SINGAPORE, April 17, 2013 /PRNewswire/ -- Platts , a leading source of benchmark price assessments in energy, petrochemicals and metals, today announced it has further expanded its suite of pricing references for China and the greater Asia-Pacific region with the launch of two new thermal coal price assessments for the Chinese market.
"The two price assessments are designed to complement each other by providing a quick and straightforward way for traders and other interested parties to compare the prices of domestic and imported thermal coal in the Chinese market and immediately determine whether there is price arbitrage advantages favoring one type or the other," said James O'Connell, Editor-in-Chief of Platts Coal Trader International.
The new assessments capture physical spot prices for domestic and imported thermal coal with a calorific value of 5,500 kilocalories per kilogram (kcal/kg) on a net-as-received basis as follows:
- Platts CFR South China: Physical open-market price assessment of thermal coal (including the cost of freight) out of Australia, Colombia, Indonesia, Russia and South Africa that is traded in the seaborne spot market and delivered within a 15- to 60-day forward period to southern ports in China.
- Platts FOB Qinhuangdao: The launch of the new assessments follows extensive consultation with participants in the China-based market, including international and domestic traders, coal producers, power generation companies and other end-user customers and industry in China.
"We believe that providing a consistent independent source of spot price information supports better decision making regarding cargo trade, arbitrage between regions, storing and transporting thermal coal to markets, investment in infrastructure projects and optimal production rates, processing margins and consumption levels," said O'Connell.