18 Jan Industrial Bituminous & Sub-Bituminous Coal
Anthracite demand is making a strong start to 2018. Russian anthracite into east Med is trading at $110-115/t FOB Black Sea which equates to $125-130/t CIF Turkey. European anthracite is assessed at $125-130/t FOB barge for fines material. Lump material is assessed at $150/t CIF Rotterdam. Russian anthracite into Turkey is assessed at $150/t DAF for sized 25-50 mm grades. Indian steel buyers are in the market and are requesting more anthracite. An estimated 78kt of anthracite is expected this month, up from 73kt in December. CIF prices are about $150-155/t CIF into India and $160/t CIF Japan. Freight rates are firm and coking coal prices are bullish at $250-255/t FOB Australia. USA anthracite is assessed at $110/t FOB. Russian PCI coal is $138/t CIF Rotterdam for mid-vol, ex-Baltic and $135/t CIF Med out of the Black Sea. Prices are being lifted by Australian PCI which is above $150/t FOB. Steam coal markets are on the up. India and Pakistan is driving South African prices higher towards $100/t FOB. Pakistan’s cement industry is short of fuel. Australian coal is helped by the annual discussions with Japanese utilities. Russian thermal coal is assessed at $91/t, up from $88-89/t on the last issue.
Outlook – Firm price trend to continue for Russian, South Africa and Australian. Demand from North Africa, Pakistan, India and Japan are supporting the market. Anthracite and PCI remain stable.