SUBSCRIBER NOTE: Platts proposes to expand European ethanol basis to FOB ARA from FOB Rotterdam

S&P Global Platts is seeking feedback on its proposal to amend the basis of its T2 and T1 FOB Rotterdam ethanol assessments to reflect FOB Amsterdam-Rotterdam-Antwerp bids, offers and transactions from May 1, 2018.

Platts has no plans to amend the nomenclature of its published T1 and T2 FOB Rotterdam ethanol assessments and plans to continue to reference these assessments in all publications under the name of "T1 and T2 Ethanol FOB Rotterdam."

For FOB ARA, buyers and sellers would proceed to nominate loading from one of the locations in Amsterdam, Rotterdam or Antwerp that are already approved for the Platts Market on Close assessment process. The seller would not incur additional freight costs for loading from ARA loading points, compared to loading from Rotterdam.

Under this revised approach, from May 1, Platts would only publish bids, offers and transactions reflecting FOB ARA.

This proposed change in methodology reflects the fact that activity in the broader ARA trading hub has been increasing in recent years, further underpinning the liquidity of the physical assessment.

Please send any feedback or questions by November 30, 2017, to europe_ags@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 to the public upon request.