ARA coal stocks down to new two-year low
OREANDA-NEWS. Inventories at the four main Amsterdam-Rotterdam-Antwerp (ARA) coal terminals fell as utilities restocked following higher coal-burn in Germany last week.
ARA stocks of 3.82mn t today are down by 114,000t from last week. Total inventories at the four terminals remained below 4mn t for a second consecutive week and are at their lowest since early March 2014.
Falling stocks at Amsterdam's largest terminal, OBA, and at Ovet led the declines. Stocks at OBA fell by 100,000t to 1.4mn t, while Ovet inventories decreased to 472,000t — down by 14,000t from the previous week.
Rotterdam's EMO registered no change in its inventories of 1.5mn t, after receiving two Capesize cargoes from Colombia last week. The port expects around 377,600t of thermal coal in its arrivals programme this week — including one Capesize and one Panamax cargo from Colombia, as well as one post-Panamax cargo from the US.
EBS stockpiles were unchanged at 450,000t. But the scheduled arrival of more thermal coal-carrying vessels next month could offer support to inventories, port operators said.
Shipments from the terminals have gained in the past week, following a 23pc increase in German coal-fired power generation to 2.33TWh on 13-19 February — its highest in four weeks, according to data from energy research group Fraunhofer Ise. Coal-fired generation represented nearly 22pc of Germany's 10.66TWh power output last week, although electricity production fell by 868TWh or about 8pc compared with the previous week.
German power plants are probably restocking inventories in preparation for below freezing temperature forecasts and weaker wind generation later this week. Average temperatures in Cologne are forecast to dip below -2°C on 25-26 February, according to forecaster Speedwell Weather. Wind turbine load factors on those days are forecast at around 13-18pc — below the 25pc load factor that is considered robust wind power generation.
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