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June Inner Mongolia Thermal Coal Prices Inch Down

Thermal coal prices inched down last month on the basis of mine-mouth and delivered-to-power plant in Inner Mongolia, according to local price monitoring center. With the southern hydropower ushered in the peak season in June, the thermal power market was squeezed, and coal prices are expected to show a slight downward trend.
In June, the average mine-mouth settlement price across the region was 214.22 yuan/t, down 3.76% from a month ago. Lignite mine-mouth prices averaged 181.66 yuan/t in East Inner Mongolia, down 5.23% month on month, and thermal coal mine-mouth prices averaged 261.11 yuan/t in Ordos, down 5.62%.
Power plants purchased thermal coal from mines across the region at an average of 200.15 yuan/t, down 0.69% from a month earlier, or 395.97 yuan/t after conversion into 7,000 Kcal/kg NAR standard coal, down 1.19%.
Coal prices picked up late last month in the regions when local traffic administration strengthened inspections on truck overload, which hobbled coal supplies to power plants, storage companies and rail stations.