Reliance Industries Limited (RIL) increased its petroleum coke price with effect from 1 June’21 to INR 11,489/tonne (t) ex-Jamnagar refinery in Gujarat, over its last month’s price of INR 11,357/t, an increase of INR 132/t.
Nayara Energy (erstwhile Essar Oil) also increased its pet coke price to INR 11,531/t ex-Vadinar refinery in Gujarat, over its last month’s price of INR 11,394/t, an increase of INR 137/t.
Indian-delivered prices for seaborne petroleum coke have moderately moved up over the past week, although Indian buying interest has largely been subdued owing to exorbitant freight rates and competitively priced thermal coals.
The current average prices of U.S.-origin pet coke (6.5% sulphur) are assessed at around $130-131/ton CNF India basis, compared to$129-130/t, up $1/t week-on-week (w-o-w).
Offers for Saudi-origin pet coke (9% sulphur) are presently hovering around $125-126/t CNF India, as against around $124-125/t, up $1/t w-o-w.
Price commentaries
RIL’s current price hike comes after a moderate increase of INR 154/t last month. In fact, there have been continuous price upticks every month starting from July last year, when the price was at INR 5,697/t, resulting in an almost two-fold rise (96.6%) in the past 10 months.
Pet coke prices of Nayara Energy continue to be in tune with RIL’s, having a nominal difference of just INR 36/t in the current month.
This consistent price rise is supported by demand for pet coke by cement manufacturers for road construction and other infrastructural projects. Even though domestic production of pet coke has gradually increased, it is still lower than optimum levels.
Furthermore, lower availability of pet coke in the international market has pushed up prices. There is also a spurt in the prices of imported steam coal, which is primarily used as a substitute for pet coke by cement makers.
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