Platts extends feedback period for proposed CPC Blend Suezmax assessment, amendment of netback calculations.

Platts, part of S&P Global Commodity Insights, has extended to April 15 the feedback period for a proposal to publish a standalone CPC Blend Suezmax assessment reflecting a 130,000 mt basis size.

The proposal published on Feb. 28 can be found here(opens in a new tab). The initial feedback period ended March 14.

The proposed standalone assessment will be published alongside Platts existing CPC Blend CIF Augusta Aframax assessment [AAHPL00].

Growing production from Kazakhstan's Tengiz oilfield, expected to add an additional 260,000 b/d of CPC Blend production capacity, has increased the prevalence of Suezmax-size cargoes in the grade's loading program, according to market participants and copies of loading schedules seen by Platts.

The proposed assessment would reflect cargoes of 130,000 mt pricing five days after B/L as standard loading in the period 20-40 days ahead of the assessment date.

Platts would consider bids and offers for cargoes between 90,000-140,000 mt for assessment purposes, subject to normalization back to the 130,000 mt basis size.

Platts proposes to amend its FOB Novorossiisk CPC Blend Suezmax netback calculation to align with the new CPC Blend CIF Augusta Suezmax assessment, reflecting a 130,000 mt basis size and deriving an FOB value through the netting back of freight costs, Black Sea additional war risk premiums, and Turkish strait demurrage in line with existing methodology.

As part of the proposal, Platts also proposes to publish a spread between its CPC Blend Aframax and Suezmax assessments on a CIF Augusta basis.

Please send all feedback to PriceGroup@spglobal.com and Europe_Crude@spglobal.com by April 15.

For written comments, please provide a clear indication if they are not intended for publication by Platts for public viewing.

Platts will consider all comments received and will make those not marked as confidential available upon request.