Platts launches daily market-based SAF European assessment

Platts, part of S&P Global Commodity Insights, launches a daily sustainable aviation fuel assessment, effective Sept. 1.

Platts has observed a growing supply of SAF, driven by the transition to low-carbon fuels following the development of the Carbon Offsetting and Reduction Scheme for International Aviation, in addition to individual country programs that support the decarbonization of aviation fuel.

The neat SAF assessment is CIF basis Amsterdam Rotterdam Antwerp and reflects volumes 500-5,000 mt. Other locations within Northwest Europe will be considered for the assessment but may be normalized to reflect basis ARA. The assessment reflects delivery 10-25 days forward and product produced via the HEFA pathway.

The new SAF assessment reflects product that holds proof of sustainability obtained in the framework of voluntary schemes approved by the EU Commission. Market participants shall exercise reasonable efforts to provide all necessary documentation for Proof of Sustainability documentation.

The assessment reflects SAF produced from Renewable Energy Directive-compliant feedstocks, with an exclusion for Palm Fatty Acid Distillate, and reflects minimum GHG savings of 80%. Other GHG savings levels will be considered but may be normalized to the minimum basis level.

The neat SAF assessment considers market information reported to Platts and published throughout the day, including firm bids and offers, trades, and indicative values, as well as any other data deemed relevant to the assessment process.

The SAF price is published as an outright price in US dollars per metric ton (AJNWD00) as well as a premium (AJNWF00) to the Platts Jet Cargoes CIF NWE assessment (PJAAU00). The methodology and specifications for the jet assessment can be found here.

The assessments reflects a 1630 pm London time market close and follows the London publishing schedule. The new SAF CIF NWE prices will be published in the biofuelscan, weekly biomass-based diesel report and on Platts Biofuels Alert pages 1010 and 1013.

The assessments reflects a 1630 pm London time market close and follows the London publishing schedule.

The new SAF assessment meets DEFSTAN requirements reflecting standard commercial Jet-A1 specifications, as defined by the UK Ministry of Defense in DEFSTAN 91-091 and the Joint Fueling System Checklist. The UK Ministry of Defense has updated DEFSTAN 91-091 periodically and Platts reflects the latest issue.

SAF uses a $/mt to $/b conversion factor of 8.105. SAF values reflect ASTM D7566 standard specification for Aviation Turbine Fuel Containing Synthesized Hydrocarbons, with a relative density of 776 kg/cu m (at 15 degrees Celsius).

The new SAF CIF NWE, basis ARA price assessment, is published in addition to the production cost-based SAF prices. Platts will continue to publish the cost-based model, the details of which can be found here: https://www.spglobal.com/commodityinsights/PlattsContent/_assets/_files/en/our-methodology/methodology-specifications/platts-saf-and-hvo-faq.pdf

Please submit any further feedback, comments, or questions to mrts_biofuelsandfeedstocks@spglobal.com and pricegroup@spglobal.com

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