COALspot.com keeps you connected across the coal world
  • JANAURY 2021 INDONESIAN COAL PRICE REFERENCE FOR EXPORTS FIXED AT US$ 75.84 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

Thursday, 25 February 21
2020 PROVED TO BE A TRULY TERRIBLE YEAR FOR SEABORNE COAL TRADE - BANCHERO COSTA
Total loadings in the 12 months of 2020 were down -12.7% year-on-year to 1,130 million tonnes, according to vessels tracking data from Refinitiv, s ...


Wednesday, 24 February 21
MARKET INSIGHT - INTERMODAL
With yields of up to 563%, the shares of Greek shipping companies listed on Wall Street are recorded. The Coronavirus pandemic has not significantl ...


Sunday, 21 February 21
ANZ DIVESTING FROM THE WORLD’S LARGEST COAL EXPORT PORT IS 'PRAGMATISM' - IEEFA
The biggest buyers of Australian thermal coal have committed to net-zero emissions ANZ, Australia’s third largest bank, has decided to s ...


Sunday, 21 February 21
EDITORIAL: TIME FOR BANGLADESH TO FOCUS ON RENEWABLE ENERGY, NOT COAL - DHAKA TRIBUNE
Shifting away from coal is not only desirable, but absolutely necessary in these times.   In spite of being detrimental to environment ...


Wednesday, 17 February 21
STRANDED ASSETS A LONG-TERM RISK FOR MAJOR FOSSIL FUEL EXPORTERS - FITCH RATINGS
Fossil exporters face a loss of GDP, government revenue and export receipts from the transition to a lower-carbon economy over the coming decades. ...


   1 2 3 4 5   
Showing 1 to 5 news of total 6235
News by Category
Popular News
 
Total Members : 27,305
Member
Panelist
User ID
Password
Remember Me
By logging on you accept our TERMS OF USE.
Free
Register
Forgot Password
 
Our Members Are From ...

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