Platts proposes to publish MTBE US Gulf Coast differential assessment to NYMEX RBOB

Platts, part of S&P Global Commodity Insights, proposes to publish a differential versus NYMEX RBOB futures for its existing US Gulf Coast MTBE assessments effective April 10, 2023, in light of market feedback.

Platts understands that NYMEX RBOB-related pricing is common market practice in the US Gulf Coast MTBE market and that it would bring greater transparency to the market to align the Platts MTBE assessments with typical market practice.

Platts proposes to start publishing the new differential alongside the outright assessment already published for this market.

The differential would be assessed versus the prevailing front month NYMEX RBOB futures at 1.30 pm CT each day.

Platts is proposing to roll the differential to the next month (forward month) NYMEX RBOB contract when the assessed mid-window and back-end (eight-15 days forward) portion of the five-15 days forward MTBE loading laycan falls entirely within the next calendar month.

This occurs eight calendar days prior to the end of the month inclusive of the last day of the month, or on the next trading day, if the roll date falls on a non-publishing day.

For example, on Feb. 20, Platts would publish the differential against NYMEX March RBOB. On Feb. 21 it will roll, and Platts would publish the differential against NYMEX April RBOB.

In addition to these changes, a new eWindow instrument would be created that would allow market participants to bid, offer and trade on an RBOB-related basis, basis either the M1 RBOB or M2 RBOB contracts.

Platts may normalize any bids, offers and trades that are basis M2 RBOB to M1 RBOB, where applicable.

The proposed differential:

US Gulf Coast MTBE vs NYMEX RBOB

Please send any questions, comments or feedback to petchems@spglobal.com and pricegroup@spglobal.com by March 10, 2023.

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.