Quotation Pricing Certainty

For some contracts, the pricing may be unknown or may be one of several options and the pricing is decided per despatch order, by a configured date (relevant to the despatch order). See Declare Unknown or Optional Pricing for a Despatch Order. However, specifying pricing at the contract level means that despatch order snapshots can be calculated. The results of the snapshots may be important for the decision making; for example, to show if one pricing option is more favourable than another.

There are 3 levels of quotation pricing (QP) certainty:

  1. Agreed (default)—MineMarket creates one QP line in the Quotation Pricing table for the final QP header. Additional QP lines can be added to this table if required. Final invoices can be created when required data (prices, weights, assays) are available.
  2. Unknown—MineMarket creates one QP line on the Quotation Pricing table for the final QP header. Additional QP lines can be added to this table if required. The Pricing Method of the line can be set to be Unknown. By default, the QP line has a quotation period of MOS(0,0). However, the price used in the final invoice can be based on the declaration date or adjusted to the third Wednesday of the month. Alternatively, a 'screen price' can be entered during declaration. The screen price is used as a fixed price for the QP.

    An unknown QP line can be declared in its entirety or in partial quantities. A final invoice cannot be created until the QP line is fully declared, even if data (prices, weights, assays) are available.

  3. Optional—MineMarket creates one QP line on the Quotation Pricing table for the final QP header. Additional QP lines can be added to this table as separate lines, or as optional QP lines. If optional QP lines are added, the first (bold) QP line in a group of optional QP lines is the default QP line. Despatch order snapshots are calculated using the default QP line. A final invoice cannot be created until the QP line is declared, even if data (prices, weights, assays) are available. After declaration, only the declared QP line displays on the Pricing tab of the despatch order.

The quotation pricing certainty only affects QP headers for the final invoice iteration type. A final invoice can only be calculated successfully if all required QPs have been declared (including for different analytes or child despatch orders if applicable). The QP line configuration includes the date by which the QP must be declared. If a fixed date is selected, the declaration of optional QPs can be done in the contract terms and applies to all despatch orders that use that QP configuration. See Declare Optional Pricing in a Set of Contract Terms. The Declare By date can also be either the start or end of the quotation period. If a relative date is selected, the declaration must be done per despatch order. Unknown QPs can only be declared per despatch order.

The Declaration Date Notification Billboard can be used to view the despatch orders with an undeclared QP, and for which the declaration date is today or has passed. Alternatively, an alert can be configured. See Alert Example - Declaration Date Notification.

Unknown and optional QP lines are not applicable in sets of Mark To Market terms.