Shorter met coal contracts offer flexibility, analyst says
Nov 15, 2012 | 11:45 AM
| Stacy Irish
PITTSBURGH It makes "more sense" to have shorter pricing terms for metallurgical coal, according to Jim Truman, principal analyst at consultant Wood Mackenzie Ltd.
Metallurgical coal contract prices are currently priced on a quarterly basis, which avoids the volatility associated with spot-market pricing. Shorter-term contracts would give metallurgical coal producers the flexibility to adjust prices to reflect consumer demand and input costs,....
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