There wasn’t a great deal of activity in the Asian markets today, as most market participants wait to see if next weeks coal conference in Bali will shed some light on the direction of the market.
The heavy flooding in Kalimantan continues to have an impact on coal cargos from Indonesia, which are still delayed as the damage caused by the heavy rains is repaired.
Offers for 3800NAR were heard at $38.00/mt for geared and grabbed panamax loading in July.
A bid for 3700NAR was heard at $34.65 for a July Supramax
Not much activity in the Newcastle physical coal market today, although an for an August loading cargo of 6000NAR was heard at $70.00 in 55kt.
Jul loading capes are seen valued at $51.00/mt for high ash 5500NAR material, by Chinese buyers. Sellers are not biting and continue to hold for higher prices around $53-$54.00/mt.
McCloskey reports that there, “was a lot of talk today about a notice distributed to all ports by customs reminding them of their duty to pay attention to the “quality” of coal imports.”
A cape of Colombian material was heard at $63.00 Bid // 65.50 Offered for 5500NAR CFR Chinese ports.
South African 5,700 kc NAR is valued around API4 minus $4.00/t for July and minus $4.50/t for August loading cargoes.
Due to falling paper prices however, translations for what this means on a fixed-price basis show softer prices, with July at around $57.45/t FOB, basis 4,800 kc NAR
Discounts for 5,500 kc NAR shipments are valued at API4 minus $7.50/mt for July minus $7.50/mt August loading. On a fixed price basis this is approximatley $49.25/t FOB for July Loading cargoes.
After the prices came off last week, it seems traders are taking a step back to assess the situation in the Asian markets this week. Little activity has kept prices relatively stable so far. South African markets have been quiet after the four trades on Monday.
May FOB heard bid at $28.75 for 3800 GAR cargo
April FOB Kalimantan Trades at $22.15 basis 3000NAR (Geared Vessel)
April FOB $36.50 Bid 3800NAR 75kt (Geared Vessel)
April FOB Kal. heard Trading at $54.80 in 75kt basis 4800NAR
April FOB Vanino $65.00 Offered 50kt basis 5500NAR
Value for 5700NAR min cargos is around API4 minus $8.25 on an Index basis. On a fixed price basis this equates to around $67.40
April FOB RBCT API4 minus $14.00 Bid / minus 13.00 Offered 50kt 5500NAR
May FOB RBCT API4 minus $21.00 Bid / minus $20.00 Offered 75kt 4800NAR