Platts to stop reflecting COD basis pricing in North Sea CIF Rotterdam crude MOC

Following extensive market feedback, S&P Global Platts will no longer reflect North Sea CIF Rotterdam cargo bids and offers for crude on a Completion of Discharge pricing basis in the Platts Market on Close assessment process, effective May 10, 2021.

Platts understands that the vast majority of North Sea CIF Rotterdam cargo trades are priced basis deemed B/L, and that alternative COD pricing is not typically traded in the market.

This follows a proposal note published Feb. 17, which is available here:

https://www.spglobal.com/platts/en/our-methodology/subscriber-notes/021721-platts-proposes-to-stop-reflecting-cod-basis-pricing-in-north-sea-cif-rotterdam-moc

Platts already reflects North Sea CIF Rotterdam cargo bids and offers pricing on a 2-1-2 around deemed Bill of Lading (B/L) basis as standard, but also currently publishes bids and offers on a COD basis. Under the updated methodology, Platts will continue to reflect bids, offers and trades that price alternatively either on a Cash BFOE basis or full-month average, in line with the current North Sea CIF Rotterdam methodology.

For assessment purposes, the deemed B/L will continue to be one day forward from the first day of the delivery laycan for Forties and Ekofisk, and two days forward for Brent, Oseberg and Troll.

Platts will continue publishing market information pricing on a COD basis, but would no longer include that information in its MOC assessment process.

Please send all comments to europe_crude@spglobal.com and pricegroup@spglobal.com.

For written comments, please provide a clear indication if comments are not intended for publication by Platts for public viewing.