SUBSCRIBER NOTE: Platts proposes changes to clean 22kt UKC-UKC tanker assessment methodology

S&P Global Platts proposes to change the methodology of its 22,000 mt UK Continent to UK Continent clean tanker assessment, effective July 1, 2018.

This assessment is currently assessed based on reported deals, bids, offers and market pegs for 22,000 mt cargoes moved on the UKC to UKC route on Flexisize clean tankers and is published on the Platts Global Alert page MH1910 under the code PFALY00 and on the Clean Tankerwire.

Platts proposes to calculate the price for this assessment by pro-rating the Worldscale multiplier values of the upcoming 30,000 mt UKC-UKC Handysize route, which was proposed in a subscriber note published on April 30, 2018 (https://www.platts.com/subscriber-notes-details/26951822) for 22,000 mt stems.

For example, if the Worldscale value for the 30,000 mt UKC-UKC route was assessed at w140, the calculation for the 22,000 mt UKC-UKC route would look as follows: 140/22,000*30,000 = w191.

This change is proposed following extensive market feedback and research, which indicated a lack of spot liquidity in the Flexisize tanker segment.

Also Platts proposes to amend the Worldscale flat rates basket, which is used for calculating the dollar per metric ton assessment on this route, which is published under the code TCABV00. The basket would be aligned to the 30,000 mt UKC-UKC Handysize assessment and will reflect loadings from Rotterdam, Western Sweden and the Loire river, and discharge at ports including Antwerp, Immingham and Thames.

Please send all comments or questions by May 25, 2018 to tankers@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. Platts will consider all comments received and will make comments not marked as confidential available upon request.