The average mine-mouth price of thermal coal in Inner Mongolia was 351.85 yuan/t in November, down 1.80% month on month (MoM) and 7.78% year on year (YoY), according to the Inner Mongolia Development and Reform Commission.

The average mine-mouth price of lignite was 322.86 yuan/t, flat MoM yet slightly down 0.44% YoY; thermal coal prices in Ordos averaged 452.50 yuan/t, down 4.44% MoM and 17.20% YoY.

The calculated average price of 3,800 Kcal/kg NAR coal stood at 363.13 yuan/t, edging up 0.10% MoM and 0.28% YoY. Prices of 4,500 Kcal/kg NAR coal averaged 360.00 yuan/t, retreating 2.96% and 14.89% respectively from the preceding month and the year.

Prices of 5,000 Kcal/kg NAR coal averaged 472.50 yuan/t, retreating 5.12% and 15.63% respectively from the preceding month and the year. Prices of 5,500 Kcal/kg NAR coal averaged 572.50 yuan/t, down 4.26% and 14.81% respectively from a month ago and the year prior.

Main coal-producing areas have continued to release their advanced production capacity and domestic coal production has maintained growth momentum since the beginning of winter. Imported coal has increased by 11.89% MoM, and coal reserves in key coal enterprises and major power plants have remained at a high level, the local economic planner noted.

While production stayed robust, demand from power plants lagged behind, partly owing to milder temperatures, with the national average exceeding 1.9 degrees compared with the same period last year. Prices thus fell due to oversupply, according to the authority.

Coal supply and imports will continue to remain at a high level in December. Although the temperature dropped recently, it was still higher than usual in most areas. It was expected that the supply of thermal coal would maintain a relatively loose trend and the price would decline slightly.