Indonesia: Robust China demand propelling high-grade thermal coal prices

At a time of depleting coal stocks at Chinese power utilities, there has been a flurry of enquiries for imported coal from China that have bolstered the Indonesian mid-CV 5000 GAR grade coal price by $5/t w-o-w to $105.7/t FoB. Prices of 6500 GAR coal, too, increased to $127/t FoB, while the index prices of 4200 GAR and 5800 GAR grade coals are assessed at $71/t and $119/t, respectively. Prevailing supply tightness in Indonesia, coupled with the ban on coal exports imposed on 32 companies, continues to prop up prices to multi-year highs.