SUBSCRIBER NOTE: Platts to discontinue most Japan domestic waterborne assessments Oct 1

Following market feedback, S&P Global Platts will discontinue publishing assessments for Japan domestic waterborne gasoline, gasoil, kerosene, A-fuel oil and low sulfur A-fuel oil, effective October 1, 2020, with the exception of waterborne assessments for gasoil and kerosene FOB Tokyo Bay, LC1 laycans, which Platts is separately proposing to discontinue from April 1, 2021.

Platts launched its first waterborne assessments on April 25, 2016, following feedback from key Japanese stakeholders in the Japan domestic oil products markets. But since April 2017, a significant decline in liquidity within the domestic spot market was observed following consolidation among Japanese refiners.

The proposal to discontinue publishing Japan domestic waterborne oil product assessments can be found here: http://plts.co/MN9c30qFzos

Platts remains committed to reporting on and publishing price assessments for the Japanese domestic rack market across all refined products. There are no plans to discontinue the rack assessments.

The discontinuation of the waterborne assessments is for all the four hubs Platts assesses currently, namely Tokyo Bay, Chukyo, Hanshin and Onishi, each with two half-month laycans (LC1 and LC2), except for waterborne assessments for gasoil and kerosene for Tokyo Bay, LC1 laycans, that would be discontinued from April 1, 2021.

Platts is also discontinuing the sulfur code for A-Fuel Oil (JPOXT00) from October 1, 2020, in line with the proposed discontinuation of the Japan domestic waterborne assessments.

The list of price symbol codes for the waterborne products proposed to be discontinued is as below.

The discontinuation will affect the following assessments:

RON89 Gasoline Oil Waterborne Daily Assessments Price symbol codes

RON89 Gasoline FOB Tokyo Bay LC1 Waterborne PJPAA00

RON89 Gasoline FOB Tokyo Bay LC2 Waterborne PJPBG00

RON89 Gasoline FOB Chukyo LC1 Waterborne PJPAF00

RON89 Gasoline FOB Chukyo LC2 Waterborne PJPBH00

RON89 Gasoline FOB Hanshin LC1 Waterborne PJPAL00

RON89 Gasoline FOB Hanshin LC2 Waterborne PJPBJ00

RON89 Gasoline FOB Onishi LC1 Waterborne PJPCH00

RON89 Gasoline FOB Onishi LC2 Waterborne PJPCN00

Kerosene Waterborne Daily Assessments Price symbol codes

Kerosene FOB Tokyo Bay LC1 Waterborne PJPAC00

Kerosene FOB Tokyo Bay LC2 Waterborne PJPBK00

Kerosene FOB Chukyo LC1 Waterborne PJPAH00

Kerosene FOB Chukyo LC2 Waterborne PJPBL00

Kerosene FOB Hanshin LC1 Waterborne PJPAN00

Kerosene FOB Hanshin LC2 Waterborne PJPBM00

Kerosene FOB Onishi LC1 Waterborne PJPCJ00

Kerosene FOB Onishi LC2 Waterborne PJPCP00

Gasoil 10ppm Waterborne Daily Assessments Price symbol codes

Gasoil 10ppm FOB Tokyo Bay LC1 Waterborne PJPAB00

Gasoil 10ppm FOB Tokyo Bay LC2 Waterborne PJPBN00

Gasoil 10ppm FOB Chukyo LC1 Waterborne PJPAG00

Gasoil 10ppm FOB Chukyo LC2 Waterborne PJPBP00

Gasoil 10ppm FOB Hanshin LC1 Waterborne PJPAM00

Gasoil 10ppm FOB Hanshin LC2 Waterborne PJPBQ00

Gasoil 10ppm FOB Onishi LC1 Waterborne PJPCK00

Gasoil 10ppm FOB Onishi LC2 Waterborne PJPCQ00

Low Sulfur A-Fuel Oil Waterborne Daily Assessments Price symbol codes

Low Sulfur A-Fuel Oil 0.1% FOB Tokyo Bay LC1 Waterborne PJPAD00

Low Sulfur A-Fuel Oil 0.1% FOB Tokyo Bay LC2 Waterborne PJPBR00

Low Sulfur A-Fuel Oil 0.1% FOB Chukyo LC1 Waterborne PJPAJ00

Low Sulfur A-Fuel Oil 0.1% FOB Chukyo LC2 Waterborne PJPBS00

Low Sulfur A-Fuel Oil 0.1% FOB Hanshin LC1 Waterborne PJPAP00

Low Sulfur A-Fuel Oil 0.1% FOB Hanshin LC2 Waterborne PJPBT00

Low Sulfur A-Fuel Oil 0.1% FOB Onishi LC1 Waterborne PJPCL00

Low Sulfur A-Fuel Oil 0.1% FOB Onishi LC2 Waterborne PJPCR00

A-Fuel Oil Waterborne Daily Assessments Price symbol codes

A-Fuel Oil 0.5% FOB Tokyo Bay LC1 Waterborne PJPAE00

A-Fuel Oil 0.5% FOB Tokyo Bay LC2 Waterborne PJPBU00

A-Fuel Oil 0.5% FOB Chukyo LC1 Waterborne PJPAK00

A-Fuel Oil 0.5% FOB Chukyo LC2 Waterborne PJPBV00

A-Fuel Oil 0.5% FOB Hanshin LC1 Waterborne PJPAQ00

A-Fuel Oil 0.5% FOB Hanshin LC2 Waterborne PJPBW00

A-Fuel Oil 0.5% FOB Onishi LC1 Waterborne PJPCM00

A-Fuel Oil 0.5% FOB Onishi LC2 Waterborne PJPCS00

Waterborne Monthly Averages Price symbol codes

RON 89 Gasoline LC1 FOB Tokyo Bay PJPAA03

RON 89 Gasoline LC1 FOB Chukyo PJPAF03

RON 89 Gasoline LC1 FOB Hanshin PJPAL03

RON 89 Gasoline LC1 FOB Onishi PJPCH03

Gasoil 10ppm LC1 FOB Tokyo Bay PJPAB03

Gasoil 10ppm LC1 FOB Chukyo PJPAG03

Gasoil 10ppm LC1 FOB Hanshin PJPAM03

Gasoil 10ppm LC1 FOB Onishi PJPCK03

Kerosene LC1 FOB Tokyo Bay PJPAC03

Kerosene LC1 FOB Chukyo PJPAH03

Kerosene LC1 FOB Hanshin PJPAN03

Kerosene LC1 FOB Onishi PJPCJ03

LS A-Fuel Oil 0.1% LC1 FOB Tokyo Bay PJPAD03

LS A-Fuel Oil 0.1% LC1 FOB Chukyo PJPAJ03

LS A-Fuel Oil 0.1% LC1 FOB Hanshin PJPAP03

LS A-Fuel Oil 0.1% LC1 FOB Onishi PJPCL03

A-Fuel Oil 0.5% LC1 FOB Tokyo Bay PJPAE03

A-Fuel Oil 0.5% LC1 FOB Chukyo PJPAK03

A-Fuel Oil 0.5% LC1 FOB Hanshin PJPAQ03

A-Fuel Oil 0.5% LC1 FOB Onishi PJPCM03

The Japanese oil products waterborne assessments are published on the Japan Dashboard, on Platts Global Alert on pages 2016 and 2017, and in the Platts price database under the codes listed above. The sulfur code for A-Fuel Oil appears on the Japan Dashboard, on Platts Global Alert page 2016, and in the Platts price database under the daily price symbol code JPOXT00.

In line with the partial discontinuation of the Japan domestic waterborne oil products assessments, Platts is amending the underlining methodology for its FOB Japan 10 ppm sulfur gasoil assessment from October 1, 2020.

The assessment currently uses the Japan Domestic Oil Waterborne gasoil assessment for Tokyo Bay LC 1 (PJPAB00), with cost normalized for the export market including the removal of the implied taxed value, as the underlying calculation for the assessment, which was first published on May 7, 2018.

From October 1, 2020, onward, the FOB Japan gasoil assessment will be derived by applying a new daily assessed FOB Japan 10 ppm sulfur gasoil cash differential to the Mean of Platts Singapore gasoil strip, and reflect cargoes of 250,000-300,000 barrels in size, loading 15-30 days forward from the date of publication. The assessment will continue to be expressed in $/b and will be normalized to gasoil loadings from Tokyo Bay, reflecting value at the close of Asian trade at 4:30 pm Singapore time (0830 GMT) instead of 3:30 pm Japan time (0630 GMT).

The FOB Japan gasoil outright assessment appears in the Asia-Pacific/Arab Gulf Marketscan, the Oilgram Price Report, Platts Global Alert pages 2430, 2404, 2006, 2007, 2405 and 2431, and in the Platts price database under the daily price symbol code POJAP00 with the monthly average code POJAP03.

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