SUBSCRIBER NOTE: Platts proposes new US coal assessments

In an effort to better align its thermal coal assessments with the market, S&P Global Platts is proposing to launch new daily and weekly thermal coal assessments September 1.

Platts proposes to publish daily assessments reflecting the value of three exchange-traded US coal futures: CAPP rail (CSX), PRB 8,800 and Illinois Basin 11,800.

The assessments will reflect the daily value of the futures contracts for the following terms: prompt month, prompt month +1, prompt quarter, prompt quarter +1, prompt quarter +2, prompt quarter +3, prompt quarter +4, prompt year.

For example, September 1, the curve will reflect the value for the futures contracts listed for October, November, Q4 2016, Q1 2017, Q2 2017, Q3 2017, Q4 2017 and calendar year 2017

New weekly assessments

Platts is also proposing to publish two new weekly physical assessments for thermal coal that would be more representative of the current traditional physical market. The new assessments would publish every Friday in the Weekly Price Survey, Traditional Physical Market table in Coal Trader, and would launch September 2.

The proposed products are for Colorado coal with a typical heat value of 11,300 Btu/lb, typical sulfur content of 0.8 lbs SO2/MMBtu, FOB rail; and Illinois Basin coal, with a typical heat value of 11,500 Btu/lb, 5 lbs SO2/MMBtu, maximum 0.35% chlorine, FOB barge Lower Ohio River.

The assessments will reflect the weekly value for prompt quarter delivery.

Please address any questions or comments by July 15 to coal@spglobal.com and pricemethodology@spglobal.com.

For written comments, please provide a clear indication if comments are not intended for publication by Platts for public viewing. Platts will consider all comments received and will make comments not marked as confidential available upon request.