Raspadskaya raises Q2 coal concentrate price, agrees supply volumes

Raspadskaya Coal Company (Raspadskaya), the second largest coking coal producer in Russia, has announced the completion of negotiations with Russian consumers on supply volume and price level of coal concentrate for Q2 2012.
 
Accordingly, in Q2 2011, Raspadskaya's coal concentrate contract price for semi‐hard coal grades on FCA Mezhdurechensk basis increased compared to February‐March 2011 contract price of US$156/mt (Ruble 4,500/mt), rising to US$172.9/mt (Ruble 4,930/mt).
 
Raspadskaya said that it continues to sell its hard coking coal in raw state. The price for this coal product is determined by conversion of the coal concentrate price for this coal grade into the price for raw coal.
 
In addition, Raspadskaya has continued negotiating new contracts and extensions of earlier long‐term contracts with key Russian consumers, considering its plans for production recovery and growing demand for coal concentrate from Russian metallurgical and coke plants.
 
Raspadskaya also said that it received offers for medium‐term cooperation from several international companies and is currently considering them in terms of balance of demand and its production volume as well as price dynamics in the export markets.
 
$1 = Ruble 28.8412 for February‐March 2011
$1 = Ruble 28.5162 as of April 1, 2011