Coal-Mozambique

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Overview of Mozambican Coal Pricing (Per Metric Ton)

The price of coal from Mozambique is highly dependent on quality, transport costs, and the volatile global market. The figures below are estimates based on recent market trends (Late 2023 – Early 2024) and should be verified with real-time sources for a specific transaction.

Factor Description Estimated Price Range (USD / MT) Notes & Key Determinants
1. Coal Type & Quality This is the most important factor.
High-Grade Coking Coal Used for steel production (metallurgical). $250 – $350+ Premium product. Price is highly dependent on its coking properties and global steel demand.
High-CV Thermal Coal High calorific value (>6,000 kcal/kg). Used for power generation. $100 – $130 (FOB) Price tracks global benchmarks (Newcastle). Quality from the Tete basin can be very high.
Low-CV / Thermal Coal Lower calorific value or higher ash content. $50 – $80 (FOB) Often sold at a significant discount. Used for local industry or blended with higher-grade coal.
2. Delivery Terms This drastically alters the final cost.
FOB (Free On Board) Price loaded onto a ship at a Mozambican port (e.g., Beira or Nacala). Varies by quality (see above). The seller covers costs to the port. Buyer pays all shipping, insurance, etc., from there.
CFR (Cost & Freight) Price includes cost, insurance, and freight to a destination port (e.g., India). +$20 to +$40 to FOB price Adds sea freight costs, which fluctuate based on fuel prices and vessel availability.
EXW (Ex-Works) Price at the mine gate in Tete Province. $30 – $60 (lower than FOB) Does not include the critical and expensive ~600km truck or rail logistics to the port.
3. Key Cost Adders Major challenges for Mozambican coal.
Inland Logistics Transport from mine in Tete to port (Beira or Nacala corridor). ~$40 – $80 / MT A huge variable. Dependent on rail capacity vs. more expensive trucking. This cost is why FOB price is much higher than EXW.
Port Charges Costs for loading onto a ship at a Mozambican port. ~$10 – $15 / MT Includes port dues, stevedoring, and other handling fees.