SUBSCRIBER NOTE:Platts to update LNG shipping calculations assumptions

Platts is proposing to update its shipping assumptions used to calculate daily freight cost assessments and LNG netback values. The revised assumptions would become effective September 4, 2015 on page NG1025 of Platts Natural Gas Alert and in the Shipping and Price tables on pages 3 and 6 of the LNG Daily newsletter. The LNG carrier market for single-voyage spot charters has been changing, as the available spot LNG fleet shifts to newer tonnage following a recent influx of new build vessels. These changes prompt a revision of the current standard shipping assumptions for vessel size, leftover heel, fuel oil consumption, vessel speed and boil-off gas which are no longer representative of the current spot fleet composition. As such, Platts is also proposing to revise its standard shipping assumptions to; vessel size 155-175,000 cu m, leftover heel of 1,000-1,200 cu m, fuel oil consumption 90mt/day of IFO380 CST and a boil-off gas factor of 0.12%. These changes will also take into consideration current fleet composition, steam versus dual fuel - for spot vessel availability. Concurrently, Platts is also reviewing its assumptions relating to bunker bases and voyage times as published on page 18 of the Methodology and Specifications Guide and its basis gas price assumptions for boil-off to ensure assessments reflect current trade patterns. Please send all questions and feedback to max.gostelow@platts.com and lng@platts.com by July 31, 2015. 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.