Platts to launch JKM forward curve June 1

Platts will launch forward assessments of JKM LNG DES Japan/Korea swaps activity on June 1, 2012. The assessments will reflect swaps based on the average of the front-line Platts Japan/Korea Marker (JKM) assessments and a standard clip size of 10,000 MMBtu. Platts will also consider larger clip sizes for swaps in its assessment process. Platts will launch swaps assessments for one month forward from its physical JKM, two months forward, and three months forward.

The swap months will roll forward on the 16th of the calendar month, the same time as the physical JKM assessment. If the 16th of the calendar month is a weekend or a holiday, the swap months will roll forward on the next business day. For example, on Tuesday, June 1, Platts will assess the physical JKM for July delivery, and will assess JKM swaps for August, September, and October. On Monday, June 18, Platts will roll the physical JKM to reflect August delivery, and will assess JKM swaps for September, October and November.

At the same time, Platts will launch another physical half-month assessment for LNG DES Japan/Korea on June 1, 2012. This forward physical half-month will reflect the same specification basis as Platts' other LNG DES Japan/Korea assessments, and will extend the physical forward curve out one half-month. For example, on Friday, June 1, Platts will assess H1 July, H2 July, H1 August and H2 August, and the JKM will reflect the average of the July half-months.

For questions or comments, please contact globallng@platts.com.