Coal

Pakistan's NEPRA issued new guidelines requiring competitive tenders for all imported coal purchases by power producers. It sets specific benchmarks like API-4 for South African coal and ICI series for Indonesian grades by calorific value, with no premiums above indices. The overhaul aims to improve transparency and align tariffs with market prices for the coal-fired power sector. Read →

Nuvama raised Coal India to Buy with a Rs 501 target, citing September offtake up 12.5% YoY to 61.2 million tonnes and rising e-auction premiums. It lifted FY27/FY28 EBITDA estimates 6%/4% on higher volumes and prices amid tight power-plant inventories. The upgrade factors in strong thermal power demand and low domestic stocks. Read →

China and India are moderating seaborne thermal coal imports in 2026 amid higher prices tied to Middle East supply issues. Indonesian output is set to fall 60 Mt this year after a 2025 record, with government production caps and rising domestic metals demand tightening export supply. The gradual parallel decline in supply and demand points to relatively stable longer-term prices, though subject to volatility from events like China's mine inspections. Read →

Australian premium hard coking coal fell to $273.60/t FOB from $277.50/t the prior week, with CFR China down $3/t to $296/t. China's metallurgical coal supply deficit narrowed sharply to 0.13 Mt in September from 3.18 Mt in August after mine restarts in Shanxi and higher Mongolian imports. Weak steel margins and completed pre-holiday restocking reduced Chinese spot buying for seaborne coking coal, while PCI held firmer on coke substitution. Read →

Qinhuangdao spot thermal coal rose 0.5% to 986 yuan ($147)/t, a three-year high, for an 11th straight weekly gain. Prices are up 24% since mid-July on lower domestic production and reduced Indonesian imports due to quotas and logistics issues. Authorities are pushing miners to stabilize output ahead of winter amid tight supply for the top consumer. Read →

New South Wales planning commission approved the Hunter Valley Operations Continuation Project after a six-year review, extending Glencore and Yancoal's joint thermal and coking coal mines to 2045. The project allows extraction of about 429 million tonnes and sustains up to 1,500 jobs pending federal approval. Longer-term Australian export supply adds a modest offset to near-term seaborne tightness. Read →

Coal stocks at Indian thermal power plants fell to 19.2 million tonnes by Sep 27, 24% below early-September levels and 64% short of required buffers, with 72 of 168 plants at critical stock. Weak hydro output and record September power demand near 269 GW forced greater coal burn. The government invoked Section 11 to mandate full operation of captive plants over 50 MW from Oct 1, boosting near-term thermal coal offtake. Read →

India’s power ministry directed over 100 captive coal plants (50 MW+) to run at full capacity from October 1 to December 31 and sell surplus power on exchanges. Plants serving industries like steel and cement must report weekly coal stocks to the CEA. Coal inventories at grid-connected stations have more than halved year-on-year to the lowest in nearly three years, driven by weak hydro, fading solar after sunset, and El Niño-boosted demand. Read →

Indonesia, the world’s largest thermal coal exporter, saw exports fall to a five-year low this month after government quota cuts and low water levels in Kalimantan barging rivers. Traders at the CoalTrans Asia conference noted tightest supply conditions in years despite soaring global prices from gas-to-coal switching tied to Persian Gulf disruptions. The shortfall limits Indonesia’s ability to capitalize on record demand. Read →

Indonesia's exports fell to a five-year low this month after government quota cuts and low river levels hampered barging. Demand for Indonesian coal is rising as buyers in China, South Korea and Japan switch from natural gas amid higher prices linked to Middle East tensions. The supply squeeze supports Newcastle futures near two-year highs and Chinese prices at 2023 levels. Read →

India's power ministry directed 112 captive coal-fired plants of 50 MW+ to run at full capacity from October 1 to year-end under Section 11 emergency powers. Nearly 40% of coal plants hold critically low stocks amid El Niño-driven heat and weak hydro output. The order requires weekly reporting of generation, stocks and surplus sales on exchanges. Read →

Following the Trump-Xi summit, China agreed to buy at least 10 million metric tons of US coal annually in 2027 and 2028. The pledge revives a flow that exceeded 12 Mt in 2024 before tariffs curtailed it. It comes as Indonesian supply uncertainty and domestic Chinese output constraints create room for additional imports. Read →

Senior Indian power ministry officials said coal will generate about half of the country's electricity in 2035-36. India plans to expand coal-fired capacity from 224 GW to 315 GW by then to meet rising power demand alongside renewables growth. The outlook underscores thermal coal's role as baseload supply for the world's third-largest coal consumer. Read →

Soaring European natural gas prices are prompting utilities to increase coal-fired power generation. Analysts expect coal output to rise by about a quarter over the next six months as gas-fired generation falls. The shift supports thermal coal demand in the Atlantic market amid elevated gas costs. Read →

Explosives damaged Glencore’s Cerrejón railway near Uribia, Colombia on Sept 22, suspending rail operations while mine production continues. This marks the sixth infrastructure attack on the site in 2026. The 150 km line to Puerto Bolívar exports thermal coal, so the disruption risks tightening Atlantic basin supply and supporting API2 pricing. Read →

The May Shanxi mine accident keeps domestic coking coal output constrained through safety rules into 2027. Imports from Mongolia, Australia and Russia rise but fall short of closing the gap. Bloomberg Intelligence says this sustains strong seaborne demand and price support for metallurgical coal. Read →

Central Electricity Authority data show 74 of 190 thermal plants with stocks below 25% of requirements or under three days' cover as of Sep 19, up from 60 the prior week. Stocks fell to 22.9 million tonnes amid El Niño-driven power demand surge and monsoon logistics issues. Utilities ramp rail shipments while imports hit a 15-month high in August. Read →

Australian thermal coal futures slipped to $145/t from a three-month high of $149/t reached Sep 7. Higher Chinese output after central government orders offset earlier demand gains tied to Middle East gas-to-coal switching. IEA revised 2026 global demand up 1.2% to a record 8.94 billion tonnes. Read →

China's coking coal imports fell 4% month-on-month in August to 13.07 million tonnes, the second-highest monthly total on record and up 28.7% year-on-year. The decline follows a July peak amid mounting market uncertainty. Reduced seaborne metallurgical inflows tighten supply for steelmakers while domestic safety curbs and Mongolian rail flows reshape trade patterns. Read →

Newcastle thermal coal traded around $144-145 per tonne on September 21, near a three-month high. The IEA attributes the level to Middle East conflict-driven natural gas price spikes that favor coal switching for power generation. China also raised coal use in chemicals amid high oil prices, supporting the complex despite easing seaborne thermal demand forecasts. Read →

Central Electricity Authority data showed 74 plants with stocks below 25% of required levels or enough for under three days’ generation as of Sep 19, up from 60 the prior week. Peak power demand hovers at 230-250 GW amid El Niño heat. Imports hit a 15-month high in August as utilities turn to overseas coal. Read →

Premium hard coking coal holds near $235/t FOB Australia and low-vol material at $190-195/t amid heavy Queensland rainfall disrupting Bowen Basin mines and Dalrymple Bay loadings. Indian and Southeast Asian mills cover forward requirements while Chinese buying stays selective. Prices stabilise after an early-month rally with limited downside risk. Read →

China’s National Development and Reform Commission, National Energy Administration and National Mine Safety Administration issued a joint notice directing coal-producing regions and firms to accelerate steady output and reopen mines. Spot thermal coal prices have rallied to their highest level in nearly three years, pressuring Beijing after earlier import surges. The move aims to secure domestic supply and support economic growth as coal remains critical for power generation. Read →

Beijing has instructed local miners to maintain stable production rates following a sharp rise in spot thermal coal prices to three-year highs. Coal still accounts for 49.7% of China’s power generation in the first half of the year despite renewable growth. The price surge prompted a modest dip in August imports after strong prior gains, highlighting vulnerability to swings in the power fuel. Read →

Indian power producers imported 5.52 million tonnes of coal in August, up 85.6% year-on-year and the highest since May 2025. About 80% came from Indonesia as a heatwave and weaker hydropower output lifted electricity demand beyond domestic supply gains. Nearly one-third of coal-fired plants now hold critically low stocks, sustaining seaborne buying despite elevated international prices. Read →

New Hope Corp declared a 30 Australian cent final dividend, its largest in four years, despite FY net profit falling 63% to A$161 million. Shares rose over 4% to multi-year highs on expectations that tighter supply and higher realized prices will support returns. The company exceeded production guidance with saleable output up 7.6% as thermal coal markets tighten. Read →

The number of Indian thermal power plants with critical coal stocks rose to 66 on September 14 from 59 on September 9 per Central Electricity Authority data. Plant stocks fell 9% to 24.04 million tonnes, covering only about 7 days versus the 18-day normative requirement. Surging electricity demand from heat and weak hydro output is drawing down inventories despite higher dispatches. Read →

China Huaneng Group issued its 34th 2026 tender for imported thermal coal, seeking 12 cargoes totaling 786,000 tonnes mostly for October delivery to coastal plants. The move follows a pause last week and signals ongoing import needs amid domestic supply constraints from safety inspections. Read →

PT Bayan Resources and subsidiaries declared force majeure on supply obligations due to delays in 2026 mining quota approvals. The step constrains Indonesian thermal coal exports, a key global supply source, amid already tight seaborne markets. Read →

PT Bayan Resources and three subsidiaries declared force majeure on coal supply contracts after Indonesia failed to approve revised 2026 production quotas (RKAB). The company, one of Indonesia’s largest exporters, produced 68 Mt in 2025 and warned of material impact on business continuity. This adds immediate supply risk to seaborne thermal coal markets already supported by LNG-to-coal switching. Read →

The IEA’s Coal Mid-Year Update 2026 revises global coal demand up 1.2% to a record 8.94 billion tonnes, reversing an earlier expected decline. Higher natural gas prices from Middle East disruptions and strong El Niño cooling demand drive the shift toward coal in Europe, Japan, Korea and China. Production is forecast to fall slightly while trade volumes edge higher. Read →

EU carbon permit prices reached their highest level since January as utilities burn more coal amid high natural gas prices and depleted storage ahead of winter. Soaring LNG costs from the Iran conflict have improved coal’s competitiveness for power generation. The move increases demand for emission allowances and supports thermal coal demand in Europe. Read →

India's Coal Ministry said adequate coal reached Punjab IPPs like NPL and TSPL, with rake supplies exceeding recent consumption. It called on the state to evacuate 321,000 tonnes of stockpiled coal from PSPCL's Pachhwara Central mine to boost local generation. The statement counters reports of power shortages amid high summer demand. Read →

Premium hard coking coal held at $236.80/t FOB Australia but CFR China eased $1/t to $219/t on weaker import interest. Dalian futures fell over 5%, curbing seaborne buying. Indonesian met coke strengthened on a $255/t FOB trade, while Indian and Korean buyers supported US and Australian met coal volumes. Read →

The IEA report highlights how elevated natural gas prices and El Nino-driven cooling needs are pushing coal consumption higher than prior forecasts. Coal demand is now expected to reach a record this year, with potential for further increases in 2027 if LNG disruptions persist. The update reverses earlier expectations of a decline and underscores coal's role amid energy market volatility. Read →

South Africa's Transnet reported coal exports rose to 58.5 Mt in the latest period and targets 65 Mt delivered exports, supported by improving rail performance. CEO Michelle Phillips noted ongoing debt and cash constraints limit faster growth despite volume gains. Richards Bay Coal Terminal volumes are also tracking toward higher annual totals. Read →

The IEA's Coal Mid-Year Update revises global coal demand up 1.2% to a record 8.94 billion tonnes in 2026, reversing its prior slight-decline call. Higher natural gas prices from Strait of Hormuz LNG disruptions have boosted coal-fired generation in Europe, Japan, Korea and China beyond prior expectations. Production falls this year but stays above 9 billion tonnes, tightening the market balance and supporting seaborne prices. Read →

Over 90% of Mining and Energy Union members at Yancoal Australia's Premier mine backed protected industrial action including stoppages longer than 12 hours, with 93% support from the Australian Manufacturing Workers' Union. The thermal coal mine supplies Western Australian power generators and faces closure by 2030 amid the state's coal phase-out. Rising industrial disputes add supply risk to domestic thermal markets. Read →

Indian hot-rolled coil prices have already risen 4,000 rupees per tonne since August to a four-year high, with analysts forecasting another 3,500 rupees per tonne increase as post-monsoon infrastructure and auto demand tightens supply. Higher coking coal input costs are being passed through by mills. Rising met coal prices pressure margins for India's steel sector, a key driver of metallurgical coal demand. Read →

India increased coal rail loadings to power plants to 444 rakes on September 6 from 370 on September 3 after the number of plants with stocks below 25% of requirements or critically low rose to 58 by September 5 from 46 at end-August. Heavy monsoon rains disrupted mining and transport in key states like Odisha, Jharkhand and Chhattisgarh. Coal supplies about three-quarters of India's power, so the surge in dispatches from Coal India and private mines aims to prevent generation shortfalls. Read →

China imported 42.09 million tonnes of coal in August, down 1.51% from 42.74 million tonnes a year earlier and 1.49% month-on-month, per General Administration of Customs data released September 8. The decline comes as record-high domestic and import prices curb buying appetite despite earlier supply constraints from safety inspections. This signals easing import demand as domestic output recovers in major mining regions. Read →

Coal stocks at Indian thermal power plants fell 29% to 27.14 million tonnes by Sep 4 from 38 mt end-July, with critical-stock plants rising to 57 from 51 in five days. Monsoon rains in Odisha, Jharkhand and Chhattisgarh disrupted mining and transport while power demand stayed high. Coal India is allowing extra lifting beyond contracted volumes to avert shortages. Read →