Indonesia thermal coal prices fall to USD 74Monday, 17 Aug 2009
Reuters reported that prices of power station coal from Australia fell to around USD 74 a tonne as demand eased, while Indian buyers started to look for Indonesia cargoes for delivery in September.
Thermal coal prices on the globalCOAL Newcastle index fell USD 1.57 from the week before to USD 74.45 a tonne on tepid demand from Asian buyers.
Indonesian bituminous coal of 6,100 to 6,300 kcal/kg air dried basis was offered at USD 58 a tonne FOB mother vessel from South Kalimantan.
Indian buyers have made inquiries for cargoes in September, although demand for Indonesia high quality coal generally eased with bigger producers well covered on orders.
A regional trader said referring to the monsoon season which normally runs until September said that "Indian buyers were waiting for some supply orders from the government's tender. Also there is weather problem too but things will be resolved around October.”
Indian state trading entity MMTC, which buys for the majority of state power plants has put a recent 12.5 million tonne tender on hold and may re tender after a complaint from a trader.
Indonesian sub bituminous coal of 5,100 to 5,300 kcal/kg ADB was offered at around USD 36 a tonne FOB mother vessel from Kalimantan.
An Indonesian dealer said that Chinese buyers were in the market due to ample stocks after they had bought more coal in the first half of this year. But Indian buyers have started looking for cargoes of sub bituminous coal for delivery in the fourth quarter of this year.
(Sourced from Reuters)
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