Tuesday, August 25, 2009

Iran Offers Anthracite To Ukrainian And Indian

Buyers
Iran is offering anthracite coal to Ukrainian and Indian buyers for the first time due to a fall in
demand domestically, traders said. 

Until now Iran has not exported its high energy content, low volatility anthracite but used it
internally in steel production, they said. “We have been offered Iranian material. It’s anthracite
with a high calorific value but it has met coal properties so could be used for steel. But for India it
doesn’t make economic sense,” one Indian trader said. 

Ukrainian steel mills are more keen on the Iranian material because the Russian coking coal on
which they partly depend has risen sharply in price and is in tight supply, due to the recovery in
Russia’s own steel output. 

Source: The Peninsula, Qatar

China, the world's largest coal producer and consumer, is expected to be a net coal importer for
the first time in 20 years, as low prices in the international market and sluggish demand discourage
exporters, according to analysts

The company produces calcium carbide, which is used to manufacture acetylene gas for welding
purposes, and silico manganese, an essential raw material for steel. Most of BCCL products go to
steel industries in India, which have been severely hit by recession, with declining consumption and
rising stocks at warehouses

Product:
Calcium Carbide
The main raw materials used to manufacture Calcium Carbide are Limestone and Carbonaceous materials, as reluctant, such
as Charcoal, Petroleum Coke, Low Ash metallurgical Cock and Coal. Limestone is claimed to Lime in a double inclined
Lime Kiln and transferred to Furnace Day Bins. Manufacture of Calcium Carbide takes place in a three phase submerged
electric arc furnace imported from Norway. There are three movable Soderberg electrodes to carry power to the Furnace.
These are fixed at the vertices of a triangle. Raw materials are fed to the Furnace through a material handling system. Inside
the Furnace smelting of raw materials take place at a temperature of 2000’ Centigrade and Calcium Carbide is formed in a
molten state. This molten Carbide is tapped out intermittently and collected in cash iron pans. After cooling, it is crushed and
packed in airtight steel drums. Calcium Carbide is used in the manufacture of Acetylene Gas for welding metals, De-
sulphurizing Compound Acetylene Black, P.V. Chloride, Calcium Cynamide, Tri-Chlora-ethylene & Polyvinyl Acetate.
Regression and Correlation Using Excel 2000 
Excel 2000 has the built-in capability to perform linear regression and correlation computations.  You
can perform specific functions one-at-a-time or complete many  functional computations at once.  We
will investigate this second option.  Before starting, click Tools, Options, and Data Analysis. 

Suppose you have the following set of bivariate data.  The data represents a random sample of size 7
of pairs of values where X represents the independent variable and Y the dependent variable.

  A B
1 X Y
2 52 18
3 58 24
4 64 31
5 69 35
6 79 46
7 84 45
8 92 52

Scatter Diagram
You can use Excel to investigate whether or not there exists a linear relationship between the X and Y
values.  First you can plot the data points on a scatter diagram. Select the data values and click
the ChartWizard.  In Step 1, select XY (scatter) for the chart type and scatter as the chart sub-type. 
In Step 2, the data range should be A2:B8 with the data series arranged in columns.  In Step 3, enter
the chart title, X-axis and Y-axis titles, and turn off the legend.  In Step 4, specify where you want the
graph to be placed (in a separate chart sheet or embedded in the worksheet containing the data). 

The scatter diagram shows a definite linear trend in the data.  Excel can automatically add the least-
squares regression line to the chart.  To add the line, click Chart and Add trendline.  On
the Type tab window, click Linear.  On the Options tab window, click Display equation on
chart and click Display R-squared value on chart.  The resulting graph follows.
By constructing the scatter diagram, Excel  can also provide you with the equation of the least-squares
regression line and the value of the coefficient of determination (r 2).  Once the coefficient of
determination is known, you can compute the correlation coefficient (r) by taking the square root of r 2. 
If the regression line has positive slope, r is positive.  If the regression line has negative slope, r is
negative. 

Correlation Coefficient
The correlation coefficient for the above data can also be computed using
the CORREL(array1,array2) function.  Click the cell where you wish the correlation coefficient to
appear.  Click the "paste function" button.  Select CORRELand click OK.  Enter the range A2:A8 for
array 1 and B2:B8 for array 2.  Click OK.  Excel  computes the desired value of the correlation
coefficient as .987517644.

Regression
Excel can compute a full array of regression information by using one command.  Click Tools,  Data
Analysis, select  Regression, and click OK.   In the regression window, enter the X range of A2:A8,
the Y range of B2:B8, clickOutput range and enter the address of the cell in which the output should
begin, A15, for example, and click OK. 

SUMMARY OUTPUT
Regression Statistics
Multiple R 0.987517644
R Square 0.975191098
Adjusted R Square 0.970229317
Standard Error 2.149118144
Observations 7
ANOVA
df SS MS F
Significance F
Regression 1 907.7635989 907.7635989 196.5405568 3.32112E-05
Residual 5 23.09354399 4.618708797
Total 6 930.8571429
Coefficients Standard Error t Stat P-value Lower
95% Upper 95% Lower 95.0% Upper 95.0%
Intercept -24.60377358 4.388524152 -5.606389012 0.002495632 -
35.88481562 -13.32273155 -35.88481562 -13.32273155
X 0.849852239 0.060620195 14.01929231 3.32112E-05
0.694023321 1.005681158 0.694023321 1.005681158
On the above report, "Multiple R" represents the correlation coefficient value of .987517644, "R
Square" is the coefficient of determination whose value is .975191098, "Standard error" is the
standard error of the estimate whose value is 2.149118144, "Observations" is the sample size which
is 7.   The bottom part of the Summary Report lists the equation of the least-squares regression line. 
"Intercept coefficient" is the Y-intercept value (a = -24.60377358) and "X coefficient" represents the
slope (b = .849852239).  These values yield the equation of the least-squares regression line:  Y = -
24.6038 + .8499X.

In the U.S., coal prices have remained depressed despite increases in economic activity. Both high inventory
levels and low consumption have contributed significantly to coal's low price.[60] Coal producers have made cuts
to production but declines in consumption have outpaced those reductions. Coal stockpiles at utilities reached
199.7 million tons in September 2009, an increase of 37% from a year earlier. [61] During the summer of 2009,
many Americans reduced their electricity consumption while simaltanesouly increasing the use of electricity
derived natural gas. As a result, the summer of 2009 was the first time in 25 years in which coal inventories
increased.[62] To combat rising inventories, producers plan on cutting coal production more than they did in 2009
and cut other operational costs. Some producers have shielded themselves from low prices by locking in
contracts at higher rates. However, producers have the potential of experiencing significant declines in revenues
and profits once those contracts expire. [63] Coal producers are also attempting to export their coal, but
transportation and political barriers are preventing many producers from doing so