Monthly Summary Of Imported Coal &Petcoke

Indicative Imported Coal Price

COAL (kcal/kg) Monthly Price - FOB Monthly Price- FOB Monthly Change (USD) South Africa 6000 NAR USD92.90 INR 7646 11.84 South Africa 5500 NAR USD 66.26 INR 5320 6.62

Australia 5500 NAR USD 57.25 INR 4255 1.04

Indonesia 5000 GAR USD 69.65 INR 5670 8.02

Indonesia 4200 GAR USD 55.15 INR 4026 5.80

Indicative Pet Coke Price

PET COKE Sulphur Price Monthly Change ($) Exchange Rate Change (Monthly) India-RIL (Ex-Ref.) -5% INR 11357 Saudi Arabia (CIF) + 8.5% INR 9180($126) INR 154.00 1.50 INR 73.00 -1.57

USA (CIF) - 6.5% INR 9746($134) 2.25

Indicative Coking Coal Price

Current Month

Monthly Change (USD) Premium Low Vol HCC 64 MID Vol Semi SoftLow Vol PCI Mid Tier PCI MET COKE 62% CSR

FOB CFR China FOB Aus CFR China FOB Aus FOB Aus FOB Aus CFR India FOB N China 126.19 261.63 116.13 235.75 101.47 107.84 106.84 376.13 418.75

16.34 39.31 11.06 28.13 0.03 0.81 0.81 11.25 69.75

South African Coal News:

*A prolonged slump in Indian coal demand threatens a recent recovery in South African prices. Any demand slump from India’s sponge iron industry will weigh heavily on South African coal imports, given buyers typically favour Richards Bay coal over other origins owing to its high fixed carbon content. South African coal exports to India declined by 4.8mn tonnes or 11.5%, in the year to 36.8mn tonnes in 2020. * South African bank-Ned bank will restrict total financing in aggregate for coal mining firms and infrastructure and trade related to thermal coal to less than 1% of its total advances, with this decreasing to 0.5pc by 2030. The bank will also not provide funding for any new coal-fired power plants, regardless of technology or jurisdiction. *South African miner Buffalo Coal Corporation has considerably narrowed its margin of loss for the first three months of 2021 compared to the corresponding period of 2020 as demand of power in the coal reliant nation has increased significantly in 2021 after the low demand in the previous year due to lockdown.

Australian Coal News:

*Australian coal exports have continued to steadily rise in value since overcoming China’s ban on the commodity last year, data from the Australian Bureau of Statistics (ABS) has revealed. Coal exports in April 2021 increased by $287 million, 8% higher when compared with the previous month. This was partially driven by coal exports to India, which increased significantly ($116 million) in April. * Australian coal industry continues to suffer as insurers and financial service providers distance themselves from projects amid pressure from climate campaigners. Adani's controversial Carmichael coal mine in Australia along with miners New Hope Corp and Whitehaven Coal has asked the government for help to take out insurance after failing to secure coverage.

*Bolstered by the increased demand for Asian met coal, Australian PLV FOB price has hit 3 months high this week. Despite China’s ban on Australian coal its demand in the coal consuming nations in Asia and Europe has helped the country to keep its price steady.

Indonesian Coal News:

*Indonesia's state-owned electricity distributor Perusahaan Listrik Negara (PLN) has pledged to stop building coal plants by 2023 after finishing the 35 gigawatts (GW)-worth of projects it had in the pipeline. PLN also plans to implement co-firing at 52 coal plants across the country by 2025 to reduce emissions. It has so far begun co-firing at 11 coal power plants. * Indonesia says it will stop building new coal-fired power plants after 2023 to meet its carbon-neutral goals — but more than 100 plants are to be built by then. State-owned electricity utility PLN has said there would be no more new thermal plants after an ongoing program to add 35,000 megawatts (MW) to the national grid powered mostly by coal is completed. *Indonesia's state-owned electricity distributor Perusahaan Listrik Negara (PLN) has pledged to stop building coal plants by 2023 after finishing the 35 gigawatts (GW)-worth of projects it had in the pipeline. PLN also plans to implement co-firing at 52 coal plants across the country by 2025 to reduce emissions. It has so far begun co-firing at 11 coal power plants.

US Coal News:

*US coking coal producers are hopeful that spot prices have yet to hit a ceiling, despite the lull in China, as buyers digest surging offer levels and plans by top economic planning body the NDRC to stabilise steel and iron ore prices. While last week's US lowvolatile offers approaching $300/t cfr China and a dip in Chinese steel prices has checked buying, suppliers and buyers say demand is unchanged. * The US Energy Information Administration (EIA) has revised up this year’s thermal coal export outlook by 19% from last month’s forecast amid gradual economic recovery in consuming nations and high gas prices. The latest forecast of 32.3 million metric tonnes represents 32% increase from 2020. * Coal production in the US is expected to be nearly MMst (million short tons) in 2021, which is 9% higher than 2020’s production while coal fired generation in the country is expected to increase 13%. However, the coal market in the United States is expected to decline with a compound annual growth rate of more than 3% between 2020-2025.

Pet Coke News:

* Import of Mediterranean pet coke has become subdued owing to multi-year high prices. The inflated price can be attributed to both lack of demand in most petcoke-buying regions and an ongoing supply constraint. As a result, imports and stocking are coming to an end unless the situation can rectify itself in the coming months. * Due to scarce supply, US Gulf Coast petcoke prices have gone up this week. The price for FOB USGC high sulfurpetcoke has steadily marched higher since June 3, 2020. This hike in price has been primarily due to a lack of spot material due to lower refinery output caused by a drop in demand for refined products due to COVID-19 related economic restrictions. *Import of Mediterranean pet coke has become subdued owing to multi-year high prices. The inflated price can be attributed to both lack of demand in most petcoke-buying regions and an ongoing supply constraint. As a result, imports and stocking are coming to an end unless the situation can rectify itself in the coming months.

Shipping Update:

*Australian port owner NSW Ports will raise fees at Port Kembla in southern New South Wales (NSW) from 1 July. But the increase may be outweighed by a planned cut by the operator of the coal terminal as it is looking to reduce its fees by 15-20% or around $1/t from the same period to reduce cost pressures on the struggling coking and thermal coal industries. * India’s shipping ports are struggling amid a manpower shortage and reduced working arising from varied stages of pandemic-related lockdowns across different states in the country, prompting some to declare force majeure. In the fiscal year ending March 2021, major state-owned ports witnessed a 4.6% fall in cargo throughput to 672.6m tonnes, according to the Indian Ports Association (IPA). The shipping companies have also seen a drop in cargoes coming into the country since the last lockdown in March 2020. * Members of the Joint Baltic Exchange have pointed out that while the freight market is strong and has clients wanting to invest, there are question-marks hanging over any potential deals amid the pandemic situation. The owners have been deterred from being the first.