EXPORTS – AUSTRALIA

Records to fall as miners defy crisis

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Original article by Dennis Shanahan, Paul Garvey
The Australian – Page: 1 & 4 : 13-Apr-20

Factors such as a resilient iron ore price and a rally in the price of gold have prompted expectations that the value of Australia’s resources exports will top $$299bn in 2019-20. This is $18bn higher than was forecast in December. The nation has exported $65.4bn worth of iron ore since 1 July, including $13.9bn in the first two months of 2020. Iron ore for delivery to China is trading at almost $US80 per tonne, compared with the Treasury’s forecast of $US55 a tonne. The resources and energy sector is largely continuing to operate during the pandemic.

CORPORATES
AUSTRALIA. DEPT OF THE TREASURY

Rio Tinto says China shows growing iron ore appetite

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Original article by Peter Ker
The Australian Financial Review – Page: 15 & 22 : 8-Apr-20

The head of Rio Tinto’s iron ore division, Chris Salisbury, notes that Chinese demand for the steel input remained strong while the nation was contending with the coronavirus earlier in 2020. He adds that China’s steel stockpiles have started to fall and Rio Tinto’s order books are full. Chinese steel mills buy more than 70 per cent of Rio Tinto’s iron ore, and China accounted for 51.3 per cent of the resources group’s revenue in 2019. Australia’s iron ore exports are forecast to top $101bn in 2019-20.

CORPORATES
RIO TINTO LIMITED – ASX RIO

Trade figures underscore economy’s reliance on mining and China

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Original article by Euan Black
The New Daily – Page: Online : 6-Mar-20

Official data shows that Australia’s trade surplus fell by three per cent to $5.2bn in January, although this was better than economists had expected. The value of iron ore exports was 17.4 per cent lower than the peak in July, while coal exports were down 25 per cent from a May peak. The data also shows that the total value of the nation’s exports to China was 12 per cent lower than the peak recorded in June. This is despite the fact that China accounted for 38 per cent of exports in January. Indeed economist Callam Pickering says the figures demonstrate the Australian economy’s dependence on the mining sector and trade with China.

CORPORATES
AUSTRALIAN BUREAU OF STATISTICS, INDEED INCORPORATED

Gas pressure rises as Asian demand cools

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Original article by Perry Williams
The Australian – Page: 17 & 20 : 17-Feb-20

Australian LNG producers are facing a tougher trading environment in 2020, according to the Australian Energy Regulator, with Asian buyers seeking better deals and reducing the volumes they purchase. Australia supplied 49 per cent of China’s LNG needs in 2019, but demand for LNG in China in 2020 may now only increase by four per cent, compared to a previous forecast of 13 per cent. However, falling Asian LNG spot prices could be good news for Australian gas consumers, according to the AER, as it gives them more bargaining power when striking short-term gas deals with gas exporters.

CORPORATES
AUSTRALIAN ENERGY REGULATOR

Ports beef up virus protections

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Original article by Peter Ker
The Australian Financial Review – Page: 10 : 6-Feb-20

Australia’s iron ore and coal shipments may face delays due to the coronavirus outbreak. Ports have been advised to prevent Chinese vessels from docking unless they have been at sea for at least 14 days. However, the sailing time between China and Australia’s largest ports can be as little as 10 days. The impact of the virus on exporters has been limited to date, as the outbreak has coincided with the Lunar New Year holiday period. Meanwhile, the Health Department has ordered marine pilots to wear surgical masks and gloves when they board vessels that have come from China.

CORPORATES
AUSTRALIA. DEPT OF HEALTH

PM stays course on coal, climate

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Original article by Geoff Chambers, Greg Brown
The Australian – Page: 1 & 6 : 30-Jan-20

Prime Minister Scott Morrison has used a National Press Club speech to reiterate the federal government’s commitment to its 2030 target for reducing carbon emissions by 26-28 per cent. He noted that the Paris Agreement allows developing countries to continue increasing their carbon emissions, and stressed the need to address the ‘climate gap’ between nations. Morrison also defended Australia’s coal export trade, arguing that if it is shut down coal buyers will merely seek alternative sources of coal that may be of lower quality.

CORPORATES
AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, NATIONAL PRESS CLUB (AUSTRALIA)

Ore exports drive trade surplus

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Original article by Patrick Commins
The Australian – Page: 1 & 2 : 10-Jan-20

Official data shows that Australia recorded a trade surplus of $5.8bn for November, after the surplus for the previous month was downwardly revised to $4.1bn. The data also shows that resource exports increased by 0.9 per cent in November and by three per cent year-on-year; the monthly figure was bolstered by a 2.1 per cent rise in iron ore exports and one per cent growth in coal shipments. The total value of goods and services exports increased by two per cent to $40.9bn, while the value of imports was down three per cent at $35.1bn.

CORPORATES
AUSTRALIAN BUREAU OF STATISTICS, JP MORGAN AUSTRALIA LIMITED, AUSTRALIA. DEPT OF THE TREASURY

Australia tops LNG exports, worth $49bn

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Original article by Nick Evans
The Australian – Page: 13 & 18 : 7-Jan-20

Data from EnergyQuest shows that Australia exported 77.5 million tonnes of LNG in 2019, overtaking Qatar as the world’s biggest exporter. Qatar had been forecast to export 75 million tonnes in 2019, although EnergyQuest notes that the Middle Eastern nation has yet to release its official export figures. The US exported 34.3 million tonnes of LNG in 2019. Meanwhile, EnergyQuest notes that Australia’s total LNG output capacity is 88 million tonnes at present.

CORPORATES
ENERGYQUEST PTY LTD, WOODSIDE PETROLEUM LIMITED – ASX WPL, WESTERN AUSTRALIA. ENVIRONMENTAL PROTECTION AUTHORITY, AUSTRALIA. NATIONAL OFFSHORE PETROLEUM SAFETY AND ENVIRONMENTAL MANAGEMENT AUTHORITY, BHP GROUP LIMITED – ASX BHP, ROYAL DUTCH SHELL PLC, EQUINOR ASA, AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, AUSTRALIAN GREENS

Gold beats coal as iron ore drives export record

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Original article by Nick Evans
The Australian – Page: 13 & 18 : 19-Dec-19

The Department of Industry, Innovation & Science now expects Australia’s resources exports to top $281bn in 2019-20. This is $4bn lower than was forecast in June, although it will still be a new record. Resources exports are forecast to fall to around $256bn in 2020-21, due to factors such as an expected fall in the iron ore price and the resumption of shipments from Brazil. This will see Australia’s iron ore exports fall to $65.5bn in 2020-21, compared with expectations of $84bn in the current financial year. Gold exports are tipped to reach a new high of $27.8bn in 2019-20, before falling to $25.9bn in 2020-21.

CORPORATES
AUSTRALIA. DEPT OF INDUSTRY, INNOVATION AND SCIENCE

Asia’s coal hunger to lift exports

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Original article by Greg Brown, Perry Williams
The Australian – Page: 1 & 2 : 18-Dec-19

Australia’s coal production will grow by 1.4 per cent annually over the next five years, according to a report from the International Energy Agency. The nation’s coal output is forecast to top 444 million tonnes in 2024, compared with 409 million tonnes in 2018. Thermal coal exports are forecast to increase from 203 million tonnes to 223 million tonnes over this period, with coking coal shipments to rise from 179 million tonnes to 196 million tonnes. Demand for Australian coal is expected to be driven by nations such as India, Vietnam and Indonesia. Greens MP Adam Bandt has called for legislation to phase out coal exports by 2030, claiming that "coal will kill us".

CORPORATES
INTERNATIONAL ENERGY AGENCY, AUSTRALIAN GREENS, AUSTRALIA. DEPT OF INDUSTRY, INNOVATION AND SCIENCE, AUSTRALIAN LABOR PARTY, MINERALS COUNCIL OF AUSTRALIA, ADANI MINING PTY LTD, SIEMENS AG