SUBSCRIBER NOTE: Platts proposes to discontinue M+1 Cash BFOE, rename other months

Following the move to month-ahead expiry by both Cash BFOE and ICE Brent futures, Platts is proposing to discontinue its assessments for M+1 Cash BFOE, M+1 BFOE EFP, and other related instruments. Platts also proposes to rename remaining BFOE assessments to align with conventions in other markets.

The move to month-ahead expiry for Brent futures contracts in January 2016 created alignment between futures markets and Platts assessments for cash BFOE, which also roll on a month-ahead basis. This means that M+1 Cash BFOE no longer has an equivalent futures month, and there is limited interest in a Cash M+1 BFOE physical market assessment.

As a result of this change, the complex of derivatives instruments based on M+1 Brent Futures, including M+1 BFOE EFP, ceased to trade from February 1 onwards.

Platts is therefore seeking feedback on the possible discontinuation of all M+1 Cash BFOE and M+1 BFOE EFP assessments, as well as all other assessments related to M+1 Cash BFOE. Platts proposes to discontinue these assessments with effect from October 3, 2016.

Platts would continue to assess M+2, M+3 and M+4 Cash BFOE as it does today. To align the names of these assessments with conventions in related markets, Platts further proposes to rename these remaining assessments. M+2 Cash BFOE is currently labeled as "M2" in most publication locations. The M+2 assessment would be renamed "M1". Likewise, "M+3" and "M+4" would be renamed "M2" and "M3" respectively under this proposal. Platts would also introduce this change to naming convention on October 3, 2016, under its current proposal.

Please send all comments to Europe_crude@platts.com and pricegroup@platts.com by May 31, 2016.

For written comments, please provide a clear indication if comments are not intended for publication by Platts for public viewing. Platts will consider all comments received and will make comments not marked as confidential available upon request.