LNG, Refined Products, Crude Oil, Fuel Oil

February 01, 2024

Platts launches DES Brazil LNG cargo assessments

Platts, part of S&P Global Commodity Insights, has launched DES Brazil LNG price assessments reflecting the value of spot cargoes delivered into Brazil markets, effective Feb. 1.

Platts publishes the assessment as a differential to Platts NWE, as well as on an outright basis. Platts uses the existing symbol LEBMH01 for its DES Brazil price assessment. The symbol has been renamed to DES Brazil from DES Brazil Netforward.

Latin American imports have regularly been around 15 million mt/year in the past few years, having also shown the potential to increase significantly depending on weather conditions, and play a very important role in LNG spot market price formation. With import capacity growing in the years to come, the continent will likely continue to have an important role.

BASIS AND LOCATION: Spot cargoes delivered ex-ship (DES) to ports in Brazil are considered in the assessment. DES Brazil is the standard delivery basis of the assessment, and spot cargoes delivered to other countries in Latin America may be considered and normalized.

TIMING: Platts assesses spot prices of cargoes for delivery 15 to 45 days forward from the day of assessment.

QUALITY: DES Brazil assessments reflects a GHV range of 1,000-1,150 Btu/Scf. Platts may normalize pricing information with different quality ranges.

QUANTITY: DES Brazil assessments reflect a standard delivered quantity of 3.5 TBtu, with an operational tolerance, or optol, of +/-5% at the sellers option.

LNG VESSEL: Platts reflects LNG vessel size range of 150,000-185,000 cu m.

Platts decided to launch this assessment Dec. 28, via a subscriber note available here: https://www.spglobal.com/commodityinsights/en/our-methodology/subscriber-notes/122823-platts-to-launch-des-brazil-lng-cargo-assessments, following a proposal Nov. 29 via a subscriber note available here:

https://www.spglobal.com/commodityinsights/en/our-methodology/subscriber-notes/112923-platts-proposes-launch-of-des-latin-america-lng-cargo-assessments

As a result of this launch, Platts has changed the DES Brazil LNG Netforward (LEBMH01) from a calculation to a market-based price assessment, named DES Brazil. The following symbols connected to said assessment (LEBMH01) are tied to the DES Brazil Spot LNG assessment at its launch:

Symbol Assessment name New assessment name
LEBMH01 DES Brazil Netforward Mo01 DES Brazil
LAARM01 DES Brazil Netforward vs ARA Fuel Oil DES Brazil vs ARA Fuel Oil
LDBTM31 LNG DES Brazil Netforward vs Dutch TTF Physical MAvg LNG DES Brazil vs Dutch TTF Physical $/MMBtu MAvg
LEBMH31 DES Brazil Netforward Mo01 MAvg DES Brazil MAvg
LAAR003 DES Brazil Netforward vs ARA Fuel Oil MAvg DES Brazil vs ARA Fuel Oil MAvg
LADBM01 DES Brazil Netforward vs Dated Brent DES Brazil vs Dated Brent
LABPM01 DES Brazil Netforward vs NBP DES Brazil vs NBP 16:30 London
LAHHM01 DES Brazil Netforward vs Henry Hub DES Brazil vs Henry Hub 16:30 London
LASWM01 DES Brazil Netforward vs DES Med LNG DES Brazil vs DES Med LNG
LADB003 DES Brazil Netforward vs Dated Brent MAvg DES Brazil vs Dated Brent MAvg
LASW003 DES Brazil Netforward vs DES Med LNG MAvg DES Brazil vs DES Med LNG MAvg
LAJKM01 DES Brazil Netforward vs JKM DES Brazil vs JKM 16:30 London
LDBTM01 LNG DES Brazil Netforward vs Dutch TTF Physical LNG DES Brazil vs Dutch TTF Physical
LAJK003 DES Brazil Netforward vs JKM MAvg DES Brazil vs JKM 16:30 London MAvg
LABP003 DES Brazil Netforward vs NBP MAvg DES Brazil vs NBP 16:30 London MAvg
LAHH003 DES Brazil Netforward vs Henry Hub MAvg DES Brazil vs Henry Hub 16:30 London MAvg

The fixed pages impacted are PGN1079, LNG2821, LNG2820, LNG0850, LNG1053 and LNG1052.

Please send all feedback, comments and questions to LNGeditorialteam@spglobal.com and pricegroup@spglobal.com.

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