Southern Co. is seeking up to 200,000 tons per month of bituminous coal for October through March 2019 delivery, with a plus/minus 20% tolerance on a monthly basis, the utility holding company said Aug. 31 in a coal solicitation.
The desired quality specifications for the coal are a heat content between 11,100 Btu/lb-13,000 Btu/lb, with 11,000 Btu/lb as; 8% moisture with a maximum of 15%; 8% ash with a maximum of 16%; 0.8 lb to 4.5 lb SO2/MMBtu, with a maximum 5 lb; and 32% volatile matter with a minimum 30%.
Southern Co. may accept a sulfur content of up to 5 lb SO2/MMBtu, but "appropriate economic consideration must be given for sulfur" in order to "accurately determine cost involved in the use of such coal," the Birmingham, Alabama-based company said.
The price should be quoted $/ton FOB rail/truck/barge at the proposed loading facility, or CSX/NS interchange or plant destination.
Import coal proposals must be quoted CIF in either Handymax-sized or Panamax-sized vessels, or FOB rail/barge delivered into the port terminal.
All proposals must be accompanied with proximate analysis, including calorific value, grindability, mineral/ash content, trace elements and ash fusions.
Only Internet bids, submitted through the company's Coal Internet Bid System, will be accepted through noon EDT September 10. All offers must remain valid for at least 30 days.
Offers should be submitted via CIBS under the RFP folder "SCS Aug 2018 Solicitation - Q4 2018-Q1 2019 Spot."
Tyler Godwin is a reporter for S&P Global Platts. S&P Global Platts and S&P Global Market Intelligence are owned by S&P Global Inc.