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Indonesian September coal exports down 31% y-o-y

Indonesia saw its coal exports fall 31% year on year to 24 million tonnes in September, the latest data showed.

Over January-September, the country exported a total 235 million tonnes of coal, falling 19.8% year on year.

Falling coal prices and sluggish demand from major importer China have driven many miners of Indonesia to cut output and even withdraw from the market.

During the first three quarters of the year, the country produced 308 million tonnes of coal, down 14.4% year on year, with September output down 8% on year to 45 million tonnes.

The Ministry of Energy and Mineral Resources has adjusted the country’s annual output target for many times, finalizing at 425 million tonnes, compared with the 460 million tonnes target set at the start of the year.

The country has completed 72.5% of the annual target by end-September.

In early-August, the government started to levy coal export tariffs, resulting in a rise at production cost and losses at enterprises.

Sources said many medium and large mines at eastern Kalimantan were closed, with large miners starting to withdraw capital.

85% mines at Jambi were forced to suspend operation. The province mainly produces 3,800 Kcal/kg NAR thermal coals, mainly exporting to China, Japan and India. The province could produce 8.5 million tonnes of coal each year.

Over January-October, Jambi’ coal output plunged 65% on year to 2.8 million tonnes.

source: http://en.sxcoal.com