Platts proposes to update language around basis and location of its JKM assessment

Platts, part of S&P Global Commodity Insights, is proposing to update the language around the basis and location of its daily JKM assessment, aligning with market conventions, effective Jan. 16, 2025.

Buyers of spot LNG cargoes for deliveries into North Asia typically have the option to nominate a discharge port in Japan, South Korea, China and Taiwan. Bids, offers, and trades published in the Platts Market-On-Close assessment process with this standard option are not subject to normalization.

The Platts Specifications Guide Global LNG ( /content/dam/spglobal/ci/en/documents/platts/en/our-methodology/methodology-specifications/global_lng.pdf ) currently has ports in Japan and South Korea stated as the basis and location, and prices of LNG spot cargoes delivered into ports in Taiwan or China may be normalized to this basis.

For clarity, Platts is proposing to update the language around the basis and location of its JKM assessment to the following:

Basis and Location: cargoes delivered ex-ship (DES) to ports in Japan, South Korea, China and Taiwan that can receive a minimum cargo size of 135,000 cu m.

Furthermore, Platts is proposing to discontinue the daily symbol AAPSC00 LNG Freight Japan/Korea vs Taiwan/China 16:30 and its monthly average, AAPSC03.

These symbols have been assessed at a value of zero since Sept. 2015.

Platts invites feedback on the proposal. Please send all comments, feedback and questions to LNGeditorialteam@spglobal.com and pricegroup@spglobal.com by Oct. 24.

For written comments, please provide a clear indication if comments are not intended for publication by Commodity Insights for public viewing. Platts will consider all comments received and will make comments not marked as confidential available upon request.