Indonesia’s Ministry of Energy and Mineral Resources (ESDM) has set its September Coal Reference price, also known as Harga Batu Bara Acuan, at USD 63.93 per tonne for direct sales on the boat (Free on Board or FOB), up 9.5% from August amounted to USD 58.37 per tonne. For a while, this is the highest price throughout 2016.
Deputy Director of the Indonesian Coal Mining Association (ICMA) Hendra Sinadia, as quoted by Berita Satu, said the coal price increase in September, indicating the revival of the coal sector.
"This rise in optimism the recovery of the coal sector," Hendra said in Jakarta, Monday (05/09/2016).
Hendra said soaring coal prices this time caused by a decline in coal production in China and in several countries. "The price increase was largely driven by a decline in production in producer countries," he said.
It also expressed by Waskito Tanuwijoyo, one practitioner coal, as quoted by tambang.co.id. He said the increase was influenced HBA Chinese government policies that cover part of the mine, because the location of the mine with the wearer too far. Therefore, the cost of procurement of imported coal is cheaper, so there is an increase in imports.
Waskito which has been much trade with buyers from India said, demand from India is also likely to increase as some of the power plant is built, so the demand for coal has also increased.
