Powder River Basin Coal
Powder River Basin coal is coal produced in the Powder River basin, a region located in southeast Montana and northeast Wyoming. It is defined as “sub-bituminous” coal with an average energy content of 8,500 btu/lb and low in sulfur dioxide (SO2).
The Powder River region is said to contain the largest deposits of coal on the planet. The region supplies about 40% of the coal consumed as electricity in the US. Almost all of the coal in the Powder River Basin is federally owned a leased to mining companies. There are currently 13 mining companies operating in this area.
Powder River Basin Coal futures are traded at the ICE Europe under ticker symbol UCP. Contract size is 1,000 tons quoted in US dollars per ton.