S&P Global Commodity Insights to launch Hebron crude assessment

S&P Global Commodity Insights will launch daily assessments for Hebron crude as an outright price and as a differential to the Canada Dated Brent Strip, effective June 1, 2022.

The new assessments will reflect the value of Hebron crude based on spot transactions for cargoes loading 30 to 60 days forward from the date of publication. The outright price would be derived from the forward value of Dated Brent with pricing typically one to five days after loading. The Canadian cargo markets are assessed at 4:30 pm London time.

The assessments will be published in US dollars per barrel as well as Canadian dollars per cubic meter. Associated monthly averages of the assessments also will be published. The Hebron assessment will reflect barrels loading FOB terminal basis Whiffen Head, Newfoundland, Canada. The typical cargo size will be 640,000 barrels, with a minimum of 550,000 barrels and a maximum of 960,000 barrels. S&P Global Commodity Insights originally proposed a minimum volume of 600,000 barrels. However, market feedback and an analysis of cargo loadings at Hebron indicated that lowering the minimum to 550,000 barrels would capture more of the cargoes destined for the US Gulf Coast market.

S&P Global already publishes daily Canadian cargo assessments for Hibernia, Terra Nova and White Rose crudes as outright prices and as differentials to the Canada Dated Brent Strip. The new Hebron assessment will help market participants better analyze crude flows offshore Newfoundland and Labrador, and gauge how Hebron competes with competing crudes going to Europe and the USGC.

The Hebron assessments will be published in Crude Oil Marketwire, North American Crude and Products Scan, Oilgram Price Report, as well as on Platts Global Alert and Platts Crude Alert pages 230, 231 and 233.

The descriptions and symbols are as follows:

Please send any feedback or questions to americas_crude@spglobal.com and pricegroup@spglobal.com.