Platts proposes Spanish TVB LNG price assessments

Platts, part of S&P Global Commodity Insights, is proposing to launch daily price assessments for LNG in tanks basis Spain's virtual balancing tank Tanque Virtual De Balance (TVB), effective May 21.

The TVB serves as the virtual trading hub for LNG at six Spanish regasification facilities. It allows gas system users to store LNG and transfer its ownership without being restricted by the physical location of the LNG.

Spain is the European hub with the largest capacity to intake LNG. These TVB assessments would enable market participants to track regasification activities and reload incentives from Spain to competing markets in Asia or Europe, particularly in light of the increasing reliance on LNG. According to data from Commodity Insights, LNG reexports from Spanish terminals amounted to 81% of total reexports in Europe in 2023, and 48% in 2024.

The price assessments would reflect the physical prices of LNG in tanks with the following specifications:

Timing: Daily assessments for TVB day-ahead delivery, and TVB deliveries over the second, third, fourth and fifth half-month cycles forward from the date of assessment. There would also be a weekly assessment of the weekend delivery on the last business day before the weekend.

Basis and Location: The following six regasification facilities on a title transfer basis: Mugardos, Bilbao, Barcelona, Sagunto, Cartagena, and Huelva.

Volumes :

Day-ahead and weekend assessments: basis 100 MWh

Half-month assessments: basis 300 000 MWh

Unit: Spanish TVB prices would be assessed in Eur/MWh and would be converted into $/MMBtu, pence/therm and Eur/GJ using Platts published conversion factors.

Quality: GHV of 1,010-1,130Btu/Scf.

Timing: 4:30 pm London time stamp and would follow the UK publishing schedule.

Platts may consider bids, offers and trades outside of the standard terms for publication and review for normalization.

Platts would publish the TVB assessments in the Natural Gas news wire, and in the European Gas Daily publication alongside its existing EMEA natural gas markets coverage.

Please submit any feedback, comments, or questions about this proposal to eurogas_pricing@spglobal.com, and pricegroup@spglobal.com by April 15.

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.