SUBSCRIBER NOTE: Platts launches weekly iron ore pellet fixed, floating price assessments

S&P Global Platts has launched weekly iron ore pellet assessments on a fixed price, CFR Qingdao basis, and floating price, CFR Qingdao basis, effective October 17, 2018.

Platts will assess prices timestamped to 5:30 pm Singapore/Beijing time on a weekly basis. They will be published on Wednesdays, or the nearest prior working day, when there is a public holiday in Singapore.

Platts will assess the fixed price pellet assessment based on transactional information collected throughout the day from active market participants across the supply chain. The floating price pellet assessment will be calculated from the fixed price assessment using the swaps forward curve. Iron ore pellets often trade on a floating price basis against the monthly average of the 62%-Fe iron ore fines assessment, in which case Platts will use the 62%-Fe iron ore fines swap assessment value for the relevant month as the underlying basis for the calculation from fixed to floating.

The pellet differential is assessed as a premium over the IODEX swap month which lies in the middle of the Platts delivery window, or is 35 days forward from the date of publication.

Please send all questions and feedback to IODEX@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.