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What does Teck’s new port contract mean for US PRB exports?
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Report summary
On 8 January 2020, Teck Resources Ltd. (Teck) announced an expanded shipping contract with Ridley Terminals Inc. According to Teck’s statement, the contract runs from 2021 to 2027 and increases its throughput capacity at the Ridley terminal from 3 Mtpa to 6 Mtpa with an option to extend capacity up to 9 Mtpa. PRB producers will likely keep a close eye on Pacific prices in hopes that they can utilise the once coveted western port capacity.
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