Financial Coal Trading
globalCOAL partners with the financial clearing house ICE, which offer a portfolio of Coal Futures; three financially settled contracts for the world's busiest international coal hubs: Newcastle (Australia), Rotterdam (Europe) and Richards Bay (South Africa).
ICE globalCOAL Newcastle Coal Futures
The ICE globalCOAL Newcastle Coal Futures contract is the risk management tool of choice for the Asia-Pacific coal market. The contract is cash-settled against the globalCOAL NEWC Index which is based on the FOB delivery of thermal coal (as defined in globalCOAL's SCoTA) at the Port of Newcastle in Australia. See contract specifications
ICE Rotterdam Coal Futures
The ICE Rotterdam Coal Futures contract is the key risk management product for Atlantic coal market participants. The contract is cash-settled against the API#2 coal index as published by Argus/McCloskey, which is based on the CIF delivery of thermal coal (6,000 kcal/kg NAR) at the Port of Rotterdam in North-West Europe. See contract specifications
ICE Richards Bay Coal Futures
With its strategic location, the ICE Richards Bay Coal Futures contract straddles the Atlantic and Pacific coal markets. The contract is cash-settled against the API#4 coal index as published by Argus/McCloskey, which is based on the FOB delivery of thermal coal (6,000 kcal/kg NAR) at RBCT in Richards Bay, South Africa. See contract specifications
ICE globalCOAL Richards Bay Coal Futures
An alternative to the ICE Richards Bay Coal Futures, this contract settles against globalCOAL's RB Index. Objectively calculated on the basis of comparable, transparent data generated through globalCOAL's online trading screen, the RB Index is a robust and reliable price index for high CV thermal coal (basis 6,000kcla/kg NAR) delivered FOB RBCT, Richards Bay, South Africa. See contract specifications
Options contracts are also offered for all three trading hubs. At expiry, one lot of ICE Coal Options will exercise into one lot of ICE Coal Futures. ICE Coal Options are European style such that in-the-money options are automatically exercised at expiry (unless abandoned). At-the-money and out-of-the-money options expire un-exercised unless it is elected to exercise them.
ICE Futures also offers the following contracts as part of its coal product suite: