SUBSCRIBER NOTE: Platts proposes to launch Japan lorry rack oil product assessments

S&P Global Platts proposes to launch new assessments reflecting the value of lorry rack prices on a range of oil products for the Japanese market.

The proposed start for the assessments is December 2016.

Feedback on the proposal is requested by September 30, 2016. The proposed new assessments comprise 89 RON gasoline, 10 ppm sulfur gasoil, kerosene and high sulfur A-fuel oil. All fuels would be initially assessed for delivery at two locations in Tokyo Bay -- Chiba and Kanagawa. All assessments would reflect product prices before taxes. The new assessments would reflect oil products conforming to the latest Japanese Industrial Standard specifications, as published by the Japanese Industrial Standards Committee at www.jisc.go.jp/app/JPS/JPSO0020.html, except where otherwise noted.

Platts Japan high sulfur A-fuel oil 1.0% assessments would reflect standard Japanese Industrial Standard, JIS K 2205 (Class 1 No. 2) specifications, with the exception of the sulfur content, which would be maximum 1.0%. These assessments would follow Platts Market on Close price assessment principles, reflecting a timestamp of 14:00 Tokyo time. Fully transparent published bids, offers and transactions would be given priority during the assessment process.

Platts assessments would be published in Yen/kiloliter, and would follow the Platts Tokyo publishing schedule, which reflects Japan's national holidays as well as global market holidays. TIME & LOCATION: Platts would publish price assessments for oil products loading on trucks from specified refineries located in Chiba and Kanagawa one to seven days from the day of publication. For Chiba, oil products on trucks loading from the following refineries would be considered for inclusion in the assessment process: Cosmo Oil Chiba Refinery, TonenGeneral Chiba Refinery, Idemitsu Chiba Refinery and Fuji Oil's Sodegaura Refinery. For Kanagawa, oil products on trucks loading from the following refineries would be considered for inclusion in the assessment process: TonenGeneral Kawasaki Refinery, Toa Oil Keihin Refinery, JX Negishi Refinery VOLUME: Transactions, bids and offers of a minimum of 100 kiloliters are considered for assessment. The maximum parcel size for any one bid or offer is 200 kiloliters. Buyers and sellers may mutually agree for delivery over multiple days within the traded delivery period. NOMINATION: Platts Japan domestic oil product assessments would 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 point. The buyers must give reasonable notice of the intended loading date and provide necessary lorry details in line with standard industry practice and the seller must respond in a timely manner with nomination of the load point. Confirmed trades, bids and offers reported throughout the day would 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 Japan fuel oil, gasoil, gasoline and kerosene calls for best practices in all aspects of operational performance, including terminal and lorry nominations. Please send all comments and questions by September 30, 2016, 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.