<article><p class="lead">Australia's Newcastle Coal Infrastructure Group (NCIG) has suspended ship loading for the next two weeks, after a structural assessment showed that immediate work was necessary to repair its operational shiploader.</p><p>A "deformation of [the] mast structure" of shiploader 1 was identified, according to an NCIG letter to its clients, forcing a halt to shiploading activities as of 11:00 Newcastle time.</p><p>The incident comes several months after NCIG's other shiploader was <a href="https://direct.argusmedia.com/newsandanalysis/article/2187019">taken off line</a> in November because of storm-related damage. That shiploader is expected to return to service in October-December this year, with the latest work having "no impact" on its recovery, NCIG said.</p><p>Loading schedules are likely to be delayed or reshuffled because of the latest disruption, market participants said. The previous incident caused spot prices to rise because of reduced shipments. </p><p>As of 10:30 London time, Newcastle April 2021 coal futures traded through the Ice exchange had risen to $94/t, from $90/t yesterday. <i>Argus</i>' weekly Australian NAR 5,500 kcal/kg high-ash coal assessment fell by 52¢/t on the week to $55.09/t fob Newcastle today, as high freight rates dampened demand.</p><p>NCIG loaded vessels with a combined capacity of 1.7mn deadweight tonnes (dwt) on 1-15 March, compared with 2.4mn dwt a year earlier. Fellow Newcastle operator Port Waratah Coal Services has loaded ships with a combined capacity of 5mn dwt in the first half of March this year, down from almost 6mn dwt a year earlier.</p><p>Some 32.3mn dwt of thermal and coking coal was loaded onto ships in January and February this year, up from 29.8mn dwt a year earlier, according to shipping data collated by <i>Argus</i>.</p><p class="bylines">By Kelvin Leong, Kevin Foster and Saleem Rizvi</p></article>
