Platts changes purity specification of ETBE FOB AR assessment

S&P Global Platts has changed its European ETBE purity specification, effective June 30, 2021 following a formal public consultation, proposal and decision.

Platts has introduced a lower minimum purity of 90% while reflecting pricing of a higher 100% purity in its ETBE FOB AR assessment and Market on Close assessment process, with value adjusted post-trade for purity on loading using a de-escalator formula.

Bids, offers and trades in the Platts MOC reflect the value of 100% ETBE purity while the purity on loading is minimum 90% ETBE and minimum 95% ethers.

Percentage price adjustments for purity post trade are based on the following formula: ETBE FOB AR flat price [AASLQ00] = MTBE FOB ARA [PHALA00] + (ETBE premium [AASLQ02] x % purity). Due to the differing ETBE purity in tanks ahead of loading, price adjustments for purity are based on the ETBE formula at the time of load, and not at the time of trade.

Platts proposed this change on Jan. 5, 2021 in a subscriber note available here: https://bit.ly/3jxmDMu

This was followed by a decision announced Feb. 15, 2021 in a subscriber note available here: https://bit.ly/2U67bwm

For further comments or queries, please contact petchems@spglobal.com and pricegroup@spglobal.com

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.