SUBSCRIBER NOTE: 2019 freight netbacks for Asia/AG oil product assessments

Effective January 2, 2019, the Worldscale flat basis rate used to calculate C+F Japan, FOB Arab Gulf and C+F Australia unleaded gasoline assessments will be $10.80/mt, $12.63/mt, and $17.48/mt, respectively.

The basis rate used to calculate FOB Singapore naphtha will be $10.80/mt. The basis rate used to calculate the FOB Arab Gulf naphtha netback will be $23.41/mt for Long Range 1 and Long Range 2 vessels.

For 2019 FOB Arab Gulf naphtha netback, S&P Global Platts has replaced the two port loading of Shuaiba/Ras Tanura to Quoin Island to Mina Al Ahmadi/Ras Tanura to Quoin Island.

The amendment for freight netback is due to the fact that the Kuwaiti port of Shuaiba will no longer be assessed for 2019 by the Worldscale Association.

For full details of the amendment, can be found in a subscriber note published on December 26, 2018. (https://www.spglobal.com/platts/en/our-methodology/subscriber-notes/122618-p latts-removes-shuaiba-from-annual-flat-rate-basket-for-naphtha-netback)

The basis rate used to calculate FOB Arab Gulf gasoil and kerosene assessments will be $12.37/mt, and for C+F Australia gasoil and jet $17.48/mt.

The basis rate used to calculate the netback FOB Arab Gulf 180 CST and 380 CST fuel oil assessments will be $12.70/mt, and for CFR Japan 180 CST fuel oil $11.87/mt.

The actual freight applied to derive the netback or C+F assessments fluctuates daily based on changes in Platts' Dirty Tanker Wire and Clean Tanker Wire, applied against the respective 2019 flat rates.

Please send all comments and questions to asia_oilproducts@spglobal.com and pricegroup@spglobal.com.

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