S&P Global clarifies on Russia-origin material in Asian naphtha cargo MOC

S&P Global Commodity Insights would like to clarify that its Platts oil price assessments reflect merchantable material in the physical spot market.

Platts has observed that, for a significant portion of the Asian naphtha spot market, material of Russian origin is no longer deemed merchantable on the same basis as other production regions.

As such, Platts assessments of Asian naphtha will no longer reflect Russia-origin product, effective immediately. All bids, offers and trades in the Platts Market on Close assessment process for Asian naphtha markets will no longer reflect Russia-origin material. In performance of trades reported in the MOC, required documentation proving the origin of the material should not be unreasonably withheld.

This clarification applies to the following naphtha assessments; C+F Japan (min 70%) (NCJCA00), C+F Japan (PAAAD00), C+F South Korea (PAADE00) and CFR Singapore (AAOVF00) and related differential, netback and net-forward assessments. Further information on Platts consideration of merchantability can be found in the following subscriber note, published March 2, 2022: https://www.spglobal.com/commodity-insights/en/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 asia_oilproducts@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.