Indonesia Talks on Coal Exports Postponed as Scores of Ships in Limbo

SECURING SUPPLIES

Separately, State-Owned Enterprise (SOE) Minister Erick Thohir said late Tuesday his ministry, along with the energy ministry, planned to hold talks with state power company Perusahaan Listrik Negara (PLN) to review their coal supplies.

"We will clearly map out the condition in each coal power plant, so later on we won't find any more problems," Erick said.

The meeting with PLN might take place on Wednesday evening followed by talks between the energy ministry and miners, an official at the Energy and Mineral Resources Ministry said.

The utility said as of Wednesday it has secured contracts for 13.9 million tonnes coal, but needed more to reach safe stock levels.

During the impasse over exports, around 100 vessels either loading or waiting to load a total of around 5.9 million tonnes of coal have amassed near Indonesia's main coal ports off Kalimantan, Refinitiv data shows. This includes around 25 vessels waiting off the port of Samarinda and 27 off Taboneo.

"We have not seen any shipments .. loaded after 31st December," said a trader in India's Western Gujarat state.

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Meanwhile, Indonesia's Tangguh and Bontang gas plants are committed to selling 58 cargoes of liquefied natural gas (LNG) to PLN in 2022, regulator SKK MIgas said on Wednesday.

Indonesian President Joko Widodo this week called on LNG producers and coal miners to prioritise domestic needs.

State coal miner PT Bukit Asam said on Wednesday ICMA and the trade ministry had submitted to the energy ministry names of companies that had fulfilled their domestic market obligations (DMO) "in which it is proposed to lift the export ban for such companies."

Those obligations require miners to sell 25% of their output to local power plants at a maximum price of $70 per tonne.