Waratah Resources to ship coal to China?s Ningbo ETDZ
Thursday, October 10 2013 - 03:56 AM WIB
ASX-listed Waratah Resources said that the company has executed a sales and purchase contract for 50,000 tons of thermal coal with a trial shipment from South Kalimantan in Indonesia to Shanghai in China.
The company said in a statement Thursday that the purchaser is Ningbo ETDZ Holdings, a government owned entity and delivery of the cargo is anticipated for November 2013.
The designated power station receiving the trial shipment has an installed capacity of 2,400MW of coal fired generation, with both sub-critical and super-critical units, owned by one of the largest utility groups in China.
The group had a combined installed generation capacity of 135,080MW at the end of 2012 and is currently ranked as the largest electricity generation company in Asia and second largest in the world.
Speaking of the initial transaction a Ningbo representative stated that ?The power station that Waratah Commodities is providing to is one of the major power sources for the City of Shanghai, one of China?s largest economic hubs. We are committed to broaden the collaboration with Waratah Resources in 2014.?
Waratah Resources Executive Chairman Ben Kirkpatrick led the deal team and commented, "We are delighted to complete this transaction. We are confident that it is the first of many by the commodities team.?
The Yangtze River Delta is one of China?s largest commodities consumers and Ningbo?s participation is a significant endorsement of the Waratah Resources Commodities Division?s capabilities, Kirkpatrick added.
?Waratah is very well placed to broker commodity deals with end users in China, India and Korea, with strong links to suppliers in Indonesia, Australia and Africa,? he said.
The Waratah Resources team recently added resources sector veteran Philip McNamara to the Board, Kirkpatrick said. The company sees opportunities in coal, iron ore, copper, nickel, cobalt, manganese and now LNG. Waratah Resources is also looking to broker investment in producing mines in Australia via way of joint venture, partnership and off take agreements with Asian partners.
Editing by Reiner Simanjuntak