Platts to launch high-grade manganese ore value-in-use differentials, change specifications for current ore grades

Platts, part of S&P Global Commodity Insights, is expanding its CIF China manganese ore coverage by launching weekly value-in-use (VIU) assessments of iron and silica differentials for high-grade 44% manganese ores.

Platts is also revising the content specifications of both its existing 44% and 37% manganese ore assessments.

The launch and revised specifications will take effect May 5, 2023.

The decision to launch VIU differentials reflects a growing demand for increased transparency in spot pricing. Market feedback is that determining potential penalties and premia for iron (Fe) and silica (SiO2) content of high-grade manganese ores would improve price normalization.

The differentials will be determined by analyzing data gathered from industry sources buying or selling cargoes with differing Fe content and differing silica impurities.

The VIU assessments will be published every Friday alongside Platts weekly manganese ore CIF China assessments with specifications as stated below:

• Manganese Ore Iron (Fe) Differential per 1% (above 40% Manganese ore)
• Manganese Ore Silica (SiO2) Differential per 1% (above 40% Manganese ore)

The assessments will reflect a 17:30 pm Singapore timestamp with a unit price of US dollars per dry metric ton unit.

At the same time, Platts has decided to change the current assessed specifications for the iron content of 44% manganese ore from 6% to 4%, and semi-carbonate manganese ore content from 37% to 36%, considering market feedback.

Platts manganese ore specifications will be revised as follows:

The assessments are published on Platts Metals Alert pages MTL 395 and PMA 395, Platts Metals Daily, Steel Markets Daily, on Platts Market Center, in Platts Dimensions Pro and the Platts price database.

Platts originally published the proposal note on March 17, which can be found at:

https://www.spglobal.com/commodityinsights/en/our-methodology/subscriber-notes/031723-platts-proposes-to-launch-high-grade-manganese-ore-value-in-use-differentials-change-specifications-for-current-ore-grade

Market participants are invited to send all comments, feedback, and questions to pl_asia_nonferrous@spglobal.com and pricegroup@spglobal.com.

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