Euro coal prices move up pushed by oil, power

(Reuters) - A rise in oil, European power values and tight prompt supply of South African coal pushed coal swaps and physical prices higher by around 50 cents to $1.00 U.S. a tonne on Friday.

But prices could start to sag again and dip towards $100 if China stays out of the spot market for another few weeks after the end of the Lunar New Year holidays, traders and utilities said.

Brent crude held above $111 as a move from Iran to stop exports to the European Union intensified worries about security of supply while European spot power prices were lifted by forecasts of a cold weather snap and lower wind power supply .

"Europe is extremely quiet but we're sold out for February and March and still getting calls from buyers outside Europe who are nothing to do with China," one European trader said.

March loading South African cargoes were bid and offered at around $109.00 a tonne FOB Richards Bay on Friday, up 50 cents from the previous day.

A February South African cargo was offered at $107.00 - $1.00 below API4 coal swaps - by an Asia-based trader which does cannot deal with a wide range of counterparties.