Platts to amend Gasoil 0.1% CIF NWE assessment methodology effective Jan. 4, 2027

Platts, part of S&P Global Energy, will amend the methodology for its Gasoil 0.1% CIF NWE Cargo assessment (AAYWS00) and the related freight netback Gasoil 0.1%S FOB NWE Cargo assessment (AAYWR00), effective Jan. 4, 2027.

Gasoil 0.1% CIF NWE to be assessed as freight net-forward

Effective Jan. 4, 2027, Platts will assess Gasoil 0.1% CIF NWE Cargo (AAYWS00) as a freight net-forward from the existing Gasoil 0.1%S (1,000 ppm) FOB ARA Barge assessment (AAYWT00), which reflects German DIN specification heating oil. More details of the underlying methodology of FOB ARA Gasoil Barges can be found at in the Specifications Guide, Europe And Africa Refined Oil Products, available here.

The assessment will be derived using the relevant daily freight rates published in Platts Clean Tankerwire for UKC-UKC 22,000 mt cargoes (PFALY00). The freight component will be calculated as the incremental freight differential between two baskets of freight routes: an ARA basket covering Brofjorden to Amsterdam-Rotterdam-Antwerp and Antwerp to Amsterdam and Rotterdam; and a Le Havre basket covering Brofjorden/Antwerp to Le Havre.

Gasoil 0.1% Cargoes FOB NWE

The Gasoil 0.1% FOB NWE Cargo assessment (AAYWR00) will continue to be calculated as a freight netback from the Gasoil 0.1% CIF NWE assessment (AAYWS00). The netback will be based on a basket of routes from Brofjorden and Antwerp to Le Havre, using the relevant daily freight rates published in Platts Clean Tankerwire for UKC-UKC 22,000 mt cargoes (PFALY00).

Comparison of upcoming versus current methodology

For comparison, the corresponding Worldscale incremental flat rate used in the proposed net-forward formula would have been $1.327/mt in 2025. Gasoil 0.1% CIF NWE Cargo averaged $677.86/mt in 2025 and $742.36/mt in 2024 under the current methodology. Using the new methodology coming into effect at the start of next year, the equivalent average assessment would have been $662.51/mt in 2025 and $730.47/mt in 2024. As of Aug. 10, the average from Jan. 2, 2026, under the current methodology is calculated to $1,003.88/mt. Using the new methodology during the same period, it would calculate to $978.75/mt.

Additional interim assessments

On an interim basis from Oct. 1, 2026, until Dec. 31, 2026, Platts will publish assessments of Gasoil 0.1% CIF NWE Cargo and Gasoil 0.1% FOB NWE Cargo, based on the methodology that will be applied to the existing benchmark price assessments once the change is implemented. These interim assessments will be published under dedicated codes and will allow the market to gauge the difference in value between the spot-market based assessments and the upcoming freight net-forward methodology.

Platts welcomes further feedback from the market on aspects related to amendments of contracts that will settle against Gasoil 0.1% CIF NWE Cargo (AAYWS00) and Gasoil 0.1%S FOB NWE Cargo assessment (AAYWR00) from Jan. 4, 2027, onwards.

Rationale for the change

Platts understands that French legislation will reduce the maximum sulfur content for heating oil imported into France from March 1, 2027, from the current 1,000 ppm limit. In light of this regulatory change, Platts has consulted and sought market feedback on the proposed change to ensure the assessment remains representative of the high sulfur gasoil complex in Northwest Europe, along with the broader methodology parameters underpinning the assessment.

The decision follows a proposal published on July 7, 2026, and a prior consultation subscriber note which was published on March 16. The proposal subscriber note is available here and the prior consultation note can be reached here.

Feedback and Comments

Please send any comments or feedback to europe_products@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.