Platts launches FOB ARA ULSD cargo assessment Sep 23

Platts, part of S&P Global Commodity Insights, has launched a new daily stand-alone FOB ARA ULSD cargo assessment (EBARA00) and related monthly averages, effective Sept. 23.

This follows Platts decision to launch the new assessments published Aug. 22, available here.

The assessment reflects 15,000-mt cargoes of EN590 French-quality diesel fuel, however, cargoes ranging between 10,000 mt and 30,000 mt may be published and considered in the assessment process with value normalized to a basis size of 15,000 mt. Bids, offers and trades for other 10 ppm diesel grades, such as those conforming to UK or German specifications, may be considered in the assessment process but normalized to the basis specification.

The FOB ARA assessment reflects the value of diesel loading 7-20 days forward from the date of publication, with values normalized to reflect the mean of the loading period.

The assessment reflects loadings from the ARA hub. Offers from the individual ports of Amsterdam, Rotterdam or Antwerp may be considered for publication.

The assessment is published in Platts European Marketscan, PGA fixed page 1110 and the Platts price database under the code EBARA00.

Platts FOB ARA ULSD cargo eWindow instruments

Platts has launched eWindow instruments for Platts ARA ULSD Cargoes, FOB basis ARA, coinciding with the launch of the new FOB ARA ULSD cargo assessment, effective Sept. 23.

Participants in the Platts Market on Close assessment process are able to submit bids or offers for FOB ARA ULSD cargoes for publication directly through the eWindow communication tool or do so through an editor, who would then publish the bids and offers using the software.

Participants are able to submit bids or offers for FOB ARA ULSD cargoes on a flat price basis, or one of the following pricing bases: EFP, ULSD CIF NWE Cargoes, ULSD CIF Le Havre Cargoes, ULSD CIF UK Cargoes, ULSD FOB ARA Barges, ULSD FOB ARA Cargoes.

In line with the established methodology, Platts reviews bids, offers and trades to ensure these are published in line with typical pricing terms, including benchmark bases and timing.

Bids and offers may be published in multiples of 100 mt, ranging between 10,000 mt and 30,000 mt, with an operational tolerance limited to plus or minus 10% of the transacted size for cargoes. Platts reviews for publication cargo sizes to ensure they are typical and commensurate with the market in question.

Platts has established clearly defined timing guidelines and standards of incrementability that apply when publishing bids and offers in the MOC in order to ensure an orderly and transparent price assessment process. Further details can be found here: oil-timing-increment-guidelines.pdf.

For further details on existing Platts European ULSD assessments, including Platts established ULSD 10 ppm Cargoes CIF NWE (AAVBG00), please refer to the regional methodology and specifications guides at: refined-products-europe-africa-specifications.pdf.

Platts continues to seek feedback on prevailing standards regarding ship nomination timelines and guidelines, and typical operational tolerance volumes of 10,000-30,000 mt cargoes for loadings from ARA.

Please send any comments or feedback to europe_products@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.