Sydney: Recent violent storms are adding to the woes of Australian coal exporters already contending with serious port congestion and the longest vessel queues for months. And there could be serious repercussions for Asian customers as further delays hit the supply chain. Coal producer Coal & Allied Industries Ltd declared force majeure on a number of sales contracts earlier today, blaming recent severe storms which have hit the Hunter region of New South Wales, some 160km north of Sydney. The move comes just a day after BHP Billiton declared force majeure on supplies from its Mt Arthur mine. Coal & Allied operates three mines in the region.
According to the Hunter Valley Coal Chain Logistics Team (HVCCLT), some train services could re-start today but others will not begin before Friday. This will place further delays on export terminals, already struggling to meet record demand against a backdrop of serious infrastructure constraints. There are currently 63 bulk carriers waiting to load at Newcastle, according to HVCCLT figures, and the number is expected to remain above 60 for at least the balance of this month. [14/06/07]
Copyright © 2023. All rights reserved. Seatrade, a trading name of Informa Markets (UK) Limited.
