Platts Introduces Daily Spot Coal Prices

Platts Introduces Daily Spot Coal Prices

March 13, 2007

    LONDON, March 13 /Xinhua-PRNewswire/ -- As the price of
European coal pushes to the upside of its two-year highs
near $70 per metric ton (mt), Platts, the world's leading
energy information provider and top supplier of benchmark
prices, is introducing daily reporting of two of its
benchmark coal prices to better facilitate risk management
for financial and coal-dependent industries.

    "These new assessments offer the coal trading
markets new tools for daily trading activity," said
Margaret Ryan, Platts' editorial director of global coal.
"Platts pioneered the world's most transparent coal
pricing with our Coal Industry Markers, which reflect
industry consensus on 90-day-forward pricing for major
grades of coal worldwide. With the increasing trend to
daily trading for specific-month forward delivery, these
new daily assessments will provide traders and brokers a
reliable and independent source against which to manage
their trading exposures and to mark their positions at the
end of each trading day."

    Platts' new daily price assessments reflect the
benchmark coal delivered into northwest Europe and the coal
at origin in South Africa. These are the first cash price
assessments made daily for use by market participants in
the increasingly active international trading of coal in
the forward-month physical delivery market. Until now,
international coal markets have been trading on a less
timely 90-day-forward delivery basis, with markets relying
on benchmark prices assessed on a weekly basis. 

    Platts' introduction of daily price assessments in coal
comes at a critical time when the coal-power industries,
global electricity consumers, and risk managers are
grappling with a demand-led price increase, Ryan noted.
European coal prices have topped their two-year highs above
$70/mt, after being range-bound between $60/mt and $70/mt
during most of 2006. The price climb has been triggered in
part by supply disruptions from Indonesia and Australia,
which has sent Asian coal buyers scrambling after supplies
from South Africa, the main supplier to Europe where coal
powers 50% of some nations' electricity.

    Platts' new assessments will benefit not only commodity
price watchers, but also dry bulk freight differential
traders who will gain a new reliable and independent daily
indicator of the physical freight component for next-month
delivery via the cost differential between price at origin
and price at destination. 

    For more information about coal freight differentials,
global coal prices and Platts' new daily coal price
assessments visit Platts at http://www.platts.com under the
Coal tab. Daily coal price assessments are available via
subscription to Coal Trader International.

    About Platts:

    Platts, a division of The McGraw-Hill Companies (NYSE:
MHP), is a leading global provider of energy and metals
information. With nearly a century of business experience,
Platts serves customers across more than 150 countries.
From 14 offices worldwide, Platts serves the oil, natural
gas, electricity, nuclear power, coal, petrochemical and
metals markets. Platts' real time news, pricing, analytical
services, and conferences help markets operate with
transparency and efficiency. Traders, risk managers,
analysts, and industry leaders depend upon Platts to help
them make better trading and investment decisions.
Additional information is available at
http://www.platts.com .
 
    About The McGraw-Hill Companies:

    Founded in 1888, The McGraw-Hill Companies (NYSE:  MHP)
is a leading global information services provider meeting
worldwide needs in the financial services, education and
business information markets through leading brands such as
Standard & Poor's, McGraw-Hill Education, BusinessWeek
and J.D. Power and Associates. The Corporation has more
than 280 offices in 40 countries. Sales in 2006 were $6.3
billion. Additional information is available at
http://www.mcgraw-hill.com .


    For more information, please contact:

     Kathleen Tanzy
     Tel:   [phone]

    In Europe:
     Shiona Ramage
     Tel:   [phone]

    In Asia: 
     Casey Yew
     Tel:   [phone]