The Indonesian Energy and Mineral Resources Ministry has set the country's coal reference price known as coal benchmark price (HBA) at $65.79/t for September, which hit a three-year's low since September 2016, spokesman of the ministry Agung Pribadi said on September 9.
The HBA dropped down from $72.67/t for August, the spokesman said.
Global economic uncertainty amid weakening demand from Europe has eroded exports of one of Indonesia's major exported products, Agung said.
From January to September, the spokesman said, the average of Indonesia's coal reference price touched $81.92/t, media reported.
The HBA price for thermal coal is the basis for determining the prices of 77 Indonesian coal products and calculating the royalty producers have to pay for each metric ton of coal sold.
The Southeast Asia's biggest economy is the world's largest exporter and producer of thermal coal. Indonesia's coal reserve is estimated at 26.2 billion tonnes, according to the ministry.
(Writing by Becky Du Editing by Harry Huo)
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