COAL TRADER INTERNATIONAL

Volume 19 / Issue 33 / Friday, February 15, 2019

All eyes on thermal coal supply in Indonesia’s Daily prompt physical thermal coal assessments, Feb 15

East Kalimantan CV (kcal/kg) Window Platts symbol $/mt Chg

■■Chinese domestic prices rebound
■■Newcastle 6,000 NAR price hits new low
Singapore—Seaborne traders were thinking through the implications
of Jakarta’s recently announced cuts to some miners’ Indonesian
North East Asia
NEAT Coal Index 5,750 NAR 15-60 day JKTCA00 77.80 +0.22
Atlantic
CIF ARA 6,000 NAR 15-60 day CSARM01 71.55 +1.25

thermal coal production after a few missed domestic market quotas FOB Richards Bay 5,500 NAR 7-45 day AAXEX00 59.85 +3.20

and they foresee Kalimantan prices edging higher in the near term, Australia
market sources said Friday. FOB Newcastle 20% Ash 5,500 NAR 7-45 day AAVUW00 61.80 0.00
An Indonesia-based trader heard a trade concluded Thursday for a FOB Newcastle 23% Ash 5,500 NAR 7-45 day AAVVB00 60.20 0.00
gearless-vessel cargo of Indonesian 4,200 kcal/kg GAR thermal coal FOB Newcastle Ash Differential AAVVA00 0.52

(continued on page 12) FOB Newcastle 6,300 GAR 7-45 day CSNCB00 87.10 +0.50

News Headlines
Thermal coal buyers in Turkey look to domestic market
■■Currency exchange unsupportive for international deals
■■Moroccan tender launched
ITOCHU divests from Australian thermal coal mine
■■ITOCHU’s stake was 12.5%
■■Company will no longer invest in new coal-fired projects
Coal stocks at Indian power plants rise
Indonesia
FOB Kalimantan (Geared Supramax) 4,200 GAR 7-45 day CSBKI00 35.75 +0.25
FOB Kalimantan (Geared Supramax) 3,800 GAR 7-45 day CSCKJ00 28.65 +0.15
FOB Kalimantan (Geared Supramax) 5,900 GAR 90-day CSAKH00 71.40 +0.10
FOB Kalimantan (Geared Supramax) 5,000 GAR 90-day CSAKI00 55.30 +0.10
India
CFR India West (Gearless Panamax) 5,500 NAR 30-60 day CIWCI00 67.15 -0.95
CFR India West (Gearless Panamax) 5,000 GAR 30-60 day TCAKP00 63.75 +0.30
CFR India West (Gearless Panamax) 4,200 GAR 30-60 day TCAKT00 44.20 +0.45
CFR India West (Geared Supramax) 3,800 GAR 30-60 day TCAKR00 38.25 +0.40
CFR India East (Gearless Panamax) 5,500 NAR 30-60 day CIECI00 67.35 -0.95
CFR India East (Gearless Panamax) 5,000 GAR 30-60 day TCAKJ00 63.00 +0.30

to 22.64 million mt CFR India East (Gearless Panamax) 4,200 GAR 30-60 day TCAKU00 43.45 +0.45
CFR India East (Geared Supramax) 3,800 GAR 30-60 day TCAKS00 36.65 +0.40
■■Stock levels up 148% on-year
■■Imported thermal coal stocks peak at 705,000 mt CV (kcal/kg) Window Platts symbol $/mt Chg
China
PCC 1 (FOB Qinhuangdao) 5,500 NAR 7-45 day PCCQH00 88.11* +0.70
PCC 2 (FOB Qinhuangdao) 5,000 NAR 7-45 day PCCPN00 76.86* +0.71
FOB RUSSIA  FOB COLOMBIA COAL vs DELIVERED NEAT PCC 6 (CFR South China) 3,800 NAR 30-60 day PCCPQ00 42.25 +0.15
BASIS 5,750 kcal/kg PCC 7 (CFR South China) 4,700 NAR 30-60 day PCCPP00 61.90 +0.10
($/mt)
120 PCC 8 (CFR South China) 5,500 NAR 15-60 day PCCSC00 68.25 0.00

Yuan/mt
PCC 1 (FOB Qinhuangdao) 5,500 NAR 7-45 day PCCQG00 595.00* +5.00
100 PCC 2 (FOB Qinhuangdao) 5,000 NAR 7-45 day PCCPM00 519.00* +5.00
PCC 6 (CFR South China) 3,800 NAR 30-60 day PCCPR00 285.31 +1.13
Russia
PCC 6 (VAT included) 3,800 NAR 30-60 day PCCPS00 330.96 +1.31
80 NEAT PCC 7 (CFR South China) 4,700 NAR 30-60 day PCCPO00 418.00 +0.85
PCC 7 (VAT included) 4,700 NAR 30-60 day PCCFB00 484.88 +0.99
Colombia
PCC 8 (CFR South China) 5,500 NAR 15-60 day PCCSD00 460.88 +0.19
60 PCC 8 (Duty & VAT included) 5,500 NAR 15-60 day PCCFA00 534.62 +0.22
Feb-18 May-18 Aug-18 Nov-18 Feb-19
Source: S&P Global Platts *Includes VAT

www.platts.com www.twitter.com/PlattsCoal
Coal Trader International Friday, February 15, 2019

Delivered-Europe thermal coal price rebounds
on day despite overall bear expectations
■■Sentiment bearish through the end of March
■■Futures recover ground on day, follows power, oil
London—The delivered-Europe thermal coal market remained under
negative pressure Friday as concerns of oversupply and weaker
demand persisted in both Atlantic and Pacific basins, although lower
wind forecasts in the near-term added some positive sentiment at the
end of the week.
“There is upside in oil prices increasing, and wind generating less,”
European coal analyst said.
Platts assessed the CIF ARA 6,000 kcal/kg NAR physical price at
$71.55/mt, up $1.25 on the day
This upside was more limited to the near term, sources said, as
healthy natural gas storage in Europe would limit coal burn even with
lower wind generation.
Russian coal prices on an FOB basis fell lower in the week to Friday.
Platts weekly FOB Russia Baltic 6,000 kcal/kg NAR price was assessed
at $66.55/mt, down $1 on the week.
Sources said they expected Russian producers to lower FOB prices
in order to keep market share, which explains the diverging price
movement on the week.
Asian markets added little support Friday. Sources said Chinese
coal demand was still lacking, despite recent statistics showing an
increase in imports.
“Weather is mild in China and I just don’t see the demand in the
rest of Asia to drive a price spike,” the coal analyst said.
Indian demand was also muted as state-owned domestic producer
Coal India had been supplying sufficient volumes to power stations,
curtailing the need for imported thermal coal.
Weekly prompt physical thermal coal prices, Feb 15
Code CV Basis Sulfur $/mt Chg
(kcal/kg)
CIF Turkey CTCMT04 6,000 NAR 0.8% 85.00 -1.00
FOB Colombia CSABZ00 6,000 NAR 0.8% 71.00 -2.00
FOB Russia Baltic CSAKC00 6,000 NAR 0.5% 66.55 -1.00
FOB Russia Pacific CSAKG00 6,300 GAR 0.3% 92.00 -3.00
FOB USEC Baltimore CUAAA04 6,944 NAR 2.6% 74.00 -1.00
FOB USEC Hampton Roads CUABA04 6,667 NAR 1.0% 93.65 +0.15
FOB USGC New Orleans CUACA04 6,111 NAR 2.9% 55.00 -2.04
Normalized
FOB USEC Baltimore CUADA04 6,000 NAR 63.94 -0.86
FOB USEC Hampton Roads CUAEA04 6,000 NAR 84.28 +0.13
FOB USGC New Orleans CUAFA04 6,000 NAR 54.00 -2.00
Platts physical thermal coal netbacks, Feb 15
Code CV Basis Sulfur $/mt Chg
(kcal/kg)
Coal ($/mt)
CIF ARA CSARM01 6,000 NAR 1.0% 71.55 +1.25
NEAT Coal Index JKTCA00 5,750 NAR 1.0% 77.80 +0.22
CFR India West CIWCI00 5,500 NAR 0.8% 67.15 -0.95
Panamax Freight ($/mt)
USEC-Rotterdam CDBUR00 8.25 +0.25
Mobile-Rotterdam CDMAR00 11.25 0.00
Roberts Bank-Japan CDRBK00 12.30 +0.20
Richards Bay-India West CSAKL00 10.50 +0.40
Penalties & Premia ($/mt)
Per 0.1% Sulfur (USGC) COPAP00 0.26 0.00
Total S discount (USGC) COPBP00 4.94 0.00
Netbacks ($/st)
FOB US East Coast* COUSC00 12,500 GAR 1.0% 63.81 +1.01
FOB US Gulf Coast* COUGU00 11,500 GAR 2.9% 51.23 +1.15
FOB Vancouver* COVCU00 8,800 GAR 0.8% 47.65 +0.01
Netbacks ($/mt)
FOB Richards Bay CSEUW00 6,000 NAR 0.8% 64.92 -1.47
* CV = Btu/lb

GLOBAL COAL PHYSICAL PRICE SNAPSHOT, FEBRUARY 15

$/mt, kcal/kg)

FOB Baltic Russia 6,000 NAR* 66.55

CIF ARA 6,000 NAR 71.55

FOB Baltimore 6,000 NAR * 63.94 CIF Turkey 6,000 NAR* 85.00
NEAT Coal Index 5,750 NAR 77.80
FOB Hampton Roads 6,000 NAR* 84.28
FOB New Orleans 6,000 NAR * 54.00 PCC 1 (FOB Qinhuangdao) 5,500 NAR 88.11
CFR India East 5,500 NAR 67.35
PCC 8 (CFR South China) 5,500 NAR 68.25
CFR India West 5,500 NAR 67.15
CFR India East 4,200 GAR 43.45
CFR India West 4,200 GAR 44.20

FOB Colombia 6,000 NAR* 71.00

FOB Kalimantan 4,200 GAR 35.75

FOB Richards Bay 5,500 NAR 59.85 FOB Newcastle 5,500 NAR 61.80
FOB Richards Bay 6,000 NAR 64.92 FOB Newcastle 6,300 GAR 87.10

* Weekly price, assessed Fridays

Source: S&P Global Platts

© 2019 S&P Global Platts, a division of S&P Global Inc. All rights reserved. 2
Coal Trader International Friday, February 15, 2019
As a result, sources were not expecting much price increases
through to the end of March.
CIF ARA thermal coal futures also trended higher Friday.
A European coal trader said current low price levels could be seen
as attractive to buyers.
“The market seems to have gained new strength, there is demand
at these levels and healthy volumes,” the source said.
Furthermore, the European complex added support Friday with
German year-ahead power, natural gas and ICE Brent Crude futures all
trading higher on the day.
Platts assessed the Cal-20 contract at $79/mt, up $1.75 on the day.
Thermal coal buyers in Turkey look to
domestic market
■■Currency exchange unsupportive for international deals
■■Moroccan tender launched
London—The thermal coal market in Turkey remained illiquid Friday as
buyers showed preference for domestic supplies.
“People are inquiring, but the market prefers domestic coal or
petcoke,” said a European trader.
“We are not in the coal market,” said a Turkish cement plant buyer.
The buyer said the volatility in the lira in recent months has meant
most buyers who look for coal have sourced domestically or procured
petcoke instead.
“I have not been in the coal market for eight months,” the
source said.
The lira stood at 0.190 against the dollar Friday morning, having
COAL TRADER INTERNATIONAL
Volume 19 / Issue 33 / February 15, 2019
ISSN: 1746-8914
Managing Editors
Deepak Kannan: +65-6530-6487, Deepak.Kannan@spglobal.com
Jeffrey McDonald: +44-20-7176-0206, Jeffrey.McDonald@spglobal.com
Andrew Moore: +1+713-655-2295, andrew.moore@spglobal.com
Senior Editor
Mike Cooper: +61-8-9380-9693, Michael.Cooper@spglobal.com
Editors
Joseph Clarke: Joseph.Clarke@spglobal.com
Piers De Wilde: Piers.De.Wilde@spglobal.com
Hui Min Lee: hui.min.lee@spglobal.com
Fred Wang: fred.wang@spglobal.com
Jenny Ma: jenny.ma@spglobal.com
Global Director of Generating Fuels
Simon Thorne
Platts President
Martin Fraenkel
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Bob Botelho
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© 2019 S&P Global Platts, a division of S&P Global Inc. All rights reserved.
Spot dry bulk freight assessments, Feb 15
Platts symbol $/mt Chg
Capesize
Australia-China CDANC00 6.70 +0.10
Queensland-Japan CIGAJ00 7.30 +0.10
New South Wales-Korea CINAK00 8.15 +0.10
Bolivar-Rotterdam CIBCR00 7.85 0.00
Roberts Bank-Japan CDRKJ00 9.10 +0.10
Richards Bay-Rotterdam CIRBN00 6.80 0.00
Panamax
Richards Bay-India West CSAKL00 10.50 +0.40
Kalimantan-India West CSAKP00 7.70 +0.20
Richards Bay-India East CSAKN00 10.55 +0.40
— Joseph Clarke Kalimantan-India East CSAKR00 6.40 +0.20
Richards Bay-Rotterdam CIRRN00 9.25 +0.50
Richards Bay-Spanish Med CIRBT00 8.75 +0.50
Richards Bay-Jorf Lasfar CIRBJ00 8.50 +0.50
Bolivar-Rotterdam CIBRN00 10.25 0.00
USEC-India
USEC-Rotterdam
CDBUI00 27.00 +0.25
CDBUR00 8.25 +0.25
USEC-Brazil CDBUB00 8.00 0.00
Mobile-Rotterdam CDMAR00 11.25 0.00
Mobile-Taranto CDMAI00 9.75 0.00
Roberts Bank-Japan CDRBK00 12.30 +0.20
Australia-China CDBFA00 10.20 +0.20
Australia-India CDBFAI0 11.40 +0.25
stooped to 0.144 in August last year.
However, the cement plant buyer said the recent fall in the
benchmark CIF ARA 6,000 kcal/kg NAR price might encourage buyers
to enter the seaborne market.
Sources said outside of contracts, Colombian spot activity has
been weak to key Atlantic markets like Turkey, with an expectation of
reduced premiums to the CIF ARA price for capsize vessels from
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Coal Trader International Friday, February 15, 2019

Recent heards in the thermal coal market

Date Heard type Product (kcal/kg) Price (per mt) Volume size Delivery period Source Additional
reported (mt) Notes

15-Feb Offer FOB Richards Bay 6000 NAR $74.25 50,000 March globalCOAL
15-Feb Bid FOB Richards Bay 6000 NAR $74.50 50,000 April globalCOAL EFP
15-Feb Offer CIF ARA 6000 NAR $70.50 50,000 March globalCOAL
15-Feb Offer CIF ARA 6000 NAR $72.75 50,000 April globalCOAL
15-Feb Bid CIF ARA 6000 NAR $73.25 50,000 April Braemar
15-Feb Bid CIF ARA 6000 NAR $71.50 50,000 March Braemar
15-Feb Offer FOB Qinhuangdao 5500 NAR Yuan595-600 Unknown Spot cargo Trader
15-Feb Trade FOB Qinhuangdao 5500 NAR Yuan597-598 Unknown Spot cargo Market
15-Feb Trade FOB Kalimantan 3800 NAR $37.50-38 75,000 March Trader Panamax
15-Feb Offer FOB Kalimantan 3800 NAR $36-37 55,000 March Trader Supramax
15-Feb Bid FOB Kalimantan 3800 NAR $35.5 55,000 March Trader Supramax
15-Feb Offer FOB Kalimantan 3800 GAR $33 55,000 March Trader Supramax
15-Feb Trade FOB Kalimantan 4200 GAR $36.5 75,000 March Trader Gearless vessel
15-Feb Bid/Offer FOB Kalimantan 4200 GAR $37 vs 39 55,000 March Trader Supramax
15-Feb Offer FOB Kalimantan 4200 GAR $40 55,000 March Producer Supramax
15-Feb Bid/Offer FOB Kalimantan 5100 GAR $58.50-59 vs 59.50-60 75,000 March Trader Panamax
14-Feb Trade FOB Richards Bay 6000 NAR $76.6 50,000 March globalCOAL
14-Feb Bid CIF ARA 6000 NAR $70.25 50,000 March Braemar
14-Feb Offer CIF ARA 6000 NAR $73 50,000 March Braemar
14-Feb Bid CIF ARA 6000 NAR $72.75 50,000 April Braemar
14-Feb Offer CIF ARA 6000 NAR $73 50,000 April Braemar
14-Feb Bid FOB Richards Bay 6000 NAR $75 50,000 March globalCOAL
14-Feb Offer FOB Richards Bay 6000 NAR $75.5 50,000 March globalCOAL
14-Feb Trade FOB Newcastle 6000 NAR $94.5 25,000 April globalCOAL Parcel
14-Feb Offer FOB Qinhuangdao 5500 NAR Yuan590-595 Unknown Spot cargo Trader
14-Feb Trade FOB Kalimantan 3800 NAR $35.5 55,000 March Trader Supramax
14-Feb Trade FOB Kalimantan 3800 GAR $28.75 40,000 March Producer Handysize
14-Feb Offer FOB Kalimantan 3800 GAR $29 55,000 March Trader Supramax
14-Feb Offer FOB Kalimantan 4200 GAR $35.5 55,000 March Trader Supramax
14-Feb Bid FOB Kalimantan 4200 GAR $35.5 55,000 March Trader Supramax
14-Feb Offer FOB Kalimantan 4200 GAR $37 55,000 March-April Producer Supramax
14-Feb Offer FOB Kalimantan 4200 GAR $36 55,000 March Trader Supramax
14-Feb Offer FOB Kalimantan 4700 GAR $55 55,000 March-April Producer Supramax
14-Feb Bid FOB Kalimantan 4700 GAR $49 55,000 March-April Trader Supramax
14-Feb Trade FOB Newcastle 6000 NAR $87.65 50,000 March globalCOAL
14-Feb Trade FOB Newcastle 6000 NAR $87.9 50,000 March globalCOAL
13-Feb Bid CIF ARA 6000 NAR $69.5 50,000 March Braemar
13-Feb Offer CIF ARA 6000 NAR $70.5 50,000 March Braemar
13-Feb Offer CIF ARA 6000 NAR $71.25 50,000 April Braemar
13-Feb Bid CIF ARA 6000 NAR $72.25 50,000 April Braemar
13-Feb Bid FOB Richards Bay 6000 NAR $76.5 50,000 March globalCOAL
13-Feb Offer FOB Richards Bay 6000 NAR $77.4 50,000 March globalCOAL
13-Feb Bid FOB Richards Bay 6000 NAR $79.5 50,000 April globalCOAL
13-Feb Trade FOB Newcastle 6000 NAR $94 25,000 April globalCOAL Parcel
13-Feb Bid FOB Newcastle 5500 NAR $60-61 130,000 April Market Capesize
13-Feb Bid FOB Newcastle 5300 NAR $56-57 130,000 March-April Market Capesize, on a
5,500 NAR basis
13-Feb Offer FOB Qinhuangdao 5500 NAR Yuan588-590 Unknown Spot cargo Trader
13-Feb Trade FOB Sumatra 4000 GAR $32 55,000 March Trader Geared vessel
13-Feb Trade FOB Sumatra 5500 GAR $62 55,000 March Trader Geared vessel
13-Feb Bid FOB Kalimantan 3800 NAR $34.6 55,000 March Trader Supramax
13-Feb Bid FOB Kalimantan 3800 NAR $34.5 55,000 March Trader Geared vessel
13-Feb Offer FOB Kalimantan 3800 NAR $36 55,000 March Trader Geared vessel
13-Feb Offer FOB Kalimantan 4200 GAR $35.75-36 55,000 March Trader Supramax
13-Feb Bid FOB Kalimantan 4200 GAR $36 55,000 March Trader Supramax

© 2019 S&P Global Platts, a division of S&P Global Inc. All rights reserved. 4
Coal Trader International Friday, February 15, 2019
Colombia to Turkey.
FOB Russia Black Sea 6,000 kcal/kg NAR prices for smaller vessels
were pegged by sources around $76-$77/mt Friday.
S&P Global Platts assessed the CIF Turkey 6,000 kcal/kg NAR
90-day price at $85/mt, down $1 on week.
Moroccan tender launched, US flows to Egypt
Sources reported Morocco’s ONEE (The Office National de
l’Electricité et de l’Eau Potable) launched a tender this week for five
38,000 mt cargoes for delivery in Q2 on a CIF Jorf Lasfar basis.
Market participants expect Russian and US North Appalachian
coals to be successful in the tender, with US coals pricing in more
competitively on the back of cheaper freight rates in the Atlantic.
Elsewhere, sources reported steady flows of US high sulfur coals
into Egypt, with little else changed in the market.
— Piers De Wilde
ITOCHU divests from Australian
thermal coal mine
■■ITOCHU’s stake was 12.5%
■■Company will no longer invest in new coal-fired projects
London—Japan’s ITOCHU announced Thursday the sale of its interest
in the Australian Rolleston thermal coal mine, held by the company’s
subsidy ITOCHU Minerals & Energy Australia.
“This is the second such sale by ITOCHU of one of our thermal coal
mine interests in recent years following the sale of our interest in the
NCA (Newlands Collinsville Abbot Point) joint venture in September
2016,” ITOCHU said in the statement.
The company announced the sale as part of its need to reduce
greenhouse gas emissions and contribute to realization of low-
carbon society.
“Regarding the existing thermal coal mining business, we will
continue to review it and contribute to the development of a
sustainable society while responding to the social demands of stable
supply of energy to domestic and overseas customers,” ITOCHU said.
The company also said it will no longer develop any new coal-
fired power generation business or acquire any new thermal coal
mining interest.
Until now, the company’s stake in the Queensland mine stood at
12.5%, with Glencore and Sumitomo making up the rest.
The Rolleston mine produces low ash thermal coal for domestic and
export markets from open cut operations, with an annual production
rate of 13 million mt/year, according to the company’s website.
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Thermal coal forward curves, Feb 15
Bid Ask Midpoint* Platts symbol Change* % Change
CIF ARA 6,000 NAR
Mar-19 74.10 74.40 74.25 CSAM001 +1.55 +2.13
Apr-19 75.05 75.35 75.20 CSAM002 +1.65 +2.24
Q2-19 76.00 76.30 76.15 CSAQ001 +1.55 +2.08
Q3-19 77.65 77.95 77.80 CSAQ002 +1.55 +2.03
Q4-19 79.45 79.75 79.60 CSAQ003 +1.45 +1.86
Q1-20 79.35 79.65 79.50 CSAQ004 +1.35 +1.73
2020 78.85 79.15 79.00 CSAY001 +1.75 +2.27
2021 77.40 77.70 77.55 CSAY002 +1.25 +1.64
2022 76.60 76.90 76.75 CSAY003 +1.25 +1.66
FOB Newcastle 6,300 GAR
Mar-19 91.25 91.75 91.50 CSCM001 +0.50 +0.55
Apr-19 90.95 91.45 91.20 CSCM002 +0.45 +0.50
Q2-19 90.90 91.40 91.15 CSCQ001 +0.65 +0.72
Q3-19 90.75 91.25 91.00 CSCQ002 +0.60 +0.66
Q4-19 90.50 91.00 90.75 CSCQ003 +0.50 +0.55
Q1-20 90.20 90.70 90.45 CSCQ004 +0.20 +0.22
2020 88.70 89.70 89.20 CSCY001 +1.20 +1.36
2021 86.35 87.35 86.85 CSCY002 +1.10 +1.28
2022 84.40 85.40 84.90 CSCY003 +0.75 +0.89
*Fields are calculated.
Platts Coal Switching Price Indicator (CSPI)
Platts UK Platts UK Platts Netherlands
February 14, 2019 symbol (p/th) symbol (Eur/MWh) symbol (Eur/MWh)
Month ahead EUKVM00 65.50 EUKTM00 25.33 EDUTM00 16.33
Quarter ahead EUKVQ00 66.38 EUKTQ00 25.67 EDUTQ00 16.63
Year ahead EUKVY00 67.93 EUKTY00 26.27 EDUTY00 17.15
Efficiency used is 50% for gas plants, 35% for UK coal plants and 40% for Dutch coal plants. Platts
CSPI is the theoretical threshold at which gas is more competitive than coal in power generation.
When the gas price is higher than the CSPI, CCGTs are more expensive to run than coal-fired plants.
Clean dark spreads, Feb 14
Platts 35% Platts 45% Platts 35%
symbol efficiency symbol efficiency symbol efficiency
CPS*
Germany (Eur/MWh)
Month ahead CCGTM00 -3.97 CCGUM00 1.90
Month ahead+1 CCGTM27 -5.19 CCGUM27 0.75
Quarter ahead CCGTQ00 -4.60 CCGUQ00 1.42
Quarter ahead+1 CCGTQ27 -2.05 CCGUQ27 4.11
Year ahead CCGTY00 -2.22 CCGUY00 4.02
Year ahead+1 CCGTY27 -3.99 CCGUY27 2.17
Year ahead+2 CCGTY28 -2.83 CCGUY28 3.26
UK (GBP/MWh)
Month ahead CCUZM00 9.62 CCHZM00 -7.90
Month ahead+1 CCUZM27 9.05 CCHZM27 -8.47
Quarter ahead CCUZQ00 8.16 CCHZQ00 -9.35
Quarter ahead+1 CCUZQ27 7.58 CCHZQ27 -9.93
Season ahead CCUZS00 7.84 CCHZS00 -9.67
UK (Eur/MWh)
Month ahead
Month ahead+1
CCUTM00 10.90
CCUTM27 10.25
CCHTM00 -8.95
CCHTM27 -9.60
Quarter ahead CCUTQ00 9.24 CCHTQ00 -10.60
Quarter ahead+1 CCUTQ27 8.59 CCHTQ27 -11.26
Season ahead CCUTS00 8.89 CCHTS00 -10.96
*The CPS clean dark spreads incorporate the cost of the UK government’s Carbon Price Support
levy. For full details of the rates, please see Platts methodology on www.platts.com.
Source: S&P Global Platts, EEX
5
Coal Trader International Friday, February 15, 2019
The coal produced is exported the Wiggins Island Coal Export
Terminal and the Port of Gladstone.
— Piers De Wilde
Coal stocks at Indian power plants rise
to 22.64 million mt
■■Stock levels up 148% on-year
■■Imported thermal coal stocks peak at 705,000 mt
London—Thermal coal stocks at Indian power plants climbed to their
highest level since May 2017, reaching 22.64 million mt in the week
ending Thursday, according to data published Friday by the Central
Electricity Authority.
Stock levels were up 148% from the year-ago period continuing the
trend so far in 2019 of recovering inventories, which spent most of the
previous two years at perilously low levels.
Stockpiles of imported thermal coal also rose to 696,000 mt by
Thursday, up 41,000 mt on the week and peaking at 705,000 mt
Tuesday. Imported stocks were last this high in August 2017.
— Joseph Clarke
Australia’s Whitehaven Coal trims 2018-2019
production guidance
■■Saleable production dropped to 21.5 mil-22.5 mil mt
■■It was previously 22 mil-23 mil mt
Sydney—Australian coal miner Whitehaven has trimmed its fiscal 2018-
2019 (July-June) saleable production guidance to 21.5 million-22.5
million mt, from 22 million-23 million mt, the company said Friday in its
first-half results.
The decision followed a number of events at Whitehaven’s 70%-owned
and second largest Narrabri mine from mid-January and into February,
which saw the miner reduce the mine’s run-of-mine production
guidance for the current fiscal year to 5.6 million-6 million mt, from 6.5
million-6.8 million mt.
© 2019 S&P Global Platts, a division of S&P Global Inc. All rights reserved.
Coking coal swaps assessment, Feb 15
Platts symbol $/mt Chg % Chg
TSI Premium Hard Coking Coal Australia Export FOB East Coast Port
Mar-19 MCPLM01 206.000 +0.080 +0.039
Apr-19 MCPLM02 200.500 +0.580 +0.290
May-19 MCPLM03 194.920 +0.250 +0.128
Q2-19
Q3-19
MCPLQ01 194.950 0.000 0.000
MCPLQ02 186.670 0.000 0.000
Q4-19 MCPLQ03 188.420 +0.750 +0.400
2020 MCPLY01 181.970 +0.750 +0.414
2021 MCPLY02 173.130 +2.580 +1.513
Metallurgical coke, Feb 15
Seaborne
% CSR Platts symbol $/mt Chg % Chg
FOB North China 66/65 MCCNC00 352.00 0.00 0.00
65/63 MCCHB00 341.00 0.00 0.00
64/62 AAWVL00 337.00 0.00 0.00
62/60 MCCHA00 327.00 0.00 0.00
CFR India 66/65 MCCNI00 365.00 0.00 0.00
65/63 MCINB00 354.00 0.00 0.00
64/62 MCCEI00 350.00 0.00 0.00
62/60 MCINA00 340.00 0.00 0.00
Domestic
Yuan/mt
DDP North China (weekly) 62 AAWVJ00 2220.00 +50.00 +2.30
$/mt
FOB North China equivalent (DDP weekly) 62 PLVHM04 335.37 +4.20 +1.25
Platts China PLV, met coke price differentials, Feb 15
Price spreads Platts symbol $/mt
Import-Shanxi Premium Low Vol CFR China PLVHK04 -24.41
Import-port stock Premium Low Vol CFR China PLVHL04 -5.34
62% CSR coke export-domestic FOB North China PLVHN04 1.63
Monthly and Quarterly Averages for Platts Forward
Benchmark Coal Price Assessments ($/mt)
CV (kcal/kg) Basis Jan-19 Dec-18 Nov-18 Q4-18 Q3-18
NEAT Coal Index 5,750 NAR 79.95 79.02 81.78 83.29 88.42
CIF ARA 6,000 NAR 81.10 87.40 86.42 91.63 99.42
FOB Richards Bay 5,500 NAR 65.36 66.96 61.96 67.04 81.43
FOB Newcastle 20% Ash 5,500 NAR 63.58 61.15 63.21 64.04 68.90
FOB Newcastle 23% Ash 5,500 NAR 61.97 59.59 61.59 62.39 67.14
FOB Newcastle 6,300 GAR 98.05 99.93 99.42 102.78 117.92
FOB Kalimantan 5,900 GAR 69.48 68.02 69.35 70.09 78.14
FOB Kalimantan 5,000 GAR 49.86 46.35 48.74 49.51 59.00
FOB Kalimantan 4,200 GAR 32.84 30.21 31.54 33.63 41.83
FOB Kalimantan 3,800 GAR 26.95 25.84 26.77 28.01 34.00
CFR India West 5,500 NAR 76.94 79.38 75.50 80.93 95.59
CFR India West 5,000 GAR 58.25 55.92 58.50 59.93 69.48
CFR India West 4,200 GAR 41.23 39.77 41.30 44.06 52.86
CFR India West 3,800 GAR 36.12 36.35 37.38 39.42 46.50
CFR India East 5,500 NAR 77.24 79.73 75.89 81.31 95.94
CFR India East 5,000 GAR 57.48 55.10 57.54 58.94 68.56
CFR India East 4,200 GAR 40.46 38.95 40.34 43.07 51.39
CFR India East 3,800 GAR 34.90 35.08 35.72 37.86 44.52
CIF Turkey 6,000 NAR 90.50 96.00 98.40 99.46 103.08
FOB Colombia 6,000 NAR 79.38 81.75 84.30 86.29 91.48
Russia Baltic* 6,000 NAR 76.64 80.28 79.63 84.43 93.95
Russia Pacific 6,300 GAR 100.00 100.75 104.40 106.77 119.75
*Assessed on a 6,400 kcal/kg GAR basis before January 2, 2015. See methodology for further details.
6
Coal Trader International Friday, February 15, 2019

Platts daily metallurgical coal assessments, Feb 15

Asia-Pacific coking coal ($/mt)
Platts FOB Change Platts CFR Change Platts CFR Change
symbol Australia symbol China symbol India
HCC Peak Downs Region HCCGA00 209.50 0.00 HCCGC00 205.50 0.00 HCCGI00 220.90 +0.25
Premium Low Vol PLVHA00 208.50 0.00 PLVHC00 205.00 0.00 PLVHI00 219.90 +0.25
HCC 64 Mid Vol HCCAU00 178.05 +0.55 HCCCH00 188.25 +0.75 HCCIN00 189.45 +0.80
Low Vol PCI MCLVA00 125.30 +0.80 MCLVC00 135.50 +1.00 MCLVI00 136.70 +1.05
Mid Tier PCI MCLAA00 123.30 +0.80 MCLAC00 133.50 +1.00 MCVAI00 134.70 +1.05
Semi Soft MCSSA00 116.55 -0.20 MCSSC00 126.75 0.00 MCSSI00 127.95 +0.05
TSI coking coal indices ($/mt)
TSI Premium Hard (PHCC) FOB Australia TS01034 209.70 0.00
TSI Hard FOB Australia TS01035 178.05 +0.55
TSI Prem JM25 CFR Jingtang TS01044 205.00 0.00
TSI Hard JM25 CFR Jingtang TS01045 188.25 +0.75
Atlantic coking coal ($/mt)
Platts FOB US
symbol East Coast Change VM Ash S
Low Vol HCC AAWWR00 187.00 0.00 19% 8% 0.80%
High Vol A AAWWS00 205.00 0.00 32% 7% 0.85%
High Vol B AAWWT00 168.00 0.00 34% 8% 0.95%
CFR NW Europe Change VM Ash S
PLV NetForward PLVHE00 218.70 +0.05 21.50% 9.30% 0.50%
Detailed methodology and specifications are found here: http://platts.com/IM.Platts.Content/MethodologyReferences/MethodologySpecs/metcoalmethod.pdf.

PCC Met (Platts China Coal – Metallurgical) (Yuan/mt)*

Platts Ex-washplant Platts Free-on-Rail Platts DDP Tangshan Platts CFR China
symbol symbol symbol symbol equivalent ($/mt)
PCC Met Shanxi Premium Low Vol PCCMA04 1680 PCCMB04 1715 PCCMC04 1935 PLVHJ04 228.41
PCC Met Shanxi High Sulfur Premium Low Vol PCCMD04 1220 PCCME04 1255 PCCMF04 1475
PCC Met North China Fat Coal — — PCCMG04 1510
PCC Met Shanxi PCI PCCMH04 920 PCCMI04 955 PCCMJ04 1150
PCC Met Shandong Semi Soft PCCMK04 1100 PCCML04 1120 —

PCC Met Rail Freight Shanxi – Tangshan PCCMM04 230

PCC Met Truck Freight Shanxi – Tangshan PCCMO04 255
*Weekly (assessed February 13).

North China prompt port stock prices

Platts Ex-stock Jingtang Platts CFR Jingtang
symbol (Yuan/mt, incl VAT) symbol equivalent ($/mt)**
Premium Low Vol* AAWZN00 1680.00 AAWZO00 210.34
HCC 64 Mid Vol* AAWZP00 1550.00 AAWZQ00 193.77
*Weekly (assessed February 15), 20-day delivery from date.
**Ex-stock price, net of port charges, import tax and VAT.

HCC assessed specifications

CSR VM Ash S P TM Fluidity
Premium Low Vol 71% 21.50% 9.30% 0.50% 0.05% 9.70% 500
HCC Peak Downs Region 74% 20.70% 10.50% 0.60% 0.03% 9.50% 400
HCC 64 Mid Vol 62% 21.50% 8.00% 0.45% 0.06% 10.50% 100
Penalties & Premia: Differentials ($/mt)
Within Platts % of Premium Low Vol FOB Platts Net Value
Min-Max symbol Australia assessment price symbol ($/mt)
Per 1% CSR 60-71% CPCSA00 0.50% CPCSP00 1.04
Per 1% VM (air dried) 18-27% CPVPA00 0.50% CPVMP00 1.04
Per 1% TM (as received) 8-11% CPTPA00 1.00% CPTMP00 2.09
Per 1% Ash (air dried) 7-10.5% CPAPA00 1.50% CPPAP00 3.13
Per 0.1%S (air dried) 0.3-1% CPSPA00 1.00% CPSPV00 2.09
US low-vol HCC Penalties & Premia; Differentials ($/mt)
Within Platts % of US low-vol HCC FOB Platts Net value
Min-Max symbol USEC assessment price symbol ($/mt)
Per 1% CSR 50-64% CPPBA00 0.50% CPPBB00 0.94
40-49% CPPBC00 0.50% CPPBD00 0.94
Per 0.1% S 0.70-1.05% CPPBE00 0.75% CPPBF00 1.40
1.06-1.25% CPPBG00 1.10% CPPBH00 2.06
Per 1% TM (as received) 6-11% CPPBK00 1.00% CPPBL00 1.87
Per 1% Ash 5-10% CPPBI00 1.75% CPPBJ00 3.27
The assessed price of HCC Peak Downs® originates with Platts and is based on price information for a range of HCCs with a CSR> 67% normalized to the standard of HCC Peak Downs® (CSR 74%). Peak
Downs® is a registered trade mark of BM Alliance Coal Operations Pty Limited “BMA”. This price assessment is not affiliated with or sponsored by BMA in any way.

© 2019 S&P Global Platts, a division of S&P Global Inc. All rights reserved. 7
Coal Trader International Friday, February 15, 2019
The company also announced that Narrabri’s ROM production in fiscal
2019-2020 is expected to be in the range of 6.2 million-6.6 million mt.
It maintained its guidance at its largest mine, Maules Creek, at 11.8
million-12.2 million mt ROM, it said.
Whitehaven realized an average price of $110/mt for its thermal coal
sales in July-December, reflecting “an increase in Chinese imports of
higher quality
coal from Australia, significant increases in import volumes in
South and Southeast Asia following the ongoing deployment of new
coal fired power
stations in the region, and despite strong prices for high quality
coal, limited supply side response,” it said.
For metallurgical coal, Whitehaven received an average $124/mt for
the period, which is up from $111/mt in the previous corresponding period.
This was driven by a combination of quarterly benchmark-linked
and index-based contracts, it said.
During the first-half of the fiscal year, Whitehaven’s thermal coal
sales went to Japan (61%), Taiwan (15%), South Korea (12%), Malaysia
(5%), Indonesia (2%),
the Philippines (2%) and the rest to undisclosed locations.
Its metallurgical coal was sold to India (34%), South Korea (19%),
Taiwan (15%), Japan (14%), Vietnam (13%), and 5% elsewhere, it said.
— Nathan Richardson
South Korea’s GSDEP awards tender for
300,000 mt steam coal for April, May
Singapore—GS Donghae Electric Power Co (GSDEP) was understood
to have awarded a tender for 300,000 mt of thermal coal, for delivery
to its power plant in April and May, a source familiar with the matter
said Friday.
Trading firm Glencore was awarded two 60,000-mt cargoes of that
tender, to supply thermal coal from its Rolleston Open Cut coal mine in
Queensland, Australia.
Glencore will supply coal with a minimum calorific value of 5,100
kcal/kg NAR to GSDEP at about $66/mt FOB, the source said.
GSDEP also awarded two 60,000-mt cargoes of that tender to an
unnamed Russian producer in Sakhalin region, and one to an unnamed
Indonesian producer in East Kalimantan province for a 60,000-mt
shipment, the source said.
Thermal coal with a minimum calorific value of 4,700 kcal/kg NAR
will be supplied to GSDEP at low-$50/mt FOB for Russian coal, and at
about $48/mt FOB for the Indonesian material, the source said.
In the tender GSDEP-COAL-2019-SP03, the utility firm sought two
60,000-mt cargoes of coal with a minimum calorific value of 5,100
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© 2019 S&P Global Platts, a division of S&P Global Inc. All rights reserved.
Platts daily Asia Pacific metallurgical coal
relativities, February 15, 2019
February 15 Spread Spread
CFR China vs PLV vs HCC 64
$/mt
Peak Downs 205.50* 100.24%
*Peak Downs FOB Australia (China netback) after accounting for Haypoint-Qingdao Panamax
freight = $195.30/mt.
Saraji 205.00 100.00%
Premium Low Vol 205.00** 100.00%
**Premium Low Vol FOB Australia (China netback) after accounting for Haypoint-Qingdao
Panamax freight = $194.80/mt.
German Creek 203.75 99.39%
Illawarra 202.75 98.90%
Moranbah North 202.75 98.90%
Oaky North 203.50 99.27%
Goonyella 202.75 98.90%
Goonyella C 201.00 98.05%
Peak Downs North 201.00 98.05% 106.77%
Standard 201.75 98.41% 107.17%
Premium 201.75 98.41% 107.17%
Hail Creek 197.50 96.34%
HCC 64 Mid Vol 188.25 91.83% 100.00%
Lake Vermont HCC 188.25 100.00%
Carborough Downs 186.75 99.20%
Middlemount Coking 171.25 90.97%
Poitrel Semi Hard 166.25 88.31%
February 15 freight rates. Australia to China: Panamax = $10.20/mt Capesize = $6.70/mt.
The Platts Metallurgical Coal Relativities CFR China assessments do not reflect any restrictions
or import duties, including duty rebates applied to coals under different import regimes, which
may affect the transacted price of the commodity. CFR China assessments are based on pricing
information before any additional, if any, import tariffs are imposed such as a 3% import tax
on Canadian, Russian and US coals. The definition of CFR is based on International Chamber of
Commerce Incoterms ® 2010.
A detailed explanation of the Platts Metallurgical Coal Relativities can be found here: http://www.
platts.com/IM.Platts.Content/MethodologyReferences/MethodologySpecs/metcoalmethod.pdf.
For further information about this data please contact cokingcoal@platts.com.
Source: S&P Global Platts
Platts weekly metallurgical coal relativities table
February 15, 2019
February 15, FOB Spread
Hampton Roads vs US LV
Oak Grove 209.00 111.76%
Blue Creek No. 7 209.00 111.76%
Blue Creek No. 4 203.00 108.56%
Beckley 193.00 103.21%
Low Vol FOB USEC 187.00 100.00%
Windber 181.50 97.06%
Buchanan 181.50 97.06%
Pinnacle 179.00 95.72%
February 15 Panamax freight rates. Hampton Roads to Rotterdam = $8.25/mt, Hampton Roads to
Brazil = $8.00/mt, Mobile to Rotterdam = $11.25/mt.
For further information about this data please contact cokingcoal@platts.com.
Source: S&P Global Platts
8
Coal Trader International Friday, February 15, 2019
kcal/kg NAR and three 60,000-mt cargoes of coal with a minimum
calorific value of 4,700 kcal/kg NAR.
Glencore was not immediately available for comment.
The tender closed February 14.
— Jenny Ma
Three coal ships loaded at Dominion Terminal
in week ended Feb 15; two more at pier
■■Three departed this week with 144,438 st onboard
■■Terminal expected to export 1.11 million st on 18 vessels in February
Houston—Dominion Terminal Associates loaded and exported 144,438
st of coal on three coal carriers at its Newport News, Virginia, pier in
the week ended February 15, down from four with 274,969 st a week
earlier, company data showed Friday.
The terminal, which is owned by Contura Energy (65%) and Arch
Coal (35%) and served by CSX, loaded the Epictetus with 13,094 st of
coal on Sunday, the DTA data showed. The ship is currently docked at
Pier IX, which is owned and operated by Kinder Morgan, according to
cFlow, S&P Global Platts trade-flow software.
Platts to adjust US FOB coal assessments
S&P Global Platts is proposing to discontinue some of its weekly US FOB
assessments for physical thermal coal on April 5, 2019, and add new ones.
The following assessments would be discontinued:
*FOB Baltimore 6,944 kcal/kg NAR 2.6% sulfur (CUAAA04);
*FOB Hampton Roads 6,667 kcal/kg NAR 1% sulfur (CUABA04);
*FOB New Orleans 6,111 kcal/kg NAR 2.9% sulfur (CUACA04).
The related monthly and quarterly averages would also be discontinued, as
follows:
*FOB Baltimore 13000 Btu/lb GAR 2.6%S $/mt Mavg (CUAAA03);
*FOB Baltimore 13000 Btu/lb GAR 2.6%S $/mt Qavg (CUAAA05);
*FOB Hampton Roads 12500 Btu/lb GAR 1%S $/mt MAvg (CUABA03);
*FOB Hampton Roads 12500 Btu/lb GAR 1%S $/mt QAvg (CUABA05);
*FOB New Orleans 11500 Btu/lb GAR 2.9%S $/mt MAvg (CUACA03);
*FOB New Orleans 11500 Btu/lb GAR 2.9%S $/mt QAvg (CUACA05).
In addition, Platts is proposing to launch a new assessment for thermal coal for
export from the Port of Baltimore, as follows:
*FOB Baltimore 6,900 kcal/kg NAR 3% sulfur.
The proposed assessment would also include a monthly and quarterly average.
Finally, the existing assessments for FOB Hampton Roads 6,000 kcal/kg NAR 1%
sulfur (CUAEA04) and FOB New Orleans 6,000 kcal/kg NAR 2.9% sulfur
(CUAFA04), which previously were calculated based on the assessments for
FOB Hampton Roads 6,667 kcal/kg NAR 1% sulfur (CUABA04) and FOB New
Orleans 6,111 kcal/kg NAR 2.9% sulfur (CUACA04), respectively, will instead be
converted into assessments, with value based on trades, bids, offers and
indications heard in the market.
Please address any questions or comments by March 1 to coal@spglobal.com
and pricemethodology@spglobal.com.
For written comments, please provide a clear indication if comments are not
intended for publication by Platts for public viewing. Platts will consider all
comments received and will make comments not marked as confidential
available upon request.
© 2019 S&P Global Platts, a division of S&P Global Inc. All rights reserved.
The Navios Southern Star loaded 47,840 st on Monday and is
expected to reach Ijmuiden, Netherlands, on February 25, according to
the data and cFlow.
On Thursday, 83,504 st was loaded onto the Kiran Eurasia vessel,
which departed for the Port of Gibraltar on the south coast of Spain.
The ship is expected to arrive on February 25.
The Andante and Rio Grita are currently anchored at the pier, and
as of 11 am EST (1600 GMT), the Andante had loaded 85,968 st, but the
Stonington Eagle had not started loading the scheduled 55,225 st.
Five coal carriers are currently anchored near Cape Charles,
outside of Hampton Roads, that are waiting to load coal at one of the
three terminals, but only one is currently scheduled to load at DTA.
Last week, eight were waiting near Cape Charles.
So far this month, nine ships have departed DTA with 529,189 st on
board. In January, 17 ships with 1.16 million st left DTA, down from 18 in
December that exported 1.24 million st.
Since January 1, 25 ships have left DTA with 1.69 million st of coal
on board.
Including the ships at the pier and those departed, DTA currently
has 18 ships scheduled to arrive in February that will load 1.11 million st
of coal, while another 26 are estimated in March to export 1.38 million
st, according to the company data.
DTA is the second largest of the three coal terminals in the
Hampton Roads region. In 2018, the terminal exported 15.82 million st
of coal, up 23.4% year on year, according to data from the Virginia
Maritime Association. The 15.82 million st was only behind Norfolk
Southern-owned Lamberts Point, which exported 17.16 million st.
— Tyler Godwin
Australia’s Aurizon mulls options ahead
of submitting revenue plan Mon
■■Aurizon has until Monday to respond to watchdog’s final decision
■■Dispute could cut 20 million mt/year of rail capacity for coal
in Queensland
Sydney—Australian rail operator Aurizon will reveal on Monday how much
revenue it proposes to make on its Queensland rail network for coal
exports when it submits its final revenue plans to Australian regulator the
Queensland Competition Authority, the company said Friday.
The QCA handed down its final decision outlining a Maximum
Allowable Revenue for Aurizon’s Queensland coal network of A$4.123
billion over the four-year — fiscal 2017-2018 to 2020-2020 (July-June)
— period. The competition regulator is involved in setting Aurizon’s
revenue due to it being the operator of the largest rail network for coal
exports in Queensland.
This represented an increase compared to a proposed MAR of
A$3.89 billion in the QCA’s draft decision published in December 2017.
Aurizon had called for a MAR of A$4.71 billion in its response to the
draft decision.
“We will respond to the QCA’s Final Decision on 18 February. It’s not
appropriate to provide any further commentary until that time,” a
spokeswoman for Aurizon said Thursday night.
9
Coal Trader International Friday, February 15, 2019
Aurizon was given until Monday to respond to QCA Access
Undertaking for its Central Queensland Coal Network, but later allowed
the rail operator more time.
The QCA had given it 60 days from December 6, when it gave its
final decision. At this stage, Aurizon’s next move is unclear, with the
company saying this week that it is still mulling options.
“We’ve been pursuing multiple ways to reach an appropriate
outcome, and while there has been positive engagement, resolution
remains a work in progress. Engagement with customers and our
stakeholders continues, although no agreement has been reached,”
Aurizon CEO Andrew Harding said Monday.
The rail operator previously said that the draft decision on the
access undertaking — the final decision was slightly more favorable for
Aurizon — has the potential to cause a loss of 20 million mt/year on the
CQCN, which is a major component for seaborne trade for Australia.
The estimated split, Aurizon said last year, would be up to 10 million
mt/year on the Goonyella system serving Hay Point port, 8 million mt/
year on Blackwater linked to Gladstone, 1.5 million mt for Moura also
serving Gladstone, and 300,000 mt on Newlands for Abbot Point port.
Over July-December, there was 30.4 million mt of coal hauled on
Goonyella, and 29.1 million mt on Blackwater — each was down by 4%
year on year. Newlands saw 9.9 million mt, up 1% year on year, and
Moura’s volume rose 21% to 7 million mt, according to data from
Aurizon’s half-year report.
National Australia Bank earlier this week lifted its price forecasts for
metallurgical coal, citing the Aurizon/QCA dispute as part of the reason
— along with Chinese quotas aimed at boosting domestic output.
Its forecast for hard coking coal was raised to $185/mt for 2019, up
from $170/mt, and $158/mt for 2020. Its forecasts for thermal coal
prices, meanwhile, slid on the back of a weaker demand environment.
For 2019 and 2020, it lowered the thermal coal price forecasts to $95/
mt and $90/mt, from $102/mt and $100/mt, respectively., Nathan
Richardson
Arch Coal reports record coking coal
shipments in Q4
■■Coking coal sales volume at 1.9 mil st in Q4
■■Total sales at 96.38 mil st in 2018, down 1.7% on year
Houston—Arch Coal sold 23.95 million st of coal in the fourth quarter
of 2018, down from 25.93 million st in Q3, but higher than the 23.54
million st sold in the year-ago quarter, led by a record high number of
coking coal shipments, the company said Thursday.
In its quarterly earnings call, the St. Louis-based producer said Q4
sales in the Powder River Basin were significantly higher than
anticipated, due to “continued, strong spot sales and healthy overall
shipment levels,” while coking coal sales benefited from “improved rail
performance, favorable timing on export loadings at the end of the
quarter, and solid execution on the two scheduled longwall moves at
Leer and Mountain Laurel.”
However, total sales volumes in 2018 were 96.38 million st, down
1.7% from 98 million st sold in 2017.
© 2019 S&P Global Platts, a division of S&P Global Inc. All rights reserved.
In the PRB segment, the company sold 19.52 million tons in Q4,
primarily from the Black Thunder mine, down from 21.49 million st in
the previous quarter but up from 19.47 million st a year ago.
“Our Powder River Basin operations delivered another strong
shipping quarter, as our Black Thunder mine capitalized on a rebound
in spot market activity and increased train availability stemming from
lingering, weather-related challenges elsewhere in the basin,” Arch
President Paul Lang said.
The coal sales from the PRB sold at an average cost of $11.88/st,
down from $12.02/st in Q3 and $12.32/st in the year-ago quarter.
Cash costs per ton was $10.66/st, up from $9.76/st in the previous
quarter but down from $10.78/st in the year-ago quarter. This resulted
in a cash margin per ton of $1.22/st, down from $2.26/st in Q3 and
$1.54/st in the year-ago quarter.
During the quarter, Lang said the company committed and priced
about 17 million st of PRB coal for 2019 deliveries at an average price
between $11.65/st and $11.70/st. Total 2019 commitments are now 58.4
million st, with 56.6 million st at a fixed average price of $12.13/st and
1.8 million st at market-based pricing.
“What we see heading into this quarter — and we’ve placed quite a
bit of business in January — is that those numbers are starting to move
up,” Lang said. “We’re seeing actually closer to about a $12[/st] handle.”
The company expects to “intensify its focus on the higher-quality”
Black Thunder mine in 2019 and estimates production will be between
70 million-80 million st, while reducing its output at the lower-quality
8,400 Btu/lb Coal Creek mine to between 2 million and 3 million st.
“As we were heading into the end of last year, we saw prices on the
8400 [Btu/lb] coal take a hell of a drop. The difference between 8400
to 8800 opened up. I think the published numbers were about $4, but I
think the physical numbers were actually closer to $4.50, and we
frankly decided that we weren’t going to play in that game,” Lang said.
“We have the flexibility. We operate two mines basically as one, so we
just shifted the people around. Frankly, the prices that are out there
and the spread between the two products is not sustainable.”
Other thermal segment
The company’s other thermal coal operations — its West Elk mine
in Colorado, Viper mine in Illinois and Coal-Mac mine in West Virginia —
saw Q4 sales fall to 2.34 million st, down from 2.55 million st in the
prior quarter but higher than 2.26 million st sold in the year-ago
quarter, partly due to a longwall move at West Elk.
In Q4, Lang said Arch sold roughly 2.34 million st, down from 2.55
million st in Q3 and 2.26 million st in the year-ago quarter.
Total non-PRB thermal coal sales, including from the Viper mine,
totaled $34.89/st, while cash cost per ton was at $28.76/st, compared
with $36.96/st and $27.68/st, respectively, in the previous quarter, and
$35.43/st and $24.88/st in the year-ago quarter. Cash costs were
higher in the quarter, as exports represented almost 50% of the total
shipments, the company said.
The company has committed 6.5 million st of coal shipments in
2019 priced at $40.53/st, while an additional 1.2 million st is not priced.
Arch’s total thermal sales volumes are expected to be between 80
million and 85 million st in 2019, while an additional 6.6 million st-7
million st of its sales will be coking coal
10
Coal Trader International Friday, February 15, 2019
Metallurgical coal
Arch sold 2.1 million st of metallurgical coal, including a record-high
1.9 million st of coking coal, in Q4, up from 1.9 million st sold in Q3 and
1.8 million st in Q4 2017. In Q3, the company sold 1.7 million st of coking
coal and 1.5 million st in the year-ago quarter.
The company’s met coal sales per ton was $121.53/st in the latest
quarter, down from $104.75/st in Q3 and $90.82/st in the year-ago
quarter. Cash cost per ton sold was at $74.84/st, up from $62.54/st in
the previous quarter and $59.50/st in the year-ago quarter, resulting in
a near-record average margin of $46.89/st, up from $42.21/st in Q3 and
$31.32/st in the year-ago quarter.
Roughly 5.8 million st of the company’s coking coal has been
committed, including 1.3 million st contracted in Q4. About 700,000 st
of Arch’s North American coking coal is priced at $119.45/st, while
200,000 st of seaborne coke is locked in at $115.37/st.
The company also announced Thursday it is investing between
$360 million-$390 million over the next three years in its new Leer
South mine, which is expected to produce 3 million st of high-vol A
coking coal annually.
In 2018, Arch generated $2.45 billion in revenue and reported a net
income of $312.58 million, compared with $2.32 billion in revenue and
net income of $238.45 million in 2017.
— Tyler Godwin
Met coal prices stay steady as restocking
slows down
Singapore—The seaborne Premium Low Vol coking coal market
stabilized Friday as restocking by mills slowed down. However, for
Hard Coking Coal, procurement activities increased as reselling
opportunities were seen in China.
S&P Global Platts assessed Premium Low Vol coal steady at
$208.50/mt FOB Australia, while the CFR China marker was unchanged
as well at $205/mt Friday.
In China, several participants were waiting on the sidelines, trying
to get a clearer price direction, resulting in thin liquidity Friday.
In the near term, price indications from Chinese buyers are not
expected to be strong but steel mills will need to procure soon as
some of them can’t “hold on” for too long without buying, a seller said.
One Chinese buyer said he would prefer buying prompt cargoes as
he expects prices to stabilize in the short term, and would not consider
March-laycan cargoes yet.
Active buying in HCC segment
In the second-tier segment, procurement activities increased and
three trades were concluded on Thursday and Friday.
A trade was done late Friday for a 90,000-mt cargo of HCC Lake
Vermont at $178/mt FOB Australia, with a mid- to end-March laycan.
The cargo was sold to an end-user as part of a long-term contract.
Market participants were not surprised at the traded level, given the
shortage of low ash, tier-two coals in the market. A steel mill source
said Lake Vermont could trade around $185-$190/mt CFR China given
the current market conditions.
© 2019 S&P Global Platts, a division of S&P Global Inc. All rights reserved.
Platts Thermal Coal Indonesia Daily Rationale
Singapore—S&P Global Platts assessed the 7-45 day price of FOB Kalimantan
4,200 kcal/kg GAR coal at $35.75/mt Friday, up 25 cents/mt day on day.
A trade was reported at $35.75/mt FOB during Asian hours.
Offers were heard at $36-$40/mt FOB for March-loading Supramax shipments,
while a bid was heard at $35.50/mt FOB.
An unconfirmed trade at $36.75-$37.25/mt FOB and a tentative bid at $37/mt
FOB were excluded from the assessment.
The above rationale applies to the FOB Kalimantan 4,200 GAR assessment, with
the associated code: CSBKI00
Platts China Hard Coking Coal (Premium Low Vol) CFR
China Daily Rationale (PMA page 1067)
Singapore—S&P Global Platts assessed Premium Low-Vol HCC unchanged at
$205/mt CFR China Friday.
The highest bid was indicated at $200/mt CFR China for a 75,000-mt cargo of
Australian Premium Low-Vol Saraji coal, assessed at parity to Platts PLV CFR
China. The most competitive offer was indicated at $210/mt CFR China, for the
same type of coal. No data was excluded from this assessment.
The above rationale applies to Platts premium low vol CFR China assessment
(PLVHC00) & TSI Prem JM25 CFR Jingtang (TS01044)
Platts Hard Coking Coal FOB Australia Daily Rationale
(PMA page 1068)
Singapore—S&P Global Platts assessed Premium Low-Vol HCC unchanged at
$208.50/mt FOB Australia Friday.
The highest bid was indicated at $203/mt FOB Australia for an Australian
Premium Mid-Vol Goonyella cargo, assessed at 50 cents discount to Platts PLV
FOB Australia. The most competitive firm offer was at $214/mt FOB Australia,
for a mid-March laycan, 75,000-mt cargo of coal similar to Semi Premium blend
Peak Downs North, assessed at a $3/mt discount to Platts PLV FOB Australia.
No data was excluded from this assessment.
The above rationale applies to Platts premium low vol FOB Australia
assessment, with the associated data code: PLVHA00
A trade was done late Thursday for 75,000 mt of Carborough
Downs on a floating Index basis at 101% Hard coking coal FOB
Australia. This was for a mid-March laycan cargo.
One seller said that while he received inquiries from buyers, he did
not have any spot cargoes left to sell.
Another trade was done late Thursday at $185/mt CFR China for a
prompt laycan, 75,000-mt cargo of Australian HCC with 58%-60% CSR.
A survey of market participants showed opinion was divided about
this grade of coal, compared with the regular Lake Vermont HCC. Most
Chinese participants were uncertain on the spreads.
At Jingtang port, Platts assessed PLV ex-stock Jingtang up Yuan
20/mt at Yuan 1,680/mt on Friday, and HCC 64 Mid Vol ex-stock
Jingtang at Yuan 1,550/mt, up Yuan 30/mt on the week.
“Port stock prices are more than seaborne cargo prices but end-
users prefer to buy small volumes each time,” a China-based trader said.
In the FOB market, a trade was done at $205/mt FOB Australia for a
mid-May laycan, 75,000-mt cargo of a grade of coal similar to
Australian Premium Mid-Vol Goonyella coal. However, the laycan of the
trade was out of Platts’ 7-45 days assessment window, so the traded
11
Coal Trader International Friday, February 15, 2019
level was not reflected in Platts’ assessment Friday.
A trader source said that he was quite concerned with the port
restrictions in China and while he had seen some spot offers for premium
coals, he was not interested in buying. He added that the spot price for
premium coals was not suitable for consideration at the moment.
In the PCI segment, participants said there was tightness with very
few cargoes left. While Chinese buyers stayed away from the imported
PCI market, with two buyers saying that prices were too high, end-users
outside of China were actively looking for spot cargoes. A trader said
that Australian Low-Vol PCI could trade at around $128-$130/mt FOB.
— Kate Zhou
All eyes on thermal coal supply in Indonesia’s
East Kalimantan
...from page 1
for March to China at $36.50/mt FOB Kalimantan.
Market sources said the production quota restriction in Indonesia’s
coal fields has mostly affected East Kalimantan mines, but the impact
has yet to hit the entire archipelago.
A north India-based trader said India’s seaborne demand has been
steady, showing interest for Indonesian 3,400 kcal/kg GAR to 5,000
kcal/kg GAR coal.
Offers for Panamax cargoes of Indonesian 5,100 kcal/kg GAR coal
for March loading were heard at $59.50-$60/mt FOB Kalimantan, while
bids were heard at $58.50-$59/mt.
Buyers concerned over a shortage of availability of Indonesian mid-
calorific coal have pushed up spot cargo prices, an Indonesia-based
trader said.
“This is due to buyers’ mentality for the need to secure cargoes
before a potential sanction on the supply,” he added.
Chinese tender
A tender for Indonesian 3,800 kcal/kg NAR thermal coal from an
east China power plant was awarded at Yuan 348/mt CFR China,
excluding port charges, according to a China-based trader.
Market sources pegged the FOB price at $35.80-$36/mt on a
Supramax basis.
“It’s not easy to get Supramax cargoes at below $36/mt FOB, and
Panamaxes at below $37/mt FOB now,” said a south China-based trader.
An Indonesia-based trader heard inquiries for March-loading
cargoes of Indonesian 4,200 kcal/kg GAR coal from Chinese traders,
and added that it could be related to the recent tenders.
Several market sources said the recent price rise was due to a
© 2019 S&P Global Platts, a division of S&P Global Inc. All rights reserved.
number of reasons, including news of Australian cargoes affected by
import restrictions and also re-stocking activities.
Chinese domestic prices rebound
Chinese domestic prices rebounded marginally after remaining
stagnant for about two weeks as buying activities returned, sources said.
“Some end-users have started to re-stock, but not all mines have
resumed production, so offers have gone up now,” said a trader.
The rebound was also due to a cold snap in the northern part of the
country, and snow had hindered coal transportation, sources added.
“Though offers are up and trades were heard concluded at slightly
below Yuan 600/mt, the concluded volume is not that much as
stockpiles are still high,” an end-user based in east China said.
“This price increase should be temporary and we’ll see prices
softening again when all mines resume production and the weather
turning warmer,” another trader said.
Newcastle 6,000 NAR prices plummet to 20-month low
The Newcastle 6,000 kcal/kg NAR market suffered a sharp price
decline in overnight trading Friday, with spot prices falling to their
lowest level since July 2017 as two March-loading cargoes, each
50,000 mt in size, traded at $87.65/mt and $87.90/mt FOB,
respectively, on globalCOAL.
Market sources reacted with surprise to the level of the trades, as
this grade of Australian thermal coal which is mostly shipped to Japan
had traded at $96.75/mt for a March-loading Panamax cargo on
February 5, and at $99/mt for a 25,000 mt March shipment on
February 1, both on globalCOAL.
“I was a bit surprised the price is going down,” said one market
source familiar with the Japanese thermal coal market. He added that
he did not think the spot price of Newcastle 6,000 kcal/kg NAR thermal
coal would fall to the low $80s/mt FOB.
“Already, Japanese power utility and suppliers’ price gap is very big
[in April term contract price talks]. But if prices [get] cheaper, the price
gap is going to be more, so I think [the] negotiations will be more
difficult,” the market source said.
There are limited, urgent inquiries from Japan for spot cargoes of
high-CV Australian thermal coal, according to market sources.
“Japan is still burning coal from their current term contracts with
Australian producers, as almost all Japanese power utilities experienced
outages in [the] Japanese financial year 2018,” one market source said.
Tepid demand for Australian thermal coal is expected to continue
as power plants in Japan and South Korea begin spring maintenance
after a heavy winter coal burn, sources said.
— Michael Cooper, Hui Min Lee, Fred Wang, Jenny Ma
12
Coal Trader International Friday, February 15, 2019

Current Vessel Fixtures

Vessel Quantity (Mt) Origin/Destination Loading Dates Rate Charterer
Australia
TBN 75,000 Gladstone/Visakhapatnam Mar 14-24 12.90 SAIL
Cargill TBN 75,000 Dalrymple Bay/Visakhapatnam Mar 14-25 13.10 SAIL
TBN 75,000 Dalrymple Bay/Visakhapatnam Mar 6-15 13.45 SAIL
TBN 140,000 Gladstone/Liuheng Mar 1-10 6.30 Zhejiang Energy
TBN 75,000 Dalrymple Bay/Visakhapatnam Mar 1-10 12.85 SAIL
TBN 75,000 Gladstone/Visakhapatnam Feb 22-Mar 3 13.25 SAIL
TBN 75,000 Dalrymple Bay/Visakhapatnam Feb 24-Mar 5 12.45 SAIL
TBN 150,000 Dalrymple Bay/Gangavaram Mar 5-14 7.90 RINL
TBN 75,000 Gladstone/Gangavaram Feb 24-Mar 5 10.90 RINL
TBN 75,000 Dalrymple Bay/Visakhapatnam Mar 10-20 13.25 SAIL
Panocean TBN 130,000 Newcastle/Younghueng Feb 18-27 7.68 KEPCO
TBN 75,000 Gladstone/Visakhapatnam Mar 20-29 13.40 SAIL
TBN 75,000 Newcastle/East Coast India Mar 15-25 13.25 SAIL
Canada
Oldendorff TBN 120,000 Roberts Bank/Hansaport Mar 1-10 9.10 Salzgitter
TBN 75,000 Vancouver/Visakhapatnam Mar 10-20 17.50 SAIL
Swiss Marine TBN 165,000 Roberts Bank/Pohang Feb 16-20 6.77 POSCO
TBN 75,000 Vancouver/Visakhapatnam Feb 5-15 19.00 SAIL
TBN 75,000 Vancouver/Gangavaram Jan 20-19 19.60 VSP/RINL
TBN 75,000 Vancouver/Visakhapatnam Jan 10-20 19.70 SAIL
Swiss Marine TBN 165,000 Roberts Bank/Pohang Dec 31- Jan 9 10.22 POSCO
K-Line TBN 120,000 Roberts Bank/Hamburg Dec 20-30 15.00 Salzgitter
Golden Ocean TBN 165,000 Roberts Bank/Pohang Dec 5-14 8.23 POSCO
Swiss Marine TBN 165,000 Roberts Bank/Pohang Dec 3-12 8.87 POSCO
Panocean TBN 150,000 Westshore/Younghung Nov 26-dec 10 10.92 KEPCO
Cargill TBN 165,000 Roberts Bank/Pohang Nov 25-Dec 4 9.88 POSCO
TBN 75,000 Vancouver/Vizag Nov 11-20 26.10 SAIL
Colombia
ECTP TBN 160,000 Puerto Bolivar/Rotterdam Feb 1-10 9.00 Oldendorff
TBN 160,000 Puerto Bolivar/Rotterdam Feb 1-15 9.10 Swiss Marine
Golden Cumulus 165,000 Drummond/Ashkelon or Hadera Feb 3-12 9.10 K-Line
Berge Kinabalu 160,000 Drummond/Iskenderun Jan 24-Feb 2 10.40 Oldendorff
RWE TBN 160,000 Puerto Bolivar/Rotterdam Feb 1-10 9.00 ECTP
Keeper 160,000 Puerto Bolivar/Rotterdam Jan 1-10 9.65 Mercuria
TBN 160,000 Puerto Bolivar/Hadera or Ashkelon Jan 12-21 10.60 NCSC
Swiss Marine 150,000 Puerto Bolivar/Isreal Jan 1-10 10.60 NCSC
Thetis 60,000 Colombia/Eren Dec 18-22 18.00 Trafigura
KLine TBN 160,000 Puerto Bolivar/Rotterdam Dec 16-25 9.00 NYK
Stella Anita 165,000 Drummond/Ashkelon or Hadera Dec 16-25 10.25 K-Line
Caro 160,000 Puerto Bolivar/Rotterdam Dec 1-10 7.65 Swiss Marine
Ocean Camelot 160,000 Puerto Bolivar/Rotterdam Nov 19-24 9.60 JERA
Indonesia
TBN 75,000 Muara Pantai/Haimen Mar 1-10 4.50 Leading Resource
TBN 150,000 Taboneo/Mundra Feb 18-23 4.25 K-Line
TBN 150,000 Samarinda/Mundra Feb 11-16 5.20 Libra
TBN 75,000 Port Kembla/East Coast India Mar 7-16 13.10 SAIL
TBN 65,000 Muara Satui/Quanzhou Feb 17-20 4.80 CNBM
TBN 75,000 Taboneo/East Coast India Feb 9-15 5.65 SAIL
TBN 70,000 Tanjung Pemancingan/Kemen Feb 8-11 4.40 CNBM
TBN 75,000 Taboneo/East Coast India Feb 1-7 6.25 SAIL
Five Ocean TBN 120,000 Taboneo/Samcheonpo Jan 25-Feb 3 6.12 KEPCO
TBN 75,000 Taboneo/East Coast India Dec 5-15 7.85 SAIL
TBN 75,000 Taboneo/Gangavaram Nov 26-Dec 5 7.05 RINL
TBN 75,000 Taboneo/East Coast India Nov 21-30 8.80 SAIL
Belgravia 150,000 Samarinda/Mundra Nov 5-10 7.60 Libra
Latvia
TBN 75,000 Riga/Ijmuiden Nov 18-22 7.75 TS Global Procurement
Panther Max 75,000 Riga/Hansaport Sep 13-17 7.95 Vattenfall
Swiss Marine TBN 70,000 Riga/Ijmuiden Sep 15-19 7.60 TS Global Procurement

© 2019 S&P Global Platts, a division of S&P Global Inc. All rights reserved. 13
Coal Trader International Friday, February 15, 2019

Current Vessel Fixtures (continued)

Vessel Quantity (Mt) Origin/Destination Loading Dates Rate Charterer

Mondial Iris 75,000 Riga/North China Jul 7-10 31.00 Sibanthracite

Nordic TBN 75,000 Riga/Hansaport Jun 18-22 6.50 Vattenfall
Norway
TBN 60,000 Mo-I-Rana/Ijmuiden Nov 10-15 7.25 TS Global
Uniper 60,000 Mo-I-Rana/Ijmuiden Sep 28- Oct 2 7.30 TS Global Procurement
Swiss Marine TBN 60,000 Mo-I-Rana/Ijmuiden Jul 31- Aug 5 8.10 TS Global
South Africa
CCL TBN 170,000 Richards Bay/Kandla Mar 1-10 5.50 Oldendorff
Tata NYK TBN 150,000 Richards Bay/Krishnapatnam Mar 20-30 8.90 IMR
Cape Brazilia 150,000 Richards Bay/India Jan 25-Feb 5 9.00 Jaldhi
Global Enterprise 150,000 Richards Bay/Rotterdam Jan 24-Feb 4 7.40 Jera
Alpha Confidence 150,000 Richards Bay/Gangavaram Dec 15-25 11.10 Gandhar
TBN 75,000 Richards Bay/Paradip Dec 19-28 13.10 JSPL
Oldendorff TBN 75,000 Richards Bay/Paradip Dec 10-19 13.50 IMR
Five Ocean TBN 150,000 Richards Bay/Younghueng Dec 15-24 12.37 KEPCO
TBN 160,000 Richards Bay/Hadera Nov 20-29 9.50 LD Bulk
Korea Line TBN 140,000 Richards Bay/Younghueng Nov 10-19 15.65 KEPCO
TBN 160,000 Richards Bay/Rotterdam end Oct 7.65 Glencore
TBN 150,000 Richards Bay/Gangavaram Oct 21-30 12.75 Gandhar
TBN 160,000 Richards Bay/Algeciras Oct 10-19 6.50 ST Shipping
United States
Ionic Kibou 70,000 Mobile/Rotterdam Mar 3-13 10.30 TKSE
Klaveness TBN 75,000 Associated Terminals/Rotterdam Feb 25-Mar 8 12.50 ECTP
TBN 75,000 Mobile/Rotterdam Feb 20-March 2 10.90 TKSE
TBN 75,000 Baltimore/Rotterdam Feb 19-28 7.85 XCoal
Iolcos Vision 80,000 CMT/Rotterdam Feb 12-17 11.25 Uniper
TBN 75,000 Newport News/Visakhapatnam Mar 11-20 26.05 SAIL
TBN 60,000 Newport News/Jorf Lasfar Feb 5-14 8.75 Jera
TBN 67,000 Hampton Roads/Brindisi Feb 3-10 12.60 Jera
TBN 75,000 Newport News/Visakhapatnam Mar 10-20 27.50 SAIL
TBN 75,000 Newport News/Visakhapatnam Mar 1-10 27.60 SAIL
CMB Chardonnay 80,000 CMT/Rotterdam Feb 1-5 11.70 Uniper
TBN 75,000 Norfolk/Ploce Feb 1-10 12.00 Arcelor Mittal
TBN 60,000 Newport News/Jorf Lasfar Jan 26-Feb 4 9.40 Jera
Mozambique
TBN 38,000 Beira/Gangavaram Feb 27-Mar 4 16.55 RINL
TBN 38,000 Beira/Visakhapatnam – Paradip Mar 26-31 19.70 SAIL
TBN 38,000 Beira/Visakhapatnam – Paradip Mar 11-16 18.40 SAIL
TBN 38,000 Beira/Visakhapatnam Feb 2-7 16.50 RINL
TBN 38,000 Beira/Visakhapatnam Feb 19-24 19.85 SAIL
TBN 38,000 Beira/Visakhapatnam Feb 10-15 19.35 SAIL
Oldendorf TBN 175,000 Nacala/Kwangyang & Pohang Jan 21-25 12.00 Vale
TBN 38,000 Beira/Vizag Jan 2-7 19.40 RINL
TBN 38,000 Beira/Vizag-Paradip Jan 10-15 23.25 SAIL
TBN 38,000 Beira/Vizag Dec 5-10 25.45 SAIL
TBN 38,000 Beira/Gangavaram Nov 25-30 22.75 SAIL
TBN 38,000 Beira/East Coast India Nov 24-29 25.65 SAIL
TBN 160,000 Nacala/Kimitsu & Kamshina Oct 19-24 15.90 Vale
Brazil
Oldendorff TBN 180,000 Ponta Da Madeira/Rotterdam Jun 20-Jul 3 6.80 TKSE
Russia
Artvin 75,000 Murmansk/Rotterdam end Jan 5.25 Jera
Coral Opal 75,000 Murmansk/Rotterdam Jan 18-20 5.85 SUEK
Daelim TBN 140,000 Vanino/Dangjin Dec 11-15 5.10 KEPCO
Cosco TBN 130,000 Vostochny/Mailiao Nov 20-29 3.60 Formosa
TBN 75,000 Vanino/Ho Ping Nov 17-21 6.00 Bocimar
TBN 75,000 Ust Luga/Rotterdam Sep 23-25 7.50 Suek
GNS 145,000 Vanino/Hadong Aug 26-30 6.25 KEPCO
Oldendorf TBN 80,000 Vostochny/Hazira Sep 1-10 12.10 Avani
TBN 75,000 Murmansk/Rotterdam Aug 17-19 7.25 Suek

© 2019 S&P Global Platts, a division of S&P Global Inc. All rights reserved. 14
COAL TRADER INTERNATIONAL ANALYTICS
Friday, February 15, 2019

Though ARA stockpiles drew this week, they remain 46% above prior-year levels, adding to downward pressure on CIF ARA prices alongside
declining European gas and power prices. Milder-than-normal weather in Europe also continues to weigh on demand, while Russian coal exports
remain at elevated levels even as we believe that US exports to the continent are beginning to fade as the arbitrage window for US coals has been
shut for several months now.

Although data this week showed that Chinese imports rebounded significantly m-o-m in January to 33.5 million mt, even eclipsing prior-year
levels by more than 20%, Pacific Basin prices also declined considerably this week. January imports are likely the result of pent-up demand from
November and December, and we still believe that rising Chinese production and elevated stockpiles will put downward pressure on imports this
year, weighing on Pacific Basin prices.

ASIA
GUANGZHOU STOCKPILES ('000 mt) QINHUANGDAO STOCKPILES ('000 mt)

CHINA STOCKPILES ('000 mt)

Port 08-Feb 09-Feb 10-Feb 11-Feb 12-Feb 13-Feb 14-Feb MoM Change YoY Change
Qinhuangdao 0 0 0 5,215 5,215 5,295 5,325 -900 -750
Guangzhou 0 0 0 2,490 2,490 2,440 0 0 0
TOTAL 0 0 0 7,705 7,705 7,735 5,325 -2,831 -2,125

SCHEDULED EXPORTS FROM KALIMANTAN, TOP DEPARTURE DESTINATIONS FROM KALIMANTAN,

INDONESIA ('000 mt) INDONESIA ('000 mt)

SCHEDULED EXPORTS FROM KALIMANTAN BY DESTINATION ('000 mt)

09-Feb 10-Feb 11-Feb 12-Feb 13-Feb 14-Feb 15-Feb Week Total WoW Change
CHINA 286 189 140 122 110 112 356 1,315 350
INDIA 110 0 0 52 362 98 0 622 -143
INDONESIA 85 0 47 0 142 97 50 422 309
THAILAND 0 0 112 0 58 58 0 229 121
KOREA 75 0 73 0 0 70 0 218 218
PHILIPPINES 70 24 0 68 0 0 0 162 162
TOTAL 703 264 420 242 727 539 541 3,438 1,228
Source: PT Indo Dharma Transport Does not include Tanjung Bara Coal Terminal

ANALYTICS REPORT
COAL TRADER INTERNATIONAL

ASIA CONTINUED
INDIA COAL IMPORTS/ARRIVALS ('000 mt) INDIA COAL IMPORTS BY TYPE ('000 mt)

INDIA TOP RECEIVERS ('000 mt) INDIA COAL IMPORTS BY TYPE ('000 mt)
Week YoY
03-Feb 04-Feb 05-Feb 06-Feb 07-Feb 08-Feb 09-Feb Total Change
Anthracite 0 0 0 0 0 0 0 0 0
Coking Coal 155 310 53 29 45 222 317 1,131 226
Petcoke 48 36 0 0 53 20 159 316 104
Steam Coal 250 558 381 661 339 558 470 3,216 332
TOTAL 453 904 434 690 437 800 946 4,663 662

AUSTRALIA
SCHEDULED EXPORTS FROM AUSTRALIA BY PORT/COAL TERMINAL ('000 mt)

Port 15-Feb 16-Feb 17-Feb 18-Feb 19-Feb 20-Feb 21-Feb Week Total WoW Change
ABBOT POINT 90.15 71.4 223.7 162.8 273.522 0 0 822 101
BRISBANE 0 100 0 103 0 0 0 203 125
GLADSTONE 163.385 268.799 56.31 185.54 79.7 0 0 754 -232
HAY POINT & DBCT 331.02 420.986 450.52 73.382 766.584 498.9 219.06 2,760 894
NEWCASTLE 462.71 753.39 723.159 649.447 642.752 294.303 485.887 4,012 320
PORT KEMBLA 0 0 60 0 0 77 75 212 47
TOTAL 1,047.265 1,614.575 1,513.689 1,174.169 1,762.558 870.203 779.947 8,762 1,255

© 2019 S&P Global Platts, a division of S&P Global Inc. All rights reserved. 2
COAL TRADER INTERNATIONAL

EUROPE
EMO ROTTERDAM STOCKPILES ('000 mt) OBA AMSTERDAM STOCKPILES ('000 mt)

OVET VLISSINGEN STOCKPILES ('000 mt) ATLANTIC MARKET STOCKPILES ('000 mt)
WoW
14-Jan 21-Jan 28-Jan 04-Feb 11-Feb Change YoY Change
EMO Rotterdam 3,600 3,600 3,500 3,500 3,300 -200 700
OBA Amsterdam 2,100 2,000 2,000 2,000 2,100 100 800
OVET Vlissingen 660 660 670 690 635 -55 395
Total Stocks 6,360 6,260 6,170 6,190 6,035 -155 1,895

© 2019 S&P Global Platts, a division of S&P Global Inc. All rights reserved. 3
COAL TRADER INTERNATIONAL

WEATHER
WEATHER FORECAST
Supply Center 16-Feb 17-Feb 18-Feb 19-Feb 20-Feb 21-Feb 22-Feb
AUSTRALIA - New South Wales
High Temperatures 29.5 31.9 34 30.2 29.2 28.4 26.7
Low Temperatures 16.9 17.5 19 19.4 18.6 18.3 16.9
Precipitation 0 0 0 0.007 0.015 0.002 0.002
AUSTRALIA - Queensland
High Temperatures 31.6 31.8 32.4 34.3 35.5 35.8 33.6
Low Temperatures 22.8 22.6 22.9 24 25.5 25.9 25.4
Precipitation 0 0.004 0 0.002 0 0.002 0.008
COLOMBIA - La Guajira
High Temperatures 32.1 32.1 32.3 32.1 32.2 32.6 32.3
Low Temperatures 25.1 24.7 25.6 25.5 25.5 25.2 25.2
Precipitation 0 0 0 0 0 0 0
INDONESIA - Kalimantan
High Temperatures 29.7 30.1 30.2 30.5 30.9 30.1 30
Low Temperatures 24.6 23.8 23.4 23.8 24.1 24.2 24.1
Precipitation 0.06 0.025 0.032 0.027 0.015 0.037 0.032
NORTH CHINA
High Temperatures 1.8 1.9 2.8 5.9 7.4 7 9.1
Low Temperatures -8.4 -5.1 -2.2 -2.4 -1 0.6 0.3
Precipitation 0.01 0.01 0.02 0.01 0.004 0.012 0.002
RUSSIA EAST
High Temperatures -3.1 0.5 0.9 1.2 -0.1 1.6 1.7
Low Temperatures -13.5 -11.3 -8.7 -6.1 -7 -7.2 -6.3
Precipitation 0 0 0 0 0 0 0
RUSSIA WEST
High Temperatures 2.5 -3.4 -5.9 -4.3 -2.2 -5.7 -7.5
Low Temperatures -7.2 -12.1 -12.2 -8.7 -7.7 -11.7 -14
Precipitation 0.03 0.02 0.02 0.03 0.02 0.01 0

TEMPERATURES / HDD / CDD

Demand Center 16-Feb 17-Feb 18-Feb 19-Feb 20-Feb 21-Feb 22-Feb
CHINA SOUTH
High Temperatures 19 18 20 23 22 20 22
Low Temperatures 15 15 16 17 17 16 16
HDD 6 6 3 3 3 3 3
CDD 3 2 2 6 5 3 4
INDIA EAST
High Temperatures 25 27 26 27 29 29 30
Low Temperatures 18 16 17 17 18 20 21
HDD 0 0 0 0 0 0 0
CDD 5 5 5 6 9 11 12
INDIA NORTH
High Temperatures 20 21 24 23 23 23 23
Low Temperatures 12 10 12 13 14 14 15
HDD 4 5 1 0 0 0 0
CDD 0 0 0 0 0 0 0
INDIA WEST
High Temperatures 30 30 30 32 29 28 28
Low Temperatures 21 19 20 20 21 21 21
HDD 0 0 0 0 0 0 0
CDD 13 11 12 14 11 10 10
NORTH WEST EUROPE
High Temperatures 13 13 11 11 12 13 13
Low Temperatures 5 5 5 5 6 6 6
HDD 17 16 18 19 17 15 16
CDD 0 0 0 0 0 0 0

This report is based on data that S&P Global Platts Analytics considers reliable at the time it is distributed, but S&P Global Platts Analytics does not represent it is accurate or complete, and it should not be relied on as
such. Assumptions, estimates and opinions expressed in the report constitute S&P Global Platts Analytics' judgment as of the date the report is distributed, and they are subject to change without notice. S&P Global
Platts Analytics disclaims any responsibility or liability to the fullest extent permitted by applicable law, whether in contract, tort (including, without limitation, negligence), equity or otherwise, for any loss or damage
arising from any reliance on or the use of the report in any way. This report does not constitute the provision of investment advice.

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