SGX M42F Thermal Coal - Daily Update 5 September 2019

3kt traded in Thursday T Session

• Oct-19 traded 3kt @ $31.95

 

September month-to date:

Futures volume at 11kt, open interest at 83kt

 

Total volume since April 2018: 1.19 million metric tonnes

 

Physical

A key low-rank supplier out of South Kalimantan is understood to be holding back on offers into the spot market due to current price levels. A company source shared that the miner would continue fulfilling term deliveries to international buyers. However, its spot tonnage would be focused on the domestic market to the end of the year. Elsewhere, Indian buyers were understood to be increasing their interest in Indonesian material, with some short covering underway. Offers for October loading vessels were reported at $33.00/t FOB, basis 3,800 kc NAR, for a Panamax and $32.00/t FOB, basis 3,800 kc NAR, for a geared vessel. A bid was also heard at $31.50/t FOB, basis 3,800 kc NAR, for a September loading geared vessel. On an index-linked basis, an offer was heard at the average of M42/ICI4 plus $0.25/t for a September loading geared vessel.

 

Paper

M42 paper, listed on SGX, traded for October at $31.95, up on its last traded level of $31.75. Later in the day, September was bid at $31.85 and offered at $32.15, while October was bid at $31.55 and offered at $32.00. A market for Q4-19 was bid at $31.40 and offered at $31.85. Further out, Q1-20 was bid at $33.40.

Source: IHS McCloskey.