SUBSCRIBER NOTE: Platts to adjust NWE GCI month-ahead +1 calculations from May 1

Platts' month-ahead +1 calculations of the NW Europe oil-indexed gas indicator (NWE GCI) for the period of August 1, 2014, to April 1, 2015, were generated using a five-month average of 0.1% gasoil and low sulfur fuel oil rather than a six-month average as indicated in Platts European Natural Gas Methodology.

With effect from May 1, 2015, the month-ahead +1 NWE GCI will be calculated based on a six-month average reflecting average gasoil and fuel oil prices for the period one to six months ago. For the May 1, 2015, month-ahead +1 calculation, this means that the average will reflect gasoil and fuel oil prices between November 2014 and April 2015. The Platts NWE GCI is a gas price indicator showing the theoretical out-turn price of a model oil-linked long-term NW Europe gas sales contract. Platts takes average low sulfur fuel oil and 0.1% gasoil prices for Northwest Europe and applies a 45%/55% gasoil/fuel oil weighting. A fixed discount factor of 30% is applied in producing the gas price indicator to reflect the fact that traditional sales contracts price gas below the straight oil-equivalent price. The model does not include any additional discount factors to account for the recent contract renegotiations. Long-term gas contracts normally have a six- to nine-month time lag. The Platts current month indicator is based on average prices for periods three to eight months prior. The forward month indicator is based on average prices for periods two to seven months ago. The forward month +1 indicator is based on average prices for periods one to six months ago. Platts invites comments and feedback to power@platts.com with copy to pricegroup@platts.com.