Hard coking coal shipments from Australia climbed to an 11-month high in May, on the back of firm demand and higher availability.
Australian hard coking coal exports stood at 9.49mn t in May, up by 1.8pc from the previous year and jumping by 12pc from a month earlier, according to trade data published by the Australian Bureau of Statistics (ABS) and supplied by GTT.
Queensland coal shipments rallied to a near two-year high in May, with largest Australian supplier BHP Mitsubishi Alliance (BMA) ramping up output to secure the low end of its 58mn-64mn t production target before the financial year close on 30 June. Coking coal exports from Australia are expected to pick up momentum and increase to an estimated 175mn t in the 2024-25 fiscal year, according to the Office of the Chief Economist (OCE).
India remained the top buyer of hard coking coal with a 34pc share of overall exports. Shipments to the country trended up to a 16-month high of 3.25mn t because of higher availability and firm demand ahead of the monsoon season.
Steady price corrections kept first-tier coking coal prices under $300/t fob Australia since April, supporting buying interest from countries like China, Japan, Vietnam and Malaysia.
The Argus premium low-volatile hard coking coal price averaged $231.98/t fob Australia in May, down by 14pc from April's average and declining by 54pc on the year.
The Argus-assessed Australian premium low-volatile hard coking coal price was $230/t fob Australia on 6 July.
The average revenue for Australian hard coking coal was $200.02/t in May, down by 12pc from April and falling by 54pc against the previous year. Prices were based on the ABS May Australian-US dollar exchange rate of 0.6651, which declined by 0.7pc from April.
Semi-soft and pulverised coal injection (PCI) grade shipments trended up, rising by 1.6pc on the year to 4.42mn t and increasing by 9pc compared to the previous month because of higher exports to Japan, Taiwan, and Vietnam. The average revenue for Australian semi-soft coking coal was $232.54/t in May, decreasing by 36pc on the year and falling by 3pc against a month earlier.
The Argus-assessed PCI price averaged $201.36/t in May, down by 17pc on the month and declining by 57pc against a year earlier. The Argus low-volatile PCI price stood at $183.80/t fob Australia on 7 July.
| Australia coking coal exports | (mn t) | ||||
| Destination | May-23 | % ± vs Apr | % ± vs May '22 | Jan-May | ± % Jan-May 2022 |
| Hard coking coal | |||||
| China | 0.42 | 81.12 | N/A | 1.15 | N/A |
| Japan | 1.86 | 15.62 | 15.93 | 7.64 | -1.23 |
| South Korea | 0.79 | -2.51 | -30.59 | 4.26 | -11.82 |
| Taiwan | 0.30 | -18.33 | -27.47 | 1.96 | -12.49 |
| India | 3.25 | 20.94 | 0.33 | 13.22 | -12.88 |
| Vietnam | 0.71 | 63.22 | 10.99 | 2.49 | -0.16 |
| Total | 9.49 | 12.11 | 1.77 | 41.17 | -5.99 |
| Semi-soft and PCI coking coal | |||||
| Japan | 1.75 | 59.88 | -9.26 | 7.14 | -9.92 |
| South Korea | 0.44 | -61.38 | -57.78 | 3.70 | -16.71 |
| Taiwan | 0.44 | 31.85 | -2.21 | 1.52 | -7.69 |
| India | 0.71 | -17.02 | 33.93 | 3.70 | -17.72 |
| Vietnam | 0.16 | 121.12 | 33.20 | 0.52 | -50.85 |
| Total | 4.42 | 8.98 | 1.61 | 19.77 | -8.37 |
| Source: ABS, GTT | |||||
| Total includes all destinations not just those listed | |||||
