Lignite is low-grade brown coal, which is soft with high moisture content. Coal that has been buried deep and subjected to increased temperatures is bituminous coal. Metallurgical coal is high-grade bituminous coal which has a special value for smelting iron in blast furnaces. Anthracite is the highest quality of hard coal. So, high-grade coal should be hard with less moisture and greater carbon content, and not the opposite. So, statement 1 and 2 are NOT correct.