Prices for Australian premium hard coking coal (PHCC) have remained supported this week as bids have been gradually improving and suppliers have been targeting higher prices as well. An offer for 75,000 mt of Goonyella mid-volatile PHCC has been made at $255/mt FOB for mid-June shipment, while another offer for Branded PHCC was at $250/mt FOB, also for June. At the same time, a firm bid for 75,000 mt of Goonyella PHCC reached $240/mt FOB, up by $2-4/mt from bids seen in the middle of the week.
As a result, the daily Australian PHCC price has settled at $247.5/mt FOB, adding $4.7/mt, but the price level has the potential to move up further when new deals are done.
The Australian premium hard coking coal market has been showing some tightness due to logistical bottlenecks and delays in shipments mainly after the weather-related issues in the first quarter, but also because of production issues at key mining hubs like Centurion coking coal mine, where the production target was cut by 1 million mt to 2.5 million mt in 2026. This mine is a supplier of the popular Goonyella PHCC.
Market sources are waiting for new deals to be signed in order to understand how high prices may rise. However, the Indian market is rather weak at present due to declines in finished steel prices and the depreciation of the rupee. “I don’t believe in $250/mt FOB as a market price as Indian will not support it,” a trader said.
