Platts proposes to update methodology specifications of its Atlantic metallurgical coal assessments, effective Jan. 4, 2027

HIGHLIGHTS

Proposes to introduce minimum CSR specifications for Atlantic high-vol HCC assessments

Proposes to expand the location basis for assessments to include Baltimore alongside Hampton Roads

Discontinuation of penalty and premia assessment for seaborne HCC

Platts, part of S&P Global Energy, proposes to update the methodology specifications for its Atlantic metallurgical coal assessments, including introducing a minimum CSR specification for its high-vol hard coking coal assessments, and adding Baltimore as an additional basis location, effective Jan. 4, 2027. Additionally, Platts proposes to discontinue the penalty and premia assessments for seaborne hard coking coals, effective Jan. 4, 2027.

Introduction of minimum CSR for high-vol HCC, inclusion of Baltimore alongside Hampton Roads

This follows feedback received during a market consultation initiated June 15, and observations of the prevailing specifications of high-vol A and high-vol B hard coking coal cargoes traded in the market. Platts may consider and apply appropriate normalizations for cargoes that do not meet the standard specifications for the purpose of the assessments.

Specifically, Platts proposes to include Baltimore alongside Hampton Roads in the location specifications for its low-vol, high-vol A and high-vol B hard coking coal FOB USEC assessments.

The proposal applies to the following assessments:

Symbol	Description	Current location	Proposed location effective Jan. 4, 2027	Current specifications	Proposed specifications effective Jan. 4, 2027
AAWWR00	Low Vol Hard Coking Coal FOB USEC	Hampton Roads, US	Hampton Roads, Baltimore, US East Coast	58% CSR, 19.25% VM, 8% TM, 8.25% ash, 0.95% sulfur	Min 58% CSR, 19.25% VM, 8% TM, 8.25% ash, 0.95% sulfur
AAWWS00	High Vol A Hard Coking Coal FOB USEC	Hampton Roads, US	Hampton Roads, Baltimore, US East Coast	32.25% VM, 8% TM, 7.5% ash, 0.95% sulfur, 30,000 ddpm max fluidity, 1.05 MMR, 220% dilatation	Min 65% CSR, 32.25% VM, 8% TM, 7.5% ash, 0.95% sulfur, 30,000 ddpm max fluidity, 1.05 MMR, 220% dilatation
AAWWT00	High Vol B Hard Coking Coal FOB USEC	Hampton Roads, US	Hampton Roads, Baltimore, US East Coast	36% VM, 8% TM, 8% ash, 1% sulfur, 25,000 ddpm max fluidity, 0.95 MMR, 160% dilatation	Min 55% CSR, 36% VM, 8% TM, 8% ash, 1% sulfur, 25,000 ddpm max fluidity, 0.95 MMR, 160% dilatation

All other specifications would remain unchanged.

For instance, bids, offers and trades for Atlantic high-vol A and high-vol B metallurgical coals may be normalized against the proposed specifications by applying the prevailing value adjustment for every 1% variation in any quality specifications.

Example of proposed normalization:

A high-vol A cargo is reported at $190/mt FOB Baltimore/Hampton Roads with:

CSR: 69%

VM: 32.7%

Platts would normalize the cargo to the proposed high-vol A specifications of 65% CSR and 32.5% VM.

Assuming a prevailing adjustment factor of $0.10/mt per 1% variation:

CSR premium: (69 − 65) × $0.10 = +$0.40/mt

VM penalty: (32.7 − 32.5) × $0.10 = -$0.02/mt

Net adjustment: -$0.38/mt

The normalized value would therefore be $189.62/mt FOB, rounded to the nearest 50 cents/mt ($189.50/mt FOB).

Following a review of market feedback and observed trading activity, Platts is not proposing any new mid-vol HCC assessments or introducing brand-based relativities at this time due to a lack of broader market support and limited spot liquidity. Platts will continue to monitor market developments and reassess the need for additional assessments as appropriate.

Platts will continue to consider mid-vol hard coking coal bids, offers and trades for its low-vol HCC assessment by applying appropriate normalization.

Discontinuation of penalty and premia assessment for seaborne HCC

Platts also proposes to discontinue the penalty and premia assessment for seaborne hard coking coals and its underlying calculations, as it proposes to implement value-adjusted normalization going forward.

The discontinuation will impact the following assessments and calculations:

Code	Description	Type	Published
CPPBA00	Higher Banding CSR per 1% as % US LV FOB USEC	Assessment	Daily
CPPBB00	Higher Banding CSR per 1% US LV FOB USEC $/mt	Calculation	Daily
CPPBC00	Lower Banding CSR per 1% as % US LV FOB USEC	Assessment	Daily
CPPBD00	Lower Banding CSR per 1% US LV FOB USEC $/mt	Calculation	Daily
CPPBE00	Lower Banding Sulfur per 0.1% as % US LV FOB USEC	Assessment	Daily
CPPBF00	Lower Banding Sulfur per 0.1% US LV FOB USEC $/mt	Calculation	Daily
CPPBG00	Higher Banding Sulfur per 0.1% as % US LV FOB USEC	Assessment	Daily
CPPBH00	Higher Banding Sulfur per 0.1% US LV FOB USEC $/mt	Calculation	Daily
CPPBK00	Total Moisture per 1% as % US LV FOB USEC	Assessment	Daily
CPPBL00	Total Moisture per 1% US FOB USEC LV $/mt	Calculation	Daily
CPPBI00	Ash per 1% as % US LV FOB USEC	Assessment	Daily
CPPBJ00	Ash per 1% US LV FOB USEC $/mt	Calculation	Daily

Full specifications for Platts metallurgical coal assessments can be found in the Global Metallurgical Coal Specifications Guide, available here.

The US metallurgical coal assessments are published in SBB Steel Markets Daily, Coal Trader International, Coal Trader, and on fixed pages STL1160 and PMA1160. The assessments can also be accessed through S&P Global Energy Core.

Please send any questions, comments or feedback by Oct. 30 to EMEAMetalsTeam@spglobal.com and pricegroup@spglobal.com.

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 make those not marked as confidential available upon request.