We welcome article submissions from experts in the areas of coal, mining,
shipping, etc.
To Submit your article please click here.
|
|
|
Friday, 10 July 20
SLOW RECOVERY IN TANKER RATES TO WEIGH ON BUANA LINTAS LAUTAN - FITCH RATINGS
 Fitch Ratings believes that international tanker rates are likely improve after their sharp fall since May 2020, albeit at a slow pace. The weakness in rates may weigh on the financial profile of PT Buana Lintas Lautan Tbk (BULL, B+/Negative), which has around 15% of its fleet capacity earning revenue based on international spot rates.
The Baltic Dirty Tanker Index, which is made up from 12 Baltic international routes and mainly for crude oil shipping, has declined to below 500 points, from an average of 1,200 in March-April 2020, and is at its lowest since 2009. The index averaged 855 points in 2019 and around 770 points since 2009. Similarly, the Baltic Clean Tanker Index for refined fuel shipping has fallen to below 400 points from an average of around 1,305 points in April 2020.
The sharp fall in rates follows lower demand for global oil transportation with the OPEC+ alliance announcing in April 2020 an agreement to cut output by 9.7 million barrels per day (mbpd), or 10% of global output, from May 1. The group agreed in June to extend the production cut by one month through the end of July. The cut in output also resulted in a sharp rally in crude oil prices, with Brent price increasing to over USD40 per barrel (bbl) from around USD20/bbl near mid-April. Higher oil prices reduced the demand for floating storage and such tankers were freed, increasing spare capacity and pressuring rates.
Tanker demand has declined sharply since March-April, when Saudi Arabia increased its oil output ahead of the OPEC+ deal to cut production. The effect of increased oil output on tanker rates was compounded by the sharp fall in oil prices, which caused the futures curve to be in contango and incentivised oil storage on land and in tankers.
Demand for tankers is likely to improve from August with a reduction in the OPEC+ cuts to 7.7mbpd until the end of the 2020 and further to 5.8mbpd from January 2021. However, the output cut will continue weighing on tanker rates and improvement in rates is likely to be a gradual process.
Indonesian tanker operators PT Soechi Lines Tbk (B/Stable) and BULL benefit from largely stable rates in the domestic market, which is protected from foreign competition by cabotage laws and dominated by state-owned oil major PT Pertamina (Persero) (BBB/Stable) which is the main revenue driver.
However, BULL’s exposure to international rate volatility has increased this year. BULL had 24 of its 25 ships, or 93% of its fleet capacity, under standard time-charter contracts as of end-2019 while one tanker was part of a pool of ships managed by a pool operator and earned revenue based on international spot rates. The share of BULL’s fleet capacity managed by the pool operator has increased to 14% by end-2Q20 with three out of 33 ships being part of the pool. Additionally, BULL has two ships constituting 10% of its capacity under time-charter contracts with a base rate and upside if international spot rates are higher.
The company said it is seeking to switch the fleet under the pool operator to short-term time charter contracts of three to six months from September 2020 to limit the impact of the fall in tanker rates. Nonetheless, the Negative Outlook on BULL’s rating reflects risks to its financial profile from weak international rates, apart from sustained spending on fleet expansion. We estimate FFO gross leverage to increase to 3.8x in 2021, from 2.9x in 2020 (2019: 4.3x), due to lower international rates and EBITDA. We also assume BULL acquires five more ships for USD100 million in 2021.
Source: Fitch Ratings
If you believe an article violates your rights or the rights of others, please contact us.
|
|
Friday, 10 July 20
CHINA'S BENCHMARK POWER COAL PRICE EDGES UP - XINHUA
China’s benchmark power coal price rose slightly during the past week.
The Bohai-Rim Steam-Coal Price Index (BSPI), a gauge of ...
Friday, 10 July 20
GLOBAL SHIPPING EARNINGS FORECAST CUT AS SUPPLY SET TO OUTSTRIP DEMAND - MOODY'S
EBITDA forecast worsens, keeping outlook negative. We now expect the aggregate EBITDA of rated shipping companies to fall by around 16%-18% in 2020 ...
Wednesday, 08 July 20
MARKET INSIGHT - INTERMODAL
During the previous month, the dry bulk market witnessed an impressive increase in the BDI index that has reached 1800 points from 500 with a clear ...
Tuesday, 07 July 20
COAL INDIA WORKERS STRIKE CUTS OUTPUT BY 56%: OFFICIAL - REUTERS
A strike at Coal India Ltd cut production by 56% in the three days ending July 4 as workers oppose opening up coal mining to the private sector, a ...
Tuesday, 07 July 20
WHAT DOES THE PATHWAY TO A NET-ZERO ECONOMY LOOK LIKE FOR MINERS? - WOOD MACKENZIE
Wind, solar, electric vehicles, stationary storage and transmission are all central to achieving the Paris Agreement decarbonisation goals.
&nb ...
|
|
|
Showing 876 to 880 news of total 6871 |
|
 |
|
|
|
|
| |
|
 |
|
|
| |
|
- ICICI Bank Limited - India
- Directorate Of Revenue Intelligence - India
- Chamber of Mines of South Africa
- Rio Tinto Coal - Australia
- Bharathi Cement Corporation - India
- Sical Logistics Limited - India
- PNOC Exploration Corporation - Philippines
- Central Electricity Authority - India
- India Bulls Power Limited - India
- Medco Energi Mining Internasional
- Central Java Power - Indonesia
- Kideco Jaya Agung - Indonesia
- Coal and Oil Company - UAE
- TNB Fuel Sdn Bhd - Malaysia
- International Coal Ventures Pvt Ltd - India
- PTC India Limited - India
- Sarangani Energy Corporation, Philippines
- Therma Luzon, Inc, Philippines
- Kartika Selabumi Mining - Indonesia
- Indian Oil Corporation Limited
- Electricity Generating Authority of Thailand
- Edison Trading Spa - Italy
- Siam City Cement - Thailand
- Standard Chartered Bank - UAE
- Grasim Industreis Ltd - India
- TeaM Sual Corporation - Philippines
- Indian Energy Exchange, India
- Orica Mining Services - Indonesia
- Singapore Mercantile Exchange
- Tamil Nadu electricity Board
- Aboitiz Power Corporation - Philippines
- Bhushan Steel Limited - India
- Rashtriya Ispat Nigam Limited - India
- Kumho Petrochemical, South Korea
- MS Steel International - UAE
- Asmin Koalindo Tuhup - Indonesia
- Thiess Contractors Indonesia
- Posco Energy - South Korea
- Kapuas Tunggal Persada - Indonesia
- Gujarat Mineral Development Corp Ltd - India
- Binh Thuan Hamico - Vietnam
- Karbindo Abesyapradhi - Indoneisa
- Formosa Plastics Group - Taiwan
- Australian Coal Association
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- The Treasury - Australian Government
- Bhatia International Limited - India
- Petrochimia International Co. Ltd.- Taiwan
- Kepco SPC Power Corporation, Philippines
- Cement Manufacturers Association - India
- Meralco Power Generation, Philippines
- Parliament of New Zealand
- Economic Council, Georgia
- Indo Tambangraya Megah - Indonesia
- Bangladesh Power Developement Board
- Larsen & Toubro Limited - India
- Kohat Cement Company Ltd. - Pakistan
- GN Power Mariveles Coal Plant, Philippines
- San Jose City I Power Corp, Philippines
- Mercuria Energy - Indonesia
- Samtan Co., Ltd - South Korea
- Aditya Birla Group - India
- Bulk Trading Sa - Switzerland
- Offshore Bulk Terminal Pte Ltd, Singapore
- Timah Investasi Mineral - Indoneisa
- Vizag Seaport Private Limited - India
- Jaiprakash Power Ventures ltd
- Ceylon Electricity Board - Sri Lanka
- Toyota Tsusho Corporation, Japan
- GAC Shipping (India) Pvt Ltd
- Sakthi Sugars Limited - India
- Indonesian Coal Mining Association
- Metalloyd Limited - United Kingdom
- Indogreen Group - Indonesia
- Maheswari Brothers Coal Limited - India
- Ambuja Cements Ltd - India
- Bayan Resources Tbk. - Indonesia
- Vedanta Resources Plc - India
- Semirara Mining Corp, Philippines
- Bukit Makmur.PT - Indonesia
- Ministry of Finance - Indonesia
- Parry Sugars Refinery, India
- VISA Power Limited - India
- Barasentosa Lestari - Indonesia
- Wood Mackenzie - Singapore
- Star Paper Mills Limited - India
- AsiaOL BioFuels Corp., Philippines
- Bank of Tokyo Mitsubishi UFJ Ltd
- Sree Jayajothi Cements Limited - India
- Asia Pacific Energy Resources Ventures Inc, Philippines
- Maharashtra Electricity Regulatory Commission - India
- Mjunction Services Limited - India
- Directorate General of MIneral and Coal - Indonesia
- Goldman Sachs - Singapore
- Bahari Cakrawala Sebuku - Indonesia
- Independent Power Producers Association of India
- Minerals Council of Australia
- Billiton Holdings Pty Ltd - Australia
- Madhucon Powers Ltd - India
- Coalindo Energy - Indonesia
- Eastern Coal Council - USA
- Bukit Asam (Persero) Tbk - Indonesia
- Coastal Gujarat Power Limited - India
- Energy Development Corp, Philippines
- Neyveli Lignite Corporation Ltd, - India
- GMR Energy Limited - India
- Ministry of Transport, Egypt
- The State Trading Corporation of India Ltd
- Mintek Dendrill Indonesia
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- Marubeni Corporation - India
- Port Waratah Coal Services - Australia
- Heidelberg Cement - Germany
- New Zealand Coal & Carbon
- Price Waterhouse Coopers - Russia
- Sindya Power Generating Company Private Ltd
- Antam Resourcindo - Indonesia
- Alfred C Toepfer International GmbH - Germany
- Holcim Trading Pte Ltd - Singapore
- Bukit Baiduri Energy - Indonesia
- Wilmar Investment Holdings
- Banpu Public Company Limited - Thailand
- Gujarat Sidhee Cement - India
- Miang Besar Coal Terminal - Indonesia
- Pipit Mutiara Jaya. PT, Indonesia
- Australian Commodity Traders Exchange
- CNBM International Corporation - China
- IHS Mccloskey Coal Group - USA
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- PetroVietnam Power Coal Import and Supply Company
- Vijayanagar Sugar Pvt Ltd - India
- Meenaskhi Energy Private Limited - India
- ASAPP Information Group - India
- OPG Power Generation Pvt Ltd - India
- CIMB Investment Bank - Malaysia
- Kaltim Prima Coal - Indonesia
- SN Aboitiz Power Inc, Philippines
- Power Finance Corporation Ltd., India
- Essar Steel Hazira Ltd - India
- London Commodity Brokers - England
- Global Green Power PLC Corporation, Philippines
- Merrill Lynch Commodities Europe
- South Luzon Thermal Energy Corporation
- GVK Power & Infra Limited - India
- Electricity Authority, New Zealand
- Kalimantan Lumbung Energi - Indonesia
- Globalindo Alam Lestari - Indonesia
- Riau Bara Harum - Indonesia
- Sojitz Corporation - Japan
- Planning Commission, India
- Oldendorff Carriers - Singapore
- McConnell Dowell - Australia
- Jorong Barutama Greston.PT - Indonesia
- Intertek Mineral Services - Indonesia
- Baramulti Group, Indonesia
- Manunggal Multi Energi - Indonesia
- Straits Asia Resources Limited - Singapore
- Lanco Infratech Ltd - India
- Ind-Barath Power Infra Limited - India
- Thai Mozambique Logistica
- Simpson Spence & Young - Indonesia
- Anglo American - United Kingdom
- Pendopo Energi Batubara - Indonesia
- Carbofer General Trading SA - India
- Gujarat Electricity Regulatory Commission - India
- Makarim & Taira - Indonesia
- Xindia Steels Limited - India
- SMG Consultants - Indonesia
- Krishnapatnam Port Company Ltd. - India
- Attock Cement Pakistan Limited
- Tata Chemicals Ltd - India
- Dalmia Cement Bharat India
- SMC Global Power, Philippines
- White Energy Company Limited
- Renaissance Capital - South Africa
- Semirara Mining and Power Corporation, Philippines
- Agrawal Coal Company - India
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- Georgia Ports Authority, United States
- Romanian Commodities Exchange
- Interocean Group of Companies - India
- Sinarmas Energy and Mining - Indonesia
- Global Coal Blending Company Limited - Australia
- Petron Corporation, Philippines
- Mercator Lines Limited - India
- Energy Link Ltd, New Zealand
- PowerSource Philippines DevCo
- Leighton Contractors Pty Ltd - Australia
- Orica Australia Pty. Ltd.
- Global Business Power Corporation, Philippines
- Malabar Cements Ltd - India
- Kobexindo Tractors - Indoneisa
- Indika Energy - Indonesia
- Eastern Energy - Thailand
- Videocon Industries ltd - India
- European Bulk Services B.V. - Netherlands
- LBH Netherlands Bv - Netherlands
- Jindal Steel & Power Ltd - India
- Cigading International Bulk Terminal - Indonesia
- Altura Mining Limited, Indonesia
- Siam City Cement PLC, Thailand
- Trasteel International SA, Italy
- Africa Commodities Group - South Africa
- Iligan Light & Power Inc, Philippines
- Karaikal Port Pvt Ltd - India
- Ministry of Mines - Canada
- Bhoruka Overseas - Indonesia
- Commonwealth Bank - Australia
- Latin American Coal - Colombia
- The University of Queensland
- Savvy Resources Ltd - HongKong
- Borneo Indobara - Indonesia
- IEA Clean Coal Centre - UK
- Uttam Galva Steels Limited - India
- Deloitte Consulting - India
- Salva Resources Pvt Ltd - India
- Chettinad Cement Corporation Ltd - India
|
| |
| |
|
