Recent global financial turmoil has clouded the outlook for economic activity in many countries. However, at the time of writing, Macarthur Coal has continued to deliver coal to all of its customers according to the normal shipping schedule.
While the World Steel Association is currently reviewing steel production forecasts for 2008, the organisation expects the growth in steel demand in 2009 will exceed world GDP growth.
Macarthur Coal shipped several cargoes of thermal coal during the September quarter and was able to achieve prices in line with the Japanese benchmark price for 2008. In addition, the company has recently priced several cargoes at levels well above the JFY2008 benchmark prices for shipment during the FY2009 year.
It remains evident from the large number of enquiries that the company is currently receiving on a regular basis from potential customers that demand for coal continues to be strong.
RES Price at posting:
70.0¢ Sentiment: Buy Disclosure: Held
