Press Release
75,000mt transact during globalCOAL’s first met coal trading session
SINGAPORE, LONDON & NEW DELHI – 13 October 2015
One trade totalling 75,000mt was executed today during the globalCOAL metallurgical coal platform’s first ever trading session.
The transaction, executed during Tuesday’s 4-6pm (Singapore time) liquidity window, was in the Phys HCCA (FOB Australia) market for delivery in December 2015. The trade was executed at a price of $76.75/mt. The seller will be supplying coal which meets the HCCA specification. All delivery terms and conditions are defined in globalCOAL’s Standard Coal Trading Agreement (SCoTA®) and the Phys HCCA (FOB Australia) RSS.
The trading session was active with markets in both the Phys HCCA and the Phys HCCA (Branded) products, with spreads narrowing through the liquidity window. Prices were posted in three delivery periods – Nov’15, Dec’15 and Q1’16 – with market depth concentrated in the December contracts.
“We’re very pleased with this result,” commented Philip Shawcross, Head of Metallurgical Coal at globalCOAL. “The launch was well supported with representatives from the steel sector, coal producers and trading houses logging in and posting bids and offers from around the world.”
Eoghan Cunningham, CEO of globalCOAL, said: “As liquidity develops, we’ll start to see more and more pricing points flowing to the market to inform procurement decisions, price negotiations and risk management strategies. We see the globalCOAL platform – and its Members – playing an important role in bringing transparency to the metallurgical coal market.”
For the convenience of its users, activity in the globalCOAL HCCA market will initially be concentrated in a 2-hour daily liquidity window, between 4pm and 6pm Singapore time (currently 9-11am in London).
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