Increased South African coal exports boost Transnet's revenues

South African logistics company Transnet said Monday that increased coal export volumes in the year ending March 31 helped boost its revenues for the period.

The company said it reported an 11% increase in revenues to Rand 72.9 billion ($5 billion), partly driven by a 4.3% rise in railed export coal volumes to 77 million mt. This was helped by a record monthly throughput of 7.2 million mt in September.

The report said Transnet subsidiaries Transnet Freight Rail and Transnet Engineering had stated in the year under review announced a plan to build 2,500 coal containers to service Eskom power stations.

Transnet said it invested Rand 2.8 billion ($192 million) in the year to March 31 expanding capacity on the export coal line to 81 million mt/year.

According to a South African mining source, stocks at Richards Bay Coal Terminal stood at 5.1 million mt this week, largely unchanged on the week.

In the period under review, thermal coal exports out of South Africa totalled 81 million mt, according to customs data, an increase of 7 million mt on the year.

S&P Global Platts assessed the FOB Richards Bay 5,500 kcal/kg NAR, 7-45 day price at $77.45/mt Friday.