Australia-South Korea Panamax coal freight rises, KEPCO concludes three fixtures

• Gladstone-Korea freight rises 11% from August fixture
• Indonesia-Korea freight remains stable at $13.05/t

South Korea’s Korea Electric Power Corporation (KEPCO) has concluded three fresh Panamax coal fixtures, with Australia-South Korea freight rising sharply while Indonesia-South Korea rates remain stable.

Pan Ocean was fixed at $19.77/tonne (t) FIO for 77,500 t from Gladstone, Australia, to Taean, South Korea, for 21-30 September loading. The rate is $2.03/t, or 11.4%, higher than KEPCO’s previous Gladstone-Boryeong fixture at $17.74/t FIO in August.

Dong-A Tanker was also fixed at $19.92/t FIO for 77,500-85,250 t on the same Gladstone-Taean route, reinforcing the higher Australia-Korea freight level.

Meanwhile, Pan Ocean was fixed at $13.05/t FIO for 80,000 t from NPLCT, Indonesia, to Dangjin for 20-24 September loading, unchanged from KEPCO’s previous Indonesia-South Korea fixture on 6 September.

The latest fixtures put the Australia-Korea freight premium at around $6.7/t over the Indonesia-Korea route, compared with a narrower differential in the previous fixtures.