Liquid Asphalt has to compete with other products that are refined from crude oil and energy prices are currently soaring due to inflation. Imagine bidding today’s cash price and the cost of the hedge instead of guessing at some future price. Solution: New app that forecasts future liquid asphalt prices. Created by Brian Lawrence, president of Asphalt Unlimited, a 30+ industry expert, helps Asphalt Producers and Highway Contractors bid future work.
This app is based on Asphalt Unlimited’s proprietary algorithm that pulls the daily closing prices of a variety of energy products from the NYMEX and provides an asphalt projection that mirrors the coker values of asphalt. It has been back tested against 13 years of published coker values and it produced a correlation (r-value) of 98.8%. Almost a perfect, positive correlation. This gives the projection an actual basis in reality because it is based on today’s closing futures prices.
The values produced by the app are a retail (rack) projection and are also tailored to specific geographic areas in the 48 contiguous United States. The prices are given in ranges and are suggestive of what is a reasonable value to possibly include in a bid. The app is subscription based and all annual subscribers receive private asphalt pricing consultation with Brian Lawrence, if desired. For more, visit www.asphaltunlimitedllc.com.