Traders declare force majeure on 3.5m tonnes of coal shipments from Indonesia

Force majeure has been declared by traders on coal shipment totalling at least 3.5 million tonnes because the government hasn't yet issued new trading permits to them," according the Indonesian Coal Mining Association (APBI).

APBI's chariman Bob Kamandanu said on Tuesdady about 70 vessels, each with a capacity of 50,000 tons, are stuck at ports because surveyors checking shipments won?t allow the exports before traders obtain fresh licenses from the Energy and Mineral Resources Ministry.

?Some traders have declared force majeure because of the permit issue,? he said in Jakarta today, without identifying them. ?More shipments will be halted as a lot more ships are entering the ports.?

The Minerals and Coal Law of 2009 requires traders to convert old permits into new trading licenses issued by the the ministry, according to the ministry's director of minerals and coal business Bambang Gatot Ariyono earlier said.

However, according to Kamandanu, the ministry hasn't issued any new licenses to traders yet. (Godang)