We welcome article submissions from experts in the areas of coal, mining,
shipping, etc.
To Submit your article please click here.
|
|
|
Friday, 15 July 11
DRY BULK MARKET SUFFERS NEW BLOW, RETREATS EVEN FURTHER - NIKOS ROUSSANOGLOU, HELLENIC SHIPPING
 The dry bulk market fell even lower yesterday on the back of lower demand for larger vessels, like Capesizes and Panamaxes. The industry’s benchmark, the Baltic Dry Index (BDI) was down by 16 points to 1,367, with the Baltic Capesize Index (BCI) down even further to 1,943 points, while Panamaxes were also among the main “losers” with the Baltic Panamax Index (BPI) falling to 1,606 points as well. By contrast, the smaller vessel types were unchanged yesterday.
In light of this weak demand, it’s useful to take a look on the latest dry bulk demand estimated from BIMCO. According to the analysis, “the healthy demand picture of some 6% demand growth is what keeps the dry bulkers afloat. Despite the multiple disruptions that have already taken place, we see growing demand for almost all commodities. This has certainly prevented a meltdown of freight rates. Many people expected the current doldrums already last year, but extremely strong demand growth in 2010 postponed the hardship into 2011. While Capesize vessels are having the worst time of their lives, Supramaxes have kept up quite well recently – particularly in the Atlantic, where rates have moved more sideways than down. But the overall direction is in tune with all the other dry bulk vessel sizes – and that’s “southbound”. Even the smallest vessel type, Handysize, has not completely withstood the overall downward pressure, as rates in that segment are down 45% in May y-o-y. But if you look closer at 2011 alone, Handysize rates have been very stable in the USD 10,000-12,000 per day interval.
Like the tanker business has already done for some time now, the dry bulk business is settling in for an endurance race, as profitability hits new lows. Queensland, Australia, is getting closer to normal throughput following the severe flooding in January that hampered especially coal exports but also weakened the prospects of an otherwise strong high quality wheat harvest and subsequently strong export volumes. As Australian coking coal exports have been limited due to the extensive floods, the shortage has been spilling over into rising regional coal prices. That has benefitted the US, South African and Columbian exports, which in combination with falling freight costs, has made long distance coal transports competitive.
Extraordinary post-quake demand from Japan remains to be seen and the lack of dry bulk commodity demand from Japan is expected to stay around for another few months. As an exception the steel industry has managed to prevent a massive drop in output and thus also kept raw material imports steady. Official Japanese estimates point at a less than 3% drop in steel production in Q2 as compared to same period last year. Thus Japanese iron ore and coking coal demand have not been great movers in the market and are not really expected to become so throughout the remainder of 2011. What happens in the medium term depends largely on when rebuilding of the nation kicks off big time. Overall Japanese industrial production fell by 14.0% y-o-y in March, this is a significant drop bearing in mind that 1/3 of the month was normal.
Regardless of the slightly softer overall demand picture that is playing out when comparing it to the forecast at the start of the year, demand for most commodities is solid. Iron ore is set to be the best performer of the major bulk commodities at 1,040 million tons (+6% y-o-y) and amongst the minor bulks, cement stand out positively as it claws its way back from the 2009-abyss. The level is still some 15 million tons shy of the 2006-peak, but the cement trade is on course for 91 million tons, which will then be the highest demand on record when you exclude the extraordinary years 2005-2008” said BIMCO’s shipping analyst Peter Sand.
Another interesting insight can be given through the latest trends regarding demolition activity. According to the latest weekly report from Piraeus-based shipbroker, Golden Destiny, “in the demolition market, there has been a subdued sentiment with India offering weaker scrap rates and Bangladesh situation still being vague. Pakistan is trying to bid some tonnage, while China has stepped behind offering the lowest levels. In the bulk carrier segment, capesizes are still on the spotlight with about 47 units reported to have been sent to the scrap yards within the year.
There is a feeling that this trend will continue till the end of the year as capesize time charter equivalent earnings have not yet fully recovered, even though are floating above $10,000/day.
The recent softness in scrap prices has caused some worries about the trend in the coming weeks and some of the buyers and sellers wait and watch before committing to new deals. Rumors that the expected market closure in Bangladesh may not be forced on the beginning of July, leaves hopes for a future spike in rates. Bangladesh is now offering $495/ldt for dry/general cargo and $520/ldt for wet cargo, while in India scrap levels have fallen by $30-$40/ldt from May. It is worth mentioning the intensive scrapping trend in the reefer segment during the last month in the scrap yards of India.
The week ended at a slow pace of demolition activity but at higher levels from previous week with 11 vessels reported to have been headed to the scrap yards of total deadweight 850,332 tons. Bulk carriers have grasped the lion share, 55% of this week’s volume of business with 67% of the scrapping business being centred on large size units, capesizes and VLOC. In terms of the reported number of transactions, the demolition activity has been marked with a 22% week-on-week increase and in terms of the total deadweight sent for scrap there has been a 71% increase. In terms of scrap rates, the highest scrap rate has been achieved this week for M/V “Berge Pacific” 231,851dwt of 33,679 ldt at $505/ldt with buyers option India – Pakistan-Bangladeh. At similar week in 2010, demolition activity in terms of the reported number of transactions was down by 81% than the current levels, when 2 vessels had been reported for scrap of total deadweight 204 mil tons with India offering the highest levels $375/ldt for dry and $400/ldt for wet cargo” concluded Golden Destiny.
Source: Nikos Roussanoglou, Hellenic Shipping
If you believe an article violates your rights or the rights of others, please contact us.
|
|
Wednesday, 20 July 11
DRY BULK MARKET KEEPS ON FALLING ON SOFTENING CONDITIONS - NIKOS ROUSSANOGLOU, HELLENIC SHIPPING
The dry bulk market retreated to lower ground on Tuesday, as the industry’s benchmark, the BDI (Baltic Dry Index) fell to 1,330 points, down b ...
Tuesday, 19 July 11
82 MIO TONS OF COAL TO BE SUPPLIED FOR DOMESTIC MARKET
Indonesian Coal miners were required to supply 82 million tons of coal to Domestic market in this year. This is a 2.53 percent higher than last year ...
Monday, 18 July 11
IMFA BUYS A INDONESIAN COAL MINE FOR USD 8.7 M
Indian Metals and Ferro Alloys (IMFA), the largest producer of ferro chrome in the country, today said it has acquired 70 per cent stake in an Indones ...
Sunday, 17 July 11
THE COAL PRICES ARE SOFTENING DUE TO LESS DEMAND - VISTAAR
COALspot.com: The markets were down last week with BDI down by 6.63 points and closing at 1,353 points. The most affected was Cape index which was d ...
Friday, 15 July 11
BUKIT ASAM 1H COAL SALES UP 44 PERCENT
The state-controlled PT Tambang Batubara Bukit Asam Tbk (PTBA) is estimated to post 6.5 million tons of coal sales in the first half of this year, a ...
|
|
|
Showing 5186 to 5190 news of total 6871 |
|
 |
|
|
|
|
| |
|
 |
|
|
| |
|
- Kohat Cement Company Ltd. - Pakistan
- Savvy Resources Ltd - HongKong
- Karbindo Abesyapradhi - Indoneisa
- Commonwealth Bank - Australia
- Thiess Contractors Indonesia
- Metalloyd Limited - United Kingdom
- SMC Global Power, Philippines
- Global Business Power Corporation, Philippines
- LBH Netherlands Bv - Netherlands
- Bharathi Cement Corporation - India
- Bhushan Steel Limited - India
- Jindal Steel & Power Ltd - India
- Directorate Of Revenue Intelligence - India
- Vedanta Resources Plc - India
- Indogreen Group - Indonesia
- Oldendorff Carriers - Singapore
- Coal and Oil Company - UAE
- Krishnapatnam Port Company Ltd. - India
- India Bulls Power Limited - India
- Ind-Barath Power Infra Limited - India
- Chamber of Mines of South Africa
- Trasteel International SA, Italy
- Economic Council, Georgia
- Larsen & Toubro Limited - India
- Borneo Indobara - Indonesia
- Samtan Co., Ltd - South Korea
- Deloitte Consulting - India
- Maharashtra Electricity Regulatory Commission - India
- Essar Steel Hazira Ltd - India
- Tata Chemicals Ltd - India
- Africa Commodities Group - South Africa
- Mjunction Services Limited - India
- Pendopo Energi Batubara - Indonesia
- Uttam Galva Steels Limited - India
- PNOC Exploration Corporation - Philippines
- London Commodity Brokers - England
- Wilmar Investment Holdings
- Bangladesh Power Developement Board
- Indika Energy - Indonesia
- PetroVietnam Power Coal Import and Supply Company
- Port Waratah Coal Services - Australia
- Semirara Mining Corp, Philippines
- Directorate General of MIneral and Coal - Indonesia
- Alfred C Toepfer International GmbH - Germany
- Meralco Power Generation, Philippines
- Mintek Dendrill Indonesia
- Billiton Holdings Pty Ltd - Australia
- Cigading International Bulk Terminal - Indonesia
- Neyveli Lignite Corporation Ltd, - India
- Kideco Jaya Agung - Indonesia
- Kumho Petrochemical, South Korea
- CNBM International Corporation - China
- Anglo American - United Kingdom
- Rio Tinto Coal - Australia
- Eastern Energy - Thailand
- Indonesian Coal Mining Association
- Baramulti Group, Indonesia
- Bhatia International Limited - India
- GN Power Mariveles Coal Plant, Philippines
- Bukit Baiduri Energy - Indonesia
- International Coal Ventures Pvt Ltd - India
- The University of Queensland
- Bukit Makmur.PT - Indonesia
- Mercator Lines Limited - India
- Ceylon Electricity Board - Sri Lanka
- Aboitiz Power Corporation - Philippines
- Energy Development Corp, Philippines
- GVK Power & Infra Limited - India
- Offshore Bulk Terminal Pte Ltd, Singapore
- Gujarat Sidhee Cement - India
- Ambuja Cements Ltd - India
- Renaissance Capital - South Africa
- Sical Logistics Limited - India
- Orica Mining Services - Indonesia
- Central Java Power - Indonesia
- Ministry of Mines - Canada
- Malabar Cements Ltd - India
- Bhoruka Overseas - Indonesia
- European Bulk Services B.V. - Netherlands
- Star Paper Mills Limited - India
- Price Waterhouse Coopers - Russia
- Siam City Cement - Thailand
- Power Finance Corporation Ltd., India
- OPG Power Generation Pvt Ltd - India
- Indo Tambangraya Megah - Indonesia
- Posco Energy - South Korea
- GMR Energy Limited - India
- Dalmia Cement Bharat India
- Manunggal Multi Energi - Indonesia
- San Jose City I Power Corp, Philippines
- Siam City Cement PLC, Thailand
- Intertek Mineral Services - Indonesia
- Standard Chartered Bank - UAE
- Vizag Seaport Private Limited - India
- Marubeni Corporation - India
- Ministry of Finance - Indonesia
- Meenaskhi Energy Private Limited - India
- Kaltim Prima Coal - Indonesia
- CIMB Investment Bank - Malaysia
- MS Steel International - UAE
- White Energy Company Limited
- Globalindo Alam Lestari - Indonesia
- Heidelberg Cement - Germany
- Lanco Infratech Ltd - India
- Electricity Generating Authority of Thailand
- Kepco SPC Power Corporation, Philippines
- Global Coal Blending Company Limited - Australia
- Eastern Coal Council - USA
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- Kalimantan Lumbung Energi - Indonesia
- PTC India Limited - India
- Minerals Council of Australia
- Coastal Gujarat Power Limited - India
- Vijayanagar Sugar Pvt Ltd - India
- Miang Besar Coal Terminal - Indonesia
- Tamil Nadu electricity Board
- Georgia Ports Authority, United States
- Coalindo Energy - Indonesia
- Wood Mackenzie - Singapore
- Simpson Spence & Young - Indonesia
- TeaM Sual Corporation - Philippines
- Makarim & Taira - Indonesia
- Australian Commodity Traders Exchange
- Sojitz Corporation - Japan
- Pipit Mutiara Jaya. PT, Indonesia
- ASAPP Information Group - India
- Medco Energi Mining Internasional
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- The Treasury - Australian Government
- Asmin Koalindo Tuhup - Indonesia
- SN Aboitiz Power Inc, Philippines
- Antam Resourcindo - Indonesia
- Aditya Birla Group - India
- Riau Bara Harum - Indonesia
- Latin American Coal - Colombia
- Cement Manufacturers Association - India
- Semirara Mining and Power Corporation, Philippines
- Toyota Tsusho Corporation, Japan
- Karaikal Port Pvt Ltd - India
- South Luzon Thermal Energy Corporation
- Attock Cement Pakistan Limited
- Straits Asia Resources Limited - Singapore
- Indian Energy Exchange, India
- Asia Pacific Energy Resources Ventures Inc, Philippines
- Iligan Light & Power Inc, Philippines
- Xindia Steels Limited - India
- Thai Mozambique Logistica
- Australian Coal Association
- Bulk Trading Sa - Switzerland
- Gujarat Electricity Regulatory Commission - India
- Carbofer General Trading SA - India
- Sindya Power Generating Company Private Ltd
- Parry Sugars Refinery, India
- Madhucon Powers Ltd - India
- VISA Power Limited - India
- Agrawal Coal Company - India
- AsiaOL BioFuels Corp., Philippines
- The State Trading Corporation of India Ltd
- Electricity Authority, New Zealand
- Romanian Commodities Exchange
- Altura Mining Limited, Indonesia
- Sinarmas Energy and Mining - Indonesia
- Kobexindo Tractors - Indoneisa
- Edison Trading Spa - Italy
- IHS Mccloskey Coal Group - USA
- Petrochimia International Co. Ltd.- Taiwan
- Timah Investasi Mineral - Indoneisa
- Videocon Industries ltd - India
- Singapore Mercantile Exchange
- PowerSource Philippines DevCo
- Planning Commission, India
- Mercuria Energy - Indonesia
- Bank of Tokyo Mitsubishi UFJ Ltd
- Parliament of New Zealand
- McConnell Dowell - Australia
- Petron Corporation, Philippines
- GAC Shipping (India) Pvt Ltd
- Kapuas Tunggal Persada - Indonesia
- Bayan Resources Tbk. - Indonesia
- Sakthi Sugars Limited - India
- Sree Jayajothi Cements Limited - India
- Gujarat Mineral Development Corp Ltd - India
- Interocean Group of Companies - India
- Jaiprakash Power Ventures ltd
- Leighton Contractors Pty Ltd - Australia
- TNB Fuel Sdn Bhd - Malaysia
- ICICI Bank Limited - India
- Rashtriya Ispat Nigam Limited - India
- SMG Consultants - Indonesia
- Chettinad Cement Corporation Ltd - India
- Maheswari Brothers Coal Limited - India
- Independent Power Producers Association of India
- Binh Thuan Hamico - Vietnam
- Orica Australia Pty. Ltd.
- Energy Link Ltd, New Zealand
- Holcim Trading Pte Ltd - Singapore
- Jorong Barutama Greston.PT - Indonesia
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- Ministry of Transport, Egypt
- IEA Clean Coal Centre - UK
- Bukit Asam (Persero) Tbk - Indonesia
- Therma Luzon, Inc, Philippines
- Salva Resources Pvt Ltd - India
- Barasentosa Lestari - Indonesia
- Grasim Industreis Ltd - India
- Indian Oil Corporation Limited
- Kartika Selabumi Mining - Indonesia
- Bahari Cakrawala Sebuku - Indonesia
- Banpu Public Company Limited - Thailand
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- Formosa Plastics Group - Taiwan
- Global Green Power PLC Corporation, Philippines
- Sarangani Energy Corporation, Philippines
- New Zealand Coal & Carbon
- Goldman Sachs - Singapore
- Merrill Lynch Commodities Europe
- Central Electricity Authority - India
|
| |
| |
|
