SUBSCRIBER NOTE: Platts to remove freeze, update increment in Japan naphtha MOC

Platts will remove the freeze period that currently prevails for the final minute of the Market on Close assessment process for CFR Japan naphtha cargoes and all associated pricing basis, with effect from August 1, 2016.

Platts first proposed this change in a subscriber note published June 28, 2016 (http://platts.com/subscriber-notes-details/27615316).

Currently, final changes to bids and offers must be submitted for publication by 16:29:00 Singapore time (08:29:00 GMT). Bids and offers must stand for the final minute of the assessment process, and can be withdrawn at any time, so long as no other potential trading counterparty has indicated that it has interest to buy or sell into the bid/offer.

Under this change, Platts will accept changes to bids and offers for CFR Japan naphtha up to the close of the assessment process, at 16:30:00 Singapore time. This change will bring the assessment process for physical naphtha assessments similar standards applied for other major benchmarks such as Dubai.

Platts will also change the increment to $1/mt price move per 20 seconds. The time allowed for participants to repeat a bid or offer will be reduced to 30 seconds. An extension would be triggered by any price move or a rebid/re-offer in the last 10 seconds prior to the close of the MOC at 16:30:00 Singapore time.

The current incrementability for bids or offers are set at a maximum of $1/mt price move per 30 seconds, and a 60-second extension is triggered by any price move or a rebid/re-offer in the one minute prior to the close of the MOC at 16:30:00 Singapore time.

Please send comments and questions to asia_products@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.