- Tuesday May 18,2021
China's state planner said coal prices and other commodity prices will be back to supply-demand fundamentals in the future.
The Australian mining giant South32 Ltd said it is likely to suffer a loss of up to $175 million from the sale of its thermal coal assets in South Africa, and the divestiture was finalized with Seriti Resources on May 17.
Iron ore prices have surged to record highs as a batch of factors tightened supply. Analysts at ANZ Bank expected the short-term price will rise to $215/t. But they expect the upbeat strength will weaken in later the year.
- Monday May 17,2021
Australia's thermal coal exports increased 20% on the month to 15.7 million tonnes in April, CoalMint's vessel line-up data showed.
The clearance process of Mongolian coking
coal remained slow at Ganqimaodu border crossing, with only 94 trucks passing
through it on May 15, possibly due to the comeback of COVID-19 in Mongolia. Marketable
cargoes were in a shortage at the port, where offer prices rose to 1,400-1,450
Canadian premium low-vol coking coal was offered
at $254.6/t CFR North China as of May 14, up $19/t from the previous week and
$35/t from a month earlier, Sxcoal data showed. Russian K10 was offered at
$180.3/t CFR North China, up $14/t WoW and $25 MoM.
As of May 14, Mongolian 5# washed coking coal
was offered at 1,700 yuan/t ex-stock Ganqimaodu, up 70 yuan/t week on week and
270 yuan/t month on month. The price came 65% higher compared with the year-ago
level. Unwashed coking coal offers were around 1,410 yuan/t, up 100 yuan/t week
on week, 220 yuan/t month on month and 64% higher from the previous year,
Sxcoal data showed.
As of May 14, Mongolian 1/3 coking coal was
traded at 770 yuan/t at Ceke border crossing, ex-stock with VAT, flat from a
day earlier. The price has increased about 50 yuan/t over the week, 70 yuan/t
over the month and by 24.2% from a year earlier, Sxcoal data showed.
In April, the value added by the industrial enterprises above designated size in China grew 9.8% YoY in real terms, up 14.1% over the same period of 2019, posting an average growth of 6.8% in 2020-21 with April 2019 as the base period. It ticked up 0.52% MoM. The total added value in the first four months picked up 20.3% YoY, according to the latest NBS data.
Research Institute of Petroleum Exploration & Development of China predicted that even after China has achieved carbon neutrality by 2060, its demand for oil is expected to maintain 230-300 million tonnes, and the demand for natural gas is estimated to keep more than 400 billion cubic meters, both surpassing the domestic supply capacities.
China's thermal power, hydropower, nuclear power and wind power maintained YoY growth, while solar power generation declined in April. Thermal power increased by 12.5% YoY and 6.7% on average in 2020-21 with April 2019 as the base period. Hydropower rose 3.3% YoY but posted an average decline of 3.1% in 2020-21. Nuclear power grew 5.2% YoY and 7.9% in 2020-21 with April 2019 as the base period. Wind power surged 21.1% YoY and realized an average increase of 10.7% in 2020-21. Solar power decreased by 6.4% while increased by 2.5% on average in 2020-21, the latest NBS data showed.
In April, China's daily output of crude steel averaged 3.26 Mt, up 7.54% MoM; daily output of pig iron was 2.53 Mt, up 5.02% over March; daily output of steel products averaged 4.04 Mt, up 4.55% from a month ago. The daily output of crude steel and steel products both hit record highs, and the average daily output of pig iron recorded the third highest in history.
China's raw coal output hit 320 Mt in April, down 1.8% YoY while up 4.0% over April 2019, posting an average growth of 2.0% in 2020-21. The average daily output was 10.74 Mt. China's coal imports tumbled 29.8% YoY to 21.73 Mt in April.
Polyolefin sales of China Shenhua Energy Co., Ltd., a listed arm of China Energy Investment Corp, rose 7.4% or 4,200 tonnes year on year but decreased 1% or 600 tonnes month on month to 61,100 tonnes in April, the company said in a report on May 15.
- Friday May 14,2021
Under low operating rate of coal mines and active procurement of downstream users, China domestic coking coal price continued climbing up. Currently, the low-sulfur primary coking coal price at Linfen's Anze area, Shanxi, rose to 2,050 yuan/t on acceptance bill with VAT, jumping 550 yuan/t over the low point after the Spring Festival, according to Sxcoal.