Indonesia Coal Shipping: Kalimantan, Ships and Buyers
Indonesia is one of the largest exporters of thermal coal in the world. Most of it is loaded in Kalimantan and Sumatra and goes by sea to China, India and other countries in Asia.
Where the coal is loaded
Coal is loaded in the east and south of Kalimantan, on the rivers and at the coast near places such as Balikpapan, Samarinda and Banjarmasin, and in southern Sumatra. Many mines are far inland, so the coal travels first by road or by river barge to the loading point. Some terminals have a deep berth, but a large part of the cargo is loaded in the roads from barges.
Barges and floating cranes
In many loading areas the ocean ship anchors off the coast and the coal is brought by barge. A floating crane or the ship's own cranes then load it. Loading is therefore slower than at a rail-fed terminal and depends on barge supply, tides and weather. This matters for the laytime terms and for the loading rate you ask for in the charter.
Ships used
Supramax and Handysize ships with their own cranes are common because many loading points have a limited draft and need gear. Larger cargoes go on Panamax ships where the depth allows, and some are topped up at an anchorage. The ship operator should check the draft limit and the loading method before it offers a ship.
Buyers and routes
The main buyers are China and India, followed by other countries in South and Southeast Asia, such as the Philippines, Vietnam, Malaysia and Thailand, and Japan and Korea for some grades. Voyages are short compared with other long coal trades, so ships are often fixed again quickly and the market follows the demand of the buying countries closely.
Season and weather
The rainy season, roughly from the end of the year into the first months of the next, can slow mining, road and river transport and loading. A charterer should leave room in the laycan in these months. Dry months usually allow smoother loading, but low rivers can also limit the barges.
Quality and what to write in your request
Indonesian coal is sold by its energy content, its moisture, its ash and its sulphur, which differ widely by grade. An independent inspector samples the cargo at loading. In your request write the grade and the quantity with a tolerance, the loading point and the loading method, the discharging port and its draft, the laycan and the terms for loading and discharging. See the guide on how to charter a ship.
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