Four oil terminals pass Commodity Insight’s review for inclusion in price assessment processes.
A better representativeness
Four oil terminals integrate the Platts Dated Brent and Cash BFOE Market-on-Close price assessment process. These are June 2023 deliveries. As a result, Platts now integrates 11 oil terminals to deliver WTI Midland crude oil into the Brent benchmark complex.
The four oil terminals are EPIC Crude Terminal, Enterprise Houston Ship Channel, Buckeye Texas Hub and Enbridge Ingleside Energy Cente. Each terminal requests to be included in the list of WTI Midland supply locations. The US grade becoming a deliverable cargo in the Dated Brent and BFOE spot benchmarks evaluated by Platts.
A robust benchmark
Platts announced that it would reflect WTI Midland crude oil cargoes in its Dated Brent and Spot BFOE. This measure will come into effect in June 2023. This is the first time that a crude grade from outside the North Sea will be included in the Brent complex.
Joel Hanley, global director, crude and fuel oil markets, S&P Global Commodity Insights, says:
“The addition of these four terminals further demonstrates the interest and commitment of U.S. logistics companies to participate in the delivery of oil in the world’s premier crude benchmark market. The number of terminals we have approved will allow for greater diversity in the supply of Dated Brent, allowing more oil to support a robust benchmark going forward.”
This inclusion will help ensure a stronger and more robust Brent complex for decades to come. In addition, this integration follows a public and transparent consultation.
