- Indian Map
LONDON, Aug. 18 (Coal Geology)– Platts, one of the world’s foremost providers of energy and metals information, announced that, on September 1, 2010, it is expanding its suite of thermal coal price assessments to include a daily spot value for thermal coal destined for the Indian marketplace. Thermal coal is used to generate electricity.
The new price assessments, which include freight rates from South Africa to India’s east and west coasts, address the needs of power producers, cement manufacturers, coal traders and ship brokers for an independent source of India-related open-market spot prices.
“India’s thermal coal imports have taken the global industry by storm, changing trade flows radically and thereby increasing the need for expanded and more frequent price information,” said James O’Connell, managing editor of Platts’ Coal Trader International. “We’re pleased to help meet the growing information needs of this important import market and bring greater transparency to the commodity’s and region’s pricing.”
India is the third-largest producer of hard coal, but it is also one of the world’s largest importers. South Africa ranks among the world’s top 10 producers and top 10 exporters of coal. Platts’ new assessments capture price dynamics relating to these important marketplaces.
The assessments will reflect the open-market physical spot value for standard calorific value of 6,300 kilocalories per kilogram (kcal/kg), gross as received (GAR), thermal coal with a maximum ash content of 16% and 1.4% maximum sulfur content. They will be assessed on a cost and freight (CFR) basis delivered to specific ports on the east and west coasts of India.
Alongside the two new price assessments, known as “Platts CFR India,” Platts will publish two corresponding freight rates, as follows:
— Platts CFR India East (6,300 kcal/kg): Physical open-market spot assessment of thermal coal (including the cost of freight) out of Richards Bay, South Africa and destined within a 90-day period for east coast ports in India
— Platts CFR India West (6,300 kcal/kg): Physical open-market spot assessment of thermal coal (including the cost of freight) out of Richards Bay, South Africa and destined within a 90-day period for west coast ports in India
— Platts CFR East Coast India Freight Rate: Assessments for Panamax-sized cargoes from Richards Bay, South Africa, to the ports of Chennai, Ennore, Gangavaram, Haldia, Karaikal, Krishnapatnam, Paradip and Vizag in eastern India
— Platts CFR West Coast India Freight Rate: Assessments for Panamax-sized cargoes from Richards Bay, South Africa, to the ports of Kandla, Mumbai, Mornugao, Mundra, New Mangalore, Navlakhi and Pipavav in western India
Assessments are based on all-day market monitoring and data collection of transactions, bids, offers and other information from market participants and reflect values at the close of the physical trading day at 17:00 (5:00 p.m.) London time. Thermal coal deliveries from other destinations meeting the specifications may also be taken into account for the assessment. All prices are quoted as U.S. dollars per metric ton (mt). The assessments will be published in Platts’ Coal Trader International, within Platts’ Dispatch, a flexible-format, end-of-day data service, as well as in the real-time news service Platts’ European Power Alert.
The new assessments are in addition to the daily 90-day forward price assessments that Platts already publishes for thermal coal delivered on a cost, insurance and freight (CIF) basis to Antwerp/Rotterdam/Amsterdam and on a free-on-board (FOB) basis from coal terminals in South Africa, Australia and Kalimantan, Indonesia.
The methodology for Platts’ India-bound thermal coal price assessments was developed in consultation with a cross-section of key industry players, draws on Platts’ century of experience in benchmark price reporting in energy, and is underpinned by robust quality guidelines.
For more information on coal, visit the Platts website at www.platts.com. For Chinese-language information on coal and energy markets, visit http://www.platts.cn/.
About Platts: Platts, a division of The McGraw-Hill Companies , is a leading global provider of energy and commodities information. With a century of business experience, Platts serves customers across more than 150 countries. An independent provider, Platts serves the oil, natural gas, electricity, emissions, nuclear power, coal, petrochemical, shipping, and metals markets from 17 offices worldwide. Platts’ real-time news, pricing, analytical services and conferences help markets operate with transparency and efficiency. Traders, risk managers, analysts, and industry leaders depend upon Platts to help them make better trading and investment decisions. Additional information is available at http://www.platts.com.
About The McGraw-Hill Companies: Founded in 1888, The McGraw-Hill Companies is a global information and education company providing knowledge, insights and analysis in the financial, education and business information sectors through leading brands including Standard & Poor’s, McGraw-Hill Education, Platts, and J.D. Power and Associates. The Corporation has more than 280 offices in 40 countries. Sales in 2009 were $5.95 billion. Additional information is available at http://www.mcgraw-hill.com/.
CONTACT: Kathleen Tanzy, +1-212-904-2860, Kathleen_tanzy@platts.com; orNon-U.S. media may contact in Europe: Shiona Ramage,Shiona_Ramage@platts.com, +44207 1766153; or in India, Rohit Varier,firstname.lastname@example.org, +9819403110; or in Asia, Casey Yew,Casey_Yew@platts.com, +65 653 06552
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