S&P Global Platts has expanded the port basis in its Marine Fuel 0.5% FOB Rotterdam barge assessment to include Antwerp, effective Oct.1, in response to evolving market conditions.
This follows a proposal note published July 10:
The assessment previously reflected the value of barges loading on an FOB Rotterdam basis.
Following market feedback and research, Platts understands that Antwerp is an active and regular location for the loading of 0.5%S marine fuel in the region.
Under this new methodology, a seller is able to nominate either Rotterdam or Antwerp for an FOB Rotterdam barge trade reported in the Platts Market on Close assessment process, and not incur any additional freight costs for loading at Antwerp compared with loading from Rotterdam, provided that costs do not exceed standard market rates. The seller should notify the buyer of the port of loading in a timeframe as per standard market practice.
A seller can also nominate Amsterdam for an FOB Rotterdam barge trade reported in the MOC process, and the buyer should not unreasonably refuse this option. However, the seller should compensate the buyer for the demonstrable incremental freight cost associated with loading in Amsterdam versus Rotterdam/Antwerp. The freight differential applied should be mutually agreed by both counterparties involved in the reported trade.
Following this change effective Oct. 1, Platts has not amended the name of the assessment; it remains Marine Fuel 0.5% FOB Rotterdam barge.
Platts continues to review the suitability of other ports which could form part of the basis for this assessment.
The Marine Fuel 0.5% FOB Rotterdam barge assessment is published in Platts European Marketscan, on Platts Global Alert page 30 and in the Platts price database under the PUMFD00 code.
Source: S&P Global Platts | HellenicShippingNews