Jakarta suspends mining permits for errant companies

Spanish Market: Coal
10/02/22

Indonesia's energy ministry (ESDM) has temporarily suspended the operations of over 1,000 companies involved in coal and mineral mining who have failed to submit their 2022 Work Plan and Budget (RKAB) plans.

Most of the mines are small and have combined output of around 4.5mn-5.3mn t, the ESDM estimates. The ban was implemented on 7 February and will run until 7 March.

The RKAB serves as mining companies proposed operational target for the year. They are then used by the government to map out the national target for the year. The ESDM requires all mining companies to submit RKABs for government approval, with each company given a production quota. This system is meant to monitor and maximise the country's mineable reserves.

Companies that failed to submit their RKABs will be prohibited from carrying out construction, mining, processing and refining activities, as well as transportation and sales, including further exploration activities before their annual RKAB is approved.

The companies will be given 60 days to submit their work plans to the ESDM for approval. The ESDM will revoke the company's mining permit if it fails to submit the documents within the period.

By Antonio delos Reyes

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18/06/25

Banks increased fossil fuel financing in 2024: Report

London, 18 June (Argus) — Banks "significantly increased" their fossil fuel financing in 2024, reversing a trend of steadily declining fossil fuel financing since 2021, a report from a group of non-profit organisations found this week. The 65 biggest banks globally committed $869bn in 2024 to "companies conducting business in fossil fuels", the report — Banking on Climate Chaos — found. Those banks committed $429bn last year to companies expanding fossil fuel production and infrastructure. The report assesses lending and underwriting in 2024 from the world's top 65 banks to more than 2,700 fossil fuel companies. Figures are not directly comparable year-on-year, as the previous report, which assessed 2023, covered financing from 60 banks. The 60 biggest banks globally committed $705bn in 2023 to companies with fossil fuel business, last year's report found. Those banks committed $347bn in 2023 to companies with fossil fuel expansion plans. Of the five banks providing the most fossil fuel finance in 2024, four were US banks — JP Morgan Chase, Bank of America, Citigroup and Wells Fargo. The 65 banks assessed in this year's report have committed $7.9 trillion in fossil fuel financing since 2016, when the Paris climate agreement took effect, the report found. Finance is at the core of climate negotiations like UN Cop summits. Developed countries are typically called upon at such events to provide more public climate finance to developing nations, but the focus is also shifting to private finance, as overseas development finance looks set to drop . But fossil fuel financing banks are increasingly facing the risk of targeted and more complex climate-related litigation, according to a recent report by the London School of Economics' centre for economic transition expertise (Cetex). Climate litigation is not currently adequately accounted for in financial risk assessment, with case filing and decisions negatively impacting carbon financiers, it said. "While early climate cases primarily targeted governments and big-emitting ‘carbon majors', cases against other firms have proliferated quickly," Cetex said. The report also showed that, based on a review of disclosures from 20 banks supervised by the European Central Bank, many banks across Europe recognise litigation risks as material in the context of climate and environmental factors but tend to not be specific about the risks incurred. By Georgia Gratton and Caroline Varin Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

EPA seeks end to power plant CO2, mercury rules

11/06/25

EPA seeks end to power plant CO2, mercury rules

Washington, 11 June (Argus) — The US Environmental Protection Agency (EPA) on Wednesday proposed the repeal of CO2 and mercury emissions standards for power plants, its latest steps in an effort to undo many of the regulations enacted by President Donald Trump's predecessors The agency said the repeals will help bring about an end to the "war on much of our domestic energy supply" waged by previous administrations, while saving consumers money "We have chosen to both protect the environment and grow the economy," EPA administrator Lee Zeldin said. "There was this false binary choice made before we got here." Together, the repeals would save more than $1bn/yr for American families, Zeldin said. The standards, finalized last year by EPA during the administration of former president Joe Biden, cover CO2 emissions from existing and new coal-fired power plants and new natural gas-fired units, as well as mercury emissions from coal- and oil-fired power plants. At the time, EPA said the CO2 rules will lead to a 90pc reduction in emissions from coal-fired power plants, while it tightened the Mercury and Air Toxics Standards (MATS) for coal- and oil-fired units by 67pc and included new emissions-monitoring requirements. In addition, the MATS for lignite-fired units were tightened by 70pc to put them in line with the standards for other coal plants. The CO2 rule includes standards for new coal and gas units and guidance for existing coal-fired power plants, the latter of which vary by unit type, size and other factors such as whether a power plant provides baseload or backup power. It does not include standards for existing gas-fired generators, which EPA had proposed in 2023 but last year decided to scrap in favor of a "new, comprehensive approach". While the CO2 regulation would be fully repealed, Zeldin said the agency is proposing to only undo last year's "gratuitous" changes to MATS, such as the new lignite standards. "If finalized no power plant will be allowed to emit more than they do now or as much as they did one or two years ago," he said. In addition to repealing the two Biden regulations, EPA is proposing to undo the Clean Power Plan, developed by the agency during the administration of former president Barack Obama. It would do this in part by reversing a previous agency determination that it could regulate greenhouse gas (GHG) emissions from power plants, and by also finding that those emissions "do not contribute significantly to dangerous air pollution." The Clean Power Plan has never been enforced, and the US Supreme Court in 2022 ruled the agency lacked the authority to regulate CO2 emissions from power plants in the way envisioned by that approach. Unlike during Trump's first term, when EPA first sought to repeal the Clean Power Plan, the agency this time around is not proposing any replacement. The previous replacement rule was struck down by the US District of Columbia Circuit Court of Appeals in 2021. The lack of a new rule could make EPA more vulnerable to legal challenges, which are all but certain to be filed by environmental groups and some states. "This administration is transparently trading American lives for campaign dollars and the support of fossil fuel companies, and Americans ought to be disgusted and outraged that their government has launched an assault on our health and our future," Sierra Club climate policy director Patrick Drupp said. Zeldin said he was not concerned about any potential litigation. "I would say with great enthusiasm and excitement for the future, I know we are absolutely going down the right path," he said. Coal and electric sector groups cheered EPA's proposal. "Today's announcement nullifies two of EPA's most consequential air rules, removing deliberately unattainable standards and leveling the playing field for reliable power sources, instead of stacking the deck against them," National Mining Association president Rich Nolan said. EPA in March included the CO2 and mercury rules among 31 Obama and Biden-era regulations and actions it planned to review and potentially repeal. Since then, the White House has identified more than 60 fossil fuel-fired power plants that will have two extra years to comply with the more-stringent MATS, giving them a reprieve while EPA works to formally repeal the regulations. The March announcement also included a reconsideration of the 2009 endangerment finding for GHG emissions, which underpins all of the major climate regulations EPA issued in recent years. "I don't have anything to announce today as it relates to any proposed rulemaking that may be to come on that topic," Zeldin said. EPA will open a 45-day public comment period on each proposed repeal once they are published in the Federal Register . By Michael Ball Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

Vietnam's coal imports hit 23-month high in May

11/06/25

Vietnam's coal imports hit 23-month high in May

Singapore, 11 June (Argus) — Vietnam's coal imports in May rose on the year to the highest level in 23 months, supported by restocking by utilities to cater for an increase in power demand in northern parts of the country. Seaborne receipts reached 7.2mn t in May, up from about 6.5mn t a year earlier and 7.16mn t in April , according to customs data. This marks the highest level since the 7.21mn t of coal imported in June 2023. Imports reached 31.64mn t in January-May, up from 27.06mn t a year earlier, Vietnamese customs data show. The data do not differentiate between coking and thermal coal. Receipts rose in May on restocking by utilities and steady industrial coal consumption in line with the economic activity in the country. The country's industrial output grew by 9.4pc in May from a year earlier, according to Vietnam's General Statistics Office (GSO), supporting its economic growth outlook. The utility restocking comes as hot weather peaks in June in northern Vietnam, which could buoy power demand and prompt utilities to boost coal-fired generation. This could support imports as power plants could continue to restock imported cargoes given that seaborne prices are at multi-year lows. Argus assessed the GAR 4,200 kcal/kg coal market for geared Supramaxes at $42.41/t fob Kalimantan on 6 June, the lowest since 26 March, 2021, when it was marked at $39.37/t. The country's overall generation last month stood at 28.62TWh , edging higher from 28.09TWh a year earlier, and 26.85TWh in April, data from state-owned utility EVN show. Coal-fired power accounted for the bulk of the generation last month at 15.8TWh, although this was down from 17.08TWh a year earlier and 16.09TWh in April. Hydropower output rose to 7.65TWh, up by 64pc from a year earlier, and also rising from an estimated 4.7TWh in April. EVN has asked all its units and plants to ensure stable supply of electricity, it said, and it will also ask local authorities to implement measures to save electricity to help manage loads on the grid. Indonesian coal accounted for the bulk of Vietnam's imports at 2.9mn t in in May, little changed from a year earlier and from April, the customs data show. Imports from Australia rose to 2.38mn t in May, up from 1.18mn t a year earlier, and from 2.23mn t in April. By Saurabh Chaturvedi Vietnam coal imports mn t Vietnam coal import trend mn t Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

Australian coal supply hit by rain-related disruptions

10/06/25

Australian coal supply hit by rain-related disruptions

Singapore, 10 June (Argus) — Rain-related disruptions at Australia's Newcastle port — a major loading terminal for thermal coal in the country — and connecting rail networks have curtailed the availability of spot high-calorific value (CV) coal cargoes. Logistical challenges at the port and coal hauling railway lines following heavy rains and flooding since late May have exacerbated uncertainty in the seaborne market, with scarce availability of prompt June-loading and July-loading cargoes. The supply-side interruption comes at a time when demand for high-CV Australian NAR 6,000 kcal/kg coal is showing signs of picking up, although interest from China, the world's biggest coal importer, is still limited given the surplus of domestic coal. The uptick in Japanese demand and supply tightness has supported prices. Argus assessed the NAR 6,000 kcal/kg coal market at $101.80 fob Newcastle on 6 June, up by 42¢/t on the week. The assessed price has also recovered from its year-to-date low of $91.71 on 25 April. The premium of NAR 6,000 kcal/kg coal over NAR 5,500 kcal/kg is at $36.72/t fob Newcastle on 6 June, the highest since 3 January, when it was $41.07/t fob Newcastle. Shifting trade flows Vessel queues at Newcastle port was over 100/d on 6 June, according to market participants. Coal producers operating at Newcastle are facing delays of up to 10 days at Port Waratah Coal Services (PWCS) terminals and about 20 days at Newcastle Coal Infrastructure (NCIG) terminals. The delays may also lead to additional demurrage costs for producers, although at least one producer announced force majeure to cover the obligations. Several Australian coal producers said they are out of spot cargoes for June-July, while offers for August are also scarce. This comes as some Japanese buyers requested for July-loading cargoes but could not find any firm offers because of delays and a backlog of shipments at Newcastle, prompting them to enquire for cargoes in other regions such as China . Some traders may be holding Australian high-CV coal at China's Yantai West port, according to market participants. China does not consume high-CV NAR 6,000 kcal/kg coal, which is usually procured by Japanese utilities, and these stocks are likely held by Japanese trading houses, according to market participants. Cargoes of NAR 6,000 at this port were heard to be offered at $130-140/t cfr Japan, according to one Australian producer. But Argus could not independently verify the details of these offers. A Japanese utility likely purchased as many as two 28,000-36,000t cargoes of thermal coal from the Yantai West port in May, according to data from analytics firm Kpler. The data does not show any vessel movement from Yantai West port to Japan so far this month. Japan's power demand has been gradually increasing as temperatures have risen after the end of spring in late May. The country's power demand averaged 86GW in the week to 8 June, increasing by 4pc from a week earlier, according to nationwide transmission system operator the Organisation for Cross-regional Co-ordination of Transmission Operators. Some Japanese utilities are also restarting coal-fired power plants after conducting seasonal maintenance during the spring season. By Nadhir Mokhtar Australian coal premiums on NAR 6000 basis against NAR 5500 $/t Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

Coronado eyes Australian financing deal: Correction

10/06/25

Coronado eyes Australian financing deal: Correction

Corrects financing deal total in first paragraph to $150mn from A$150mn Sydney, 10 June (Argus) — US-Australian coal producer Coronado is holding talks with Australian state-owned electricity generator Stanwell for the latter to provide $150mn in exchange for thermal coal supply, supporting Coronado's cash-strapped coking coal business. The negotiations are incomplete and confidential, Coronado told investors on 5 June. There is no guarantee that the two groups will reach an agreement, it added. Coronado supplies 3mn t/yr of thermal coal to the 1460MW Stanwell Power Station, under a deal that is scheduled to end in the 2026-27 financial year (July-June). Coronado's Curragh mine in Queensland mostly produces coking coal but it also produces some thermal coal. The firm's saleable production fell by 3.6pc in 2024, although sales still increased year on year. Coronado exported 10.2mn t of hard coking coal from Curragh in 2024, up from 9.9mn t in 2023. But the company is facing cash availability difficulties, because of a fall in coking coal prices. Argus ' metallurgical coal premium hard low-volatile fob Australia price fell to $186.70/t on 5 June from $256.15/t on 7 June 2024. US credit ratings agency Fitch downgraded Coronado's credit rating from a B to a CCC+ on 14 May, because of expectations that its cash position will weaken without additional funding. But Coronado's cash position could improve soon, despite continued price weakness. The company started talks with Queensland's state government about possible mineral royalty relief in the first quarter, it told investors on 30 April. It also secured a A$150mn ($98mn) loan facility from lenders on 4 June, backed by coal inventories. By Avinash Govind Argus’ metallurgical coal premium hard low-vol fob Australia $/t Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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