(Resending subscriber note first published on May 16, 2019)
S&P Global Platts would like to remind market participants that Platts oil assessments reflect products meeting the parameters detailed in its published methodology, with a requirement that oil must reflect broadly merchantable quality.
Any Marine Fuel 0.5% sulfur cargo delivered as a result of a transaction completed and reported during the Platts Market on Close assessment process should be merchantable. Platts assessments of this grade in all locations reflect material that could be sold into bunker markets.
Among other characteristics, Platts understands that buyers of bunker fuel may request demonstration of the stability and compatibility of marine fuel.
Platts does not stipulate a specific standard in the measurement of compatibility but observes ASTM D4740 being a widely-used test method for material below 50 CST viscosity at 100 degrees Celsius. ASTM states that in this test, a rating of Number 3 or higher indicates that the fuel "is likely to cause operating problems."
Platts does not reflect marine fuel 0.5% sulfur cargoes in its assessment process where the fuel is demonstrably not acceptable to bunker buyers.
Barrels traded within the MOC process should not be unreasonably rejected by an entity, and any rejection based on quality is subject to Platts review.
Platts welcomes feedback on the above issues, including testing methods, quality specifications and operational timelines. Platts particularly invites feedback as to the suitability of incorporating compatibility as demonstrated by ASTM D4740 into the specifications reflected in its Marine Fuel 0.5% assessments.
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.