Coal prices sink at Qinhuangdao Port in last week
Shanghai. September 8. INTERFAX-CHINA - Coal market prices dropped at Qinhuangdao Port from Aug. 31 to Sept. 8 after remaining stagnant for two weeks, according to statistics from the China Coal Transportation and Development Association (CCTDA).
Coal prices dipped by RMB 10 ($1.48) per ton at the port, while stockpiles climbed from 7.29 million tons on Aug. 31 to 7.43 million tons on Sept. 7.
Li Ming, an analyst with the CCTDA, wrote in a research note on Sept. 8 that the price drop is attributable to local governments' efforts to shut down steel mills, which dragged down both power and thermal coal demand during this time.
Li added that demand for thermal coal at key power plants dropped as the summer peak consumption period drew to a close.
Meanwhile, Li said that a decreased steel products output will drive up both steel and coking coal prices in the coming weeks.
The tables below specify coal prices on Aug. 31 and Sept. 8 at Qinhuangdao Port.
Spot coal prices at Qinhuangdao Port, August 31 and September 8, 2010
|Coal type||Heat value(Kcal/KG)||FOB price on August 31(RMB, ton)||FOB price on September 8(RMB, ton)|
|Datong premium blend||5,800||765 - 775 ($113.00 - $114.48)||755 - 765 ($111.52 - $113.00)|
|Shanxi premium blend||5,500||720 - 730 ($106.35 - $107.83)||710 - 720 ($104.87 - $106.35)|
|Shanxi blend||5,000||620 - 630 ($91.58 - $93.06)||610 - 620 ($90.10 - $91.58)|
|General blend||4,500||545 - 555 ($80.50 - $81.98)||540 - 550 ($79.76 - $81.24)|
Source: China Coal Trade and Development Association
Note: FOB = free on board