Platts to launch Singapore Gasoil 500 ppm swaps assessment

Platts proposes to launch new temporary assessments for FOB Singapore Gasoil 500ppm swaps. The new assessments would be launched August 1 under the name "Interim Gasoil Swaps" and cover the contract months of October, November and December.

The new swap assessments would support the continued creation of a MOPS Strip for the valuation of physical gasoil cargoes shown on a floating price basis for assessment as Platts transitions its flagship FOB Singapore Gasoil benchmark from a high sulfur basis to a lower sulfur basis.

In November 2011, Platts announced plans to lower the sulfur specification of its flagship Singapore Gasoil assessment to 500 ppm from the current 0.5% (5,000 ppm) on January 2, 2013.

At the same time, Platts announced plans to to lower the sulfur specification of its flagship Arab Gulf Gasoil netback assessment, and all other current 5,000 ppm gasoil cargo assessments, to 500 ppm concurrently.

The lower sulfur specifications reflect changing supply and demand trends across the regions. The new assessments would appear on Platts Global Alert, in APAG Marketscan and in the Platts price database.

Please send all initial feedback and comments by July 1, 2012, to asia_products@platts.com and pricegroup@platts.com.