BY CONTINUING TO USE THIS SITE, YOU ARE AGREEING TO OUR USE OF COOKIES. REVIEW OUR
COOKIE NOTICE

Register with us today

and in less than 60 seconds continue your access to: Latest news headlines Analytical topics and features Commodities videos, podcast & blogs Sample market prices & data Special reports Subscriber notes & daily commodity email alerts

Already have an account?

Log in to register

Forgot Password

Please Note: Platts Market Center subscribers can only reset passwords via the Platts Market Center

Enter your Email ID below and we will send you an email with your password.


  • Email Address* Please enter email address.

If you are a premium subscriber, we are unable to send you your password for security reasons. Please contact the Client Services team.

IF you are a Platts Market Center subscriber, to reset your password go to the�Platts Market Center to reset your password.

In this list
Shipping

Rare LR2 of Saudi ULSD heads to New York on high USAC price

Crude Oil

How are Asian crude flows responding to US-China trade war, Iran sanctions?

Shipping

Platts Dirty Tankerwire

Oil | Refined Products | Fuel Oil | Shipping | Dry Freight | Marine Fuels | Tankers

Mediterranean Bunker Fuel Conference, 7th Annual

Shipping

Interview: IMO sees 'by far' majority of ships complying with 2020 sulfur cap

Rare LR2 of Saudi ULSD heads to New York on high USAC price

A long-range 2 tanker of ultra low sulfur diesel from Yanbu, SaudiArabia, is heading to New York in a route that has not been taken in a coupleof years, as high US Atlantic Coast prices alter typical diesel trade flows. The 112,691-dwt Seaways Sheanandoah is now bound for New York harbor,according to data from cFlow, S&P Global Platts trade flow software, afteroriginally being fixed for Northwest Europe, according to shipping sources.

Not registered?

Receive daily email alerts, subscriber notes & personalize your experience.

Register Now

A prompt HOGO, the difference between NYMEX ULSD futures and ICE lowsulfur gasoil futures, that has recently been coming off its highest sinceJanaury 2016 has caused diesel to be exported to Latin America from Europe,although some sources also said they believed that the USAC was a potentialshort from Europe.

However, it is unusual for a Saudi cargo to head to the US, with Europeordinarily the principal extra-regional exporter when arbitrages open.

Should the cargo end up discharging in New York it would be the firstSaudi-origin diesel cargo to arrive since February 2015, according to datafrom the Energy Information Administration.

Ordinarily, cargoes from Saudi Arabia, typically in sizes of around100,000 mt head to the Amsterdam-Rotterdam-Antwerp hub to be sold into thebarge or coaster market or larger ports in the Mediterranean such as Lavera.

The cold properties required to meet US specification material hasusually been an impediment to material from Yanbu heading to the AtlanticCoast despite the larger cargoes sizes usually providing greater economy ofscale than Europe.

However, some material this year has been heard to meet the Germanwinter grade, the minimum requirements of which are close to that shipped viathe Colonial pipeline on such key parameters as cloud point.

--George Shaw, george.shaw@spglobal.com

--Edited by Jonathan Dart, jonathan.dart@spglobal.com