Platts to launch Rotterdam Bio-LNG bunker fuel assessment

After the market consultation, Platts, part of S&P Global Commodity Insights, will launch a daily Rotterdam bio-LNG bunker fuel price assessment reflecting the value of spot bio-LNG bunker fuel volumes delivered on a barge-to-ship basis in Rotterdam, effective Nov. 1, 2024.

Platts has observed growing consumption and production of bio-LNG in Northwest Europe, ranging from the transportation industry to maritime sectors, driven in part by the transition to lower-sulfur and lower-carbon fuels.

The Rotterdam Bio-LNG bunker assessment will reflect market prices of unsubsidized bio-LNG with sustainability documentation stating a carbon intensity of 28 g CO2e/MJ, or an equivalent greenhouse gas saving of 70% when compared with the fossil fuel comparator, as per the European Union's Fuel Quality Directive calculation, under Renewable Energy Directive III. Material with carbon intensity or equivalent greenhouse gas savings above or below will be considered for the assessment process but may be subject to normalization to the above specification.

FREQUENCY: The Rotterdam Bio-LNG Bunker Fuel assessment will be published each business day and reflect market values prevailing at the close of European markets, at 4:30 pm London time.

BASIS AND LOCATION: Platts will consider the prevailing tradable values of bio-LNG bunker fuel in the locations on a barge-to-ship (delivered) basis in Rotterdam.

Truck-to-ship (ex-wharf) basis will also be considered for the assessment process but may be subject to normalization.

The bio-LNG bunker fuel assessment will include the logistics costs from the terminal to the barge or truck, and charges for delivery direct to the receiving ship.

Prices of trucked bio-LNG and bio-LNG bunkers delivered into ISCC-certified ports across Northwest Europe may be considered and normalized to the above specifications.

TIMING: The Rotterdam Bio-LNG Bunker Fuel assessment will be for bunker deliveries 7-30 days ahead.

VOLUME: The assessed volume will be for deliveries of 100-200 metric tons. Sizes above and below may be normalized for assessment purposes.

UNIT: The assessment will be published on an outright price basis in $/MMBtu and Eur/MWh, and as a differential, in $/MMBtu, to Platts DES Northwest Europe (AASXU00) assessment.

In addition, Platts will publish price differentials, comparing Rotterdam Bio-LNG Bunker Fuel against Rotterdam LNG Bunker Fuel (LNBRD00), Dutch TTF 1-Mo (GTFWM10) and Dutch TTF 2-Mo (GTFWM20) respectively.

A conversion to $/mt of LNG will also be published from the $/MMBtu assessment using a factor of 52.

The assessment will be published in Platts LNG Daily, Bunkerwire and Platts LNG Alert pages LNG0860 and LNG0861.

Having proposed the launch on Aug. 20 in a subscriber note available here: https://www.spglobal.com/commodityinsights/en/our-methodology/subscriber-notes/082024-platts-proposes-des-rotterdam-bio-lng-bunker-fuel-assessment, Platts extended the feedback period on Sept. 19 in a subscriber note here: https://www.spglobal.com/commodityinsights/en/our-methodology/subscriber-notes/091924-platts-extends-feedback-period-for-rotterdam-bio-lng-bunker-fuel-assessment.

Please send all feedback, comments, and questions to LNGeditorialteam@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 make comments not marked as confidential available upon request.