Platts proposes to launch FOB Kalimantan 5,800 kcal/kg GAR thermal coal assessment

Platts, part of S&P Global Commodity Insights, is proposing to launch a daily price assessment for FOB Kalimantan 5,800 kcal/kg GAR thermal coal, effective Dec. 1.

Market survey and feedback suggest that majority of the mines in Indonesia produce 5,800 kcal/kg GAR grade coal, and volume-wise 5,900 kcal/kg GAR has become less prominent over the years.

To supplement the existing suite of FOB Kalimantan coal assessments, the new assessment, in USD/metric ton, would reflect coal with a calorific value of 5,800 kcal/kg GAR, or 5,500 kcal/kg NAR, having typical sulfur values of 0.8%, with a range of 0.8%-1%, typical ash values of 8%, with a range of 8%-10%, and total moisture content of 15%, with a range of 15%-18%.

Details of the proposed specifications:

Specification - 5,800 kcal/kg GAR

CV Range - 5,600 kcal/kg GAR-5,800 kcal/kg GAR

Vessel Size - 75,000 metric tons

Incoterms - FOB Kalimantan, Indonesia

Delivery Period - 15-60 days forward

For sulfur and ash, respectively, Platts is proposing to launch daily price differential assessments for every 0.1% and 1% above the typical levels and up to the maximum of the ranges, similar to what was conveyed to the market here .

All market information reported to Platts may be considered and would be published in real time, including firm bids and offers, trades and indicative values, as well as any other data deemed relevant to the assessment process.

Pricing information with terms, locations, and specifications different from the above standard may be considered for assessment purposes, subject to normalization. Platts will consider information from adjacent markets in its assessment.

The new assessments would be published on a daily basis, following the Singapore publication schedule, and would be based on the latest information sourced from the market up to the close of the Market on Close assessment process at 17:30 Singapore time.

The new daily assessments would be published in Platts Coal Trader International, fixed pages, GC0410.

Please send any questions, comments, or feedback to coal@spglobal.com , and pricegroup@spglobal.com by Oct. 28.

For written comments, please provide a clear indication if they 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.