Platts proposes new standalone Chicago Wolverine pipeline CBOB, ULSD assessments

S&P Global Platts proposes to launch new standalone Wolverine pipeline assessments for CBOB and ULSD in the Chicago area, effective Feb. 1, 2021.

Trade on the Wolverine pipeline is already reflected in the existing Platts Chicago pipeline assessments for CBOB and ULSD, and will continue to do so. Since July 2, 2018, the Platts Chicago pipeline assessments for various refined products have reflected the lowest value among the Badger, West Shore and Wolverine pipelines in the Chicago area. Platts also publishes separate Buckeye Complex assessments, which reflect the value of product at the Buckeye Complex storage hub in the Chicago area.

The proposed new standalone Wolverine pipeline assessments come as Platts has observed growing trade activity on this pipeline in recent years, particularly for CBOB and ULSD.

In addition, with the Wolverine pipeline servicing markets east of Chicago, and the West Shore and Badger pipelines servicing areas north and west of Chicago, Platts has also typically observed a price spread between the Wolverine pipeline and its West Shore and Badger counterparts.

The proposed new Wolverine assessments for CBOB and ULSD will be published in US cents/gal as outright prices as well as differentials to the relevant futures contract. The differentials will be published versus the same futures contract month that forms the basis of the outright price assessments.

The proposed new Wolverine pipeline assessments will reflect product moving on the prompt cycle. In line with the existing Chicago pipeline and BCX assessments, the cycle changes would be every 10 days, on the 5th, 15th, and 25th of the month. In the Chicago market, rollover dates would align with Explorer Pipeline's cycle schedule.

Please send any feedback to americas_products@spglobal.com and pricegroup@spglobal.com by Dec. 28.

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.