Platts proposes to discontinue FOB China 90 RON gasoline assessment, amend 93 RON to 92 RON

S&P Global Platts is proposing to discontinue the South China 90 RON gasoline assessment and change the South China 93 RON gasoline assessment to reflect a 92 RON grade from August 3, 2020.

The proposal follows a trend of rising gasoline exports from South China for 92 RON oxygenated gasoline. China's gasoline exports surged 27.1% year on year to 16.37 million mt in 2019 as production outpaced domestic demand.

The discontinuation of 90 RON gasoline assessment and renaming of 93 RON to 92 RON grades come as exports of 90 RON and 93 RON gasoline from China have ceased, and replaced predominantly by 92 RON gasoline and some 91 RON gasoline. In particular, South China became a regular source of spot 92 RON gasoline cargoes after CNOOC completed expansion of its Huizhou refinery in late 2017.

The assessment will reflect specifications adhering to China's National Phase 5 standards, where parameters include maximum 10 ppm sulfur content, benzene at maximum 1% by volume, aromatics at maximum 40% by volume and olefins at maximum 24%.

The ports reflected in the South China assessment include Huizhou, Dongguan, Qinzhou and Hainan. Cargo loadings from these ports will be considered for assessment, while loadings from other ports will be normalized to Huizhou basis.

From August 3, 2020, Platts will publish an outright price for FOB South China 92 RON gasoline in $/mt, rounded to the nearest 25 cents/mt using a conversion factor of 8.5.

Under the proposal, the following assessment would be discontinued.

ASSESSMENT CODE MAVG

Gasoline Unl 90 FOB South China AAICU00 AAICV00

The 93 RON assessment would be renamed to 92 RON. The code remains unchanged.

ASSESSMENT CODE MAVG

Gasoline Unl 92 FOB South China AAICW00 AAICX00

Please send all feedback, comments and questions by May 30, 2020, to asia_products@spglobal.com and pricegroup@spglobal.com

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