SUBSCRIBER NOTE: Platts updates guidelines for European LNG MOC

Following continued and broad market feedback and consultation, S&P Global Platts has refined the trading terms considered to be typical for the publication of bids, offers and other transactional data for spot LNG cargoes reflected in its LNG Northwest Europe and Southwest Europe (NWE/SWE, Symbols: AASXU00/AASXY00) price assessments with effect from Monday, June 10, 2019.

The terms apply to bids, offers and trades to be published by Platts in the European LNG Market on Close assessment process.

They do not change the specifications reflected in the NWE/SWE assessments, which remain as published in Platts methodology & specification guide, available online here: https://www.spglobal.com/platts/plattscontent/_assets/_files/en/our-methodolo gy/methodology-specifications/lngmethodology.pdf.

STANDARD TERMS: Unless stated otherwise by a counterparty at the time of providing data for publication, the bids and offers provided for publication in the MOC reflect these following standards, which Platts understands to be broadly typical in the spot market.

Platts may publish bids, offers and trades for LNG cargoes that carry different terms and conditions, but may normalize these when considered in final, published assessments.

Participants in the MOC process should clearly state in submitted bids or offers terms that differ from these standards.

DELIVERY WINDOW: A three-five (3-5) day delivery window, to be narrowed by the buyer to a one-two (1-2) day delivery window up to 30 days prior to delivery.

DISCHARGE LOCATION: Delivery into Isle of Grain, Zeebrugge, Gate LNG, Dragon LNG, Montoir, South Hook and Dunkirk, buyer to nominate base delivery port at least 30 days prior to delivery.

Buyer's option to substitute discharge port up to 20 days prior, subject to SSC

Delivery into all ports on the Iberian peninsula, and Fos Cavaou, buyer to nominate base delivery port at least 30 days prior to delivery.

Buyer's option to nominate final discharge port up to 20 days prior, subject to SSCS.

Bids and offers into other Mediterranean destinations may be considered for publication.

LOADING LOCATION: Seller to state the loading port up to 20 days prior to the first day of delivery, subject to GHV.

QUALITY: Market participants should clearly state GHV specifications in bids and offers submitted for publication.

Platts Europe LNG assessments reflect cargoes with a GHV of 1010-1130 Btu/Scf. Platts may normalize for quality specifications with different ranges.

QUANTITY: Platts notes that a wide range of cargo volumes are traded in the European LNG market.

Platts will consider for publication bids and offers for typical cargo sizes, and is seeking further feedback to determine the specific standard cargo size to be reflected in its price assessment process.

Platts European LNG MOC reflects cargoes whose operational tolerance is plus/minus 5% at the seller's option.

For cargoes offered or bid for in a volume range (i.e. 3.1-3.4 TBtu +/-5%), the specific volume (i.e. 3.3 TBtu +/-5%) should be declared by the seller a reasonable number of days prior to delivery, and this declaration deadline must be stated in the offer or bid.

LNG VESSEL: Platts standards would continue to reflect LNG vessel size range of 135,000-175,000 m3.

Seller to nominate ship up to 20 days prior to delivery, subject to SSCS.

Platts expects parties to be reasonable when exceptional circumstances require sellers to substitute vessels or buyers to substitute terminals beyond typical standards stated in Platts MOC guidelines.

Companies must promptly communicate to their counterparties when such a substitution is required.

Byers or sellers should not unreasonably withhold substitutions or hamper the established delivery process.

Please send all feedback, comments and questions to platts_lng_moc@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.