SUBSCRIBER NOTE: Platts launches amended laycans for Japan domestic oil products

Following industry feedback, Platts has amended the loading laycans reflected in all the waterborne price assessments of Japan domestic oil products to align them more closely with prevailing industry conventions, with effect from August 1, 2016.

Platts has started to assess the value of gasoline, gasoil, kerosene, high sulfur fuel oil A and low sulfur fuel oil A for loading on an FOB basis reflecting two half-month time cycles.

Platts previously published assessments across the country reflecting oil products for loading at port 7-20 days from the day of assessment.

Following the change, Platts has started to publish assessments for two half-monthly cycles for each product.

The changes will apply to all Platts assessments for barges loading from all locations in Japan -- currently Tokyo Bay, Hanshin and Chukyo.

Platts is implementing the changes from August 1, 2016 when it will begin publishing bids, offers, trades and assessments for H1 August and H2 August.

TIMINGS: Following the change, the last publishing day for H1 would be the 10th calendar day of the month and the last publishing day for H2 would be the 25th calendar day of the month. When these dates are not a business day in Japan, the last publishing day would be the preceding business day.

For example, on August 26, Platts will publish assessments for cargoes loading H1 September (September 1-15) and H2 September (September 16-30).

Platts will publish bids, offers, trades and assessments for the two laycans until September 10.

From September 11, Platts will assess the value of cargoes loading in H2 September (September 16-30) and H1 October (October 1-15).

From September 26 to October 10, the assessment laycans will reflect cargoes loading H1 October (October 1-15) and H2 October (October 16-31).

NOMINATIONS: Platts FOB Japan domestic oil products assessments reflect bids, offers and transactions where the buyer commits to load the contractual volumes as per the agreed volume at the time of the trade, where the quantity delivered to a buyer is measured in line with the typical practice established at the nominated loading port. The buyers must give reasonable notice of the intended loading date and provide necessary barge details in line with standard industry practice and the seller must respond in a timely manner with barge acceptance and nomination of the load port.

Confirmed trades, bids and offers reported throughout the day will be included in the assessment process, with values normalized towards representative values for the close of the market as needed.

Platts editorial standards for the Market On Close assessment process for FOB Waterborne Japan fuel oil, gasoil, gasoline and kerosene calls for best practices in all aspects of operational performance, including terminal and vessel nominations.

Please send all comments and questions to asia_products@platts.com, with a cc to pricegroup@platts.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.