SUBSCRIBER NOTE: Platts to amend Russian domestic crude, products methodology

Effective January 4, 2016. Platts will update various Russian domestic crude and products assessment and netback methodologies.

Platts will start using the Russian Central Bank ruble/US dollar exchange rate for all of its Russian crude oil and refined product assessments and netbacks and will align the publication of all of its Russian domestic netbacks as per the UK publishing holiday.

Platts will use the Russian Central Bank ruble/US dollar exchange rate as published for the assessment day, published to four decimal places, in the calculation of all its Russian domestic netbacks, including crude oil and products.

For example, on February 3, Platts would use the official central bank rate as applicable for that date. Platts currently uses its own assessment of the ruble/dollar foreign exchange rate, based on the Forex rate at 16:30 Moscow time for crude oil and at 16:30 London time for oil products.

Platts understands that the Russian bank exchange rate is used as a benchmark by the industry. This change therefore brings the published netbacks for crude and products in line with market practice in Russia.

In order to reconcile the publication of its Russian netbacks, Platts will publish crude oil and refined product netbacks according to Platts London publishing schedule.

Currently, the refined product netbacks are published according to the Platts London holiday schedule, but the crude netbacks are published according to the national Russian holiday schedule.

Please send feedback and comments to europe_products@platts.com, europe_crude@platts.com and pricegroup@platts.com by December 10.

For written comments, please provide a clear indication if comments are 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.