Monday, 19 Dec 2011
Reuters reported that physical prompt thermal coal prices were little changed again on Friday but few players were active in the market and the bid/offer spreads widened as a result.
In the absence of fresh spot trade to give clear price direction, coal is tracking oil, equities and the euro, as it has for the past few months. Oil edged up near GBP 104 a barrel on Friday consolidating after heavy falls earlier in the week due to the weaker dollar and concerns about US sanctions against Iran but euro zone debt worries capped gains.
There was so little coal trading activity on Friday however that prices barely reacted to oil steadier tone. Traders, producers and utilities are focused more on Q1 where the hot spots of demand might be and what kind of support for prices could come from severe weather.
Australia is preparing for another active cyclone season as a La Nina weather pattern again brings heavy rains. The impact of another La Nina is not expected to be as severe as last year when successive cyclones and tropical storms through the winter and spring flooded coal mines in Queensland states and caused coal prices to spike.
One European trader said "Few people among the usual players were in the market, the holidays seem to have started early and the bid/offer spreads are so wide that clearly very little if anything is going to trade."
There is more talk in the market of substantial tonnages of American high-sulphur coal with 1.5% to 3% sulphur content arriving in Europe and more to come during 2012.
Utilities say they have already absorbed as much blend able high sulphur coal as they can for the next few months much of this is held on stockpiles in ARA and at power plants. Traders with long positions in US coal who had expected to place this in Europe are now hoping that China and India will buy more of this material if it is discounted enough.
Failing that, competition to win the relatively few tenders to buy coal issued in the Atlantic basin is expected to hot up as new entrant traders and banks look for all openings to sell physical coal.
Chinese importers are still enquiring for prompt coal cargoes although buying has slowed but the price window for imports remains wide open, according to a commodities research note issued by Credit Suisse.
(Sourced from Reuters)
Showing posts with label offer. Show all posts
Showing posts with label offer. Show all posts
Monday, December 19, 2011
Saturday, November 12, 2011
Steam coal prices rise as oil and euro gains
Saturday, 12 Nov 2011
Reuters reported that prompt physical coal prices moved higher by a marginal 50 cents a tonne on Friday although few trades were reported, in line with gains in oil and the euro after Italy's Senate approved economic reforms aimed at restoring investor confidence.
Two December South African cargoes traded at USD 103.50 and USD 104.00 via brokers.
A December loading South African cargo was bid at USD 104.00 and offered at USD 108.00, down 50 cents.
A January South African cargo was offered at USD 108.75.
A November delivery Russian DES ARA cargo was bid at USD 107 and offered at USD 117.
A December delivery DES ARA cargo was bid at USD 115 for Russian material and offered at USD 116, down 25 cents.
(Sourced from Reuters)
Reuters reported that prompt physical coal prices moved higher by a marginal 50 cents a tonne on Friday although few trades were reported, in line with gains in oil and the euro after Italy's Senate approved economic reforms aimed at restoring investor confidence.
Two December South African cargoes traded at USD 103.50 and USD 104.00 via brokers.
A December loading South African cargo was bid at USD 104.00 and offered at USD 108.00, down 50 cents.
A January South African cargo was offered at USD 108.75.
A November delivery Russian DES ARA cargo was bid at USD 107 and offered at USD 117.
A December delivery DES ARA cargo was bid at USD 115 for Russian material and offered at USD 116, down 25 cents.
(Sourced from Reuters)
Monday, October 31, 2011
Shanxi makes bid for stake in Pike River Coal
Monday, October31, 2011
Giant Chinese state-owned Shanxi Coal is understood to be in the running to buy Pike River Coal as part of a joint bid with New Zealand coal company Solid Energy.
Bids closed a week ago, with four players making offers, sources said.
One Indian company earlier interested in making an offer had pulled out, but another Indian company was still understood to be in the running, they said.
There has also been interest from an unnamed Australian company, but it remained unclear if it made a final bid.
Rumours have been around for a couple of weeks that a Chinese government agency was involved in a joint bid with Solid Energy for Pike.
Another industry source said if Shanxi joined Solid Energy as a partner in Pike River it could provide the financial muscle to reopen the mine and be a large customer, with Solid Energy providing the local expertise. China has a huge appetite for coal, which has been a key driver of its economic growth.
Chinese imports of coal have recently hit record levels, up 15 per cent in September to a record 19 million tonnes in a month.
There has been industry concern a Chinese or Indian company could come in with a high price and pick up the Pike River assets without the involvement of a local player.
The Pike mine remained a "technical challenge" and a player from overseas might not have the right skills to mine in what was a difficult area, a source said.
It would be surprising if the mine reopened within three to five years under new owners, sources said.
A joint-venture deal might also put Shanxi in a good position to take a stake in Solid Energy, should the Government decide to sell part of the company, an industry source said.
The Government says it plans to look at selling up to 49 per cent of three state-owned power companies, Solid Energy and reducing its holding in Air New Zealand should it be re-elected.
However, another source said a joint venture would not necessarily give Shanxi any advantage if part of Solid Energy were up for sale. Solid Energy already has a joint venture with international coal company Cargill, which bought 49 per cent of the Spring Creek underground coalmine near Greymouth four years ago.
Pike's receiver has declined to comment on the bidding.
Solid Energy has said it is interested in Pike, but it has refused to confirm or deny suggestions it will make a joint bid with a Chinese coal company.
The receivers want bidders to remain anonymous, given that a deal could be hampered if details are made public too soon.
Pike River collapsed into receivership almost a year ago, after a mine explosion that killed 29 men. It is expected the sale of the assets could take at least until Christmas to confirm, with foreign buyers facing Overseas Investment Office and other government approvals.
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A price of about $50 million would clear Pike's debts, with anything above that potentially offering some return to Pike shareholders. The Pike field holds billions of dollars of coal.
In the past year, Solid Energy posted revenues of $829m, and made an after-tax profit of $87.2m, up 29 per cent.
Shanxi Coal's website says it aims to become a "super-large" enterprise group in the next five years with a target of producing 50 million tonnes of coal a year and to handle trade of 100 million tonnes as an import-export business. Shanxi province is southwest of Beijing.
The company runs 20 coalmines and has assets of more than 13 billion remnimbi (NZ$2.5 billion) and more than 7000 staff. Shanxi Coal is one of the top 10 state-owned businesses in the province. Annual revenues were about 22 billion remnimbi, with profits of more than 1 billion remnimbi.
sourced Stuff.co.nz
Giant Chinese state-owned Shanxi Coal is understood to be in the running to buy Pike River Coal as part of a joint bid with New Zealand coal company Solid Energy.
Bids closed a week ago, with four players making offers, sources said.
One Indian company earlier interested in making an offer had pulled out, but another Indian company was still understood to be in the running, they said.
There has also been interest from an unnamed Australian company, but it remained unclear if it made a final bid.
Rumours have been around for a couple of weeks that a Chinese government agency was involved in a joint bid with Solid Energy for Pike.
Another industry source said if Shanxi joined Solid Energy as a partner in Pike River it could provide the financial muscle to reopen the mine and be a large customer, with Solid Energy providing the local expertise. China has a huge appetite for coal, which has been a key driver of its economic growth.
Chinese imports of coal have recently hit record levels, up 15 per cent in September to a record 19 million tonnes in a month.
There has been industry concern a Chinese or Indian company could come in with a high price and pick up the Pike River assets without the involvement of a local player.
The Pike mine remained a "technical challenge" and a player from overseas might not have the right skills to mine in what was a difficult area, a source said.
It would be surprising if the mine reopened within three to five years under new owners, sources said.
A joint-venture deal might also put Shanxi in a good position to take a stake in Solid Energy, should the Government decide to sell part of the company, an industry source said.
The Government says it plans to look at selling up to 49 per cent of three state-owned power companies, Solid Energy and reducing its holding in Air New Zealand should it be re-elected.
However, another source said a joint venture would not necessarily give Shanxi any advantage if part of Solid Energy were up for sale. Solid Energy already has a joint venture with international coal company Cargill, which bought 49 per cent of the Spring Creek underground coalmine near Greymouth four years ago.
Pike's receiver has declined to comment on the bidding.
Solid Energy has said it is interested in Pike, but it has refused to confirm or deny suggestions it will make a joint bid with a Chinese coal company.
The receivers want bidders to remain anonymous, given that a deal could be hampered if details are made public too soon.
Pike River collapsed into receivership almost a year ago, after a mine explosion that killed 29 men. It is expected the sale of the assets could take at least until Christmas to confirm, with foreign buyers facing Overseas Investment Office and other government approvals.
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A price of about $50 million would clear Pike's debts, with anything above that potentially offering some return to Pike shareholders. The Pike field holds billions of dollars of coal.
In the past year, Solid Energy posted revenues of $829m, and made an after-tax profit of $87.2m, up 29 per cent.
Shanxi Coal's website says it aims to become a "super-large" enterprise group in the next five years with a target of producing 50 million tonnes of coal a year and to handle trade of 100 million tonnes as an import-export business. Shanxi province is southwest of Beijing.
The company runs 20 coalmines and has assets of more than 13 billion remnimbi (NZ$2.5 billion) and more than 7000 staff. Shanxi Coal is one of the top 10 state-owned businesses in the province. Annual revenues were about 22 billion remnimbi, with profits of more than 1 billion remnimbi.
sourced Stuff.co.nz
Saturday, October 15, 2011
Chinese mills offered better Q4 iron ore pricing options
Saturday, 15 Oct 2011
Reuters reported that a number of Chinese steel mills have been given the option to buy iron ore for the fourth quarter based on October to December spot rates instead of a common industry practice to buy on prices based on previous months.
Three mill sources briefed on the change told Reuters that miners, such as Vale SA have offered Chinese mills' the option to pay for fourth quarter supplies based on more current rates following the recent tumble in ore prices.
A source with one of China mid sized steel mills said "We received a letter from Vale asking us for our opinion of changing fourth quarter pricing to be based on October-December spot rates."
The spokeswoman at Vale was not immediately available for comment.
Reuters reported on Thursday that Chinese mills were seeking to postpone shipments or renegotiate fourth-quarter iron ore contracts.
Currently, prices for quarterly contracts are generally based on the average index prices over a three-month period ending a month before the start of each quarter. That means that prices for the fourth quarter would normally have been based on average spot prices from June to August when prices were higher than now.
(sourced from Reuters)
Reuters reported that a number of Chinese steel mills have been given the option to buy iron ore for the fourth quarter based on October to December spot rates instead of a common industry practice to buy on prices based on previous months.
Three mill sources briefed on the change told Reuters that miners, such as Vale SA have offered Chinese mills' the option to pay for fourth quarter supplies based on more current rates following the recent tumble in ore prices.
A source with one of China mid sized steel mills said "We received a letter from Vale asking us for our opinion of changing fourth quarter pricing to be based on October-December spot rates."
The spokeswoman at Vale was not immediately available for comment.
Reuters reported on Thursday that Chinese mills were seeking to postpone shipments or renegotiate fourth-quarter iron ore contracts.
Currently, prices for quarterly contracts are generally based on the average index prices over a three-month period ending a month before the start of each quarter. That means that prices for the fourth quarter would normally have been based on average spot prices from June to August when prices were higher than now.
(sourced from Reuters)
Saturday, August 20, 2011
CITIC Group undecided on Macarthur counterbid
Saturday, 20 Aug 2011
Reuters reported that China Citic Group has yet to decide whether to launch a counterbid for Australian coal miner Macarthur Coal Ltd which is the subject of a USD 5 billion hostile takeover from ArcelorMittal SA and Peabody Energy Corp.
Citic Group together with subsidiary Citic Resources Holdings Ltd owns about 24% of Macarthur making it the single largest shareholder of the world's biggest producer of pulverised and cleaner burning coal.
Mr Chang Zhenming Citic Group Chairman without elaborating said "It is not yet time to show our stance (on Peabody offer).”
He said that separately, Citic Group said it had not yet set a timetable for an initial public offering. We are still working on an internal restructuring we don't have a timetable yet."
Last year, media reports said CITIC Group was considering a USD 12 billion listing in Hong Kong in 2011 a move that could help the state owned conglomerate raise its profile and cut debt.
(Sourced from Reuters)
Reuters reported that China Citic Group has yet to decide whether to launch a counterbid for Australian coal miner Macarthur Coal Ltd which is the subject of a USD 5 billion hostile takeover from ArcelorMittal SA and Peabody Energy Corp.
Citic Group together with subsidiary Citic Resources Holdings Ltd owns about 24% of Macarthur making it the single largest shareholder of the world's biggest producer of pulverised and cleaner burning coal.
Mr Chang Zhenming Citic Group Chairman without elaborating said "It is not yet time to show our stance (on Peabody offer).”
He said that separately, Citic Group said it had not yet set a timetable for an initial public offering. We are still working on an internal restructuring we don't have a timetable yet."
Last year, media reports said CITIC Group was considering a USD 12 billion listing in Hong Kong in 2011 a move that could help the state owned conglomerate raise its profile and cut debt.
(Sourced from Reuters)
Monday, July 18, 2011
NTPC to make final offer for Bandana Energy on July 29
18 Jul,2011, | PTI
KOLKATA: The country's largest power producer today said it will submit its final offer for a stake in Bandanna Energy Ltd on July 29.
"We are going to make our final bid for a stake in Bandana on July 29," NTPC Chairman and Managing Director Arup Roy Choudhury said here today on the sidelines of a Bengal National Chamber of Commerce and Industry organised seminar on power.
He, however, did not reveal how much stake the power producer was intending to take in the coal company having assets in Australia .
Bandanna holds 16 exploration permits in the Bowen and Galilee basins in coal-rich Queensland apart from licences to explore for minerals and oil shale there. It has reserves of at least 1.4 billion tonne of coal.
Bandanna, also has an allocation for 4 million tonne a year at the planned Wiggins Island Coal Export Terminal, which would allow it to ship from early 2014.
Reports suggest that a few other Indian companies, including GMR and Essel Mining, were among the many global companies vying for a stake in the coal explorer.
Meanwhile, NTPC aims to keep the coal import target at 16 million tonnes or 10 per cent of the total coal requirement for the current year.
Asked about de-allocation of five blocks by the coal ministry, Roy Choudhury said, "we are a generating company either we get coal from our sources or the government provides coal."
However, he said that representation to revoke the order had positive feedback from the ministry after NTPC said work in one mine Pakhri has started and coal extraction will begin from the next year.
The development of two blocks development are supposed to be done by Coal India with the NTPC chairman meeting the coal major chief on the issue.
"We are close to appointing consultants for another two blocks," Choudhury said. (sourced ET)
KOLKATA: The country's largest power producer today said it will submit its final offer for a stake in Bandanna Energy Ltd on July 29.
"We are going to make our final bid for a stake in Bandana on July 29," NTPC Chairman and Managing Director Arup Roy Choudhury said here today on the sidelines of a Bengal National Chamber of Commerce and Industry organised seminar on power.
He, however, did not reveal how much stake the power producer was intending to take in the coal company having assets in Australia .
Bandanna holds 16 exploration permits in the Bowen and Galilee basins in coal-rich Queensland apart from licences to explore for minerals and oil shale there. It has reserves of at least 1.4 billion tonne of coal.
Bandanna, also has an allocation for 4 million tonne a year at the planned Wiggins Island Coal Export Terminal, which would allow it to ship from early 2014.
Reports suggest that a few other Indian companies, including GMR and Essel Mining, were among the many global companies vying for a stake in the coal explorer.
Meanwhile, NTPC aims to keep the coal import target at 16 million tonnes or 10 per cent of the total coal requirement for the current year.
Asked about de-allocation of five blocks by the coal ministry, Roy Choudhury said, "we are a generating company either we get coal from our sources or the government provides coal."
However, he said that representation to revoke the order had positive feedback from the ministry after NTPC said work in one mine Pakhri has started and coal extraction will begin from the next year.
The development of two blocks development are supposed to be done by Coal India with the NTPC chairman meeting the coal major chief on the issue.
"We are close to appointing consultants for another two blocks," Choudhury said. (sourced ET)
Monday, February 21, 2011
FAS offer metallurgy and coal workers to link the price of product to the global quotes
Monday, 21 Feb 2011
Federal Antimonopoly Service of RF offers the metallurgy and coal companies to adopt and issue the distribution policies, which are to indicate all options of forming preferences and penalties.
According to FAS the price lists will allow the consumers clear out the price making process and understand the reasons for discounts, and also will insure the producers from claims on behalf of the antimonopoly authorities and unjustified claims from the consumers.
(Sourced:stockmarketsreview)
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