South Korea
- Ceylon Electricity Board - Sri Lanka
- Kaltim Prima Coal - Indonesia
- Gujarat Electricity Regulatory Commission - India
- Global Business Power Corporation, Philippines
- Meralco Power Generation, Philippines
- Eastern Coal Council - USA
- PNOC Exploration Corporation - Philippines
- Sical Logistics Limited - India
- Coastal Gujarat Power Limited - India
- Bahari Cakrawala Sebuku - Indonesia
- Deloitte Consulting - India
- Global Coal Blending Company Limited - Australia
- Standard Chartered Bank - UAE
- Directorate General of MIneral and Coal - Indonesia
- Sindya Power Generating Company Private Ltd
- London Commodity Brokers - England
- Vijayanagar Sugar Pvt Ltd - India
- Wilmar Investment Holdings
- Ambuja Cements Ltd - India
- Barasentosa Lestari - Indonesia
- Bhoruka Overseas - Indonesia
- Simpson Spence & Young - Indonesia
- Indonesian Coal Mining Association
- Tamil Nadu electricity Board
- Bayan Resources Tbk. - Indonesia
- Chamber of Mines of South Africa
- Eastern Energy - Thailand
- IEA Clean Coal Centre - UK
- Gujarat Sidhee Cement - India
- Ind-Barath Power Infra Limited - India
- Commonwealth Bank - Australia
- Savvy Resources Ltd - HongKong
- Straits Asia Resources Limited - Singapore
- International Coal Ventures Pvt Ltd - India
- Intertek Mineral Services - Indonesia
- Indika Energy - Indonesia
- San Jose City I Power Corp, Philippines
- Riau Bara Harum - Indonesia
- Siam City Cement - Thailand
- White Energy Company Limited
- ASAPP Information Group - India
- Makarim & Taira - Indonesia
- PowerSource Philippines DevCo
- Port Waratah Coal Services - Australia
- Global Green Power PLC Corporation, Philippines
- Anglo American - United Kingdom
- Miang Besar Coal Terminal - Indonesia
- Wood Mackenzie - Singapore
- PetroVietnam Power Coal Import and Supply Company
- Ministry of Transport, Egypt
- Agrawal Coal Company - India
- Orica Australia Pty. Ltd.
- Cigading International Bulk Terminal - Indonesia
- Attock Cement Pakistan Limited
- Semirara Mining Corp, Philippines
- Electricity Generating Authority of Thailand
- Indo Tambangraya Megah - Indonesia
- Independent Power Producers Association of India
- SN Aboitiz Power Inc, Philippines
- Kepco SPC Power Corporation, Philippines
- Globalindo Alam Lestari - Indonesia
- Carbofer General Trading SA - India
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- Oldendorff Carriers - Singapore
- Price Waterhouse Coopers - Russia
- Goldman Sachs - Singapore
- IHS Mccloskey Coal Group - USA
- Asmin Koalindo Tuhup - Indonesia
- Romanian Commodities Exchange
- Bhatia International Limited - India
- GAC Shipping (India) Pvt Ltd
- Star Paper Mills Limited - India
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- Bharathi Cement Corporation - India
- Mjunction Services Limited - India
- Dalmia Cement Bharat India
- Posco Energy - South Korea
- Salva Resources Pvt Ltd - India
- Rashtriya Ispat Nigam Limited - India
- New Zealand Coal & Carbon
- Indogreen Group - Indonesia
- Australian Coal Association
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- TeaM Sual Corporation - Philippines
- Baramulti Group, Indonesia
- Timah Investasi Mineral - Indoneisa
- Krishnapatnam Port Company Ltd. - India
- Medco Energi Mining Internasional
- Bank of Tokyo Mitsubishi UFJ Ltd
- CNBM International Corporation - China
- Semirara Mining and Power Corporation, Philippines
- Interocean Group of Companies - India
- Heidelberg Cement - Germany
- Jorong Barutama Greston.PT - Indonesia
- Sree Jayajothi Cements Limited - India
- Parry Sugars Refinery, India
- GVK Power & Infra Limited - India
- Lanco Infratech Ltd - India
- Coalindo Energy - Indonesia
- PTC India Limited - India
- Cement Manufacturers Association - India
- Karaikal Port Pvt Ltd - India
- Ministry of Mines - Canada
- Trasteel International SA, Italy
- Manunggal Multi Energi - Indonesia
- Mintek Dendrill Indonesia
- Pendopo Energi Batubara - Indonesia
- Marubeni Corporation - India
- Africa Commodities Group - South Africa
- Leighton Contractors Pty Ltd - Australia
- Neyveli Lignite Corporation Ltd, - India
- CIMB Investment Bank - Malaysia
- Bulk Trading Sa - Switzerland
- Essar Steel Hazira Ltd - India
- Siam City Cement PLC, Thailand
- Banpu Public Company Limited - Thailand
- Therma Luzon, Inc, Philippines
- Asia Pacific Energy Resources Ventures Inc, Philippines
- Energy Development Corp, Philippines
- AsiaOL BioFuels Corp., Philippines
- Energy Link Ltd, New Zealand
- Metalloyd Limited - United Kingdom
|
| |
| |
|
