Asian benchmark coal prices may rise 5.1 percent next quarter as the biggest importer Japan rebuilds ports and cities devastated by the March earthquake and tsunami, increasing demand for the fuel, Standard Chartered Plc said.
Coal shipped from Newcastle, Australia averaged $120.85 a metric ton in the week to May 6, according to data from Petersfield, England-based researcher IHS McCloskey. That’s a 12 percent rise over the past 12 months. Prices may average $124 this quarter and $127 in the third, Raymond Chan, an analyst with Standard Chartered in Singapore, forecast in a report today.
“Japanese utilities have been asking J-Power to provide more coal for summer demand,” Chan said. “As the rebuilding program progresses, this should eventually support demand and therefore Pacific coal prices.”
The March 11 earthquake and tsunami crippled power plants and caused the worst nuclear disaster, since the Chernobyl accident 25 years earlier, at Tokyo Electric Power Co.’s Fukushima Dai-Ichi facility.
Japanese Prime Minister Naoto Kan said today he will reconsider a plan to increase the country’s dependence on nuclear energy.
“We should start from scratch,” Kan said at a press conference in Tokyo. “We will need to make nuclear energy safer and more strongly promote renewable energy.”
Electric Power Development Co., also known as J-Power, is Japan’s biggest power wholesaler.
Rabu, 11 Mei 2011
Coal Price to Rise as Japan Rebuilds, Standard Chartered Says - Bloomberg
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