Feb. 20 (Bloomberg) -- Platts, the energy news and pricing unit of McGraw-Hill Cos., said it is considering moving its price assessment for Dated Brent to a month-ahead basis.
The trading-date period already moved to a 10-to-25 day forward assessment from 10 to 21 days as of Jan. 6. A further lengthening to 30 days or one month may occur by about January 2015, Platts Global Director of Markets and Pricing Jorge Montepeque said today.
The benchmark “needs maintenance” as market conditions adjust and because European consumers sometimes use oils from further away with a longer shipping time, he said at the Platts London Oil Forum, part of the International Petroleum Week of conferences and meetings.
The move may increase the number of cargoes deliverable against Dated Brent and boost liquidity, or trading activity. Dated Brent, the benchmark for more than half of the world’s oil, is priced on the basis of a basket of Brent, Forties, Oseberg and Ekofisk grades, known as BFOE.
Platts will seek feedback from oil companies and market participants for any of its proposed changes to Dated Brent, possibly including adding Denmark’s DUC and Norway’s Troll crudes to the assessment, Montepeque said.
--Editors: John Buckley, Alessandro Vitelli
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