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Tuesday, 09 February 10
EURO COAL-PROMPT SLIDES WITH OIL PRICES


* April S.African cargo trades at $83.50/T FOB, unchanged
* April DES cargo trades at $74.75 a tonne, down $1/T
* Russia's Kuzbassrazrezugol sees lower 2010 exports


Prices of prompt coal cargoes for delivery to Europe fell again by around $1.00 in line with weaker oil prices after a day of quiet trading.

The volatility seen during the past several weeks has left players assessing their positions and waiting for the end of the Chinese New Year in mid-February.

"The market is quiet in Europe again after all the activity last week but the Indians are still there looking for prompt coal," one trader said.

"The market is quiet in Europe again after all the activity last week but the Indians are still there looking for prompt coal" - Trader

Whether or not Chinese coal imports resume at a high level in early March will decide the direction of global prices, they said and indications are that buying will continue.

Russian steam coal exports will fall 6.2 percent in 2010 from 2009, according to Kuzbassrazrezugol company director Vasily Yakutov but he did not give reasons for the projected fall.

Senior Russian coal executives said last week that Russian exports would rise slightly to at least 70 million tonnes in 2010 from around 65 the previous year.

TRADES

An April delivery multi-origin coal cargo traded at $74.75 a tonne DES AR on globalCOAL.

An April loading South African 50,000 tonne cargo traded at $83.50 a tonne FOB Richards Bay on globalCOAL.

Two May loading Australian coal parcels traded at $87.00 and $86.00 a tonne FOB Newcastle on globalCOAL.

PRICES

A March delivery coal cargo was bid at $70.00 a tonne DES AR on globalCOAL, down $1.00 from Friday, and offered at $75.25, down 25 cents.

An April DES cargo was bid at $76.00 a tonne for South African only, unchanged from Friday.

An April loading South African cargo was bid at $82.50 and offered at $81.50 a tonne FOB Richards Bay, down 50 cents from Friday.
Source: Reuters



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