Indonesia's Ministry of Energy and Mineral Resources (ESDM) on July 1 lifted its benchmark coal reference prices or the HBAs (Harga Batubara Acuan) for the first half of the month, with all grades posting notable growth.

The HBA for 6,322 Kcal/kg GAR coal was set at $126.58/t, up $2.67/t or 2.2% from June 15.

The HBA I, gauging 5,300 Kcal/kg GAR, was priced at $90.94/t for the same period, rising $2.54/t or 2.9% from the second half of June. The HBA II, measuring 4,100 Kcal/kg GAR, was set at $62.59/t, up $2.4/t or 4% from the previous half, while the HBA III, basis 3,400 Kcal/kg GAR, was set at $41.91/t, an uptick of $0.72/t or 1.7%.

Under an ESDM regulation effective since March 1, 2025, Indonesian coal exports are mandated to link with the country's domestic reference price, the HBA. The benchmark, which used to be updated monthly, is now published bi-weekly by the ministry on the 1st and 15th of each month.

The HBA published on the first day is calculated as 30% of the average price in the second and third weeks of the month before last and 70% of the price from the fourth week of the month before last and the first week of the previous month. The benchmark price published on the 15th is calculated as 30% of the price from the fourth week of the month before last and the first week of the previous month, and 70% of the price from the second and third weeks of the previous month.