Perth (Platts)–2Feb2015/558 am EST/1058 GMT
Australia’s Port Waratah Coal Services terminals increased their shipments of thermal and coking coal exports to China and South Korea in January, but exports to Japan fell in the same month, the company said in a report Monday.
The PWCS terminals at Newcastle port in eastern Australia dispatched 9.92 million mt of coal exports in January, of which 8.93 million mt, or 90%, was thermal coal.
The remaining 10%, or 992,000 mt, was metallurgical coal, said PWCS in an operating report.
Japan was the largest customer for coal exports from the two PWCS terminals last month at 4.2 million mt, which was in line with its offtake for January 2014, but 19.5% lower than exports of 5.22 million mt in December, said the Newcastle terminals operator.
China, including its territory of Hong Kong, was the destination for 2.165 million mt of coal exports shipped from the PWCS terminals in January, and up 30% from its offtake total of 1.66 million mt in December.
CONTINUED RECOVERY IN EXPORTS TO CHINA
Last month’s increase is the third in a row for Newcastle coal shipments to China, and underscores the gradual recovery in export volumes to the Asian country since Beijing imposed a 6% import tax on Australian thermal coal cargoes last October.
In line with this recovery in Chinese appetite for Newcastle coal exports, traded prices for 5,500 kcal/kg NAR cargoes shipped from the port have increased this week to $54/mt FOB on a 20% ash basis, and up slightly from December’s average price of $53.17/mt, Platts data showed.
South Korean buyers took delivery of 1.86 million mt of coal exports from the PWCS terminals in January — the country’s highest offtake since 2.2 million mt in January 2014 — and up sharply from 1.62 million mt in December, the PWCS data showed.
Taiwan, another significant customer for Newcastle coal exports, loaded 1.2 million mt last month — similar to levels in the preceding six months, said PWCS in its report.
Malaysia, which made a strong showing in PWCS’ export ranking last month with an offtake of 665,000 mt, took delivery of half that amount in January at 300,000 mt, according to the data.
India disappeared as a destination for PWCS Newcastle coal exports in January with no exports. Indian buyers had booked 232,000 mt of coal cargoes from the company’s Newcastle terminals in December.
Centennial Coal, Glencore, Rio Tinto and Yancoal are among the major coal companies that export cargo through the PWCS terminals at Newcastle port.
–Mike Cooper, michael.cooper@platts.com
–Edited by Irene Tang, irene.tang@platts.com