According to the official website of the Ministry of Energy and Mineral Resources, the equivalent calorific value of HBA in September 2023 is 6322 kcal/kg GAR, total moisture 12.26%, total sulfur 0.66% and ash 7.94% are set at US $133.13 / ton. This figure is down 26.00% from $179.90 / ton last month.
In addition, HBA I with equivalent calorific value of 5,300 kcal/kg GAR, total moisture of 21.32%, total sulfur of 0.75% and ash of 6.04% is priced at US $89.11 / ton. The price is up 5.14% from the August 2023 benchmark of $84.75 / ton.
Then, the price of HBA II with equivalent calorific value of 4100kcal/kg GAR, total moisture of 35.73%, total sulfur of 0.23% and ash of 3.90% is $53.83 / ton. The figure was down 6.19% from $57.38 / ton last month.
Then, HBA III with equivalent calorific value of 3400 kcal/kg GAR, total moisture of 44.30%, total sulfur of 0.24% and ash content of 3.88% is priced at US $31.82 / ton. The price is also 0.44 percent lower than last month's benchmark of $31.96 / ton. Meanwhile, HBA III is the latest amount and will start to be determined in August 2023.
Previously, the Ministry of Energy and Mineral Resources has officially used the new formula to determine Hbas, as stated in the Ministry of Energy and Mineral Resources (ESDM) Order No. 41.K/MB.01, which will come into force in March 2023 / MM.b /2023 Guidelines on Determining Benchmark Prices for the sale of coal commodities.
The new formula is based on the average realized coal sales prices for the previous two months. Based on the coal sales realisation data submitted by mining companies to fulfil their coal royalty payments, this ratio is approximately 70% of the realised price one month ago and 30% of the realised price two months ago.
Agung Pribadi, director general of the Bureau of Communications, Public Information Services and Cooperation at the Ministry of Energy and Mineral Resources, said the new formula for determining HBA aims to obtain a price acceptable to the market by taking into account state revenue.
Prior to this new regulation, the determination of HBA was taken from the average index of Indonesia Coal Index (ICI), Newcastle Export Index (NEX) and Global Coal Newcastle Index (GCNC) last month, with a mass equivalent heat of 6322 kcal /kg GAR, total moisture of 8%, total sulfur of 0.8% and ash of 15%.
