Prices for ex-Australia premium hard coking coal (PHCC) have inched down in the latest deal as demand weakness has been more visible than the previously seen limitations on shipments caused by weather conditions.
A deal for 75,000 mt of mid-volatile Goonyella PHCC was done at $188.5/mt FOB for end of March- early April laycan, down by $2/mt from the previous contract. The material has been purchased by a trader for the Indian market, sources have said, though overall demand even in India for high quality coal is reduced at the moment. Moreover, a bid for 40,000 mt of low-volatile Peak Downs PHCC was reported at $172/mt FOB on GlobalCoal. The almost full halt of negotiations by Chinese mills for expensive Australia PHCC has resulted in low bids.
In fact, the tradable level in China’s import market for PHCC has been assessed at $175/mt CFR, versus $182/mt CFR last week.
