SUBSCRIBER NOTE: Platts clarifies Middle East crude cargo pricing terms

S&P Global Platts would like to remind participants in the Middle East crude oil Market on Close assessment process that terms and conditions must be declared at seller's option, upon transaction of either a full cargo trade or the twentieth partial converging into a cargo.

Bids and offers published in the Middle East MOC process for full cargoes that are OSP related can either state pricing basis as per Bill of Lading or Month of Nomination.

Where bids and offers do not state the pricing basis, the seller may nominate either Bill of Lading or Month of Nomination as the basis for the cargo at confirmation of trade.

Furthermore, buyers and sellers should not nominate cargoes with loading dates commencing in the last three calendar days of a month. This is to avoid slippage risk -- the risk that end-month loading dates of a cargo will spill over into the next month with different pricing implications.

For example, a cargo loading in August, which has 31 days, should have its nominated laycan no later than ending on August 29, example: an August 28-29 loading cargo. Please send any feedback, comments or questions to asia_crude@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.