Having come back to the market after the New Year's Holidays, Russian metallurgical coal suppliers have resumed active sales in the export markets. Given the ongoing active discussions regarding China's resumption of purchases of Australian coking coal, global traders expect Russian coal producers to be highly keen to sell their material. “I believe the Russians will be rushing to sell cargoes before competition increases”, a Singapore-based trader commented with regard to the recent developments. However, some Russian coking coal producers appear to have faced serious challenges when shipping material, caused by congestion at sea ports and railways. “There are no new offers from Kolmar yet. They are hugely delayed,” an international trader stated. “It seems, that they [Kolmar] have apparently certain difficulties. I have not heard any fresh offers from them,” another Singapore-based trader commented with regard to the company in question.
Meanwhile, SteelOrbis has confirmed the details of the deals mentioned in yesterday's report. Specifically, a Russian mining company Stroyservis has sold 75,000 mt and 40,000 mt cargoes of low-volatility pulverized coal injection (PCI) to China at $240/mt CFR, with January 15-30 laycan and at $242/mt CFR, with January 20-30 laycan, respectively. The material is destined to be shipped from ports in Russia’s Far East region, namely Vladivostok and Vanino. Concurrently, the company has managed to book 40,000 mt of PCI to Malaysia at $245/mt CFR, with February 10-16 laycan.
The prices in the deals in question are almost in line with the prices achieved by another Russian mining company, Mechel, in its recent tender. As SteelOrbis has reported earlier, its tender for 21,000 mt of PCI was closed at $242.5/mt CFR China.