Platts to assess Forties de-escalator at 40 cents/b for September

Effective Sept. 1, 2022, the sulfur de-escalator to be applied to Forties crude oil cargoes and related instruments in the Platts North Sea assessment process will be 40 cents/b per 0.1% weight of sulfur over the 0.6% weight standard, down 5 cents/b from August.

The de-escalator should apply to cargoes loading from Sept. 1.

Platts, part of S&P Global Commodity Insights, has assessed this de-escalator level after reviewing the change in outright crude value, the differential between low and high sulfur products, as well as the difference in value between North Sea crudes and comparable sourer crudes such as Urals.

A rationale for the decision will be available shortly on www.platts.com.

Platts guidelines for its sulfur de-escalator use three significant figures for determination of sulfur-related payment.

The test reflecting this figure should be the ASTM-D2622.

Forties cargoes and all related instruments, including BFOE cash forwards, bid or offered through the Platts system must adhere to this standard.

In addition, S&P Global will publish the sulfur de-escalator, representing the dollar value per 0.1% weight of sulfur, in its crude oil publications.

Please send all feedback, comments or questions to europe_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.