Platts launches CIF UK ULSD cash differential assessment

S&P Global Platts has launched the publication of a daily price assessment for the CIF UK ultra low sulfur diesel MOPL differential with effect from Monday, March 2, 2020, under the code AUKMA00.

The assessment will reflect the latest UK specification, as defined by the ratified version of the British Standard Institution of European Standard EN590.

This follows a decision note published on February 17, which can be found here: https://www.spglobal.com/platts/en/our-methodology/subscriber-notes/021720-platts-to-launch-cif-uk-ulsd-cash-differential-assessment.

The new assessment will be published only as a differential to the existing Mean Of Platts London (MOPL) NWE ULSD cargo strip, extrapolated from the existing CIF ARA ULSD cargo assessment (basis ARA) assessment (Code: AAVBG00).

The MOPL strip is defined as the sequence of the 16 days that represent the future delivery dates reflected in Platts CIF NWE ULSD cargo (basis ARA) assessment (Code: AAVBG00), and this represents the value the market assigns to future Platts assessments on those days.

This is calculated on the basis of the daily assessed forward curves.

The assessment would be published in addition and alongside the existing Platts Diesel 10ppm UK CIF NWE Cargoes assessment (Code: AAVBH00).

This is currently assessed as a freight net-forward to the ULSD 10 ppm CIF NWE (basis ARA) assessment (Code: AAVBG00), based on the incremental freight differential to typical UK ports and using daily freight rates published in the Platts Clean Tankerwire.

Platts is monitoring discussions around proposed changes to diesel specifications in Europe and the UK.

Please send any comments or feedback to europe_products@spglobal.com and pricegroup@spglobal.com.

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