Chinese demand for lower-to-medium grade Indonesian thermal coal was stable, with a few deals being reported on Monday as buyers look to take deliveries of the cargoes before the Lunar New Year holidays, sources said.

Two Handymax cargoes of 3,800 kcal/kg NAR coal were sold to a Chinese buyer at $52/mt CFR Yangtze River port for December and mid-January loading, a Singapore-based trader said.

Handymax freight rates from South Kalimantan to Yangtze River are being quoted at about $14-14.50/mt, he said.

A gearless Panamax cargo of 3,800 kcal/kg NAR -- or 4,200 kcal/kg GAR -- Indonesian coal was reportedly sold at $39-40/mt FOB East Kalimantan for delivery in January to South China, according to a Shanghai-based trader.

A second Singapore-based said that Chinese buyers are not willing to pay "above high $37/mt FOB levels," adding that most of the offers were at above $38/mt FOB levels for Supramax cargoes.

"I see quite a few [offers for 4,200 kcal/kg GAR coal] at $38.50/mt FOB, but no one is touching those," he added.

Two 55,000 mt cargoes of 3,800 kcal/kg NAR coal were reportedly sold at $48/mt CFR South China for arrival before the end of January, a Hong Kong-based trader said.

"With Supramax freight rates being quoted at $13-13.50/mt FOB from South Kalimantan to South China, theoretically the FOB price for 3,800 kcal/kg NAR coal should be about $35/mt, but I don't think anybody can get this price," the trader said.

The deal at $48/mt CFR South China is based on a time-chartered vessel, this trader said, adding that the Supramax was time-chartered for about six months to one year at about $10/mt.

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