Sales prices
In 2017, the average coal sales price (PLN 471.10 / ton) was 56.0% higher than in 2016. Coking coal prices jumped up 65.3%, while steam coal prices were higher by 10.3%. On the other hand, the average coke sales price obtained was PLN 936.01 per ton (FCA basis), which is an increase by 60.4% compared to 2016.
Average sales prices of coal produced by the Group and average sales prices of coke
| ITEM | 2017 | 2016 | 2015 | 2014 | 2013 | GROWTH RATE 2016=100 |
|---|---|---|---|---|---|---|
| Average sales prices of coal produced by JSW | ||||||
| Coking coal (PLN/ton) | 656.7 | 397.4 | 377.3 | 410.4 | 473.3 | 165.3 |
| Steam coal (PLN/ton) | 206.7 | 187.4 | 213.3 | 234.4 | 267.6 | 110.3 |
| Total (PLN/ton)* | 471.1 | 302.1 | 298.4 | 339.0 | 386.8 | 156.0 |
| Average coke sales prices | ||||||
| Coke (PLN/t)** | 936.0 | 583.5 | 648.5 | 668.2 | 758.5 | 160.4 |
* the prices pertain to external deliveries of coal produced in the Group and include transportation costs amounting to, on average in JSW S.A., PLN 6.34 per ton in 2017, PLN 6.81 per ton in 2016, PLN 7.29 per ton in 2015, PLN 7.31 per ton in 2014 and PLN 10.19 per ton in 2013.
** FCA price pertaining to the Group’s coking plants in the relevant periods.
The lack of a uniform benchmark for coking coal, the possibility of using different reference prices associated with available spot quotations in arrangements with customers, the determination of reference prices on the basis of different spot quotation periods – as a result of all these factors, in the case of dynamic changes in spot quotations, there may be fluctuations in relations of prices obtained by the Group to current spot quotations, which even out over a longer term. The graph below presents monthly spot quotations of the TSI HCC index (bar chart) and the relation of the average quarterly figures for this index to prices obtained by the Group (line graphs).
Source: Platts Coal Trader International, own calculations.
Source: C&AMR, own calculations.