COKING COAL DAILY: Premium fob price up on latest trade; buyers accept price

The seaborne premium hard coking coal fob price jumped up on Friday January 15 following a transaction done at $124 per tonne fob Australia on Friday, sources said.

Fastmarkets indices
Premium hard coking coal, fob DBCT: $123.91 per tonne, up $10.02 per tonne
Premium hard coking coal, cfr Jingtang: $208.69 per tonne, up $0.12 per tonne
Hard coking coal, fob DBCT: $101.54 per tonne, up $2.74 per tonne
Hard coking coal, cfr Jingtang: $197.03 per tonne, unchanged
A 70,000-tonne cargo of premium low-volatility hard coking coal, with March 1-10 laycan, was traded at $124 per tonne fob Australia on Friday January 15, sources told Fastmarkets. 
Several sources in the fob market, however, were not sure why premium hard coking coal prices jumped this week.
Given the latest transaction, one Singapore-based trader source estimated the prices of premium low-vol hard coking coal and premium mid-volatility hard coking coal at around $123.50 per tonne and $117.50 per tonne fob Australia respectively.
One coke producer source from India estimated premium low-vol hard coking coal and premium mid-vol hard coking coal at around $123.50 per tonne and $125.50 per tonne fob Australia respectively.
"Indian steel mills are making good margins and they can accept the current price level," the producer said.
A trader source from China said that the Russian low-volatile pulverized coal injection (PCI) price had increased to $142 per tonne cfr China because supply is still tight.
Dalian Commodity Exchange
The most-traded May coking coal futures contract closed at 1,727 yuan ($266.79) per tonne on Friday, up by 61 yuan per tonne.
The most-traded May coke contract closed at 2,775 yuan per tonne, up by 31 yuan per tonne.
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Li Min

min.li@fastmarkets.com

Published

Li Min

January 15, 2021

11:38 GMT

Shanghai