The API 4 coal price assessment
The API 4 price assessment is the benchmark price reference for coal exported from South Africa’s Richards Bay terminal and is used in physical and over-the-counter contracts. It is calculated as an average of the Argus fob Richards Bay price assessment and the IHS McCloskey FOB Richards Bay marker.
Advantages of the API 4 coal price assessment
The API 4 price assessment is the most liquid, most transparent FOB coal price in the world. The Argus component of the price assessment is published in Argus Coal Daily International. The Argus/McCloskey’s Coal Price Index service is published every Friday and includes daily, weekly and monthly average price assessments.
Users of the API 4 coal price assessment
More than 90pc of the world’s coal derivative contracts are settled against the API 2 and API 4 price assessments. The API 4 price assessment is used for futures and options contracts on financial exchanges and is the settlement basis for quality adjustments, sales and transfer pricing agreements and more.