The first contract in the NEWC6000 index is relevant for spot sales from BA.
Similarly, for South African Exports use the API4 index: https://www.cmegroup.com/markets/energy/coal/coal-api-4-fob-richards-bay-argus-mccloskey.html
The API4 typically trades at a discount to NEWC6000 as they are both FOB indices and shipping costs from South Africa is more than Newcastle (distance further to Asia).
Not sure what pricing TER gets for South African domestic sales. i've assumed that just breaks even. it would be good if someone could point me in the right direction here.
As of 25 Feb they had $US111.8m ($AUD154m) remaining on their EuroBond. They've committed to a $US60m prepayment facility to drawdown end of April.
Costs for Aussie business are approx $88/t, including about $16/t worth of royalties at a $200/t price (~8%) according to the Dec Q report. At $US300, margins are going to be approx $300/t or approx $54m/month (assuming 180kt shipping/month).
Throw in an extra 60kt/month from the SA exports business at similar margins and that's approx $70m profit a month!!! I think they should hedge about a third of production starting June to create certainty over the prepayment repayment, but that's just me being conservative.
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