The erstwhile Petcoke users in Delhi/NCR have now shifted to USA origin coal to fuel their industrial units, after the Supreme Court Petcoke ban taking effect from 1Nov’17.
As the users have shifted to USA coal, demand for the coal has strengthened rapidly in the country. Coal import houses, spoken to by CoalMint, said that many orders were received in the last few days from the end-users for importing the coal to fuel their industrial units.
The tendency towards using USA coal is mainly regulated by the higher calorific value of USA coal in comparison with coal from other regions of the world. The calorific value of USA coal lies at around 7,200 GAR, which is close to that of Petcoke at around 7,600 GAR. Moreover, coal imported from USA is 100% washed, so it is free of impurities as well as ash content, rendering the usage of the coal as environment friendly.
However, on the flip side, more USA coal is required in comparison with Petcoke for the same amount of heat generation.
Source: CoalMint Research
Given the strong demand, coal imports from USA to India are expected to go up in the coming days.
USA coal is currently offers at around USD 99/MT CFR India.
Leave a Reply