Platts launches DES JKM/NWE LNG spread, expand JKM, NWE derivatives assessments on Dec. 1

Platts, part of S&P Global Commodity Insights, has begun publishing DES JKM/Northwest Europe LNG spread assessments, and expanded the assessment of its DES JKM and DES NWE derivatives at the close of London trade (4:30 pm) from Dec. 1, 2022.

The launch of these daily derivative spreads follows the listing of the Platts North West Europe Marker (NWM) contract on CME, and observed NWM trades against JKM and continued market activity on this basis. CME's NWM contract settles against the monthly average of Platts DES Northwest Europe Marker (symbol: AASXU00).

Platts first announced the launch of these new assessments in a subscriber note published Nov. 28: https://www.spglobal.com/commodityinsights/en/our-methodology/subscriber-notes/112822-platts-to-launch-des-jkmnwe-lng-spread-extend-jkm-nwe-derivative-assessments-on-dec-1

Platts publishes 11 monthly spreads between Platts JKM and Platts DES NWE LNG derivative assessments, with the first assessment aligning with the pricing month of the benchmark physical assessment.

They roll on the 16th of each calendar month unless that day is not a business day, in which case the price assessments roll on the following business day.

For example, on Dec. 1, 2022, the M1 spread will reflect January DES JKM/January DES NWE derivatives and M11 spread will reflect November DES JKM/November DES NWE derivatives. On Dec. 16, 2022, the M1 spread will reflect February DES JKM/February DES NWE derivatives, and M11 spread will reflect December DES JKM/December NWE derivatives.

Platts also publishes DES JKM/DES NWE derivative spread assessments for two quarters beyond the active forward quarter, and two seasons beyond the active forward season.

To provide greater transparency, Platts publishes the full suite of outright DES JKM and DES NWE derivative assessments corresponding to the new DES JKM/DES NWE spread assessments from Dec. 1, 2022.

These derivative assessments settle against the monthly average of Platts physical JKM and DES NWE LNG Marker assessments.

Platts takes into consideration the latest information sourced from the market up to the close of the Platts Market on Close assessment process at 4:30 pm London time for the new derivative assessments, and the assessments follow the London publishing schedule.

The assessments are published in $/MMBtu. They appear on Platts LNG Daily, and on Platts LNG Alert pages LNG0820 and LNG1822 under the following price database codes:

Assessment Code

LNG JKM Financial Mo01 vs DES NWE Financial Mo01 $/MMBtu LFDFA01

LNG JKM Financial Mo02 vs DES NWE Financial Mo02 $/MMBtu LFDFA02

LNG JKM Financial Mo03 vs DES NWE Financial Mo03 $/MMBtu LFDFA03

LNG JKM Financial Mo04 vs DES NWE Financial Mo04 $/MMBtu LFDFA04

LNG JKM Financial Mo05 vs DES NWE Financial Mo05 $/MMBtu LFDFA05

LNG JKM Financial Mo06 vs DES NWE Financial Mo06 $/MMBtu LFDFA06

LNG JKM Financial Mo07 vs DES NWE Financial Mo07 $/MMBtu LFDFA07

LNG JKM Financial Mo08 vs DES NWE Financial Mo08 $/MMBtu LFDFA08

LNG JKM Financial Mo09 vs DES NWE Financial Mo09 $/MMBtu LFDFA09

LNG JKM Financial Mo10 vs DES NWE Financial Mo10 $/MMBtu LFDFA10

LNG JKM Financial Mo11 vs DES NWE Financial Mo11 $/MMBtu LFDFA11

LNG JKM Financial Qr01 vs DES NWE Financial Qr01 $/MMBtu LJNFQ01

LNG JKM Financial Qr02 vs DES NWE Financial Qr02 $/MMBtu LJNFQ02

LNG JKM Financial Sn01 vs DES NWE Financial Sn01 $/MMBtu LJNFS01

LNG JKM Financial Sn02 vs DES NWE Financial Sn02 $/MMBtu LJNFS02

LNG DES NWE Financial Qr01 $/MMBtu LDNFQ01

LNG DES NWE Financial Qr02 $/MMBtu LDNFQ02

LNG DES NWE Financial Sn01 $/MMBtu LDNFS01

LNG DES NWE Financial Sn02 $/MMBtu LDNFS02

LNG Japan/Korea at London MOC Financial Mo04 $/MMBtu JKLMO04

LNG Japan/Korea at London MOC Financial Mo05 $/MMBtu JKLMO05

LNG Japan/Korea at London MOC Financial Mo06 $/MMBtu JKLMO06

LNG Japan/Korea at London MOC Financial Mo07 $/MMBtu JKLMO07

LNG Japan/Korea at London MOC Financial Mo08 $/MMBtu JKLMO08

LNG Japan/Korea at London MOC Financial Mo09 $/MMBtu JKLMO09

LNG Japan/Korea at London MOC Financial Mo10 $/MMBtu JKLMO10

Full details of the existing Platts DES NWE LNG assessments can be found in the Global LNG Specifications Guide: https://www.spglobal.com/commodityinsights/PlattsContent/_assets/_files/en/our-methodology/methodology-specifications/global_lng.pdf

Please send all feedback, comments and questions to lngeditorialteam@spglobal.com and pricegroup@spglobal.com.

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