SUBSCRIBER NOTE: Platts launches LNG DES Brazil netforward

Platts has begun publishing a netforward value to reflect the price of LNG imported into Brazil as of October 1, 2015.

Platts has observed over a period of time that Brazil is a regular buyer of LNG cargoes used to augment its electricity production during periods when hydropower is insufficient to meet its electricity demand. The value achieved for these cargoes on a DES basis matches the prevailing value of LNG cargoes in the East Atlantic plus a freight element.

Platts will continue to publish on a daily basis the value of LNG on a DES Salvador de Bahia basis, based on the existing Platts East Atlantic Marker (EAM) plus the freight to Salvador de Bahia, Brazil. Consequently, Platts has also changed the basis port for its freight route calculations to Brazil from Pecem to Salvador de Bahia, effective October 1, 2015.

The netforward value is published in US dollars per million British thermal units ($/MMBtu) each London business day, corresponding with the EAM, in the LNG Daily publication and Platts Natural Gas Alert.

Platts continues to invite comments and questions to jonathan.robinson@platts.com with a copy to lng@platts.com.