WEEKLY: China's benchmark thermal coal breaks Yuan 900/t threshold

China's thermal coal prices extended their rally in the week of August 31-September 4, with the benchmark price topping the Yuan 900/tonne ($134.1/t) threshold for the first time this year. The rally remained driven by tight supply rather than demand, as mine output stayed constrained by stringent safety inspections while the summer power-burning peak faded and power-plant coal consumption fell sharply.

On September 3, Mysteel assessed the price of 5,500 kcal/kg NAR thermal coal at Yuan 933/t FOB northern ports, including VAT, up Yuan 58/t from a week earlier. The assessed prices of 5,000 kcal/kg and 4,500 kcal/kg NAR grades also gained Yuan 58/t week on week, to Yuan 843/t