SUBSCRIBER NOTE: Platts to update volume reflected in LA jet fuel

Following a period of industry feedback ending March 6, Platts will update its Los Angeles jet fuel pipeline methodology and specifications to align with standard market convention of trading in minimum 25,000-barrel volumes.

Platts currently reflects a minimum shipment size of 10,000 barrels and a maximum shipment size of 25,000 barrels. Through this revised methodology, Platts assessments will reflect standard shipment sizes of 25,000 barrels only.

Platts will continue to consider other traded lot sizes reported in the market, but such trades may be normalized to reflect a 25,000-barrel parcel.

The proposed change reflects close engagement with the market and a review of market trading practices.

Platts will implement these changes March 20, 2015. The amendment to a 25,000 barrels volume basis reflects the value of fuel for delivery on the Kinder Morgan Pipeline System, with an option to deliver at Los Angeles International Airport (LAX).