India increases Iran oil imports

Monday, 13 February 2012

Iran's crude oil exports to India have increased 37.5% in January. India has increased oil imports from Iran to become the Islamic Republic's largest customer last month, ignoring recent sanctions imposed by US and EU on importing Iran’s oil. According to The Wall Street Journal Iranian crude exports to India rose to 550,000 barrels a day in January, up 37.5 percent from December 2011.

The development, the report said, has partly offset a 50 percent cut in crude exports to China as a result of pricing dispute. China now imports around 250,000 barrels a day from Iran. The news comes despite the West’s rising pressure on Iran to halt its peaceful nuclear program.On the New Year’s Eve, the United States imposed new sanctions against Iran aimed at preventing other countries from importing Iran’s oil and doing transactions with its central bank.

European Union foreign ministers also approved sanctions against Iran’s oil and financial sectors on January 23, including a ban on Iranian oil imports, a freeze on the assets of the country’s Central Bank within EU states, and a ban on selling diamonds, gold, and other precious metals to Tehran.Although financial sanctions have caused problems with regard to payment for Iran’s oil by other countries, they have apparently not been able to deter India.

Iran's Ambassador to India Seyyed Mehdi Nabizadeh said last Tuesday that India had agreed to pay for some purchases of Iranian oil in Indian rupees, a route that would avoid the risk of an interruption in banking transfers. Meanwhile, despite a pledge to find alternative supply sources for Iran’s oil, South Africa has also increased its Iranian oil imports to 100,000 barrels a day, The Wall Street Journal quoted an unnamed informed source as saying.

The US, Israel and their European allies accuse Iran of diversion in its peaceful nuclear program and have used this as an excuse to pass four rounds of international sanctions against the country at the UN Security Council. Refuting the claims, Tehran insists that as a member to the International Atomic Energy Agency and the Nuclear Non-Proliferation Treaty (NPT), it is fully entitled to peaceful applications of the nuclear energy.
Source: Press TV

Ukrainian pig iron exports decline in first nine months

Sat, 29 October 2011

According to the data released by metal trading enterprise Ukrainian Mining and Metallurgical Company (UGMK), in January-September of the current year Ukrainian exports of pig iron decreased by 0.6 percent year on year to 1.133 million mt.

In September alone, exports of pig iron from Ukraine decreased by 78 percent compared to August, declining to 51,100 mt.

In January-September this year, Ukrainian imports of pig iron increased by 14.5 percent year on year to 38,600 mt.

Tags: pig iron , Ukraine , raw mat , CIS , steelmaking , imp/exp statistics |

sourced: steel orbis

Vietnam’s finished steel export volume up 44.5 percent in Jan-Sept

Tuesday, 18 October,2011

Pham Chi Cuong, chairman of the Vietnam Steel Association (VSA), has stated that Vietnam exported 1.87 million mt of finished steel in the first nine months of this year, up nearly 44.5 percent year on year.

In the first nine months of this year, the total value of Vietnam's steel finished exports reached $1.3 billion. The increasing volume of Vietnam's steel exports is a positive sign for the local steel industry in which supply is currently double demand, the VSA chairman said.

In the first nine months, the steel billet exports of Vietnam totaled 285,600 mt. The value of steel billet, steel tube, steel coil, stainless steel and steel bar exports from Vietnam all increased sharply in the given period.

The VSA chairman said the association is cooperating with many domestic steel enterprises to help boost their steel export volumes.

Tags: billet , pipe , plate , stainless , longs , flats , semis , tubular , stainless , Viet Nam , Southeast Asia , imp/exp statistics , East Asia and Pacific

Turkey’s steel product exports to UAE fall 18 percent in Jan-Aug

Friday, 16 September 2011

In the January-August period of this year, Turkey's steel product exports to the United Arab Emirates, its largest steel export market, fell by 18.03 percent year on year, dropping to 1.1 million metric tons, according to the data provided by the Istanbul Mineral and Metals Exporters' Association (IMMIB). The revenue generated by these exports came to $762.36 million, decreasing only by 0.4 percent as compared to the corresponding period of 2010, due to increased steel prices.

Meanwhile, as compared to the first eight months of 2008, Turkey's steel product exports to the UAE in January-August of the current year regressed by 76 percent in volume and 82.7 percent in revenue.

Steel product exports to the UAE accounted for a 9.5 percent share of Turkey's total steel product exports in the January-August period this year, down from the 12.5 percent share recorded in the first eight months of 2010, and significantly down from the 33.3 percent in the corresponding period of 2008.

In the first eight months of this year, Turkey's leading exported steel product to the UAE was steel bars, including rebars, with a volume of 930,655 metric tons, up 12.37 percent year on year, followed by steel billet with an export volume reaching 141,096 metric tons, 68.28 percent lower as compared to the year-ago period.

In the period in question, steel bar exports accounted for 80.95 percent of Turkey's total steel product exports to the UAE, while steel billet constituted 12.27 percent of the total exports.


Tags: rebar , billet , longs , semis , Turkey , UAE , Middle East , imp/exp statistics , steelmaking , Non-EU Countries

(sourced steelorbis)

Japan flat steel exports seen down 10-20 pct in July-Sept

Mon Aug 29, 2011

* Q2 flat steel exports down 11 pct q/q to 4.3 mln T
* Hot coil exports to S. Korea dived 50 pct in June yr/yr
* Asia's steel market seen hitting bottom - traders
By Yuko Inoue

TOKYO, Aug 29 Reuters) - Japanese steelmakers' exports of flat steel products are expected to fall 10-20 percent in July-September from the previous quarter due to a surge in the yen and sluggish sales to South Korean firms, their biggest customers, traders said.

But they also expect a recovery in the quarter after that as car production picks up.

Japanese steelmakers, the world's largest exporters in 2010, saw their exports of flat steel products --hot-and cold-rolled coils and galvanized sheets -- fall 11 percent to 4.3 million tonnes in April-June.

Low-priced exports from China dragged down the market and the yen's steep rise against the dollar and other major Asian currencies made their products less competitive. Exports were also hit by a fall in global car production after Japan's March earthquake disrupted the supply of parts.

"A 10-20 percent fall in exports of steel sheets is very likely this quarter. They've found it very hard to strike deals because of a wide price differential," said an official at a Japanese trading company, who declined to be identified.

Nippon Steel Corp and JFE Steel Corp , the world's No.4 and No.5 steelmakers respectively, and South Korean customers are still negotiating export prices of hot coils for July-September.

South Korean firms want prices below their April-June contract price of $800 per tonne on cost and freight (CF) basis, while Japanese firms are determined to raise prices, traders said.

Japan's exports of hot coils to South Korea plummeted 50 percent in June from a year earlier to 166,000 tonnes and in the three months to June, they fell 33 percent to 671,500 tonnes, according to the Japan Iron and Steel Federation.

The trading company official said they will sag further in July.

Analysts also estimate annual production capacity by South Korean mills has expanded by 5 million tonnes in the past two to three years.

"On top of the strong yen, Hyundai Steel's production boost and inventory adjustments at downstream producers has had an impact," an official at another trading company said.

But there are some bright signs, including recent announcements by Baosteel and several Chinese mills on price hikes for September bookings.

Chinese steel makers' offer price on hot-rolled coils have inched up to $730 per tonne on CF basis, traders said. China's crude steel output in July inched down 1.1 percent, or 632,000 tonnes, from June to 59.3 million tonnes, although it was still 15.5 percent more than a year earlier.

Many industry experts expect a jump in Japan's car output later this year will keep Japanese steelmakers busy and operating at full capacity in the October-March period as they need to boost supply to domestic manufacturers. Even so, trading companies expect there will be leeway for exports and the companies will step up exports if prices are attractive.

Japan's steel industry estimates Toyota Motor Corp and other Japanese carmakers will be producing a combined 5.3 million cars in October-March to make up for lost sales after the earthquake. That is 26 percent more than the same period a year ago or a 40 percent jump from April-September.

Hansteel to export 14,000 mt of cold rolled sheet to India

Wednesday, 24 August 2011

Handan Iron and Steel Group (Hansteel), a subsidiary of giant Chinese steelmaker Hebei Iron and Steel Group, has announced that in the current month it has received an order to export 14,000 mt of cold rolled sheet to India.

As of August 17, Hansteel had produced 2,800 mt of cold rolled sheet for the order in question.

India's iron ore output and exports

Mon Aug 15, 2011

NEW DELHI (Reuters) - India's iron ore exports, which fell for the first time in a decade last year, could halve over the next five years as the country feeds the expansion of its steel industry.

Here are some key facts about the Indian iron ore industry:

PRODUCTION:
- India produced 212.6 million tonnes of iron ore in 2010/11 and exported 97.6 million tonnes.
- There are about 500 mines in the country, half of which are operational. These are held by about 80 companies.
- High-grade ores with 62-65 percent iron are produced mainly in the east and south. Low-grade ores with 50-60 percent iron are produced in the west and south.
- The largest mining firm is state-run NMDC, which produces about 29 million tonnes annually, mostly for local sales.
- The steel industry is a big domestic user of iron ore. Many steel companies have captive mines.

EXPORTS:

- India is the world's third-largest exporter after Australia and Brazil. Goa is India's biggest exporter.
- China is India's biggest buyer, with its proximity helping it secure ores with low freight costs. India sells the bulk of its iron ore via the spot market.
- The largest exporting company is Sesa Goa, a unit of London-listed Vedanta Resources.
- Other large producers and exporters are Essel Mining, Rungta Mines, V.M. Salgaocar, MSPL and Chowgule.
- Miners in Goa have lower costs as mines are located near the port, and so avoid road and rail charges.

CHALLENGES:
- In its 2011/12 budget, the federal government hiked export duties on iron ore to 20 percent from 5 percent for fines and from 15 percent for lumps in a bid to cool domestic prices to help steel firms.

- Shipments from Karnataka, source of a quarter of India's annual exports, have been banned since July 2010 and exports have yet to resume despite a Supreme Court order allowing shipments from April 20.

- Port infrastructure is poor and vessels can wait up to seven days to load cargo.

- Indian prices generally follow the global market, dominated by Australian and Brazilian miners, with China buying on a spot basis for its low-grade ore needs.

- Slower exports could mean a surge in stocks of fines, complicating storage problems at mines. The Karnataka ban led to an estimated 15 million tonnes of unsold stocks of low-grade ore lying in the mines as of late July this year.

FUTURES

- The world's first iron ore futures debuted in India on Jan. 29, but volumes have been muted as participation of foreign players is not allowed.

Sources: Federation of Indian Mineral Industries, industry members and Ministry of Mines.

Kumba: S.Africa can more double iron ore output

Mon Mar 28, 2011 1:04pm GMT

JOHANNESBURG (Reuters) - South Africa's iron ore industry has the potential to more than double output in the next 10 years under suitable growth conditions, Kumba Iron Ore said in a report issued on Monday.

The report by Kumba, the world's 10th-largest iron ore producer and a unit of Anglo American, cited conditions such as necessary transport logistics and a viable market for the off-take of iron ore and steel products.

The company also said the country would need a suitable regulatory environment that encourages market participants to make the necessary investments.

"These growth projects are capital intensive and will not be economically viable without market-related iron ore prices (at export parity price levels)," the company said.

Kumba's iron ore production rose 3 percent to 43.3 million tonnes in 2010.

Kumba has been at loggerheads with ArcelorMittal South Africa, a unit of the world's biggest steelmaker, over prices for the steel-making ingredient since February last year.

A long-term deal, under which Kumba sold ore to ArcelorMittal SA at a discount, lapsed after the steelmaker failed to convert its rights over a stake in Kumba's Sishen mine into a new right as required by law.

The government now wants at least 21.4 percent of iron ore output from Kumba's Sishen mine to be sold at cost plus 3 percent to help the domestic steel industry.

But Kumba said in the report that discounted iron ore prices were unlikely to lift the local steel sector.

"Iron ore typically contributes less than 1 percent to the costs of these end products and is largely insignificant in its impact on overall costs of downstream products," Kumba said.

It added: "Even if iron ore is discounted significantly, this has an immaterial impact on the cost of most downstream users."

Pending a resolution of the dispute, Kumba and ArcelorMittal SA reached an interim agreement valid until the end of July this year for ArcelorMittal to source iron ore from Kumba at about half of the market price.

ArcelorMittal SA has said it expects the arbitration to be heard early next year and that it will negotiate with Kumba to extend the interim pricing deal until the dispute is resolved.

The government granted Imperial Crown Trading a prospecting right over the stake in Kumba's mine for which ArcelorMittal previously held a mining right, a decision which Kumba is contesting.

Economic Survey fears European debt crisis could hit Indian economy

Friday February 25, 2011

New Delhi: The continuing debt turmoil in the euro zone area could have an adverse fallout on the Indian economy, hurting its capital flows as well as exports, the Economic Survey said today.

Further, it noted that rising international oil prices could aggravate the current account deficit, which is already at high levels.

Many countries like Greece and Portugal that are part of the euro zone -- a grouping of 16 nations that share a common currency euro -- are grappling with severe debt crisis that has even threatened to derail the fragile global economic recovery.

"The continuing sovereign debt risk in peripheral euro zone countries and fears that it could spread to the financial sector, together with the high fiscal and public debt in several advanced countries, pose a risk to global recovery.

"In the event of the crisis spreading, it could have fallout for the Indian economy through reversal of capital flows and slowdown in exports," said the Survey tabled in the Parliament today.

It says the fragile global recovery and robust domestic growth have led to higher current account deficit in 2009-10 and 2010-11 (April-September), "which is a matter of some concern".

"The problem may be further aggravated by the rising international oil prices," it noted.

Current account deficit happens when the total imports of goods, services and transfers is higher than total export of goods, services and transfers.

Official preliminary estimates show that current account deficit stood at USD 27.88 billion in April-September period of the current fiscal year.

During the same period last financial year, current account deficit was at USD 13.34 billion.

Global oil prices has been climbing in recent weeks due to the political unrest in the Middle East, especially in Libya, which has one of the largest crude reserves in Africa.

The Survey said that majority of the capital inflows are in the form of FIIs, which are volatile in nature. FIIs have pumped in about USD 24 billion in the April-September 2010 period.

"Periodic surge in capital flows could lead to problem of absorptive capacity in the economy, fuelling asset price bubbles, currency appreciation and stoking inflation. The challenge is in managing such surge in capital flows," it added.

On the other hand, FDI inflows stood at just USD 19 billion till November in the current fiscal.

-PTI

Optimum Coal boosts H1 output, says global thermal demand ‘robust’

By: Petronel Smit17th January 2011
JOHANNESBURG (miningweekly.com) – JSE-listed Optimum Coal produced 8,789-million tons of run-of-mine (ROM) coal during the first half of the 2011 financial year, an increase of 35% on the 6,493-million tons produced in the comparable period last year.
The South African coal miner on Monday reported that it had increased its export quality domestic production by 40% to 3,611-million tons in the six months ended December 30.
Optimum produced 3,422-million tons of Eskom quality coal, which was a 37% increase on the 2,500-million tons produced in the comparable period.
CEO Mike Teke said that the ROM production at Optimum Collieries had improved by 11,5% on the comparable period, despite having been affected by difficult cutting conditions and a reduction in cutting tempos resulting from drawn-out wage negotiations at the Boschmanspoort underground mine.
“Our opencast mines have been affected by the excessive rains experienced over recent weeks, although our water management structures and initiatives have mitigated against some of the operational impact,” he noted.
The comparable period production numbers did not include production from Koornfontein Mines, as Optimum Coal did not own Koornfontein Mines at the time.
Teke pointed out that Koornfontein Mines had proven itself a valuable addition to Optimum Coal since being fully integrated in March 2010, and was an important step in the company’s growth strategy.
“While local logistics remains challenging, Optimum Coal is working closely with Transnet Freight Rail and Richards Bay Coal Terminal to tackle the challenges,” he said.
Koornfontein Mines produced 1,515-million tons of ROM coal, 0,947-million tons of export quality domestic coal and 0,676-million tons of Eskom quality coal during the comparable period.
The outlook for thermal coal remained robust on the back of strong international demand, coupled with supply constraints across key coal-producing regions. Global demand had been boosted by the cold European winter combined with increased power generation and continued growth in Asian countries.
"We believe that global supply constraints will take some time to resolve, but that international thermal coal demand remains robust and sustainable. Optimum Coal is well placed to take advantage of these current market conditions,” Teke asserted.

US coal miners rally, eye exports on Australia floods,

Courtsey news via Reuters by Steve James and Bruce NicholsMon Jan 3, 2011.

NEW YORK/HOUSTON, Jan 3 (Reuters) - U.S. coal miner shares rallied on Monday as massive floods in Australia disrupted a big chunk of the world's metallurgical coal supply, driving up prices and causing Asian importers to hunt for alternatives.

Floods in northeast Australia have brought most mining operations to a halt in Queensland, which produces the bulk of Australia's steelmaking coal. Australia is the largest exporter of the grade, exporting about 125 million tonnes, with the United States a distant second at 33 million tonnes in 2009.

Steelmakers globally are feeling the effect and are bidding up prices for U.S. exports of high-grade coal that is a key ingredient for producing steel. U.S. metallurgical coal is among the world's best, analysts said.
"Japanese, Korean and Taiwanese mills have started inquiring about near term U.S. coal at market prices higher than the pattern deal for the first quarter," said coal trader Frank Kolojeski at Export Commodities International Inc.
BHP (BHP.AX) and Japanese steelmakers agreed on $225 per metric tonne ($205 per U.S. short ton) for the first quarter of 2011 but analysts say $300 and above, last reached in 2008 when Australia suffered flood problems, is not out of the question.
All U.S. coal company stocks rose, with Consol Energy (CNX.N) leading the pack with a jump of 5 percent.
Inside Coal industry newsletter said met coal prices in Australia had risen past $240 a metric tonne before Christmas, and analysts said the price likely is higher than that now.
"Spot coal likely is trading at a significant premium," said Brian Gamble, coal analyst at Simmons & Co in Houston.
Lower-grade thermal coal, used to make steam in power plants, also is rising but the impact on utilities has beens less pronounced, analysts said.
U.S. coking coal exports have increased this year from 35.4 million in the 12 months through January 2010 to 49.8 million tons in the 12 months through October 2010, but infrastructure constraints could limit further immediate sales to the steel mills in Japan, South Korea and China.
One factor that could boost prices for U.S. exports is port capacity, which at about 130 million short tons is very small compared to the size of the 1.1-billion-tons-per year U.S. coal industry and is nearly full already, analysts said.
But the scramble for alternatives could be even more intense now that China is important about 10 times more than it was in 2008, said Kolojeski.
"The volatility may well be greater now," Kolojeski said.
The effect on steel prices could be muted by the fact that much of the steel used, particularly in the United States, is recycled and does not require coal to manufacture, said analyst Michelle Applebaum of Steel Market Intelligence in Chicago.
In afternoon trading on the New York Stock Exchange, Consol Energy (CNX.N) stock was up 5.4 percent at $51.39 and Alpha Natural Resources was up 3.4 percent higher at $62.04. Arch Coal (ACI.N) and Massey Energy (MEE.N) were up over 2 percent and Peabody Energy (BTU.N) rose 1.4 percent.