Chaos at Indonesian ports disrupts coal shipping

2017-02-10 09:11:00 Ports,  International,  Ocean-carriage sxcoal.com

Road blockages and bad weather in Kalimantan on the Indonesian side of Borneo island are being blamed for a disruption of coal supplies from one of the world's most important export regions, Reuters reported on February 8.


Coal hauling roads were closed by the South Kalimantan government in three locations, leaving "thousands" unable to work, local media reported, citing statements from authorities.


Reuters reported the delays have affected coal ports near Samarinda in the province of East Kalimantan and Taboneo, near the capital of South Kalimantan, Banjarmasin.


Shipping data in Thomson Reuters Eikon and port loading schedules seen by Reuters show over 130 ships are currently offshore Kalimantan waiting to take on coal, some since late December.


According to a marine logistics executive in Jakarta speaking on the condition of anonymity, local authorities are delaying shipping and export licenses, and that is what is causing delays.


The executive, with operations in South Kalimantan, said the long delays in the region could start to see vessel cancellations or movement of ships to other areas in Indonesia to clear some of the many vessels waiting for cargo.


Shipping data in Eikon shows that around 30 large ships are currently waiting to load coal at Taboneo, with several waiting for about six weeks.


In East Kalimantan, there have been delays caused by bad weather, preventing barges from transferring coal on to larger ships for export.


A large number of miners export coal from Kalimantan, including small local firms and large international corporations.


It was unclear which firms have been affected by the disruptions, although Indonesian coal majors Bumi Resources, Adaro Energy, and Bayan Resources said they had so far not been impacted.


(Writing by Evie Feng   Editing by Harry Huo)
For any questions, please contact us by inqury@fwenergy.com or +86-351-7219322.

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