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Headlines of August 27:

Soft trend persists in international coal markets

Power utilities’ 2015-16 coal import target cut 25%

India’s July coking coal output dips 7.53% m-o-m

CIL’s July washed coking coal output up 5% m-o-m

India’s July coal despatches down 1.07% m-o-m

India’s July pithead vendible stocks up 21% y-o-y

Chennai’s July steam coal imports double m-o-m

July coking coal imports via Chennai at 171 tons

Chennai’s July pet coke imports drop 51% m-o-m

Jul met coke imports via Chennai Port at 125 tons

Chennai’s July anthracite imports up 29% m-o-m

No PCI imports through Chennai Port for 7 months

No pet coke exports through Chennai Port in July

Chennai Port gypsum imports surge in July m-o-m

No gypsum exports via Chennai Port for 7 months

Soft trend persists in international coal markets

India Coal Market Watch

August 27: Reeling under the impact of the weak Chinese currency and prospects of low

demand from the country, spot coal prices in major markets softened further on August 26,

market sources said.

The trend is likely to continue at least till the next few weeks, they said.

Following are the indicative prices of coal in various markets and indicative freight rates

(Panamax vessels) on August 26:

Descrip

tion of

Coal

Specific

ation

Price/ton (in $ and FOB)

As on, As on, Week ago,

6-month

ago, Year ago,

August 26,

2015

August 25,

2015

August 19,

2015

February

27, 2015

August 27,

2014

South

African

Steam

Coal

6000

Kcal/kg

NAR

52.50

52.30

53.40

64.50

68.75

South

African

Steam

Coal

5500

Kcal/kg

NAR

43.70

43.75

44.25

55.40

62.50

Australi

an

Steam

Coal

6300

Kcal/kg

GAR

57.75

57.25

58.00

62.50

69.20

Indone

sian

Steam

Coal

5900

Kcal/kg

GAR

51.90

52.00

52.70

59.10

63.60

Indone

sian

Steam

Coal

5000

Kcal/kg

GAR

39.65

39.75

40.00

47.80

50.40

Indone

sian

Steam

Coal

4200

Kcal/kg

GAR

27.30

27.50

27.80

34.30

36.50

Indone

sian

Steam

Coal

3800

Kcal/kg

GAR

22.30

22.40

23.10

27.30

30.00

Hard

Coking

Coal

(Austra

lian)

VM-

20.7%,

Ash-

10.5%

83.00

83.00

84.50

104.00

114.00

Premiu

m Low

Vol

VM-

21.5%,

Ash-

9.3%

82.00

82.00

83.50

103.00

113.00

Semi

Soft

63.50

63.50

64.40

79.60

76.90

Met

Coke

(CFR

India)

143.00

145.00

145.00

185.00

190.00

Freight rates:

Destinati

on

(in $/ton)

As on As on Week ago, 6-month ago, Year ago,

August 26,

2015

August 25,

2015

August 19,

2015

February 27,

2015

August 27,

2014

South

Africa

(RBCT)

to India

(West

Coast)

9.50

9.60

10.10

9.40

15.80

South

Africa

(RBCT)

to India

(East

Coast)

9.60

9.70

10.20

10.00

16.50

Indonesia

(Kalimant

an) to

India

(West

Coast)

6.80

6.90

6.90

6.50

10.20

Indonesia

(Kalimant

an) to

India

(East

Coast)

5.30

5.40

5.70

5.25

9.30

Australia

to India

10.00

10.00

10.00

9.80

14.50

Source: Traders and ICMW database

Power utilities’ 2015-16 coal import target cut 25%

India Coal Market Watch

August 27: Increased availability of domestic coal has prompted the Central Electricity

Authority (CEA) to cut the coal import target for 2015-16 for power utilities by nearly 25%,

an official told ICMW.

The initial target set at the beginning of the year for 2015-16 for power utilities was 113

million tons (mt), but it has now been reduced to 84 mt, according to data available with

ICMW.

The import target has been revised in view of the increased availability of domestic coal, an

official of CEA told ICMW.

“There is practically no shortage of coal at power plants and as such there was a need to

reduce the import target. There is no need to push them to go for imports if there is

sufficient availability of domestic coal,” the official said.

Total imports by power utilities during the first four months of 2015-16 stood at 27.44 mt,

down 9% compared to 30.20 mt imported during the corresponding period of 2014-15.

Imports of coal by utilities like Rosa Power Limited during the first four months of 2015-16

were down nearly 100% even as imports by NTPC remained higher by 4% compared to last

year’s same period.

Following the downward revision in import targets, ICMW understands the total imports by

power utilities may decline by 15-20% to a level of 74-78 mt in 2015-16 from actual

imports of around 92 mt in 2014-15.

Following table gives details of plant-wise revised target versus original target (in thousand

tons):

Board/ PU. P.House

Revised

Target

(2015-

16)

Pre-

revised

Target

(2015-

16)

Torrent AEC Ahmedabad 300 400

GSECL

Gandhinagar

Ukai

Wanakbori

Sikka

Total 200 1000

CESC

Budge-Budge

New Cossipore(CESC)

Titagarh

S. Gen Stn.

Haldia

Total 100

Reliance Energy Dahanu 500 600

HPGCL

Panipat

Yamunanagar

RGTPS

Total HPGCL 1000 1000

IPGCL I.P. Station(Rajghat)

PSEB L.Mohabbat

Ropar

Bhatinda

Total PSEB 500

APGENCO

Vijayawada

Royalseema

Kothagudem

Total APGENCO 3000 4400

WBPDCL

Kolaghat

Bandel

Sagardihi

Santhaldih

Bakreshwar

Total WBPDCL 400

DPL Durgapur(DPL)

DVC

Mejia

Durgapur

Bokaro

Chandrapura

Total DVC 1000

UPRVUNL

Obra

Panki

Paricha

Total UPRVUNL 500

RRVUNL

Suratgarh

Kota

Chabra

Total RVNL 1500 1800

MAHAGENCO

Nasik

Khaperkheda

Parli

Paras

Bhusawal

Koradih

Chandrapur

Total MAHAGENCO 4000 5200

MPGCL

Total MPGCL(Birsingpur,

Satpura & Amarkantak) 1200

TANGEDCO

Ennore

Mettur

Tuticorin

N.Chennai

Total TNEB 5000 5000

KPCL

Bellary

Raichur

Total KPCL 1000 2000

OPGCL Total OPGCL

NTPC

Dadri

Badarpur

Tanda

Unchahar

Talcher

Talcher STPS

Simhadri

Ramagunden STPS

Kahalgaon STPS

Farakka STPS

Sipat STPS

Korba STPS

Rihand/Singrauli/Vindhyachal

Total NTPC 12000 22000

LANCO ANPARA C 1500

NTPC (JV) IndGandhi 1000 1500

Reliance Energy ROSA 500 2000

STERLITE ENERGY (JHASUGUDA) 1000 1400

NTPC SAIL POWER Co(BHILAI) 200 300

TATA (MAITHONRB)

NTECL(Vellur) 1800 1800

Adani Power(Tirora) 2500 4700

Durgapur Steel

Bina 500 300

JPL(Mahatma Gandhi) 1500 2600

EMCO ENERGY 200 400

MAUDA

KODARMA

MAHADEV PRASAD STPP

Vedanta(Star) 1800

NABHA Power(RAJPURA) 500 1000

Akaltara

Shree singhaji TPP

Torangallu

MOSER BEAR 1000

TALWANDI SABO TPP

BARH II 1000

PATHADIH

GMR(KAMALANGA) 200 500

VIPL(Butibori) 500

RATTANTATA(Amravati)

TAMNAR TPP 500

TUTICORIN JV 800 800

HALDIA ENERGY 800 200

BAJAJ ENERGY 100

PYNAMPURAM 500 1000

KAWAI 500 2000

WARDHA WARORA

TOTAL IMPORT(EXCLUDING IMPORT BASED PLANTS)

42000 73000

JSW ENERGY 6000 6000

UDUPI TPP 3000 3000

ADANI POWER(MUNDRA TPS) 13500 13500

MUNDRA UMTPP 12000 12000

TROMBAY 2300 2300

ESSAR SALAYA 3000 3000

SIMHAPURI 1000 1000

THAMMINAPATNAM 600 600

IND BARATH (tuticorin) 600 600

TOTAL (IMPORT BASED PLANTS) 42000 42000

TOTAL IMPORT 84000 115000

The imports of steam coal by Indian power utilities might decline a bit in the current

financial year as against around 92 million tons (mt) imported in 2014-15, an official from

the Central Electricity Authority (CEA) told ICMW.

India’s July coking coal output dips 7.53% m-o-m

India Coal Market Watch

August 27: India’s coking coal production in July 2015 stood at 4.05 million ton (mt), down

7.53% from 4.38 mt recorded in June 2015, according to provisional data available with

ICMW.

Production targets for the month of July as well as for 2015-16 were not available.

India’s coking coal production in July 2015, however, was up 3.32% from 3.92 mt in the

same month of last year (June 2014).

Coking coal production in the first four months (April-July) of the current fiscal (2015-16)

stood at 17.43 mt, down 1.80% from 17.75 mt recorded in the same period of the previous

fiscal.

In July 2015, coking coal production at CIL was up from that of June 2015 as well as from

that of June 2014.

July coking coal production at CIL stood at 3.48 mt, up from 3.29 mt produced in the same

month (July) of 2014.

CIL’s July coking coal output, however, fell short of the target of 3.73 mt set for the month

(June) and was also down from 3.86 mt produced in June 2015.

In May, CIL’s coking coal production stood at 3.95 mt. In April, CIL’s coking coal production

stood at 4.05 from 6.82 mt produced in March. In February, CIL’s coking coal production

stood at 5.20 mt while in January, the same stood at 4.48 mt. In December, CIL’s coking

coal production stood at 4.49 mt, in November at 4.30 mt and 4.01 mt in October.

CIL’s coking coal production in September stood at 3.68 mt, while in August it was at 3.85

mt. In July it stood at 3.36 mt, in June, production of the same stood at 3.82 mt. In May,

coking coal production by CIL was at 3.92 mt while the same was 3.73 mt in April 2014.

CIL’s July washed coking coal output up 5% m-o-m

India Coal Market Watch

August 27: Washed coking coal production by Coal India Limited (CIL) in July 2015 stood at

0.159 million tons (mt) against 0.152 mt in June 2015, registering a rise of 4.61%,

according to provisional data available with ICMW.

For July 2015, washed coking coal production by CIL increased 20.45% from 0.132 mt in

the same month a year ago (July 2014).

CIL’s washed coking coal output target for the month of July was 94.64% of 0.168 mt set

for the month.

Washed coking coal production by Coal India Limited (CIL) in the first four months (April-

July) of the current fiscal (2015-16) stood at 0.630 mt against 0.642 mt seen in the same

period of the previous fiscal, registering a drop of 1.87%.

Washed coking coal production by CIL was 86.78% of the target of 0.726 mt set for the

period.

India’s July coal despatches down 1.07% m-o-m

India Coal Market Watch

August 27: India’s coal despatches in the month of July 2015 stood at 49.01 million tons

(mt), down 1.07% from 49.54 mt recorded in June 2015, according to provisional data

available with ICMW.

India’s July 2015 coal despatches registered a growth of 2.75% from 47.70 mt recorded in

the same month a year ago.

Coal despatches in the first four months (April-July) of the current fiscal (2015-16) stood at

201.39 million tons (mt), up 3.18% from 195.19 mt recorded in the same period of the

previous fiscal.

India’s coal despatches from April to July, 2015-16 were 88.20% of the 228.33 mt target

set for the period.

Of the total coal despatched in July 2015, CIL’s share stood at 40.85 mt, up from 37.96 mt

in the same month a year ago. The coal despatch target for the month of July was 44.14 mt

for CIL.

Coal despatches from Singareni Collieries Company Limited (SCCL) and captive blocks stood

at 5.07 mt and 3.09 mt respectively in July 2015, up from 4.10 mt and down from 5.64 mt

in the previous fiscal respectively. Coal despatches target for the month of July were 4.08

mt and 7.83 mt for SCCL and captive blocks respectively.

The annual and monthly despatch targets for 2015-16 and July 2015 were at 699.63 mt

and 56.04 mt respectively.

The following chart provides monthly coal despatch volumes in FY16, FY15 and FY14, (in

million tons):

Month 2015-

16

2014-

15 2013-14

April 51.12 49.55 47.10

May 51.70 50.56 46.58

June 49.54 47.60 45.62

July 49.01 47.74 45.53

August 46.56 41.98

September 44.29 43.27

October 48.86 43.10

November 51.51 46.92

December 54.98 51.18

January 54.84 53.73

February 52.75 49.32

March 58.19 55.18

Total (Apr-Jul) 201.36 195.22 184.83

Total (Apr-Mar) 201.36 607.51 572.06

India’s July pithead vendible stocks up 21% y-o-y

India Coal Market Watch

August 27: India’s pithead vendible coal stocks were up 20.69% to 44.39 million tons (mt)

as on the last day of July 2015 against 36.78 mt as on the last day of July 2014, according

to provisional data available with ICMW.

However, on a month-on-month basis, India’s pithead vendible coal stocks fell from 51.40

mt recorded as on the last day of June 2015.

The increase could be attributed to higher pithead vendible stocks of Coal India (CIL)

subsidiaries such as South Eastern Coalfields Limited (SECL), Eastern Coalfields Limited

(ECL), Bharat Coking Coal Limited (BCCL), Central Coalfields Limited (CCL) and Northern

Coalfields (NCL) where inventories rose to 9.42 mt, 1.49 mt, 3.87 mt, 6.41 mt and 4.23 mt

respectively as on July 31, 2015 as against 4.53 mt, 1.15 mt, 3.30 mt, 5.16 mt and 2.74

mt respectively as on July 31, 2014.

The following table gives detailed break-up of pithead vendible coal stocks with coal

companies as of July 31, 2015, June 30, 2015, May 31, 2015, April 30, 2015, March 31,

2015, February 28, 2015, January 31, 2015, April 30, 2014 and June 30, 2014 (in million

tons):

PITHEAD VENDIBLE CLOSING STOCK (company-wise)

Sl.

No.

Name

of the

compa

ny

Stoc

k as

on

July

31

201

5

Stoc

k as

on

June

30

201

5

Stoc

k as

on

May

31

201

5

Stoc

k as

on

April

30,

201

5

Stoc

k as

on

Marc

h

31,

201

Stoc

k as

on

Feb

28,

201

5

Stoc

k as

on

Jan

31,

201

5

Stoc

k as

on

April

30,

201

4

Stoc

k as

on

July

31

201

4

Stoc

k as

on

June

30,

201

4

5

1 ECL 1.48

7

2.06

1

2.54

5

3.06

5

3.43

4

2.57

5 2

1.86

4

1.14

7

1.29

1

2 BCCL 3.86

5

4.08

2

4.13

9

4.28

3

4.49

7

4.02

4

3.65

4

3.51

4

3.29

8

3.41

2

3 CCL 6.41

1

7.55

3

8.35

4

9.48

1

9.70

2

7.94

7

6.98

9

8.07

5

5.16

3

6.07

6

4 NCL 4.22

7

4.40

8

4.51

8 4.57

4.90

8

2.95

2

1.92

3

5.70

5 2.74

3.82

7

5 WCL 4.17

4

4.99

6

5.56

9

5.22

9

5.49

9

4.61

9

4.23

2

5.61

7

4.81

3

5.69

7

6 SECL 9.41

6

11.0

28

11.6

75

12.1

74

12.8

17

9.98

8 8.95

6.62

4 4.53

5.21

8

7 MCL 9.57

9

11.1

02

11.7

53

12.5

28

12.5

3

11.6

06

11.0

76

13.9

54

10.6

38

11.4

64

8 NEC 0.20

4

0.21

8 0.22

0.20

9

0.21

5

0.15

2

0.12

6

0.20

3

0.13

9

0.16

6

9 CIL 39.3

63

45.4

48

48.7

73

51.5

39

53.6

22

43.8

63

38.9

5

45.5

56

32.4

68

37.1

51

10 SCCL 4.53 5.04

9

5.02

5

5.05

5

5.35

3

4.01

6

3.16

7

3.64

8 2.31

2.76

5

11 OTHER

S**

0.49

4

0.89

9

0.55

7

0.35

7

1.00

7

1.06

6 1.24

1.69

2

2.00

4

2.11

8

TOT

AL

44.3

87

51.3

96

54.3

55

56.9

5

59.9

82

48.9

45

43.3

57 50.9

36.7

82

42.0

34

Source : CIL,SCCL and Public and Pvt. Coal companies

** Excluding Meghalaya

Chennai’s July steam coal imports double m-o-m

India Coal Market Watch

August 27: Steam coal import volumes through Chennai Port in July 2015 more than

doubled to 208 tons. A volume of 100 tons had been imported in June this year as well as in

May, as per provisional information available with ICMW.

There were no imports of the fuel from August 2014 till April 2015.

In July 2015, imports included 132 tons from Colombia at a range of Rs 21,600 – Rs 21,650

per ton ($237) and 77 tons from the Netherland at a unit price of Rs 21,751 ($339).

June 2015 imports included 25 tons from Australia, Rs 15,321/ton ($237), 51 tons from the

Netherland at a unit price of Rs 21,189 ($328) and 24 tons from Russia at a unit price of Rs

13,061 ($202).

It may be noted that coal handling at Chennai Port has been suspended since October 2012

following a ban imposed by the Madras High Court on handling of dirty cargo of coal and

iron ore at the port with effect from October 1, 2011. The court order came following the

hearing of public interest litigation (PIL). However, old stocks are getting cleared.

July coking coal imports via Chennai at 171 tons

India Coal Market Watch

August 27: Coking coal imports through the port of Chennai in July 2015 were at 171 tons.

However, the port saw nil imports of the material in June and May, while April saw a mere

95 tons, as per provisional information available with ICMW.

In July, all consignments arrived from the UK at price range of Rs 29,643 – Rs 30,262

($462-469) per ton.

It may be noted that coal handling at Chennai Port has been suspended since October 2012

following a ban imposed by the Madras High Court on handling of dirty cargo of coal and

iron ore at the port with effect from October 1, 2011. The court order came following the

hearing of public interest litigation (PIL). However, old stocks are getting cleared.

Chennai’s July pet coke imports drop 51% m-o-m

India Coal Market Watch

August 27: Pet coke imports through Chennai Port were at a volume of 382 tons in July

2015 while in June these were at 772 tons, dropping 50.51% month-on-month, as per

provisional information available with ICMW.

Imports of the material in July 2014 stood at 612 tons.

Total imports of the material in the first four months (April-July) of 2015-16 stood at 1,967

tons against 1,450 tons recorded in the same period of the previous fiscal.

Imports of pet coke through the port in financial year 2014-15 stood at 3,827 tons.

The following table contains month-wise import figures of pet coke via Chennai Port during

2015-16 and 2014-15:

Month 2015-16

(in tons)

2014-15

(in tons)

April 122 101

May 691 115

June 772 622

July 382 612

August

167

September

387

October

87

November

1,039

December

105

January

392

February

110

March

90

Total April to March 1,967 3,827

July imports comprised 337 tons from China in a range of Rs 22,014 – Rs 46,005 per ton

($343-718), 24 tons from Germany at a price of Rs 40,773 ($636)/ton, 18 tons from

Sweden at Rs 73,329/ton ($1,141), 3 tons from Japan at a price range of Rs 157,056 –

449,830 ($2,444-7,001) and 0.10 ton from Switzerland at Rs 733,769/ton ($11,367).

June imports comprised 582 tons from China in a range of Rs 21,384 – Rs 47,438 per ton

($331-735), 72 tons from Germany at a price range of Rs 41,001 – 41,971 ($633-650), 18

tons from Sweden at Rs 73,671/ton ($1,141), 80 tons from Hong Kong at a price range of

Rs 22,082 – 22,237 ($343-344), 17 tons from Japan at a price range of Rs 19,559 –

278,149 ($303-4,296), and a mere 4 ton from the UK at Rs 52,658/ton ($813).

Coal handling at Chennai Port has been suspended since October 2012 following a ban

imposed by the Madras High Court on handling of dirty cargo of coal and iron ore at the

port with effect from October 1, 2011. The court order came following the hearing of public

interest litigation (PIL). However, old stocks are getting cleared.

Jul met coke imports via Chennai Port at 125 tons

India Coal Market Watch

August 27: Met coke imports through Chennai Port in July 2015 were at 125 tons while

there were no imports from February- June, 2015. A mere 36 tons were imported in

January 2015, as per provisional information available with ICMW.

In July 2015, a volume of 124 tons arrived from China at a unit price of Rs 17,277 ($268)

and 1 ton from the US at Rs 27,354/ton ($426).

Chennai’s July anthracite imports up 29% m-o-m

India Coal Market Watch

August 27: Anthracite coal imports via Chennai Port increased by 29.16% to 1,240 tons in

July 2015 against 960 tons in June, as per provisional data available with ICMW.

In July, all the consignments arrived from China at a price range of Rs 17,706 -Rs 25,426

($276-396) per ton.

In June, all the consignments arrived from China at a price range of Rs 20,444 -Rs 25,130

($316-388) per ton.

No PCI imports through Chennai Port for 7 months

India Coal Market Watch

August 27: There have been no PCI coal imports through Chennai Port in January - July,

2015, according to provisional data available with ICMW.

In December, the entire consignment arrived from UK at a price range of Rs 28,994- Rs

29,038 ($464) per ton.

No pet coke exports through Chennai Port in July

India Coal Market Watch

August 27: There were no pet coke exports through Chennai Port in July 2015 while in June

these were at a negligible 6 tons, as per provisional information available with ICMW.

In June, the consignments were sent to Oman in a band of Rs 30,012 – Rs 31,121 per ton.

Chennai Port gypsum imports surge in July m-o-m

India Coal Market Watch

August 27: Gypsum imports through Chennai Port surged to 44,714 tons in July 2015

against a much lower 2,935 tons in June, as per provisional information available with

ICMW.

Imports of the material in July 2014 stood at an equally low figure of 1,755 tons.

Total gypsum imports through the port in the first four months (April-July) of 2015-16

stood at 150,406 tons against a much more modest 24,134 tons in the same period of the

previous fiscal.

Imports of gypsum through the port in financial year 2014-15 stood at 241,805 tons.

The following table contains the month-wise import figures of gypsum via Chennai Port

during 2015-16 and 2014-15:

GYPSUM IMPORT, CHENNAI

Port Month QTY

2015-16 2014-15

CHENNAI

APR 31,663 1,481

MAY 71,095 19,955

JUN 2,935 944

JUL 44,714 1,755

AUG

29,866

SEP

2,686

OCT

96,305

NOV

2,498

DEC

2,643

JAN

1,668

FEB

26,992

MAR

55,012

CHENNAI APRIL TO JULY TOTAL 150,406 24,134

CHENNAI APRIL TO MARCH TOTAL

241,805

July 2015 imports comprised a volume of 201 tons from China at a price range of Rs 13,137

– Rs 25,438 ($205-396) per ton, 58 tons from Denmark at a price range of Rs 77,020 – Rs

87,759 ($1,202-1,369), 1,592 tons from Iran at a range of Rs 3,857 – Rs 4,483 ($60-69),

573 tons from the UAE at Rs 5,037-Rs 9,549 ($79-$149) per ton, 184 tons from Thailand at

a price range of Rs 9,554-Rs 36,920 ($153-576) per ton, 1,074 tons from Vietnam at a

price band of Rs 10,390-Rs 11,538 ($162-$179) per ton and 10 tons from the US in a range

of Rs 45,201 – 45,345 ($704-706) per ton.

June 2015 imports comprised a volume of 106 tons from China at a price range of Rs

14,287 – Rs 25,636 ($221-397) per ton, 265 tons from Iran at a unit price of Rs 3,868

($60), 914 tons from the UAE at a price range of Rs 4,722-Rs 9,601 ($73-$148) per ton,

966 tons from Thailand at a price range of Rs 9,440-Rs 12,790 ($147-198) per ton, 600

tons from Vietnam at a price range of Rs 11,494-Rs 11,538 ($178-$179) per ton, amongst

others.

No gypsum exports via Chennai Port for 7 months

India Coal Market Watch

August 27: There have been no gypsum exports through the port of Chennai from January-

July, 2015 while the material fell sharply to a mere 37 tons in December 2014, as per

provisional information available with ICMW.

In December a single consignment went to Oman at a unit price of Rs 28,835.