The hard coking coal price is about 5.5% below the June quarter deal of $328/t from the Curragh mine.
This new contract is also $5/t lower than the benchmark of $315/t Anglo American Metallurgical Coal struck with Asian steel mills for this quarter according to various reports.
Wesfarmers Resources managing director Stewart Butel said the company was satisfied with the result and about 60% of sales for the September quarter will be at the new contract prices.
“Curragh metallurgical coal sales volume is forecast to be within the range of 6.8 to 7.2 million tonnes for the 2012 financial year, subject to no significant wet weather and satisfactory rail and port operations,” he said.
All of the metallurgical coal from the Curragh mine in Queensland, which also includes semi-hard coking and pulverised coal injection coal, is contracted under a quarterly pricing regime.
Hard coking coal prices peaked at around $330/t in the June quarter due to the impact of Queensland’s devastating wet season.