Platts to launch Asia bioethanol MOC June 1

Platts will introduce its Market-On-Close (MOC) price discovery process to facilitate the assessment of its Asian undenatured, anhydrous bioethanol spot prices from June 1, 2011. This process is aligned with those employed in the physical Asian aromatics, gasoline components, oil and refined products.

The Platts assessment methodologies for Asia reflect the prevailing market price at 16:30 pm Singapore time (0830 GMT). Platts also takes into its editorial consideration bids, offers and transactions seen during the assessment day. These inputs are analyzed and normalized to reflect a market value at 16:30 pm Singapore time.

From June 1, credible market participants are invited to submit their bids and/or offers for publication on Platts Petrochemical Alert (PCA) realtime service's page 005.

Registration of prices should be communicated to Platts before 16:00 pm Singapore time. Participants can increase bids and/or decrease offers at a maximum of $1/cubic meter every minute.

No changes are allowed to price indications from 16:28 pm. Participants may only elect to withdraw their prices or trade up to the close of the assessment process at 16:30 pm Singapore time.

Below are basic guidelines to participant in the Asian ethanol MOC process:

Registration of price indications: Before 16:00 pm Singapore time

Incrementability: Maximum $1/cubic meter every 1 minute

Repeatability: Maximum of 1 minute to repeat a bid or offer following a trade

Final state: No changes are allowed to price indications between 16:28 to 16:30 pm Singapore time. Participants may only elect to withdraw or trade, up to the close of the assessment process.

Extension: A 3-minute extension of the MOC will be triggered in the event a repeat bid or offer following a trade is made in the last 1 minute, in order to adequately test repeatability of the trade.

Standard trading terms: 1,000-3,000 cu m cargo size, credit terms L/C at sight up to 30 days for cargoes conforming to Philippine National Standard specifications (PNS/DOE QS 007:2005) under current definitions 3.1 and 3.2. Assessed loading dates 15-30 days forward for FOB Singapore, assessed delivery timings 45-60 days forward for CIF Philippines.

Platts applies the timing deadlines strictly. For the purposes of clock synchronization, market participants may find the following internet link to be helpful: http://www.time.gov

For more details on Platts Guidelines for PCA 005 assessment process please go to http://www.platts.com/IM.Platts.Content/MethodologyReferences/MethodologySpe cs/PCA005Trading.pdf or http://bit.ly/PCA005trading For comments or queries please contact Michelle Ho at michelle_ho@platts.com, Ihsan Rahim at ihsan_rahim@platts.com, Shahrin Ismaiyatim at shahrin@platts.com with a copy to petchems@platts.com and pricegroup@platts.com.