SUBSCRIBER NOTE: Platts proposes new S. Korea-Australia clean MR tanker assessment

Reflecting growth in the supply and trading of clean petroleum products from North Asia to Australia in the East of Suez tanker markets, Platts proposes to launch a new clean Medium Range or MR tanker assessment reflecting this route, with effect from September 4, 2017.

The new assessment would reflect MR tankers moving from South Korea to Australia. Platts has observed around 7.5 million mt of middle distillates and light end oil products moving on this route annually.

With no refinery expansions expected in Australia after four refineries were shut between 2004 and 2015, the country's dependence on imported fuel has increased significantly. In 2016, Australia imported 14.9 million mt of gasoil, with 23% of it coming from South Korea, according to the Australian Bureau of Statistics.

The assessment would be published on a Worldscale percentage basis. The Worldscale assessment would also be published in dollars per metric ton, which will be calculated by dividing the total freight rate by the cargo size reflected in the assessment. The new assessment would reflect modern MR tonnage.

The assessment would reflect a 35,000-mt clean cargo from South Korea to Australia. The assessment would reflect loadings from Yeosu, Onsan and Daesan and discharge into Brisbane, Botany Bay and Geelong as the discharge basis ports. Discharges at any other Australian ports would be normalized to basis Botany Bay.

Please send any feedback or questions by August 1, 2017, to shipping@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 to the public upon request.