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Thursday, 07 April 16
CHINA STEEL CAPACITY CUTS FACE SOCIAL, FINANCIAL HURDLES - FITCH RATINGS
 Fitch Ratings says today that the Chinese government's supply-side reform of the steel sector faces immense social and financial challenges. The government earlier this year said it aimed to eliminate 100 million to 150 million tonnes of capacity by 2020. The complete elimination of these capacities will likely result in significant job losses in the labour-intensive sector and huge financial losses, given the highly levered nature of most companies in the industry.
We believe that unless specific actions are taken to address these challenges, rapid capacity elimination in the Chinese steel sector is unlikely. This would in turn mean prices are likely to remain low, resulting in higher liquidity and default risks for steelmakers, many of which expanded rapidly since 2012 funded by short-term debt.
Based on industry productivity norms of 300 tonnes of steel per year per employee in China, elimination of 150 million tonnes of capacity would mean the loss of around 500,000 jobs in the industry, and potentially more in ancillary industries. This number may not appear large relative to China's working population, but the steel industry tends to by highly geographically concentrated. Layoffs in regions where steelmakers are large employers could result in prolonged dampening of related industries such transportation, power generation, and even retail.
Furthermore, the sector is highly financially levered, with the average debt-to-asset ratio at more than 70%. We estimate the industry has total debt of CNY3trn-4trn, excluding upstream funding through payables and unpaid staff costs. Out of this debt, one third is in the form of bank loans. Even the shutdown of 100 million tonnes of capacity, a reduction of less than10% of existing capacity, could significantly hurt lenders.
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Monday, 11 April 16
BDI ROSE TO ITS HIGHEST LEVEL IN FOUR MONTHS
COALspot.com: The Baltic Exchange, tracking rates for ships carrying dry bulk commodities continued to rose this week.
The freight market was ...
Friday, 08 April 16
COASTAL ENERGEN CROSSES GENERATION OF 1068 MW AND EXPORT OF 1004 MW FROM ITS 1200 MW IPP
COALspot.com: Coal & Oil (C&O) Group, an India centric Energy & Infrastructure company announced that their Coastal Energen' ...
Friday, 08 April 16
WEEKLY US COAL PRODUCTION ESTIMATES DIP 5.4% TO 11 MMST
COALspot.com – United States the world’s second largest coal producer has produced approximately totaled an estimated 11 million short ...
Friday, 08 April 16
MINISTER OF ENERGY AND MINERAL RESOURCES OF INDONESIA TO ISSUE REGULATION TO GUARANTEE THE COAL SUPPLY TO ITS 35K POWER PLANT PROJECTS
COALspot.com: In order to guarantee the supply of coal for 35,000 megawatt (mw) coal based power plants ( still in planning stage), the Minister of ...
Thursday, 07 April 16
PANAMAX RATES ARE FIRMING IN BOTH HEMISHEPHERES - FEARNLEYS
Capesize
With a great volume our of west Australia, rates were finally moving to upper 3's. and stabilizing towards the middle of the week in ...
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- Coalindo Energy - Indonesia
- Xindia Steels Limited - India
- Makarim & Taira - Indonesia
- Kideco Jaya Agung - Indonesia
- Aditya Birla Group - India
- Tata Chemicals Ltd - India
- Bahari Cakrawala Sebuku - Indonesia
- Ceylon Electricity Board - Sri Lanka
- Neyveli Lignite Corporation Ltd, - India
- Power Finance Corporation Ltd., India
- Bhoruka Overseas - Indonesia
- Marubeni Corporation - India
- Medco Energi Mining Internasional
- Goldman Sachs - Singapore
- Banpu Public Company Limited - Thailand
- Essar Steel Hazira Ltd - India
- Bulk Trading Sa - Switzerland
- Ind-Barath Power Infra Limited - India
- Aboitiz Power Corporation - Philippines
- SMG Consultants - Indonesia
- OPG Power Generation Pvt Ltd - India
- Grasim Industreis Ltd - India
- Port Waratah Coal Services - Australia
- ASAPP Information Group - India
- Independent Power Producers Association of India
- Eastern Energy - Thailand
- Gujarat Sidhee Cement - India
- Wilmar Investment Holdings
- Vijayanagar Sugar Pvt Ltd - India
- Latin American Coal - Colombia
- Savvy Resources Ltd - HongKong
- European Bulk Services B.V. - Netherlands
- Kartika Selabumi Mining - Indonesia
- CIMB Investment Bank - Malaysia
- Central Java Power - Indonesia
- Asmin Koalindo Tuhup - Indonesia
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- Mercuria Energy - Indonesia
- Indian Energy Exchange, India
- Orica Australia Pty. Ltd.
- MS Steel International - UAE
- GMR Energy Limited - India
- Electricity Authority, New Zealand
- Thiess Contractors Indonesia
- Metalloyd Limited - United Kingdom
- Toyota Tsusho Corporation, Japan
- Barasentosa Lestari - Indonesia
- San Jose City I Power Corp, Philippines
- Salva Resources Pvt Ltd - India
- Malabar Cements Ltd - India
- Kalimantan Lumbung Energi - Indonesia
- Maharashtra Electricity Regulatory Commission - India
- Jorong Barutama Greston.PT - Indonesia
- Cigading International Bulk Terminal - Indonesia
- Bukit Asam (Persero) Tbk - Indonesia
- New Zealand Coal & Carbon
- Romanian Commodities Exchange
- Maheswari Brothers Coal Limited - India
- Vizag Seaport Private Limited - India
- Gujarat Mineral Development Corp Ltd - India
- Chamber of Mines of South Africa
- Billiton Holdings Pty Ltd - Australia
- Mintek Dendrill Indonesia
- The University of Queensland
- Simpson Spence & Young - Indonesia
- Parry Sugars Refinery, India
- Australian Commodity Traders Exchange
- Singapore Mercantile Exchange
- Chettinad Cement Corporation Ltd - India
- Coal and Oil Company - UAE
- Georgia Ports Authority, United States
- TeaM Sual Corporation - Philippines
- Planning Commission, India
- South Luzon Thermal Energy Corporation
- Wood Mackenzie - Singapore
- Bangladesh Power Developement Board
- Price Waterhouse Coopers - Russia
- Sojitz Corporation - Japan
- Oldendorff Carriers - Singapore
- Siam City Cement - Thailand
- Borneo Indobara - Indonesia
- Globalindo Alam Lestari - Indonesia
- Jindal Steel & Power Ltd - India
- Kepco SPC Power Corporation, Philippines
- Therma Luzon, Inc, Philippines
- Ambuja Cements Ltd - India
- Sindya Power Generating Company Private Ltd
- Indogreen Group - Indonesia
- Sinarmas Energy and Mining - Indonesia
- PetroVietnam Power Coal Import and Supply Company
- Antam Resourcindo - Indonesia
- Riau Bara Harum - Indonesia
- Sarangani Energy Corporation, Philippines
- AsiaOL BioFuels Corp., Philippines
- Kobexindo Tractors - Indoneisa
- Timah Investasi Mineral - Indoneisa
- Global Coal Blending Company Limited - Australia
- Straits Asia Resources Limited - Singapore
- Sree Jayajothi Cements Limited - India
- Renaissance Capital - South Africa
- Bharathi Cement Corporation - India
- GAC Shipping (India) Pvt Ltd
- Bhushan Steel Limited - India
- Indonesian Coal Mining Association
- Sical Logistics Limited - India
- Lanco Infratech Ltd - India
- Pendopo Energi Batubara - Indonesia
- McConnell Dowell - Australia
- Thai Mozambique Logistica
- Minerals Council of Australia
- Petron Corporation, Philippines
- Tamil Nadu electricity Board
- Energy Link Ltd, New Zealand
- Eastern Coal Council - USA
- ICICI Bank Limited - India
- Global Green Power PLC Corporation, Philippines
- Directorate Of Revenue Intelligence - India
- Bukit Baiduri Energy - Indonesia
- Siam City Cement PLC, Thailand
- Attock Cement Pakistan Limited
- India Bulls Power Limited - India
- Parliament of New Zealand
- Holcim Trading Pte Ltd - Singapore
- GVK Power & Infra Limited - India
- Economic Council, Georgia
- Baramulti Group, Indonesia
- Carbofer General Trading SA - India
- VISA Power Limited - India
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- Formosa Plastics Group - Taiwan
- Bukit Makmur.PT - Indonesia
- Dalmia Cement Bharat India
- TNB Fuel Sdn Bhd - Malaysia
- IEA Clean Coal Centre - UK
- Indian Oil Corporation Limited
- Gujarat Electricity Regulatory Commission - India
- Binh Thuan Hamico - Vietnam
- Mercator Lines Limited - India
- PowerSource Philippines DevCo
- Directorate General of MIneral and Coal - Indonesia
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- Meralco Power Generation, Philippines
- Orica Mining Services - Indonesia
- Sakthi Sugars Limited - India
- Vedanta Resources Plc - India
- PNOC Exploration Corporation - Philippines
- PTC India Limited - India
- Global Business Power Corporation, Philippines
- Petrochimia International Co. Ltd.- Taiwan
- Jaiprakash Power Ventures ltd
- Posco Energy - South Korea
- Rio Tinto Coal - Australia
- Indo Tambangraya Megah - Indonesia
- Kohat Cement Company Ltd. - Pakistan
- The Treasury - Australian Government
- International Coal Ventures Pvt Ltd - India
- Heidelberg Cement - Germany
- London Commodity Brokers - England
- Indika Energy - Indonesia
- Star Paper Mills Limited - India
- Energy Development Corp, Philippines
- Karbindo Abesyapradhi - Indoneisa
- Standard Chartered Bank - UAE
- Altura Mining Limited, Indonesia
- Deloitte Consulting - India
- Offshore Bulk Terminal Pte Ltd, Singapore
- Rashtriya Ispat Nigam Limited - India
- Pipit Mutiara Jaya. PT, Indonesia
- SN Aboitiz Power Inc, Philippines
- Cement Manufacturers Association - India
- Ministry of Mines - Canada
- Uttam Galva Steels Limited - India
- White Energy Company Limited
- The State Trading Corporation of India Ltd
- Central Electricity Authority - India
- Alfred C Toepfer International GmbH - Germany
- Manunggal Multi Energi - Indonesia
- Agrawal Coal Company - India
- Samtan Co., Ltd - South Korea
- Trasteel International SA, Italy
- Electricity Generating Authority of Thailand
- GN Power Mariveles Coal Plant, Philippines
- Larsen & Toubro Limited - India
- Kumho Petrochemical, South Korea
- Bayan Resources Tbk. - Indonesia
- Coastal Gujarat Power Limited - India
- Bhatia International Limited - India
- Mjunction Services Limited - India
- Leighton Contractors Pty Ltd - Australia
- Merrill Lynch Commodities Europe
- Ministry of Transport, Egypt
- LBH Netherlands Bv - Netherlands
- IHS Mccloskey Coal Group - USA
- CNBM International Corporation - China
- Karaikal Port Pvt Ltd - India
- Asia Pacific Energy Resources Ventures Inc, Philippines
- Kaltim Prima Coal - Indonesia
- Commonwealth Bank - Australia
- Bank of Tokyo Mitsubishi UFJ Ltd
- Interocean Group of Companies - India
- Kapuas Tunggal Persada - Indonesia
- Edison Trading Spa - Italy
- Videocon Industries ltd - India
- Madhucon Powers Ltd - India
- Iligan Light & Power Inc, Philippines
- Ministry of Finance - Indonesia
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- Meenaskhi Energy Private Limited - India
- SMC Global Power, Philippines
- Krishnapatnam Port Company Ltd. - India
- Anglo American - United Kingdom
- Africa Commodities Group - South Africa
- Semirara Mining and Power Corporation, Philippines
- Semirara Mining Corp, Philippines
- Intertek Mineral Services - Indonesia
- Miang Besar Coal Terminal - Indonesia
- Australian Coal Association
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