Platts to delay discontinuation of Atlantic metallurgical coal relativity table

S&P Global Platts has decided to delay the discontinuation of the Atlantic metallurgical coal relativities and develop new methodology for this data, following further market feedback and interest.

The decision follows industry feedback that the brands' assessed prices provide more transparency into benchmark price indexes and trading terms used in Atlantic met coal markets, while long-term contracts have transitioned to price off spot indexes.

The data is published weekly and is found on page 9 of SBB Steel Markets Daily, page 8 of Coal Trader International publication, and page 6 of Coal Trader publication.

The data, published weekly since January 2016 and monthly since February 27, 2015, provides a valuation of met coal brands rarely traded in the spot market, relative to the benchmark US Low Vol Hard Coking Coal FOB assessment.

This mark-to-market valuation results from implied analysis of market data and quality specification with professional judgment.

An increase in judgmental analysis over time required the current methodology to be reviewed, and after a period of market consultation, Platts published a decision to discontinue the series on July 1, 2019, which can be found here: https://www.spglobal.com/platts/en/our-methodology/subscriber-notes/041819-platts-to-discontinue-us-coking-coal-brand-relativity-weekly-prices

Since that decision, Platts has continued to review the feedback and consulted with customers who find the relativity tables valuable to their understanding of the met coal market.

As a result, Platts will delay the discontinuation set for July 1, and develop methodology addressing the balance between data analysis and professional judgment.

Platts will publish a separate notification in due course, on proposals to amend the existing methodology.

In the meantime Platts will continue to publish the following;

Met Coal Oak Grove FOB USEC $/mt Wkly (MCAPA04)

Met Coal Oak Grove FOB USEC $/mt MAvg (MCAPA03)

Met Coal Blue Creek No. 7 FOB USEC $/mt Wkly (MCAPB04)

Met Coal Blue Creek No. 7 FOB USEC $/mt MAvg (MCAPB03)

Met Coal Blue Creek No. 4 FOB USEC $/mt Wkly (MCAPC04)

Met Coal Blue Creek No. 4 FOB USEC $/mt MAvg (MCAPC03)

Met Coal Beckley FOB USEC $/mt Wkly (MCAPD04)

Met Coal Beckley FOB USEC $/mt MAvg (MCAPD03)

Met Coal Windber FOB USEC $/mt Wkly (MCAPE04)

Met Coal Windber FOB USEC $/mt MAvg (MCAPE03)

Met Coal Buchanan FOB USEC $/mt Wkly (MCAPF04)

Met Coal Buchanan FOB USEC $/mt MAvg (MCAPF03)

These prices also appear on the Platts page MW1065, which will remain published until further notice.

Platts will continue to publish assessments for these brands, and their relative spread to Platts US Low Vol HCC assessments, basis FOB Hampton Roads until future notice.

Please submit any feedback, comments or questions to cokingcoal@spglobal.com and pricegroup@spglobal.com.

For written comments, please provide a clear indication if comments are not intended for publication by Platts for public viewing.