Platts changes Atlantic LNG quantity standard specifications

Platts, part of S&P Global Energy, has changed the standard cargo quantity specifications reflected in the methodology for its Atlantic LNG price assessments, effective June 16.

The change is based on market feedback that the most commonly traded cargo quantity in the Atlantic spot market has evolved in recent years due to the rise of portfolio-based trading, diversification of supply origins and greater flexibility within destination markets. This follows the decision note published May 18 and aligns with the Feb. 16 change to the JKM LNG benchmark and JKM forward price assessments.

Under this change, the Platts Northwest Europe, Mediterranean and East Mediterranean assessments reflect a standard cargo quantity range of 3.4-3.6 TBtu +/- 5% operational tolerance at the seller's option, compared with the previous standard of 3.5 TBtu+/- 5% operational tolerance at the seller's option for NWE and 3.3 TBtu +/- 5% operational tolerance at the seller's option for MED and EMM.

At the same time, the FOB Gulf Coast marker now reflects a fixed cargo quantity of 3.8 TBtu +/- 2% operational tolerance at the seller's option, compared with the previous standard of 3.7 TBtu +/- 2% operational tolerance at the seller's option.

For DES Brazil, Platts now reflects a standard cargo quantity range of 3.4-3.6 TBtu+/- 5% operational tolerance at the seller's option, compared with the previous standard of 3.5 TBtu +/- 5% operational tolerance at the seller's option.

Other quantity ranges and discrete quantities may be considered and normalized to this standard for assessment purposes, provided the maximum range stated in offers will be no greater than 0.3 TBtu. For bids, offers and trades submitted in a volume range, the seller will retain the option to declare the discrete volume at the latest by 30 days prior to the initial delivery window.

Accordingly, for bids, offers and trades in the Platts Market on Close assessment process with a delivery window less than 30 days from the assessment date, Platts will continue to reflect a standard cargo quantity of 3.5 TBtu for NWE, MED and EMM. Other quantities may be considered and normalized to this standard for assessment purposes. Platts will not publish a quantity range for offers with delivery windows less than 30 days from the assessment date.

The changes are as follows:

Please send all comments, feedback and questions to LNGeditorialteam@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 upon request.