SUBSCRIBER NOTE: Platts proposes to publish USGC LOOP Sour differentials

In order to bring greater transparency to the LOOP Sour market, S&P Global Platts proposes to publish differentials for LOOP Sour crude traded in cavern at the Louisiana Offshore Oil Port terminal, versus cash WTI and versus Mars, with effect from September 1, 2017.

LOOP Sour typically trades at LOOP near Galliano, Louisiana, on a differential basis to cash WTI at Cushing, Oklahoma, as well as to Mars. Platts proposes to publish these differentials for the first three months forward, alongside the outright price assessments Platts already publishes for these markets. No changes are proposed to the existing assessments Platts publishes in these markets.

LOOP Sour is a medium sour crude blend that is comprised of two domestic US crudes -- Mars and Poseidon -- and three Middle Eastern crude import streams -- Arab Medium, Kuwait Export Crude and Basrah Light. It is typically traded at LOOP via title transfer, although its trading schedule follows that of other pipeline-deliverable US Gulf Coast crudes.

The LOOP Sour differentials will be assessed versus the same contract month for cash WTI and Mars at the US market close. The contract month for all these markets, in line with most US domestic pipeline barrels, rolls over on the first business day after the 25th of the calendar month.

The LOOP Sour differentials Platts is proposing to publish are as follows:

LOOP Sour M1 vs WTI M1 LOOP Sour M2 vs WTI M2 LOOP Sour M3 vs WTI M3

LOOP Sour M1 vs Mars M1 LOOP Sour M2 vs Mars M2 LOOP Sour M3 vs Mars M3

Please send any feedback by August 11, 2017, to americas_crude@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.