SUBSCRIBER NOTE: Platts proposes FOB ARA 0.1% sulfur DMA spec MGO barge assessment

S&P Global Platts proposes to begin publishing daily assessments for FOB Amsterdam-Rotterdam-Antwerp (ARA) Marine Gasoil barges of ISO 8217:2010-F-DMA specification, with maximum of 0.1% sulfur, effective June 3, 2019.

Platts has received market feedback of increased demand for MGO barges in ARA since the lowering of the Emission Control Area [ECA] zone sulfur cap to 0.1% from the start of 2015.

Loading dates: Platts proposes to assess the value of MGO barges loading FOB ARA 3-15 days ahead on Monday and Tuesday, and 5-15 days ahead on Wednesday through Friday.

Clip size: Platts proposes to assess the value of 1,000-3,000 mt parcels of MGO, with volume nomination in the buyer's option. Trades for other sizes would also be taken into account, and where appropriate normalized.

Loadports: All bids/offers and trades will be published FOB ARA (Amsterdam-Rotterdam-Antwerp). Upon a deal, a seller can nominate any standard terminal in ARA.

Pricing bases: Platts proposes to reflect all standard market practice in the existing trade of FOB MGO barges: EFP (ICE LSGO M1 and ICE LSGO M2), flat price, and Platts 0.1% gasoil barge-related.

Operational Tolerance: Platts reflects bids, offers and trades that limit a counterparty's price exposure to operational tolerance. Operational tolerance is typically limited to plus or minus 5% of the transacted size for barges. For floating and flat price indications, Platts will deem the pricing of the operational tolerance to occur at the three quotations after Bill of Lading, with the same differential as the main volume, where applicable.

Please send any comments or questions by March 15, 2019 to europe_products@spglobal.com and pricegroup@spglobal.com

For written comments, please provide a clear indication if comments are not intended for publication by Platts for public viewing. Platts will consider all comments received and will make comments not marked as confidential available upon request.