The South African Richards Bay FOB thermal coal market saw a flurry of higher priced trades Monday morning, focused in the prompt November market.

GlobalCOAL brokered two November-loading 50,000 mt cargoes, the first at $85/mt with exchange of futures for physical (EFP) terms attached, followed by another at $84.75/mt. Sources said that two Northwest European utilities had been involved in the first deal, with two traders understood to have traded the second.

The trades were 10 cents and 35 cents below Platts 90-day assessment of $85.10/mt Friday, but were 65 cents and 40 cents above the prompt-month November assessment of $84.35/mt.

Broker Ginga Petroleum also carried out two November floating price trades for 75,000 mt and 50,000 mt cargoes, both at a $2.50/mt discount to the API4 (FOB Richards Bay) index. The first parcel was said to have involved a utility and an investment bank, while the second was between two utilities.

A December-loading 50,000 mt cargo also traded onscreen at $86.75/mt with EFP terms attached, which sources said was between two utilities.

The trade was 25 cents above a similar trade carried out Friday and $1.65 above the 90-day assessed price.

South African 90-day prices have been fluctuating around the $83-86/mt level for the past month, with Indian buyers pushing for prices to fall to $80-81/mt and an abundance of South African 6,000 kcal/kg material available in the market.

However, broker Marex Spectron said in its daily report Monday that some strength could possibly be gleaned from potential supply restraint from the Richards Bay Coal Terminal due to ongoing strikes at South African mines, which have been largely ignored by the market.

RBCT reported stocks at the end of September of 3.9 million mt, up 22.6% from August, but down 20.9% on-year.

Source: Platts