What is USGC HSFO?
S&P Global Platts US Gulf Coast 3%S residual fuel oil assessment is a benchmark assessment that reflects the price of high-sulfur fuel oil at five locations within the Houston Ship Channel of Texas.
The benchmark, published under the data code PUAFZ00, is often referred to by many names, including No. 6 3%, Gulf Coast No. 6 3.0%S (Waterborne) Fuel Oil, Fuel Oil 3%S and Resid 3%.
Platts European fuel oil assessments are also used in electricity oil/gas indexed pricing and dark spread formations. The European utility market, now mostly dominated by Mediterranean outlets, sees a relatively small demand pool for low suflur fuel oil from oil-fired utility plants.
Fuel oil has a number of uses globally, though the largest market for the heavy, residual refined product is bunker fuel, where the material fuels large, sea-going vessels. This market sees upward of 250 million mt demand a year, globally, and our assessments are used to benchmark a great deal of this exposure.
USGC fuel oil is also exported for power generation in several Latin American and Caribbean countries, though its use in the power sector has been in decline for many years.