S&P Global clarifies position on merchantability of Russia-origin LNG into Northwest Europe

S&P Global Commodity Insights is clarifying that its Platts DES Northwest Europe LNG price assessment solely reflects merchantable material for cargo deliveries in Northwest Europe.

Due to recent observed changes in buying practices in the LNG cargo markets, S&P Global considers that Russia-origin LNG is not presently merchantable on the same basis as other production origins.

Consequently, until this situation changes, bids, offers and trades reported in the Platts LNG Atlantic Market on Close assessment process for the DES NWE assessment do not reflect Russia-origin LNG.

This follows similar guidance published March 7, 2022, for Russia-origin cargo deliveries in North Asia and the Platts JKM MOC process: https://www.spglobal.com/commodity-insights/en/pricing-benchmarks/our-methodology/subscriber-notes/030722-s-p-global-commodity-insights-clarifies-position-on-merchantability-of-russia-origin-lng.

Additionally, further information on S&P Global's consideration of merchantability can be found in the following subscriber note, published March 2, 2022: https://www.spglobal.com/commodity-insights/en/pricing-benchmarks/our-methodology/subscriber-notes/030222-further-guidance-on-sanctions-embargoed-material-in-s-p-global-commodity-insights-platts-price-assessment-processes.

Please send all feedback, comments or questions to LNGeditorialteam@spglobal.com and pricegroup@spglobal.com. For written comments, please provide a clear indication if comments are not intended for publication by S&P Global for public viewing. S&P Global will consider all comments received and will make comments not marked as confidential available to the public upon request.