Following quite a long absence of any trading due to the offer-bid mismatch and the continuing uncertainty towards future developments, by the end of the current week a few ex-Australia coking coal deals have come to light. However, in order to secure orders, the suppliers have been forced to accept lower prices compared to their initial target levels.
Accordingly, on June 17, a cargo for 75,000 mt of ex-Australia mid-volatility premium coking coal (HCCA), for July laycan was booked at $375/mt FOB, down from the $382/mt FOB level targeted by the supplier earlier. Meanwhile, on June 15, a 40,000 mt cargo of HCCA, for July 6-20 laycan, was traded at $372/mt FOB, SteelOrbis has learned. Notwithstanding some gain in deal prices, the positions of Australia-based coking coal suppliers have remained very shaky. Weak downstream demand in India coupled with suppressed market sentiments in China may exert further negative pressure.