Coal Prices Surge; Bumi Resources Optimistic about Debt Payoff
Translator
Editor
24 March 2021 22:03 WIB
TEMPO.CO, Jakarta - Indonesian coal mining firm Bumi Resources is confident that it could pay off its debts this year following a performance growth in 2021 due to surging coal prices
Citing Bisnis.com, Bumi Resources secretary and director Dileep Srivastava said the coal market is currently entering its recovery phase after demands and supply of the commodity during the Covid-19 pandemic suffered a great ordeal last year.
This is evident in the striking increase of demands and its value that reached $100 per ton in the past trades.
On Tuesday, March 23, Bloomberg noted that ICE Newcastle coal for April 2021 was at $94.6 per ton, which is a 3.86 percent drop. Throughout 2021, the current price of coal was up by 16.57 percent. He believed coal prices have rocketed due to supply pressure caused by the flood in one of the world’s largest steel producers in Australia.
Srivastava said the firm will maximize production and sales of coal this year and make use of the increasing prices to boost this year’s performance.
“And due to this reason, we are optimistic that we will be able to significantly pay off our debts this year,” said the Bumi Resources Director to Bisnis.com.
Read: Pertamina Signs Coal Gasification Cooperation with INDY, Others
BISNIS
