Fertilizers, Chemicals, Energy Transition, Renewables
April 01, 2025
Platts proposes discontinuation of weekly FOB Middle East contract and spot assessments; refine daily and weekly FOB Middle East specifications
Platts, part of S&P Global Commodity Insights, proposes to discontinue two weekly FOB Middle East assessments and adjust and align the remaining daily and weekly FOB Middle East specifications, effective June 27, 2025.
The weekly FOB Middle East (FAMEA04) ammonia assessment is currently published as a range with a low and high value. It is formed of the weekly FOB Middle East – netbacks from contract/formula-priced sales (FAMEB04) and FOB Middle East – spot (FAMEC04) assessments.
Platts proposes discontinuing the FOB Middle East – netbacks from contract/formula-priced sales (FAMEB04) and FOB Middle East – spot (FAMEC04) assessments, leaving the overarching FOB Middle East (FAMEA04) assessment as the only weekly price.
The weekly FOB Middle East (FAMEA04) assessment would be directly linked to the daily FOB Middle East (FAMEC00) assessments. The low-high range of the daily assessment would reflect the lowest and highest value published over the trading week (Friday to Thursday).
The changes are proposed in view of a lack of transparency on formula-based pricing and netbacks from CFR deliveries under long-term contracts and to avoid duplication of the spot price assessments.
As a result, the currently overarching FOB Middle East (FAMEA04) assessment would reflect only spot pricing, and the relationship between the remaining daily and weekly FOB Middle East assessments would be standardized, with the weekly low-high FOB Middle East assessment consistently reflective of the lowest and highest of the daily FOB Middle East assessments published over the course of the preceding week. To enable this, the specifications of the daily and weekly FOB Middle East assessments would be adjusted and aligned.
The quantity specification for each of the remaining assessments would be changed from 4,000 mt in the case of the weekly assessment and 10,000-25,000 mt in the case of the daily assessment to a basis of 25,000 mt, with price information relating to other volumes normalized to this point where necessary.
The location specification of each assessment would also be narrowed, with Ras al Khair in Saudi Arabia pinpointed as a basis, and price information relating to product from other relevant regional locations, including Qatar, Oman and Bahrain, but excluding Iran, will be normalized to this point where necessary.
The following aligned specifications are proposed for the daily and weekly FOB Middle East assessments:
| Current | Proposed | |
| Assessment Name | FOB Middle East – daily (FAMEC00) | FOB Middle East – daily (FAMEC00) |
| Quality | Anhydrous ammonia, which is around 82% nitrogen and is stored and transported as a liquid under pressure at around minus 33 degrees Celsius | Anhydrous ammonia, which is around 82% nitrogen and is stored and transported as a liquid under pressure at around minus 33 degrees Celsius, with no restrictions on carbon intensity |
| Quantity | 10,000-25,000 mt | Basis 25,000 mt. Information relating to other cargo sizes can be considered and normalized as required |
| Basis and location | Spot. Ammonia-exporting ports/terminals in Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, UAE. Other locations may be used when reflective of the market and normalized | Spot. Basis port Ras Al Khair, Saudi Arabia. Excludes Iran |
| Timing | Product to be shipped 1-6 weeks forward | Loading one to six weeks forward |
| Frequency | Daily | Daily |
| Appears in | Platts Fertecon Daily | Platts Fertecon Daily |
| Unit of assessment | US dollars per mt | US dollars per mt |
| Timestamp | 16:30 London close, published according to the London publishing calendar | 16:30 London close, published according to the London publishing calendar |
| Current | Proposed | |
| Assessment Name | FOB Middle East – weekly (FAMEA04) | FOB Middle East – weekly (FAMEA04) |
| Quality | Anhydrous ammonia, which is around 82% nitrogen and is stored and transported as a liquid under pressure at around minus 33 degrees Celsius | Anhydrous ammonia, which is around 82% nitrogen and is stored and transported as a liquid under pressure at around minus 33 degrees Celsius, with no restrictions on carbon intensity |
| Quantity | Minimum 4,000 mt | Basis 25,000 mt. Information relating to other cargo sizes can be considered and normalized as required. |
| Basis and location | Contract and spot. Countries covered: Bahrain, Iran, Kuwait, Oman, Qatar, Saudi Arabia, UAE. Loading ports: all ammonia-exporting ports/terminals in the countries listed above, including Al Jubail, Bandar Imam Khomeini, Bandar Assaluyeh, Mesaieed, Ras al Khair, Ruwais, Shuaiba, Sitra, Sur. This range is a combination of the FOB Middle East – netbacks on contract/formula priced sales and FOB spot. | Spot. Basis port Ras Al Khair, Saudi Arabia. Excludes Iran. |
| Timing | Product to be shipped up to six weeks forward | Loading one to six weeks forward |
| Frequency | Weekly | Weekly |
| Appears in | Ammonia Market Report | Ammonia Market Report |
| Unit of assessment | US dollars per mt | US dollars per mt |
| Timestamp | 16:30 London close, published according to the London publishing calendar | 16:30 London close, published according to the London publishing calendar |
Platts also proposes to launch a third "close" value for the weekly FOB Middle East assessment, reflecting market value at 4:30 pm London time on Thursdays, mirroring that day's daily assessment.
The daily FOB Middle East assessment would continue to appear in the Platts Fertecon Daily PDF and be available via Platts Connect.
The proposed "close" value for the weekly FOB Middle East assessment would appear in the Ammonia Market Report PDF each Thursday alongside the established weekly FOB Middle East range assessment.
Please send any feedback, questions and comments to fertilizer@spglobal.com and pricegroup@spglobal.com by April 16, 2025.
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