Argus Crude

Methodology and specifications guide
ARGUS Crude
Contents:
Methodology overview 2
Overview, pricing tables 6
Futures markets 6
Forward spreads 6
Forward markets 6
North Sea 7
Russian-Caspian11
Mediterranean14
West Africa 15
Mideast Gulf 16
Asia-Pacific 19
Russia Asia-Pacific 24
Official formula prices 26
Official selling prices 26
Reference prices 26
Argus Japanese Crude Cocktail Index 26
Americas26
Daily netbacks 27
Argus intra-day North Sea forward
physical crude assessments 27
Last Updated: jANUARY 2021

The most up-to-date Argus Crude methodology is available on www.argusmedia.com
www.argusmedia.com
19 January 2005
Methodology and specifications guide January 2021
Methodology overview Throughout all markets, Argus is constantly seeking to increase

the number of companies willing to provide market data. Report-
Methodology rationale ers are mentored and held accountable for expanding their pool
Argus strives to construct methodologies that reflect the way the of contacts. The number of entities providing market data can vary
market trades. Argus aims to produce price assessments which are significantly from day to day based on market conditions. Should
reliable indicators of commodity market values, free from distortion the number of entities providing market data repeatedly fall to a
and representative of spot market values. As a result, the specific level that assessment quality may be affected, supervising editors
currencies, volume units, locations and other particulars of an as- will review the viability of the assessment.
sessment are determined by industry consensus to facilitate seam-
less bilateral trade and Argus mirrors these industry conventions. For certain price assessments identified by local management,
should more than 50pc of the market data upon which the as-
In the global crude markets, Argus reflects physical market prices sessment is based come from a single entity, then the supervising
employing a range of methodologies. These include time stamped editor will engage in an analysis of the market data with the primary
bid/ask ranges, averages of deals done in a window, volume- reporter to ensure that the quality and integrity of the assessment
weighted averages of deals done over the entire day as well as cu- has not been affected.
mulative transaction averages across a month and cumulative daily
averages. The rationale for each methodology will vary by market. Argus has committed to deliver many of our final published prices
to clients by a particular deadline each day. Because compiling and
Argus often applies crude basis differentials to various prices – such confirming transactions and other market data in advance of this
as WTI and North Sea Dated – to arrive at fixed prices because this deadline is a lengthy process, price assessment procedures must
is a representative method of converting differential prices into fixed be concluded well before that deadline. As a result, Argus has insti-
price assessments tuted cut-off times for the submission of data by market participants.
Argus will review all data received after the cut-off time and will
When Argus uses a deals based approach for price identification make best efforts to include in the assessment process all verifi-
deals must meet the minimum volume, delivery, timing, and speci- able transactions and market data received after the cut-off time but
fication requirements in our methodology and the deals must be reserves the right to exclude any market data from the process if
bona fide. The same requirements apply to most volume-weighted received after the cut-off time.
averages.
The time period used to produce representative price indications is Market data usage
that which in the opinion of Argus, following consultation with market In each market, Argus uses the methodological approach deemed
participants, can be used to produce a reliable indicator of physical to be the most reliable and representative for that market. Argus will
market value. utilise various types of market data in its methodologies, to include:
Argus will announce its publishing schedule in a calendar located 1. Transactions

at www.argusmedia.com. Argus may not assess prices on certain 2. Bids and offers
public holidays even when the exchanges are open, due to antici- 3. Other market information, to include spread values between
pated illiquidity in the cash spot markets. grades, locations, timings, and many other data.
In many markets, the relevant methodology will assign a relatively

Survey process higher importance to transactions over bids and offers, and a
Argus price assessments are informed by information received relatively higher importance to bids and offers over other market
from a wide cross section of market participants, including produc- information. Certain markets however will exist for which such a
ers, consumers and intermediaries. Argus reporters engage with hierarchy would produce unreliable and non-representative price as-
the industry by proactively polling participants for market data. sessments, and so the methodology must assign a different relative
Argus will contact and accept market data from all credible market importance in order to ensure the quality and integrity of the price
sources including front and back office of market participants and assessment. And even in markets for which the hierarchy normally
brokers. Argus will also receive market data from electronic trading obtains, certain market situations will at times emerge for which the
platforms and directly from the back offices of market participants. strict hierarchy would produce non-representative prices, requiring
Argus will accept market data by telephone, instant messenger, Argus to adapt in order to publish representative prices.
email or other means.
Argus encourages all sources of market data to submit all market Verification of transaction data
data to which they are a party that falls within the Argus stated Reporters carefully analyse all data submitted to the price assess-
methodological criteria for the relevant assessment. Argus encour- ment process. This data includes transactions, bids, offers, vol-
ages all sources of market data to submit transaction data from umes, counterparties, specifications and any other information that
back office functions when and where possible. contributes materially to the determination of price. This high level
2 www.argusmedia.com
19 January 2005
of care applies regardless of the methodology employed. Specific l The impact of non-market factors on price or volume, includ-
to transactions, bids, and offers, reporters seek to verify the price, ing distressed delivery, credit issues, scheduling issues,
the volume, the specifications, location basis, and counterparty. In demurrage, or containment.
some transactional average methodologies, reporters also examine
the full array of transactions to match counterparties and arrive at a Source tests
list of unique transactions. l The credibility of the explanation provided for the outlying
nature of the transaction.
Several tests are applied by reporters in all markets to transactional l The track record of the source. Sources will be deemed
data to determine if it should be subjected to further scrutiny. If a more credible if they
transaction has been identified as failing such a test, it will receive o Regularly provide transaction data with few errors.
further scrutiny. For certain price assessments identified by local o Provide data by Argus’ established deadline.
management, Argus has established internal procedures that o Quickly respond to queries from Argus reporters.
involve escalation of inquiry within the source’s company and o Have staff designated to respond to such queries.
escalating review within Argus management. Should this process l How close the information receipt is to the deadline for in-
determine that a transaction should be excluded from the price as- formation, and the impact of that proximity on the validation
sessment process, the supervising editor will initiate approval and, if process.
necessary, documentation procedures.
Primary tests applied by reporters Assessment guidelines

l Transactions not transacted at arms-length, including deals When insufficient, inadequate, or no transaction information exists,
between related parties or affiliates. or when a transaction based methodology will not produce repre-
l Transaction prices that deviate significantly from the mean of sentative prices, Argus reporters will make an assessment of market
all transactions submitted for that day. value by applying intelligent judgment based on a broad array of
l Transaction prices that fall outside of the generally observed factual market information. Reporters must use a high degree of
lows and highs that operated throughout the trading day. care in gathering and validating all market data used in determin-
l Transactions that are suspected to be a leg of another trans- ing price assessments, a degree of care equal to that applying to
action or in some way contingent on an unknown transac- gathering and validating transactions. The information used to form
tion. an assessment could include deals done, bids, offers, tenders,
l Single deal volumes that significantly exceed the typical spread trades, exchange trades, fundamental supply and demand
transaction volume for that market. information and other inputs.
l Transaction details that are identified by other market partici-
pants as being for any reason potentially anomalous. The assessment process employing judgment is rigorous, replica-
l Transaction details that are reported by one counterparty ble, and uses widely accepted valuation metrics. These valuation
differently than the other counterparty. metrics mirror the process used by physical commodity traders
l Any transaction details that appear to the reporter to be illog- to internally assess value prior to entering the market with a bid or
ical or to stray from the norms of trading behavior. This could offer. Applying these valuation metrics along with sound judgment
include but is not limited to divergent specifications, unusual significantly narrows the band within which a commodity can be as-
delivery location and counterparties not typically seen. sessed, and greatly increases the accuracy and consistency of the
l Transactions that involve the same counterparties, the price series. The application of judgment is conducted jointly with
same price and delivery dates are checked to see that they the supervising editor, in order to be sure that guidelines below are
are separate deals and not one deal duplicated in Argus being followed. Valuation metrics include the following:
records.
Relative value transactions
Secondary tests applied by editors for transactions identi- Frequently transactions occur which instead of being an outright
fied for further scrutiny purchase or sale of a single commodity, are instead exchanges of
commodities. Such transactions allow reporters to value less liquid
Transaction tests markets against more liquid ones and establish a strong basis for
l The impact of linkage of the deal to possible other transac- the exercise of judgment.
tions such as contingent legs, exchanges, options, swaps,
or other derivative instruments. This will include a review of l Exchange one commodity for a different commodity in the
transactions in markets that the reporter may not be covering. same market at a negotiated value.
l The nature of disagreement between counterparties on l Exchange delivery dates for the same commodity at a nego-
transactional details. tiated value.
l The possibility that a deal is directly linked to an offsetting trans- l Exchange a commodity in one location for the same com-
action that is not publicly known, for example a “wash trade” modity at another location at a negotiated value.
which has the purpose of influencing the published price.
19 January 2005
Bids and offers Transparency and confidentiality

If a sufficient number of bids and offers populate the market, then Argus values transparency in energy markets. As a result, we pub-
the highest bid and the lowest offer can be assumed to define the lish lists of deals in our reports that include price, basis, and volume
boundaries between which a deal could be transacted. information. The deal tables allow subscribers to cross check and
verify the deals against the prices. Argus feels transparency and
Comparative metrics openness is vital to developing confidence in the price assessment
The relative values between compared commodities are readily process.
discussed in the market and can be discovered through dialogue
with market participants. These discussions are the precursor to Argus asks for transaction counterparty names from contacts in
negotiation and conclusion of transactions. order to confirm deals and to avoid double-counting in certain
volume-weighted averages. In some markets, Argus does not
l Comparison to the same commodity in another market publish counterparty names. In other markets, Argus does publish
centre. counterparty names in its reports.
l Comparison to a more actively traded but slightly different
specification commodity in the same market centre.
l Analysis of prices in forward markets for physically deliver- Basis differentials and absolute prices
able commodity that allow extrapolation of value into the In the global crude markets, prices are often negotiated bids, offers,
prompt timing for the commodity assessed. and transaction values at differentials to futures prices or to refer-
l Comparison to the commodity’s primary feedstock or pri- ence prices . Argus fixed prices are derived by adding the assessed
mary derived product(s). differentials to the reference price.
l Comparison to trade in the same commodity but in a differ-
ent modality (as in barge versus oceangoing vessel) or in
a different total volume (as in full cargo load versus partial Swaps and forwards markets
cargo load). Argus publishes forward assessments for numerous markets. These
include forward market contracts that can allow physical delivery
Throughout this methodology, Argus will explain, in more detail and and swaps contracts that swap a fixed price for the average of a
on a market by market basis, the criteria and procedures that are floating published price.
used to make an assessment of market value by applying intelligent
judgment.
Publications and price data
Argus global crude prices are published in the Argus Crude report.
Volume minimums and transaction data thresholds The Argus Americas Crude report contains a subset of these prices.
In establishing each methodology, Argus will list specific minimum Other Argus publications also include some Argus Americas Crude
volume for each assessment. Because of the varying transporta- pricing data. The price data is available independent of the text-
tion infrastructure found in all commodity markets, Argus typically based report in electronic files that can feed into various databases.
does not establish thresholds strictly on the basis of a count of These price data are also supplied through various third-party data
transactions, as this could lead to unreliable and non-representative integrators. The Argus website also provides access to prices,
assessments. Instead, minimum volumes are typically established reports and news with various web-based tools. All Argus prices are
which may apply to each transaction accepted, to the aggregate of kept in a historical database and available for purchase. Contact
transactions, to transactions which set a low or high assessment or your local Argus office for information.
to other volumetrically relevant parameters.
For certain price assessments identified by local management, Ar- Corrections to assessments
gus will seek to establish minimum transaction data thresholds and Argus will on occasion publish corrections to price assessments
when no such threshold can be established Argus will explain the after the publication date. We will correct errors that arise from cleri-
reasons. These thresholds will often reflect the minimum volumes cal mistakes, calculation errors, or a misapplication of our stated
necessary to produce a transaction-based methodology, but may methodology. Argus will not retroactively assess markets based on
also establish minimum deal parameters for use by a methodology new information learned after the assessments are published. We
that is based primarily on judgment. make our best effort to assess markets based on the information we
gather during the trading day assessed.
Should no transaction threshold exist, or should submitted data fall
below this methodology’s stated transaction data threshold for any
reason, Argus will follow the procedures outlined elsewhere in this Ethics and compliance
document regarding the exercise of judgment in the price assess- Argus operates according to the best practices in the publishing
ment process. field, and maintains thorough compliance procedures throughout
the firm. We want to be seen as a preferred provider by our sub-
scribers, who are held to equally high standards, while at the same
19 January 2005
time maintaining our editorial integrity and independence. Argus l Informal discussions with market participants
has a strict ethics policy that applies to all staff. The policy can be l Informal discussions with other stakeholders
found on our website at www.argusmedia.com. Included in this l Internal review of market data
policy are restrictions against staff trading in any energy commodity
or energy related stocks, and guidelines for accepting gifts. Argus Should changes, terminations, or initiations be merited, the report
also has strict policies regarding central archiving of email and editor will submit an internal proposal to management for review
instant messenger communication, maintenance and archiving of and approval. Should changes or terminations of existing assess-
notes, and archiving of spreadsheets and deal lists used in the price ments be approved, then formal procedures for external consulta-
assessment process. Argus publishes prices that report and reflect tion are begun.
prevailing levels for open-market arms length transactions (please
see the Argus Global Compliance Policy for a detailed definition of
arms length). Changes to methodology
Formal proposals to change methodologies typically emerge out of
the ongoing process of internal and external review of the meth-
Consistency in the assessment process odologies. Formal procedures for external consultation regarding
Argus recognises the need to have judgment consistently applied material changes to existing methodologies will be initiated with an
by reporters covering separate markets, and by reporters replacing announcement of the proposed change published in the relevant
existing reporters in the assessment process. In order to ensure Argus report. This announcement will include:
this consistency, Argus has developed a programme of training and
oversight of reporters. This programme includes: l Details on the proposed change and the rationale
l Method for submitting comments with a deadline for sub-
1. A global price reporting manual describing among other missions
things the guidelines for the exercise of judgment. l Notice that all formal comments will be published after the
2. Cross-training of staff between markets to ensure proper given consultation period unless submitter requests confi-
holiday and sick leave backup. Editors that float between dentiality
markets to monitor staff application of best practices.
3. Experienced editors overseeing reporting teams are involved Argus will provide sufficient opportunity for stakeholders to analyse
in daily mentoring and assisting in the application of judg- and comment on changes, but will not allow the time needed to
ment for illiquid markets. follow these procedures to create a situation wherein unrepresenta-
4. Editors are required to sign-off on all price assessments each tive or false prices are published, markets are disrupted, or market
day, thus ensuring the consistent application of judgment. participants are put at unnecessary risk. Argus will engage with
industry throughout this process in order to gain acceptance of pro-
Review of methodology posed changes to methodology. Argus cannot however guarantee
The overriding objective of any methodology is to produce price universal acceptance and will act for the good order of the market
assessments which are reliable indicators of commodity market val- and ensure the continued integrity of its price assessments as an
ues, free from distortion and representative of spot market values. overriding objective.
As a result, Argus editors and reporters are regularly examining our
methodologies and are in regular dialogue with the industry in order Following the consultation period, Argus management will com-
to ensure that the methodologies are representative of the physical mence an internal review and decide on the methodology change.
market being assessed. This process is integral with reporting on This will be followed by An announcement of the decision published
a given market. In addition to this ongoing review of methodology, in the relevant Argus report, to include a date for implementation,
Argus conducts reviews of all of its methodologies and methodol- publication of stakeholders’ comments that are not subject to confi-
ogy documents on at least an annual basis. dentiality, and Argus’ response to those comments.
Argus market report editors and management will periodically and

as merited initiate reviews of market coverage based on a qualita- Updates to methodology
tive analysis that includes measurements of liquidity, visibility of The Argus Crude methodology is constantly updated and revised.
market data, consistency of market data, quality of market data and The latest available methodology (which may supersede the one
industry usage of the assessments. Report editors will review: you are reading) is available at www.argusmedia.com.
l Appropriateness of the methodology of existing assessments

l Termination of existing assessments
l Initiation of new assessments
The report editor will initiate an informal process to examine viability.

This process includes:
19 January 2005
Overview US pipeline
The US pipeline table contains the prices for LLS, Mars and the
Argus provides an overview of the day’s crude market activity, Argus Sour Crude Index™ (ASCI™) benchmark, LLS, Mars and ASCI
highlighting changes in key crude prices and the price differences prices are published as fixed price assessments and as differentials
among the various regional crudes. The report discusses that day’s to the front month Nymex WTI settlement price.
market activity with particular reference to the main crude bench-
mark prices. The summary has a global scope, allowing readers to Canada pipeline
quickly understand the key market drivers. The Canada pipeline table contains the prices for Canadian Syn-
thetic and WCS, published as fixed price assessments.
Pricing tables Americas cargoes

The Americas cargoes table contains the prices for Alaskan North
North Sea, Russia-Caspian, Mediterranean, west Africa Slope and Colombian Vasconia, published as fixed price assessments.
The front page of Argus Crude contains duplicate assessments of
the crude prices in the various regional sections. For the North Sea,
Russian-Caspian (including fob netbacks) Mediterranean, and West Futures markets
Africa, prices are published as fixed price assessments and also
shown as differentials to the benchmarks. The primary benchmark Argus Crude shows market information from five world futures
in the Atlantic Basin is Dated, but Dated itself is shown as a dif- markets which trade crude oil. These futures exchanges are the
ferential to the forward North Sea price (the “flat” price). The price London-based IntercontinentalExchange’s Brent contract (Ice
methodology for these regions is described in the various regional Brent), the New York Mercantile Exchange’s Light Sweet Crude
sections below. contract (Nymex WTI), the Tokyo-based Tocom Mideast Gulf crude
contract, the Dubai Mercantile Exchange’s Oman contract and
Mideast Gulf the Shanghai International Energy Exchange’s (INE) Medium Sour
The Mideast Gulf table contains the price assessments made at Crude Oil contract.
4:30pm Singapore time for front month Dubai, front month Oman,
and the Abu Dhabi crude Murban. Argus Crude publishes representative price and market informa-
tion from the futures exchanges including the Open, High, Low and
The Dubai price is published as a fixed price assessment. The Settle prices and where possible the estimated volume of trade.
Oman price is published as a fixed price assessment and is also
shown as a differential to Dubai swaps.
Forward spreads
The Murban price is published as a fixed price assessment and
also shown as a differential to the Abu Dhabi National Oil Company Argus Crude shows the North Sea/Dubai spreads for three months
(Adnoc) OSP. forward, the WTI/North Sea spreads for four months forward and
the WTI/Dubai spreads for three months forward, timestamped at
Asia-Pacific 4:30pm London time.
The Asia-Pacific table contains the price assessments made at
4:30pm Singapore time for Minas, Tapis and North West Shelf
crudes. Forward markets
The Indonesian Minas crude price is published as a fixed price as- The forward markets tables show prices in the forward markets and
sessment and as a differential to the Indonesian Crude Price (ICP). the intermonth spreads between the different monthly prices. They
also show various exchange of futures for physicals prices and ex-
Malaysian Tapis crude is published as a fixed price assessment and changes for swaps prices. Various short-term swap price tables are
as a differential to the North Sea Dated and substitute Dated on UK shown. The section also contains pricing components that are used
holidays. to calculate other Argus price assessments.
Australian North West Shelf condensate is published as a fixed price North Sea forward Singapore close
assessment and as a differential to North Sea Dated, and Substitute The North Sea forward table for Singapore close shows prices for
Dated on UK holidays (see Asia-Pacific section below). four months forward in the forward North Sea market at 4:30pm
Singapore time. This market is the Brent forward market (with For-
ESPO Blend is published as a fixed price assessment and as a dif- ties, Oseberg, Ekofisk or Troll substitutionality). It is called the North
ferential to Dubai swaps. Sea forward market in Argus Crude to differentiate it from the 15-day
Brent forward market that it replaced. This forward market trades
Sokol is published as a fixed price assessment and as a differential in parallel to the Ice futures market in Brent as an over-the-counter
to Dubai swaps for the month of loading. market in Brent.
19 January 2005
The contract trades at fixed prices and also in the form of inter- WTI Cushing
month spreads. Argus assesses the prices for the forward North WTI is assessed on a cash market basis at 1:30pm Houston time.
Sea months by applying the intermonth spread assessments to the These prices reflect an intelligent assessment of the bid/ask range
first-month North Sea forward price. Argus uses the EFP differential at the time stamp. Cash WTI rolls on the fourth business day follow-
and the front-month Ice Brent futures to assess first-month forward ing the expiry of the front-month Nymex Light Sweet crude futures
North Sea, including expiry day, except for the last three sessions in contract.
the life of the front-month futures contract. On these sessions, Argus
uses second-month Ice Brent futures and the corresponding EFP
differential (see Calculating North Sea Dated). North Sea
North Sea forward London close North Sea Dated is the main price benchmark against which other
The forward North Sea London close table duplicates the Dated crudes are valued.
price and also shows prices for four months forward in the forward
North Sea market at 4:30pm London time. This market is the Brent Argus North Sea Dated is derived from a methodology that involves
forward market (with Forties, Oseberg, Ekofisk or Troll substitutional- the price of five grades, Brent, Forties, Oseberg, Ekofisk and Troll,
ity). It is called North Sea forward in Argus Crude to differentiate it the lowest of which sets the benchmark.
from the 15-day Brent forward market that it replaced. This forward
market trades in parallel to the Ice futures market in Brent as an Calculating North Sea Dated
over-the-counter market in Brent. A weighted average of trade on Argus North Sea Dated is based on four building blocks: the for-
the most liquid forward North Sea month is also the forward (or flat ward price of crude, the contract for difference market, the prices for
price) used in the calculation of the Dated assessment. physical crude cargoes and a set of quality premiums.
The forward North Sea market trades at fixed prices and also in Timing
the form of intermonth spreads. Argus assesses the price levels for Argus North Sea Dated is based on a period starting 10 days after
these intermonth trades in the forward intermonths table on page the date of assessment and ending on the same day the following
2 and uses these intermonth assessments to construct the fixed month. This is referred to as the 10 days-month ahead period. For
forward price assessments in the North Sea table. example, on 6 February, the pricing period begins on 16 February
and ends on 6 March.
The BFOE forward contract rolls on the last working day of the
previous month, so the March 2015 forward contract will roll on 27 A North Sea Dated month-ahead calendar is available online, il-
February. If this date falls on a weekend or holiday, then the roll date lustrating the start and the end of the North Sea Dated assessment
will fall on the previous workday. The last day of trade will be the first period and the cargo loading dates that may be delivered to settle
workday prior to the roll date. forward contracts on each working day of the year. Click here to
view the calendar.
Dubai Singapore close
Argus quotes forward Dubai for four months forward at 4:30pm The forward price
Singapore time. A more detailed explanation of the Argus Dubai The first building block from which the North Sea Dated assessment
methodology can be found in the Mideast Gulf section. is derived is the forward price. It is the price for Brent crude (with
Forties, Oseberg, Ekofisk and Troll substitutionality) for loading in a
The components used in the calculation of the forward Dubai prices future calendar month.
are the Dubai/Ice Brent EFS differentials, which Argus quotes for
three months forward, and the Dubai Intermonths, which Argus The forward price is a volume-weighted average of the most actively
quotes for three periods forward. traded North Sea forward month (partial and full cargo) between
4:29 and 4:30pm London time.
Dubai London close
Argus quotes the forward Dubai price for four months forward. If there is less than 100,000 bl of North Sea forward trade in the
These prices are assessed at London 4:30pm and so differ from the time period, the forward price is the assessed value of an exchange
Singapore 4:30pm assessments. of futures for physical (EFP) contract and the prevailing Ice Brent
futures price, as reported by Ice as the Ice 1 minute marker.
Dated to Ice Brent frontline
Argus quotes prices for the Dated to Frontline (DFL) market which In the absence of an Ice 1-minute marker, Argus will calculate a suit-
trades the difference between the Dated assessment and the able replacement.
frontline Ice assessment. Argus quotes this market for four months
forward, two quarters and one year forward. In the last three sessions in the life of the front-month futures contract
Argus uses second-month Ice Brent futures and the corresponding
The front DFL month will roll either on 18th of the month or up to EFP differential.
four days after the 18th of the month, depending on liquidity.
19 January 2005
Argus North Sea Dated calculation

Today's
date
25 May 2017 CFDs Brent Forties Oseberg Ekofisk Troll
Including Including
Forward N Sea Aug 53.41 Anticipated Day Date Days Dated Aug Dated Aug Dated Aug Quality Dated Aug Quality Dated Aug
Quality Quality
Dated forward related related related related related related Premium Premium related related Premium Premium related related
Current CFD week

22-May 26-May
22-May 0.00 53.41 Mon 22-May -3
23-May 0.00 53.41 Tue 23-May -2
24-May 53.41 Wed 24-May -1
25-May 0.00 53.41 Thu 25-May 0
26-May 0.00 53.41 Fri 26-May 1
1st CFD week 2
29-May 02-Jun 3
29-May -0.87 52.54 Mon 29-May 4
30-May -0.87 52.54 Tue 30-May 5
31-May -0.87 52.54 Wed 31-May 6
01-Jun -0.87 52.54 Thu 01-Jun 7
02-Jun -0.87 52.54 Fri 02-Jun 8
2nd CFD week 9
05-Jun 09-Jun 10
05-Jun -0.81 52.60 52.60 Mon 05-Jun 11 0.15 52.75 0.15 52.75 0.60 53.20 0.64 52.56 0.35 52.95 0.31 52.64 1.15 53.75
06-Jun -0.81 52.60 52.60 Tue 06-Jun 12 0.15 52.75 0.15 52.75 0.60 53.20 0.64 52.56 0.35 52.95 0.31 52.64 1.15 53.75
07-Jun -0.81 52.60 52.60 Wed 07-Jun 13 0.15 52.75 0.15 52.75 0.60 53.20 0.64 52.56 0.35 52.95 0.31 52.64 1.15 53.75
08-Jun -0.81 52.60 52.60 Thu 08-Jun 14 0.15 52.75 0.15 52.75 0.60 53.20 0.64 52.56 0.35 52.95 0.31 52.64 1.15 53.75
09-Jun -0.81 52.60 52.60 Fri 09-Jun 15 0.15 52.75 0.15 52.75 0.60 53.20 0.64 52.56 0.35 52.95 0.31 52.64 1.15 53.75
3rd CFD week 16
12-Jun 16-Jun 17
12-Jun -0.85 52.56 52.56 Mon 12-Jun 18 0.15 52.71 0.10 52.66 0.60 53.16 0.64 52.52 0.35 52.91 0.31 52.60 1.15 53.71
13-Jun -0.85 52.56 52.56 Tue 13-Jun 19 0.15 52.71 0.03 52.59 0.60 53.16 0.64 52.52 0.35 52.91 0.31 52.60 1.15 53.71
14-Jun -0.85 52.56 52.56 Wed 14-Jun 20 0.15 52.71 0.03 52.59 0.60 53.16 0.64 52.52 0.35 52.91 0.31 52.60 1.15 53.71
15-Jun -0.85 52.56 52.56 Thu 15-Jun 21 0.15 52.71 0.03 52.59 0.60 53.16 0.64 52.52 0.35 52.91 0.31 52.60 1.15 53.71
16-Jun -0.85 52.56 52.56 Fri 16-Jun 22 0.15 52.71 -0.05 52.51 0.60 53.16 0.64 52.52 0.35 52.91 0.31 52.60 1.15 53.71
4th CFD week 23
19-Jun 23-Jun 24
19-Jun -0.84 52.57 52.57 Mon 19-Jun 25 0.15 52.72 0.00 52.57 0.60 53.17 0.64 52.53 0.35 52.92 0.31 52.61 1.15 53.72
20-Jun -0.84 52.57 52.57 Tue 20-Jun 26 0.15 52.72 0.00 52.57 0.60 53.17 0.64 52.53 0.35 52.92 0.31 52.61 1.15 53.72
21-Jun -0.84 52.57 52.57 Wed 21-Jun 27 0.15 52.72 0.10 52.67 0.60 53.17 0.64 52.53 0.35 52.92 0.31 52.61 1.15 53.72
22-Jun -0.84 52.57 52.57 Thu 22-Jun 28 0.15 52.72 0.10 52.67 0.60 53.17 0.64 52.53 0.35 52.92 0.31 52.61 1.15 53.72
23-Jun -0.84 52.57 52.57 Fri 23-Jun 29 0.15 52.72 0.10 52.67 0.60 53.17 0.64 52.53 0.35 52.92 0.31 52.61 1.15 53.72
5th CFD week 30
26-Jun 30-Jun 31
26-Jun -0.80 52.61 Mon 26-Jun 32
27-Jun -0.80 52.61 Tue 27-Jun 33
28-Jun -0.80 52.61 Wed 28-Jun 34
29-Jun -0.80 52.61 Thu 29-Jun 35
30-Jun -0.80 52.61 Fri 30-Jun 36
6th CFD week 37
03-Jul 07-Jul 38
03-Jul -0.75 52.66 Mon 03-Jul 39
04-Jul -0.75 52.66 Tue 04-Jul 40
05-Jul -0.75 52.66 Wed 05-Jul 41
06-Jul -0.75 52.66 Thu 06-Jul 42
07-Jul -0.75 52.66 Fri 07-Jul 43
52.58 52.58 Dated Component 52.73 Dated Component 52.66 Dated Component 53.18 52.54 Dated Component 52.93 52.62 Dated Component 53.73
Anticipated Dated average for 10 days Aug N
month ahead Sea -0.83
Brent to Dated 0.15 Forties to Dated 0.08 Oseberg to Dated 0.60 Ekofisk to Dated 0.35 Troll to Dated 1.15
N Sea Aug -0.68 N Sea Aug -0.75 N Sea Aug -0.87 N Sea Aug -0.79 N Sea Aug 0.32
Contracts for difference Argus publishes the relevant quality premiums for Oseberg, Ekofisk
The second building block is the contracts for difference market, and Troll on the first publishing day of each month. The quality
which is used to transform the North Sea forward price described premiums are applied to cargoes loading in the following month.
above into an Anticipated Dated price for the 10 days-month For example, the quality premium announced on 1 May 2018 was
ahead period. applied to June loading cargoes.
Argus assesses the price of contracts for difference (CFDs) — be- The quality premium for each grade is calculated as 60pc of the
tween the monthly forward price discussed above and an anticipat- difference between the price of that grade and the most competitive
ed value of the Dated benchmark — for each week in the 10 day- benchmark grade in the second month prior to the month of loading.
month ahead assessment period. Argus uses the assessed price of
CFDs and the forward price to calculate the Anticipated Dated price. Final Argus North Sea Dated calculation
An average of the daily prices in the 10 days-month ahead forward
Physical crude differentials period is calculated for:
The third building block is the price of physical cargoes of Brent,
Forties, Oseberg, Ekofisk and Troll expressed as a differential to the Brent
Anticipated Dated price at the time of loading. Forties
Oseberg (with quality premium applied)
Argus uses these differentials to construct a price curve for each of Ekofisk (with quality premium applied)
Brent, Forties, Oseberg, Ekofisk and Troll, with a value for each day Troll (with quality premium applied)
in the 10 days-month ahead forward period.
The lowest of these five prices sets the Dated price.
See the explanation of North Sea differentials below.
Argus New North Sea Dated
Quality premiums Argus also publishes Argus New North Sea Dated a variant to
The fourth building block is a set of quality adjustments that make Ekofisk, Argus North Sea Dated that includes the price of three non-North
Oseberg and Troll prices comparable with those of Brent and Forties. Sea crudes, Bonny Light, Qua Iboe and WTI, traded on a cif Rot-
terdam basis.
Argus publishes quality premiums for Oseberg, Ekofisk and Troll and
takes them into account in the Argus North Sea Dated assessment Argus New North Sea Dated is constructed in the same way as the
process. above description of Argus North Sea Dated, with two exceptions
19 January 2005
related to the timing of the cif Rotterdam components and the Dated, the quality adjustment for each grade is calculated as 60pc
freight component required to convert cif Rotterdam prices into of the difference between the price of that grade and the most com-
those comparable with the fob North Sea prices for Brent, Forties, petitive benchmark grade in the second month prior to the month of
Oseberg, Ekofisk and Troll. loading. Note, the quality adjustments for Argus New North Sea Dat-
ed will not necessarily match those used in the calculation of Argus
Timing North Sea Dated because of the different slate of crudes employed
Cif Rotterdam assessments are based on a period starting 12 days in the calculation of each benchmark.
after the date of assessment and ending on the same day plus two
the following month, to align with the timing of Argus North Sea Dated North Sea differentials
plus the two days’ distance between Rotterdam and Hound Point. Argus assesses the physical grade differential for each working day
of the 10 days-month ahead assessment period for Brent, Forties,
This trade is brought back in time by two days to align with the North Oseberg, Ekofisk and Troll and for the whole of the 10 days-month
Sea fob grades’ 10 days-month ahead forward period. For example, ahead period for other grades. Argus identifies the physical price
on 6 February, the cif Rotterdam pricing period begins on 18 Febru- differentials at 4:30pm for each loading date which has market
ary and ends on 8 March. A trade done for Rotterdam arrival on 19 depth at 4:30pm and will use information gathered throughout the
February would be considered as a 17 February-loading trade for the day to make inferred price assessments for every loading day of
purpose of inclusion in the Argus North Sea Dated assessment and the 10 days-month ahead assessment period. Argus will take into
would fall within the 10 days-month ahead forward period. account price movements beyond the assessment period when the
bulk of trade in a given month moves beyond these parameters.
Freight
Argus also adjusts the cif Rotterdam components of Argus New Argus does not rigidly use the highest bid at 4:30pm for a single
North Sea Dated by removing from the delivered prices the nomi- loading date in the 10 days-month ahead assessment period to set
nal cost of moving crude from the Brent, Forties, Oseberg, Ekofisk the prices for all dates in this assessment period. Using highest bids
and Troll loading terminals to Rotterdam. for a single loading day may lever the entire 10 days-month ahead
assessment period in a manner that is not considered representative
This freight rate is calculated based on an average of Argus’ as- by the market. Neither does Argus weight the assessment according
sessments of the Aframax cross-North Sea rate as published in to transactions at any particular time during the day, nor does it aver-
the previous five Argus Freight reports. age transactions to identify a price level for North Sea Dated.
Argus converts the published rate from $/t to $/bl using a conver- The prices for North Sea grades of crude oil are established by add-
sion factor of 7.42. ing the current Argus North Sea Dated price to the current market
differential for that grade of crude. Argus assesses the grade dif-
Argus publishes the running five-day average of the freight rate for ferentials during the course of the day with a cut off time at 4:30pm
benchmark adjustment purposes to enable market participants to London time. Formulas for Dated-related crudes are an indication of
see the value in the Argus Crude report and on the Argus Crude the differential to Dated around bill of lading assessed as achiev-
Oil Bulletin Board in advance and therefore what trade in cif Rotter- able on the day of the report. Argus does not consider ship-to-ship
dam cargoes will mean for benchmarking purposes. transfers when assessing the grade differentials.
Quality adjustments Differentials are assessed and outright prices calculated for:
Argus deducts a quality adjustment from the prices for Ekofisk, Brent
Oseberg, Troll, Bonny Light and Qua Iboe. As with Argus North Sea Forties
North Sea assessments

Typical Typical
Grade Basis/Location Timing Cargo size
°API Sulphur %
Dated fob Sullom Voe, Hound Point, Teesside, UK or Sture terminal Loading 10 days-month ahead 600,000 bl
Brent 37.9 0.45 fob Sullom Voe Loading 10 days-month ahead 600,000 bl
Forties 40.3 0.56 fob Hound Point, UK Loading 10 days-month ahead 600,000 bl
Oseberg 39.6 0.20 fob Sture terminal Loading 10 days-month ahead 600,000 bl
Ekofisk 37.5 0.23 fob Teesside, UK Loading 10 days-month ahead 600,000 bl
Troll 35.9 0.14 fob Mongstad terminal Loading 10 days-month ahead 600,000 bl
Statfjord cif Rotterdam 39.1 0.22 cif Rotterdam Loading 10 days-month ahead 855,000 bl
Statfjord fob platform 39.1 0.22 fob platform Loading 10 days-month ahead 855,000 bl
Gullfaks cif Rotterdam 36.2 0.26 cif Rotterdam Loading 10 days-month ahead 855,000 bl
Gullfaks fob platform 36.2 0.26 fob platform Loading 10 days-month ahead 855,000 bl
Flotta 36 .9 0.82 fob Flotta terminal Loading 10 days-month ahead 650,000 bl
Grane 27.5 0.64 fob Sture terminal Loading 10 days-month ahead 600,000 bl
19 January 2005
Oseberg Ice Bwave

Ekofisk Argus also shows the Bwave price for three months forward. This is
Troll a weighted average of trade on the Ice Brent contract on the previ-
Statfjord cif Rotterdam ous working day as calculated by the IntercontinentalExchange. It is
Statfjord fob platform - note: no modifications are made to the used as a component in the Saudi Aramco formula for crude sales
prevailing premium or discount in respect of freight arrangements. into Europe. Argus shows the Saudi Formula Base price which is
Gullfaks cif Rotterdam derived from the Bwave that is the underlying price in its sales for-
Gullfaks fob platform - note: no modifications are made to the mula to European customers. The same formula is used by Kuwait
prevailing premium or discount in respect of freight arrange- and Iran in sales to European customers.
ments.
Flotta Gold Ice minute markers
Grane Argus shows the Ice 1 minute marker price which is a weighted aver-
age of trade on the Ice Brent contract between 4:29 and 4:30pm for
Argus also publishes the component values for Brent, Forties, Oseberg two months forward as calculated by the IntercontinentalExchange.
(with quality premium applied), Ekofisk (with quality premium applied)
and Troll that are used to calculate the price of Argus North Sea Dated. Dated CFDs
The component values for these crudes are not necessarily the same Argus quotes prices for North Sea Dated CFDs, timestamped at
as the prices for these crudes, as the prices are calculated by adding 12:00pm and at 4:30pm London time. These are contracts for dif-
the market premium for the grade to the current Argus North Sea Dated ference (or short-term swaps) for Dated against forward North Sea
value and the component values are calculated by adding the same contracts. These North Sea Dated CFD prices are expressed as
market premium to the Anticipated Dated value. differentials to forward North Sea for six weekly periods forward.
cif Rotterdam assessments Intermonths

Argus also assesses a number of non-North Sea grades arriving in The forward North Sea market rarely trades at fixed prices. Instead,
the Rotterdam area on a cif basis. Prices are assessed in the same most trade is in the form of intermonth trades. Argus assesses the
way as the North Sea differentials described above, as a differential price levels for these intermonth trades in the forward intermonths
to Argus North Sea Dated. table and uses these intermonth assessments to construct the fixed
forward price assessments in the North Sea table on page 3.
Timing
Cif Rotterdam assessments are based on a period starting 12 days North Sea calculations
after the date of assessment and ending on the same day plus two the The North Sea calculations table shows how the component parts
following month, to align with the timing of Argus North Sea Dated plus of Dated are used to derive the benchmark price.
the two days’ distance between Rotterdam and Hound Point.
North Sea basis (flat price) is a weighted average of forward
For example, on 6 February, the cif Rotterdam pricing period begins North Sea trade in the minute leading up to 4:30pm London time. In
on 18 February and ends on 8 March. the absence of reported trade, the Ice Brent, or Ice Brent NX, minute
marker and an EFP are used.
Differentials are assessed and outright prices calculated for:
Bonny Light cif Rotterdam Anticipated Dated was previously called Argus Synthetic BFO. It
BTC Blend cif Rotterdam is an average of the prices 10 days-month ahead that are antici-
CPC Blend cif Rotterdam pated by the market for Dated as derived from the CFD market.
Escravos cif Rotterdam
Qua Iboe cif Rotterdam The Brent, Forties, Oseberg (with quality premium applied),
Saharan Blend cif Rotterdam Ekofisk (with quality premium applied) and Troll components
WTI Houston cif Rotterdam are the average prices 10 days-month ahead using the Argus Dated
methodology. The lowest of these components sets Argus Dated
WTI Houston cif Rotterdam is assessed and published for two (see Calculating North Sea Dated).
delivery periods, the 12 days to month-ahead plus two days period
described above and a second period starting the following day Argus alternative Dated illustrations
— one month and three days after the date of assessment — and Argus publishes a number of alternative Dated illustrations: Argus
ending 60 days after the date of assessment. Dated Average (an average of the Brent, Forties, Oseberg, Ekofisk
and Troll components), Argus Dated BFOE (set by the lowest
North Sea EFP priced of the Brent, Forties, Oseberg and Ekofisk components with
Argus publishes the North Sea EFP, or the exchange of futures for no quality premiums applied), Argus Dated BFO (set by the lowest
physical price, which is the traded differential between 600,000 bl priced of the Brent, Forties and Oseberg components), and Argus
of Ice Brent futures and an equivalent volume of equivalent month Dated FOE (set by the lowest priced of the Forties, Oseberg and
North Sea forward contracts. Ekofisk components).
19 January 2005
Argus North Sea Reference Price course of the day with a cut off at 5:30pm London time. The current
Argus also publishes a second North Sea generic price called the differentials and current Dated assessments are added together to
Argus North Sea Reference Price. This was a precursor to Argus generate the grade assessment.
Dated. The Argus North Sea Reference Price uses a forward curve
similar to Anticipated Dated called Synthetic Brent. Argus conducts quarterly surveys of market participants and survey-
ors as well as using quality certificates for loaded cargoes to ascer-
The Argus North Sea Reference Price is based on a weighted aver- tain average Urals gravity and sulphur content over the quarter. The
age of adjusted North Sea crude assessments. The North Sea crude average arrived at by this method will be applied to crude loading in
assessments are standardised using the Argus Synthetic Brent as- the following quarter.
sessment, which is calculated from the market relevant Argus North
Sea forward price adjusted by the average value of the second and Urals (Russian Export Blend) cif assessments assume an EU-stand-
third week CFD (contract for differences) value as published in Argus ard double-hulled vessel.
Crude. This average is weighted between the second and third week
according to the number of working days in the second and third The timing of the price assessments varies according to quotation.
weeks that fall 15 to 19 days ahead of the current date. The weighted Check Russian-Caspian assessments table below for each assess-
average of the North Sea crude assessments (Forties, Flotta Gold, ment’s timing period.
Ekofisk, Statfjord and Oseberg prices) used in the Argus North Sea
Reference Price is composed of the following ratio: Russian-Caspian assessments
The Urals NWE assessment is the price of Urals, or Russian export
Ratio Approx % blend crude. The value of Urals NWE is calculated by applying the
Forties 25 26.32 market differential of Urals cif northwest Europe to the Dated value.
Flotta Gold 5 5.26 The prevailing market differential is also published separately.
Ekofisk 15 15.79
Oseberg 15 15.79 The Urals Med Aframax assessment is the price of Urals, or Russian
Statfjord 35 36.84 export blend crude. The value of Urals Med Aframax is calculated by
applying the market differential of Urals cif Augusta to the current Dated
The assessments for these crudes are calculated by appying the value. The prevailing market differential is also published separately.
differential of the market value of the crude against the Argus Syn- The Urals cif Augusta assessment is of the market price of 80,000-
thetic Brent price. 100,000t cargoes. Preloaded cargoes will be considered in the
Urals Med Aframax assessment, if a buyer accepts a preloaded
The Argus Synthetic Brent assessment is calculated from the rel- cargo as meeting its requested loading dates.
evant Argus North Sea forward price adjusted by the average value
of the second and third week CFD (contract for difference) value as The Urals Med Suezmax assessment is the price of Urals, or
published in Argus Crude. It is a component of the Argus North Sea Russian export blend crude. The value of Urals Med Suezmax is
Reference Price. calculated by applying the market differential of Urals cif Augusta
to the current Dated value. The prevailing market differential is also
Crude sulphur de-escalator published separately. The Urals cif Augusta assessment is of the
The Argus sulphur de-escalator is an assessment of the relative val- market price of 140,000t cargoes. Preloaded cargoes will be con-
ue of sulphur in crude delivered into northwest Europe. The Argus sidered in the Urals Med Suezmax assessment, if a buyer accepts a
sulphur de-escalator is assessed on the first trading day of each preloaded cargo as meeting its requested loading dates.
month. Argus bases its assessment on the difference in the value
of sulphurous crudes and non-sulphurous crudes traded in Europe The Siberian Light assessment is the price of Siberian Light, a
in the previous month. In line with industry practice, the sulphur de- Russian export blend. The value of Siberian Light is calculated by
escalator is expressed in ¢/bl per 0.1pc weight of sulphur. applying the market differential of Siberian Light cif Augusta to the
current Dated value. The prevailing market differential is also pub-
lished separately.
Russia-Caspian
The CPC Blend assessment is the price of CPC Blend, a Kazakh
Argus assesses the price for a variety of Russian and Caspian export blend. The value of CPC Blend is calculated by applying the
crudes transported by ship to Rotterdam and Augusta, Italy, and by market differential of CPC Blend cif Augusta to the current Dated
pipeline to central Europe. Argus also calculates netback values to value. The prevailing market differential is also published separately.
the loading terminals for several crudes.
The BTC assessment is the price of BTC origin crude. BTC is the
Russian and Caspian crude prices are calculated using the differen- Baku-Tbilisi-Ceyhan pipeline which has its terminal at Ceyhan,
tials to the current Dated price. The methodology behind the Dated Turkey. The value of the BTC crude is calculated by applying the
assessment can be found in the North Sea section and on www. market differential of BTC cif Augusta to the current Dated value.
argusmedia.com. The grade differentials are assessed during the The prevailing market differential is also published separately.
19 January 2005
The Azeri Light assessment is the price of Azeri Light, a crude from and converted into dollars/bl. Insurance costs are calculated as a
Azerbaijan. The value of Azeri Light is calculated by applying the mar- percentage of the outright cif price. The netback does not include
ket differential of Azeri Light cif Augusta to the current Dated value. transportation losses, ballast, port demurrage, commissions,
The prevailing market differential is also published separately. In the bank loan expenses or market structure. The netback also does
absence of trade, Azeri Light is assessed in relation to BTC. not include the additional fixed rate differential added for voyages
within the Baltic and North Sea Sulphur Oxide Emissions Control
The Urals fob Primorsk netback is calculated from the price Area (SECA) as mentioned by Worldscale. There is a “Rotterdam
of Urals NWE, netted back to Primorsk. The Urals Primorsk fob charge” added to the freight cost, assuming standard cargo sizes
netback is derived from the Urals cif northwest Europe assess- of 100,000t and vessels with gross tonnage of 60,000GT.
ment netted back for freight, insurance and ice/towage fees. The
freight cost is for 100,000t vessels and is assessed daily based on The Urals fob Novorossiysk Aframax netback is calculated from
spot freight rates from the Argus Freight report (see Argus Freight the price of Urals Med Aframax, netted back to Novorossiysk. The
methodology). The ice/towage fees are calculated in roubles/GT Urals fob Novorossiysk Aframax netback is derived from the Urals
and converted into dollars/bl. Insurance costs are calculated as a cif Mediterranean assessment netted back for freight, insurance
percentage of the outright cif price. The netback does not include and demurrage costs. The freight cost is for 80,000t vessels and is
transportation losses, ballast, port demurrage, commissions, assessed daily based on spot freight rates from the Argus Freight
bank loan expenses or market structure. The netback also does report (see Argus Freight methodology). Insurance costs are cal-
not include the additional fixed rate differential added for voyages culated as a percentage of the outright cif price. Demurrage costs
within the Baltic and North Sea Sulphur Oxide Emissions Control are assessed daily and multiplied by the number of days delay in
Area (SECA) as mentioned by Worldscale. There is a “Rotterdam both directions, north bound and south bound, in the Turkish Straits
charge” added to the freight cost, assuming standard cargo sizes above two days. The netback does not include transportation
of 100,000t and vessels with gross tonnage of 60,000GT. losses, ballast, port demurrage, commissions, bank loan expenses
or market structure.
The Urals fob Ust-Luga netback is calculated from the price
of Urals NWE, netted back to Ust-Luga. The Urals Ust-Luga fob The Urals fob Novorossiysk Suezmax netback is calculated
netback is derived from the Urals cif northwest Europe assess- from the price of Urals Med Suezmax, netted back to Novorossiysk.
ment netted back for freight, insurance and ice/towage fees. The The Urals fob Novorossiysk Suezmax netback is derived from the
freight cost is for 100,000t vessels and is assessed daily based on Urals cif Mediterranean assessment netted back for freight, insur-
spot freight rates from the Argus Freight report (see Argus Freight ance and demurrage costs. The freight cost is for 140,000t vessels
methodology). The ice/towage fees are calculated in roubles/GT and is assessed daily based on spot freight rates from the Argus
Russian-Caspian assessments
Typical Typical Conversion
Grade Basis/Location Timing Cargo size
°API Sulphur % factor t/bl
Urals northwest Europe* 29.85 1.58 7.1725 cif northwest Europe Loading 10-25 days ahead 100,000t
Urals Med Aframax* 30.27 1.42 7.1912 cif Augusta, Italy Loading 10-25 days ahead 80,000-100,000t
Urals Med Suezmax* 30.27 1.42 7.1912 cif Augusta, Italy Loading 10-25 days ahead 140,000t
Siberian Light* 34.80 0.56 7.3925 cif Augusta, Italy Loading 10-25 days ahead 80,000-85,000t
CPC Blend* 46.15 0.59 7.8971 cif Augusta, Italy Loading 10-30 days ahead 80,000t -135,000t
BTC 37.90 0.16 7.5303 cif Augusta, Italy Loading 15-35 days ahead 80,000t-135,000t
Azeri Light 34.90 0.14 7.3970 cif Augusta, Italy Loading 15-35 days ahead 80,000t-135,000t
Urals fob Primorsk* 29.85 1.58 7.1725 fob Primorsk, Baltic 100,000t
Urals fob Ust-Luga* 30.44 1.67 7.1987 fob Ust-Luga, Baltic 100,000t
Urals fob Novorossiysk Aframax* 30.27 1.42 7.1912 fob Novorossiysk, Black Sea 80,000-100,000t
Urals fob Novorossiysk Suezmax* 30.27 1.42 7.1912 fob Novorossiysk, Black Sea 140,000t
Urals cif Black Sea Aframax* 30.27 1.42 7.1912 cif Black Sea 80,000t
CPC Terminal* 46.15 0.59 7.8971 fob CPC terminal 135,000t
BTC* 37.90 0.16 7.5303 fob Ceyhan 80,000t
Azeri Light 34.90 0.14 7.3970 fob Supsa 80,000t
Urals Druzhba Slovakia* 30.54 1.68 7.2032 fit Budkovce (for Slovak delivery) Delivered during the previous month 10,000t tranche
Urals Druzhba Hungary* 30.54 1.68 7.2032 fit Feneshlitke (for Hungarian delivery) Delivered during the previous month 10,000t tranche
Urals Druzhba Poland* 30.54 1.68 7.2032 fit Adamowa Zastawa (for Polish delivery) Delivered during the previous month 10,000t tranche
Urals Druzhba Germany* 30.54 1.68 7.2032 fit Adamowa Zastawa (for German delivery) Delivered during the previous month 10,000t tranche
* 4Q20 qualities used in 1Q21 calculations
19 January 2005
Freight report (see Argus Freight methodology). Insurance costs Russia-Caspian retrospective assessments
are calculated as a percentage of the outright cif price. Demurrage These assessments are based on the publication date’s North Sea
costs are assessed daily and multiplied by the number of days de- Dated added to the average of the fob differentials published over the
lay in both directions, north bound and south bound, in the Turkish retrospective period during which cargoes for loading that day are
Straits above two days. The netback does not include transportation likely to have traded. They give the approximate price that a cargo
losses, ballast, port demurrage, commissions, bank loan expenses loading on the day of publication could be expected to achieve.
or market structure.
The Urals fob Primorsk retrospective assessment is based on
The Urals 80,000t cif Black Sea netback is calculated from the the publication date’s North Sea Dated added to the average of
Urals fob Novorossiysk netback index with added freight costs to the Urals fob Primorsk differentials for working days in a 10-25 day
the Black Sea ports of Constantza/Media (Romania) and Burgas period before the publication date.
(Bulgaria). The Urals Novorossiysk fob netback is derived from
the Urals cif Mediterranean assessment netted back for freight, The Urals fob Ust-Luga retrospective assessment is based on
insurance and demurrage costs. The freight cost is for 80,000t the publication date’s North Sea Dated added to the average of
vessels and is assessed daily based on Black Sea-Med spot freight the Urals fob Ust-Luga differentials for working days in a 10-25 day
rates from the Argus Freight report applied to average flat rate for period before the publication date.
Novorossiysk-Constantza and Novorossiysk-Burgas routes (see
Argus Freight methodology). Insurance costs are calculated as a The Urals fob Novorossiysk Aframax retrospective assessment
percentage of the cif Black Sea price. The netback does not include is based on the publication date’s North Sea Dated added to the
transportation losses, ballast, port demurrage, commissions, bank average of the Urals fob Novorossiysk differentials for working days
loan expenses or market structure. in a 10-25 day period before the publication date.
The CPC Blend fob Terminal netback is calculated from the price The CPC Blend fob CPC Terminal retrospective assessment
of CPC Blend, netted back to the CPC terminal near Novorossiysk, is based on the publication date’s North Sea Dated added to the
adjusted for other costs. The CPC Terminal fob netback is derived average of the CPC Blend fob CPC Terminal differentials for working
from the CPC Blend cif Augusta assessment netted back for freight, days in a 10-30 day period before the publication date.
insurance and demurrage costs. The freight cost is for 135,000t
vessels and is assessed daily based on spot freight rates from the Druzhba pipeline prices
Argus Freight report (see Argus Freight methodology). Insurance Argus publishes monthly price assessments for inland deliveries of
costs are calculated as a percentage of the outright cif price. De- Russian Urals crude to refineries in eastern Europe by the Druzhba
murrage costs are assessed daily and multiplied by the number of (Friendship) pipeline. Prices reflect competitive spot and term deals
days delay in both directions, north bound and south bound, in the between the last Russian seller and the first independent buyer —
Turkish Straits above two days. The netback does not include trans- trader or refiner. Argus establishes a buy-sell range based on the
portation losses, ballast, port demurrage, commissions, bank loan lowest price level of the market. Prices on the Druzhba line are usually
expenses or market structure. There is a CPC Terminal discount on established in the first week of a month for the past month’s supplies.
the freight cost, which is regularly adjusted.
Monthly price assessments are derived retrospectively from
The BTC fob Ceyhan quotation is an assessment but in the prices agreed between buyers and sellers to determine the dif-
absence of strong trading indications will be based on a BTC fob ferential to North Sea Dated based on formulas linking Druzhba and
netback derived from the BTC cif Augusta assessment netted back seaborne Urals prices. The monthly differentials emerge at the be-
for freight and insurance costs. The freight cost will be for 80,000t ginning of the following month. So the July differentials to Dated for
vessels and will be assessed daily based on spot freight rates from Druzhba appear at the beginning of August. Argus assesses the low
the Argus Freight report (see Argus Freight methodology). Insur- and high differential to Dated for different locations on the Druzhba
ance costs are calculated as a percentage of the outright cif price. pipeline, based on the lowest and highest trades for a given month.
These are combined with an average of Dated values over the ap-
The Azeri Light fob Supsa netback is calculated from the price of propriate month to give an outright price.
Azeri Light, netted back to Supsa, adjusted for other costs. The Azeri
Light fob netback is derived from the Azeri Light cif Augusta assess- The Druzhba Slovakia assessment is the price of Urals fit Budko-
ment netted back for freight, insurance and demurrage costs. The vce for delivery to Slovakia along the Druzhba pipeline at first point
freight cost is for 80,000t vessels and is assessed daily based on of export. The value of Druzhba Slovakia is calculated by applying
spot freight rates from the Argus Freight report (see Argus Freight a low and high differential of Druzhba Slovakia to the Dated value
methodology). Insurance costs are calculated as a percentage of the for the previous month. The prevailing market differentials are also
outright cif price. Demurrage costs are assessed daily and multiplied published separately.
by the number of days delay in the Turkish Straits above two days.
The netback does not include transportation losses, ballast, port The Druzhba Hungary assessment is the price of Urals fit Fe-
demurrage, commissions, bank loan expenses or market structure. nyeslitke for delivery to Hungary along the Druzhba pipeline at first
point of export. The value of Druzhba Hungary is calculated by ap-
19 January 2005
plying a low and high differential of Druzhba Hungary to the Dated The value of Kirkuk, an Iraqi crude, fob Ceyhan, is calculated
value for the previous month. The prevailing market differentials are by applying the market differential of Kirkuk to the current Dated
also published separately. value. In the absence of trade, the Kirkuk assessment will be left
unchanged.
The Druzhba Poland assessment is the price of Urals fit Ada-
mowo for delivery to Poland along the Druzhba pipeline at first point The value of Basrah Light, an Iraqi crude, cif Augusta, is calcu-
of export. The value of Druzhba Poland is calculated by applying lated by applying the market differential of Basrah Light cif Augusta
a low and high differential of Druzhba Poland to the Dated value to the current Dated value. The prevailing market differential is also
for the previous month. The prevailing market differentials are also published separately.
published separately.
The value of Basrah Light, an Iraqi crude, fob Sidi Kerir, is calcu-
The Druzhba Germany assessment is the price of Urals fit Ada- lated by applying the market differential of Basrah Light to the cur-
mowo for delivery to Germany along the Druzhba pipeline at first rent Dated value. The prevailing market differential is also published
point of export. The value of Druzhba Germany is calculated by ap- separately.
plying a low and high differential of Druzhba Germany to the Dated
value for the previous month. The prevailing market differentials are The value of Basrah Medium, an Iraqi crude, cif Augusta, is
also published separately. calculated by applying the market differential of Basrah Medium cif
Augusta to the current Dated value. The prevailing market differen-
tial is also published separately.
Mediterranean
The value of Basrah Heavy, an Iraqi crude, cif Augusta, is calculat-
Argus assesses a variety of sweet and sour grades of crude in the ed by applying the market differential of Basrah Heavy cif Augusta
Mediterranean. The crudes chosen are not only those for which to the current Dated value. The prevailing market differential is also
there is open spot market activity but also those that allow price published separately.
comparisons on sulphur and other specifications. The published
prices are not meant to be official selling prices. Official selling The value of Iran Light, an Iranian crude, fob Sidi Kerir is assessed
prices will also be published in Argus Crude and clearly labelled as using the official formula price, the prevailing Dated-to-Frontline
such. (DFL) value (the difference between North Sea Dated and Ice Brent
futures on a calendar month basis) for the appropriate month and
Mediterranean crude prices are calculated using the differentials changes in the value of the Urals Med Aframax assessment. The
to the current North Sea Dated price. The methodology behind the prevailing market differential to the Dated value is also published
Dated assessment can be found in the North Sea section and on separately.
www.argusmedia.com. The grade differentials are assessed during
the course of the day with a cut off time at 5:30pm London time. The value of Iran Heavy, an Iranian crude, fob Sidi Kerir, is as-
The current differentials and current Dated assessments are added sessed using the official formula price, the prevailing Dated-to-
together to generate the grade assessment. Frontline (DFL) value (the difference between North Sea Dated and
Ice Brent futures on a calendar month basis) for the appropriate
The timing of the price assessments is for an average price in the month and changes in the value of the Urals Med Aframax assess-
period 10-25 days ahead except for Saharan Blend, which is for an ment. The prevailing market differential to the Dated value is also
average of 15-35 days ahead. published separately.
Mediterranean assessments The value of Suez Blend, an Egyptian crude, fob Ras Shukeir, is
The value of Saharan Blend, an Algerian crude, fob Arzew, is assessed using the official formula price and changes to the Urals
calculated by applying the market differential of Saharan Blend to Med Aframax assessment. The prevailing market differential to the
the current Dated value. The prevailing market differential is also Dated value is also published separately.
published separately.
Official formula prices
The value of Zarzaitine, an Algerian crude, fob Tunisia, is calculated Argus also publishes official formula prices for crude from Algeria,
by applying the market differential of Zarzaitine to the current Dated Syria and Libya. These are expressed as differentials to Dated or
value. The prevailing market differential is also published separately. Urals in the Mediterranean for a given loading month and are set by
national oil companies.
The value of Es Sider, a Libyan crude, fob Libya, is calculated by
applying the market differential of Es Sider to the current Dated
value. The prevailing market differential is also published separately.
In the absence of trade, the differential will be left unchanged.
19 January 2005
Mediterranean assessments
The value of Egina, a Nigerian crude, is calculated by applying the
Typical
typical Basis/
Grade
°API
Sul-
Location
Timing Cargo size market differential of Egina to the current Dated value. The prevail-
phur %
ing market differential is also published separately.
Saharan Blend 46.0 0.10 fob Arzew Loading 15-35 days ahead 80,000-130,000t
Zarzaitine 42.8 0.06 fob La Skhirra Loading 10-25 days ahead 80,000-130,000t The value of Erha, a Nigerian crude, is calculated by applying the
Es Sider 36.2 0.49 fob Libya Loading 10-25 days ahead 80,000-130,000t
market differential of Erha to the current Dated value. The prevailing
market differential is also published separately.
Kirkuk 36.0 2.00 fob Ceyhan Loading 10-25 days ahead 80,000-130,000t
Basrah Light 33 2.7 cif Augusta Loading 10-25 days ahead 80,000-130,000t
The value of Escravos, a Nigerian crude, is calculated by applying
Basrah Light 33 2.7 fob Sidi Kerir Loading 10-25 days ahead 80,000-130,000t the market differential of Escravos to the Dated value. The prevailing
Basrah Medium 29 3 cif Augusta Loading 10-25 days ahead 80,000-130,000t market differential is also published separately.
Basrah Heavy 24 4.1 cif Augusta Loading 20-45 days ahead 1mn-2mn bl
The value of Forcados, a Nigerian crude, is calculated by applying
Iran Light 33.7 1.50 fob Sidi Kerir Loading 10-25 days ahead 80,000-130,000t
the market differential of Forcados to the current Dated value. The
Iran Heavy 30.7 1.80 fob Sidi Kerir Loading 10-25 days ahead 80,000-130,000t
prevailing market differential is also published separately.
Suez Blend 30.4 1.65 fob Ras Shukeir Loading 10-25 days ahead 80,000-130,000t
The value of Qua Iboe, a Nigerian crude, is calculated by applying

the market differential of Qua Iboe to the current Dated value. The
West Africa prevailing market differential is also published separately.
Argus assesses a variety of west African crudes. The crudes chosen The value of Usan, a Nigerian crude, is calculated by applying the
are not only those for which there is open spot market activity but market differential of Usan to the current Dated value. The prevailing
also those that allow price comparisons among the various grades. market differential is also published separately.
The published prices are not meant to be official formula prices.
Official formula prices will also be published in Argus Crude and The value of Cabinda, an Angolan crude, is calculated by applying
clearly labelled as such. the market differential of Cabinda to the current Dated value. The
West African crude prices are calculated using the differentials to
the current North Sea Dated price. The methodology behind the The value of Dalia, an Angolan crude, is calculated by applying the
Dated assessment can be found in the North Sea section and on market differential of Dalia to the current Dated value. The prevailing
www.argusmedia.com. The grade differentials are assessed during market differential is also published separately.
the course of the day with a cut off time at 5:30pm London time.
The current differentials and current Dated assessments are added The value of Girassol, an Angolan crude, is calculated by applying
together to generate the grade assessment. The timing of the Nige- the market differential of Girassol to the current Dated value. The
rian price assessments is for an average price in the period 20-45 prevailing market differential is also published separately.
days ahead. The timing of the Angolan price assessments is for an
average price in the period 25-60 days ahead. The value of Hungo, an Angolan crude, is calculated by applying
the market differential of Hungo to the current Dated value. The
West Africa assessments prevailing market differential is also published separately.
The value of Agbami, a Nigerian crude, is calculated by applying
the market differential of Agbami to the current Dated value. The The value of Kissanje, an Angolan crude, is calculated by applying
prevailing market differential is also published separately. the market differential of Kissanje to the current Dated value. The
The value of Amenam, a Nigerian crude, is calculated by applying
the market differential of Amenam to the current Dated value. The The value of Mostarda, an Angolan crude, is calculated by applying
prevailing market differential is also published separately. the market differential of Mostarda to the current Dated value. The
The value of Bonga, a Nigerian crude, is calculated by applying the
market differential of Bonga to the current Dated value. The prevail- The value of Nemba, an Angolan crude, is calculated by applying
ing market differential is also published separately. the market differential of Nemba to the current Dated value. The
The value of Bonny Light, a Nigerian crude, is calculated by apply-
ing the market differential of Bonny Light to the current Dated value. The value of Zafiro, a crude from Equatorial Guinea, is calculated by
The prevailing market differential is also published separately. applying the market differential of Zafiro to the current Dated value. The
The value of Brass River, a Nigerian crude, is calculated by apply-
ing the market differential of Brass River to the current Dated value.
The prevailing market differential is also published separately.
19 January 2005
The value of Jubilee, a Ghanaian crude, is calculated by applying the On 1 October, the front month becomes December and prices are
market differential of Jubilee to the current Dated value. The prevailing published for crude loading in December, January, February and
market differential is also published separately. March.
The value of Doba, a Chadian crude, is calculated by applying the mar- The physical price of Dubai crude is assessed using two or three
ket differential of Doba to the current Dated value. The prevailing market components, depending on the forward month being assessed —
differential is also published separately. the price of Ice Brent futures, the price of Brent-Dubai exchange
of futures for swaps (EFS) and the price spreads between forward
The value of Djeno, a Congolese (Brazzaville) crude, is calculated months in the Dubai swaps market.
by applying the market differential of Djeno to the current Dated
value. The prevailing market differential is also published separately. This approach reflects the way in which the market manages Dubai
price exposure by linking the price of Dubai crude to one of the
Nigerian official formula prices world’s most liquid exchange-traded futures contracts, Ice Brent,
Argus also publishes official formula prices for crude from Nigeria. and the active trade in Brent-Dubai EFS and Dubai swaps.
These are expressed as differentials to Dated for a given loading
month and are set by Nigeria’s national oil company NNPC. Two of the components of the physical Dubai price assessment are
assessed by Argus reporters — the price of the Brent-Dubai EFS con-
West Africa assessments tract at 4.30pm Singapore time, and the price spreads between for-
typical
typical ward months in the Dubai swaps market at 4.30pm Singapore time.
Grade Sulphur Basis/Location Timing Cargo size
°API
%
Agbami 47.2 0.05 fob Nigeria Loading 20-45 days ahead 950,000 bl The Ice Brent futures price component is the Ice Brent 4.30pm
Amenam 40.8 0.093 fob Nigeria Loading 20-45 days ahead 950,000 bl Singapore one-minute marker, a weighted average of trades done
Bonga 29.11 0.292 fob Nigeria Loading 20-45 days ahead 950,000 bl for the month of loading during a one-minute period from 16:29:00
Bonny Light 34.5 0.14 fob Nigeria Loading 20-45 days ahead 950,000 bl
to 16:30:00 local Singapore time.
Brass River 36.5 0.13 fob Nigeria Loading 20-45 days ahead 950,000 bl
Typically, and due to the relative liquidity of the underlying Brent-
Egina 27.27 0.165 fob Nigeria Loading 20-45 days ahead 1mn bl
Dubai EFS and Dubai swaps markets, the physical Dubai price for
Erha 33.7 0.1798 fob Nigeria Loading 20-45 days ahead 950,000 bl
the third forward month (four months from the date of publication)
Escravos 34 0.15 fob Nigeria Loading 20-45 days ahead 950,000 bl
is assessed using the corresponding Ice Brent futures price and the
Forcados 30 0.15 fob Nigeria Loading 20-45 days ahead 950,000 bl Brent-Dubai EFS price. The physical Dubai price for the first, second
Qua Iboe 36.6 0.13 fob Nigeria Loading 20-45 days ahead 950,000 bl and fourth forward months are assessed using the physical Dubai
Usan 30.6 0.23 fob Nigeria Loading 20-45 days ahead 1mn bl price for the third forward month and the price of spreads between
Cabinda 32.5 0.13 fob Angola Loading 25-60 days ahead 950,000 bl forward months in the Dubai swaps market.
Dalia 23.7 0.49 fob Angola Loading 25-60 days ahead 950,000 bl
Girassol 31 0.33 fob Angola Loading 25-60 days ahead 950,000 bl

Example (forward month three):
On 21 September: The Ice Brent futures price for November minus
Hungo 27.4 0.65 fob Angola Loading 25-60 days ahead 950,000 bl
the Brent-Dubai EFS price for November results in the Dubai swap
Kissanje 30.7 0.36 fob Angola Loading 25-60 days ahead 950,000 bl
price for November. Dubai swaps are settled against prices for
Mostarda 28.17 1.083 fob Angola Loading 25-60 days ahead 950,000 bl
cargoes loading two months after the date of trade.
Nemba 38.7 0.19 fob Angola Loading 25-60 days ahead 950,000 bl
fob offshore In this example, the Brent-Dubai EFS is an exchange of a November

Zafiro 29.5 0.26 Equatorial Loading 25-60 days ahead 950,000 bl
Guinea Brent futures contract for a November Dubai swaps contract that
Jubilee 36.4 0.26 fob Ghana Loading 25-60 days ahead 950,000 bl will settle against the price of physical delivery two months later, in
Doba 25.1 0.08
fob offshore
Loading 25-60 days ahead 950,000 bl
January.
Cameroon
fob Congo Braz-
Djeno 27.59 0.341 Loading 25-60 days ahead 920,000 bl
zaville Forward month 3 (January)
Component Timing Price $/bl
Ice Brent November 47.76

Mideast Gulf EFS November -1.76
Dubai swap November 46.00

Mideast Gulf assessments Dubai physical assessment January 46.00
Dubai
Argus assesses the price of physical Dubai crude for four for- Therefore, the price of physical Dubai crude loading in January is
ward months. Front-month physical Dubai is for cargoes loading the Ice Brent futures price for November minus the Brent-Dubai EFS
two months from the month of publication. For example, on 21 price for November.
September, the front month is November and prices are published
for crude loading in November, December, January and February.
19 January 2005
Example (forward months one, two and four): Murban, Das, Umm Lulu and Upper Zakum
On 21 September: The physical Dubai price for the third forward month Argus assesses the prices of Murban, Das, Umm Lulu and Upper
(January) was $46/bl as explained above. Argus reporters assessed Zakum relative to their latest forward official formula prices (OFP), the
the following inter-month spreads between Dubai swaps prices Dubai swaps price for the assessment month and the currently traded
market premium or discount to the anticipated OSP for each grade.
November/December -1.35
December/January -0.82 Example
January/February -0.74 On 22 April:
• The most recent OFP for the Murban is for May and was
which allow for the calculation of physical Dubai prices for Novem- published at $6.95/bl below Dubai. Note the OFP is pub-
ber, December and February. lished as a differential to Dubai, rather than an outright price
• The current market differential of Murban to the anticipated
Forward month 1 (November) October June OFP is assessed at -40¢/bl
Component Timing Price • The Dubai swaps price for June is assessed at $27.10/bl
Dubai physical December 45.18
Intermonth spread November/December -1.35 Murban

Dubai physical assessment November 43.83 Component Most recent Dubai swaps* Current spot Murban assess-
OFP differential to ment
OSP*
Forward month 2 (December) Month May June June June
Component Timing Price Price -6.95 27.10 -0.40 19.75
Dubai physical January 46.00 *Assessed by Argus
Intermonth spread December/January -0.82
Dubai physical assessment December 45.18

Qatar Land and Qatar Marine
Argus assesses the prices of Qatar Land and Qatar Marine relative
Forward month 4 (February) to the latest forward official formula price (OFP), the front-month
Component Timing Price Dubai swaps and Oman futures prices and the currently traded
Dubai physical January 46.00 market premium or discount to the anticipated OFP for each grade.
Intermonth spread January/February -0.74
Dubai physical assessment February 46.74 Example

On 21 September:
Oman • The most recent OFP for the grade is for October and was
Argus assesses the price of physical Oman crude for three forward published at $1.95/bl below the average of front-month Dubai
months. Front-month physical Oman is for cargoes loading two and front-month Oman price assessments. Note the OFP is
months from the month of publication. For example, on 21 Septem- published as a differential, rather than an outright price
ber, the front month is November and prices are published for crude • The current market differential for Qatar Marine to the antici-
loading in November, December and January. On 1 October, the pated November Qatar Marine OFP is assessed at -95¢/bl
front month becomes December and prices are published for crude • The front-month Dubai swaps contract (for November) is
loading in December, January and February. assessed at $46/bl
• The Oman front-month futures price (for November) is
The physical price of Oman crude is assessed relative to the antici- $44.58/bl
pated official selling price from the Ministry of Oil and Gas (MOG), • The Dubai/Oman front-month average is therefore at $45.29/bl
which is itself based on the price of DME Oman futures.
Assessments are of the price of crude loading two months from the
Argus adds to the DME Oman futures price a market differential for month of publication.
full cargoes, to reflect physical OTC market prices.
Qatar Land
Oman Compo- Most re- Dubai DME Dubai/ Current Qatar
nent cent OFP front- Oman Oman spot dif- Land
Month Differential to DME DME Oman fu- Oman Physical month front- front- ferential assess-
Oman futures* tures † assessment‡ swaps* month month to OSP† ment#
November 0.06 44.58 44.64 futures† average‡
Month October November November November November Novem-

December 0.06 45.41 45.47
ber
January 0.06 46.28 46.34 Price -1.95 46.00 44.58 45.29 -0.95 42.39
*Assessed by Argus †Exchange settlement ‡Assessed market differential + DME Oman *Assessed by Argus †DME Oman front-month futures settlement ‡Average of Dubai and
futures Oman front-month prices #Anticipated OFP+ current Qatar Land spot market differential
19 January 2005
Al-Shaheen Example
Argus assesses the price of Al-Shaheen relative to the market dif- On 20 November:
ferential of Al-Shaheen to Dubai swaps for the month of loading. • The most recent OFP for the Basrah Light is for December
and was published at 45¢/bl above the average of front-
Example month Dubai and front-month Oman price assessments in
On 21 September: December. Note the OFP is published as a differential, rather
• The market differential of Al-Shaheen to the front-month than an outright price
Dubai swaps price is -$2.83/bl • The current spot market differential for Basrah Light to the
• The front-month Dubai swaps contract is assessed at $46/bl December Basrah Light OFP is assessed at +1.60/bl
• The Dubai swaps contract (for December) is assessed at
Al-Shaheen $44.02/bl
Component Dubai swaps* Al-Shaheen Al- Shaheen • The Oman second-month futures price (for February) is
differential to assessment† $43.37/bl
Dubai swaps*
• The Dubai/Oman front-month average is therefore $44.20/bl
Month November November November
Assessments are of the price of crude for Asia-Pacific destinations
Price 46.00 -2.83 43.17
loading one month from the month of publication.
*Assessed by Argus †Dubai swaps + Al-Shaheen differential assessment
Banoco Arab Medium Basrah Light

Argus assesses the prices of Banoco Arab Medium relative to the Compo- Most re- Dubai DME Dubai/ Current Basrah
latest forward official formula price (OFP) for Arab Medium, the nent cent OFP swaps† Oman Oman Basrah Light
futures* average‡ Light dif- assess-
front-month Dubai swaps and Oman futures prices and the cur- ferential ment#
to Basrah
rently traded market premium or discount to the anticipated OFP Light
for Arab Medium. OSP†
Month December December February na November Novem-

ber
Example
Price 0.45 44.02 44.37 44.20 1.60 46.25
On 21 September:
†Assessed by Argus *DME Oman futures settlement ‡Average of Dubai and Oman prices
• The most recent Saudi OFP for Arab Medium is for October #Anticipated OFP+current Basrah Light spot market differential
and was published at $1.30/bl below the average of front-
month Dubai and front-month Oman price assessments.
Note the Saudi OFP is published as a differential, rather than Qatari DFC and LFC
an outright price Argus assesses the prices of Qatari deodorised field condensate (DFC)
• The current market differential for Banoco Arab Medium to and low sulphur condensate (LSC) relative to the spread between the
the anticipated November Arab Medium OFP is assessed at spot market premium or discount to Dubai front-month swaps prices.
-70¢/bl
• The Dubai front-month swaps contract (for November) is Example
assessed at $46/bl On 21 September:
• The Oman front-month futures price (for November) is • The current market differential for DFC fob Qatar is assessed
$44.58/bl at 65¢/bl
• The Dubai/Oman front-month average is therefore $45.29/bl • The Dubai front-month swaps contract is assessed at $46/bl
Assessments are of the price of crude loading two months from the Assessments are of the price of crude loading two months from the
month of publication. month of publication.
Banoco Arab Medium Qatari DFC

Com- Most Dubai DME Dubai/ Current Banoco Component Current DFC differ- Dubai front month Qatari DFC assess-
ponent recent front- Oman Oman Banoco assess- ential to Dubai front swaps† ment†
OFP month front- front- differ- ment# month swaps*
swaps* month month ential to
futures† average‡ OFP† Month November November November
Month October November November November Novem- November Price 0.65 46.00 46.65
ber
*The Oman/Dubai component of this spread is the average of the front-month assessment
Price -1.30 46.00 44.58 45.29 -0.70 43.29 published in August †Assessed by Argus
*Assessed by Argus †DME Oman front-month futures settlement ‡Average of Dubai and
Oman front-month prices #Anticipated OFP+ current Banoco spot market differential
Basrah Light, Basrah Medium and Basrah Heavy

Argus assesses the prices of Basrah Light, Basrah Medium and
Basrah Heavy relative to the latest forward official formula price
(OFP), the relevant Dubai swaps for the cargo loading month,
second-month Oman futures prices and the currently traded market
premium or discount to the OFP for each grade.
19 January 2005
Mideast Gulf assessments Murban differentials are published for

Typical Typical
Grade Basis/location Timing Cargo size
°API sulphur %
Dubai
Dubai 31.0 2.04 fob Dubai Month of loading 400,000 bl
Oman
Oman 33.3 1.06 fob Oman Month of loading 500,000 bl
Das
Murban 40.4 0.79 fob UAE Month of loading 500,000 bl
Upper Zakum
Das 39.2 1.30 fob UAE Month of loading 500,000 bl
Umm Lulu
Umm Lulu 41.6 0.68 fob UAE Month of loading 500,000 bl Qatar Land
Upper Zakum 34.0 1.95 fob UAE Month of loading 500,000 bl Qatar Marine
Qatar Land 41.1 1.22 fob Qatar Month of loading 500,000 bl Qatar Al-Shaheen
Qatar Marine 36.2 1.60 fob Qatar Month of loading 500,000 bl Banoco Arab Medium
Al-Shaheen 30.3 1.9 fob Qatar Month of loading 600,000 bl
Basrah Light fob Iraq*
Basrah Medium fob Iraq*
Banoco A M 31.8 2.45 fob Bahrain Month of loading 500,000 bl
Basrah Heavy fob Iraq*
fob Iraq for
Basrah Light 33 2.7 Asia-Pacific Month of loading 2mn bl DFC fob Qatar
destinations
fob Iraq for
LSC fob Qatar
Basrah
29 3 Asia-Pacific Month of loading 2mn bl ESPO Blend
Medium destinations
fob Iraq for Sokol
Basrah Heavy 24 4.1 Asia-Pacific Month of loading 2mn bl
destinations Sakhalin Blend
Qatari DFC 55 0.74 fob Qatar Month of loading 500,000 bl Asia timestamp WTI Houston
Qatari LSC 59.05 0.098 fob Qatar Month of loading 500,000 bl
Substitute North Sea Dated
*Asia-Pacific destination-restricted cargoes
DME differentials
Argus publishes the price of key Mideast Gulf grades as differen- Asia-Pacific
tials to the Dubai Mercantile Exchange (DME) futures price. The
differential is the spread between the Argus assessed outright price Argus assesses the price for a variety of Asia-Pacific crude grades.
of each crude grade, and the daily Singapore marker price for the Argus assessments of Asia-Pacific crudes consist of a fixed-price or
front-month DME Oman crude futures contract. formula assessment and a differential assessment. All of these price
assessments are made with a cut off of 4:30pm Singapore time, with
For example, in July, the differential will be the outright value of the the exception of those grades assessed on a North Sea Dated basis.
relevant Argus assessment of September loading crude less the
September front-month DME Oman crude futures price at 4.30pm For those grades assessed relative to North Sea Dated, the differen-
Singapore time. tials are assessed with a cut off of 4.30pm Singapore time, while the
underlying North Sea Dated price is assessed at 4.30pm London
DME differentials are published for: time. The methodology behind the Dated assessment can be found
in the North Sea section and on www.argusmedia.com.
Murban
Upper Zakum Asia-Pacific assessments
Das
Dubai Indonesia
Basrah Light Argus publishes assessments for Indonesian grades based on spot
Basrah Medium deals and market information for cargoes loading 15-45 days from
Basrah Heavy the publication date.
Qatar Land
Qatar Marine The final price of Minas is assessed by determining the Minas
Qatar Al-Shaheen spread to Ice Brent futures or to North Sea Dated. In addition to this
Banoco Arab Medium final price, Argus also shows the current market premium/discount
for Minas to the Indonesian Crude Price (ICP). The Minas base price
Murban differentials is the price left when this market premium/discount is removed from
Argus publishes the price of key grades as differentials to the Argus the final Minas price.
Murban assessment. The differential is the spread between the
Argus assessed outright price of each crude grade, and the daily The Duri assessment is based on an assessment of the spread
Argus Murban assessment. between the grade and Minas. In the absence of specific market
discussion, Argus will take into account the spread between the
Minas and Duri ICP and activity on grades of similar quality.
19 January 2005
The Cinta assessment is based on an assessment of the spread The Tapis assessment is calculated by applying the grade’s differ-
between the grade and Minas. In the absence of specific market ential relative to North Sea Dated based on a market consensus to
discussion, Argus will take into account the spread between the the same day’s North Sea Dated value. The differential is assessed
Minas and Cinta ICP and activity on grades of similar quality. with a cut off of 4:30pm Singapore time and applied to North Sea
Dated. Two outright prices are published, one calculated using Sub-
The Widuri assessment is based on an assessment of the spread stitute Dated at a 4:30pm Singapore timestamp and the other using
between the grade and Minas. In the absence of specific market North Sea Dated, which becomes available after 4:30pm London
discussion, Argus will take into account the spread between the time. On days when North Sea Dated is unavailable due to a UK
Minas and Widuri ICP and activity on grades of similar quality. public holiday, both outright prices are calculated using Substitute
Dated (see below for the relevant methodology).
The Senipah assessment is based on an assessment of the spread
between the grade and Minas. In the absence of specific market The Kikeh assessment is calculated by applying the grade’s differ-
discussion, Argus will take into account the spread between the ential relative to North Sea Dated based on a market consensus to
Minas and Senipah ICP and activity on grades of similar quality. the same day’s North Sea Dated value. The differential is assessed
with a cut off of 4:30pm Singapore time and applied to North Sea
The Attaka assessment is based on an assessment of the spread Dated, which becomes available after 4:30pm London time. On
between the grade and Minas. In the absence of specific market days when North Sea Dated is unavailable due to a UK public holi-
discussion, Argus will take into account the spread between the day, Argus will use a substitute North Sea Dated price (see below
Minas and Attaka ICP and activity on grades of similar quality. for the relevant methodology).
The Ardjuna assessment is based on an assessment of the spread The Kimanis assessment is calculated by applying the grade’s
between the grade and Minas. In the absence of specific market differential relative to North Sea Dated based on a market consen-
discussion, Argus will take into account the spread between the sus to the same day’s North Sea Dated value. The differential is
Minas and Ardjuna ICP and activity on grades of similar quality. assessed with a cut off of 4:30pm Singapore time and applied to
North Sea Dated, which becomes available after 4:30pm London
The Belida assessment is based on an assessment of the spread time. On days when North Sea Dated is unavailable due to a UK
between the grade and Minas. In the absence of specific market public holiday, Argus will use a substitute North Sea Dated price
discussion, Argus will take into account the spread between the (see below for the relevant methodology).
Minas and Belida ICP and activity on grades of similar quality.
The Labuan assessment is calculated by applying the grade’s
Vietnam differential relative to North Sea Dated based on a market consen-
Argus publishes assessments for Vietnamese grades based on sus to the same day’s North Sea Dated value. The differential is
spot deals and market information for cargoes loading in the sec- assessed with a cut off of 4:30pm Singapore time and applied to
ond month forward from the publication date. North Sea Dated, which becomes available after 4:30pm London
time. On days when North Sea Dated is unavailable due to a UK
The Bach Ho assessment is calculated by applying the grade’s public holiday, Argus will use a substitute North Sea Dated price
differential relative to North Sea Dated to the same day’s North (see below for the relevant methodology).
Sea Dated value. The Bach Ho spot market premium/discount is
also published separately. The market premium/discount is as- The Miri assessment is calculated by applying the grade’s differen-
sessed with a cut off of 4:30pm Singapore time. In the absence tial relative to North Sea Dated based on a market consensus to the
of specific market discussion, Argus may look at other Vietnam- same day’s North Sea Dated value. The differential is assessed with
ese grades of similar quality, to assess the Bach Ho spot market a cut off of 4:30pm Singapore time and applied to North Sea Dated,
premium/discount. which becomes available after 4:30pm London time. On days
when North Sea Dated is unavailable due to a UK public holiday,
The Sutu Den assessment is calculated by applying the grade’s Argus will use a substitute North Sea Dated price (see below for the
differential relative to North Sea Dated to the same day’s North relevant methodology).
Sea Dated value. The Sutu Den spot market premium/discount
is also published separately. The market premium/discount is Australia and PNG
assessed with a cut off of 4:30pm Singapore time. In the absence Argus publishes assessments for Australian and PNG grades based
of specific market discussion, Argus may look at other Vietnam- on spot deals and market information for cargoes loading in the
ese grades of similar quality, to assess the Sutu Den spot market second month forward from the publication date.
premium/discount.
PNG’s Kutubu Light assessment is calculated by applying the
Malaysia grade’s differential relative to North Sea Dated to the same day’s
Argus publishes assessments for Malaysian grades based on spot North Sea Dated value. The differential is based on a market
deals and market information for cargoes loading in the second consensus, assessed with a cut off of 4:30pm Singapore time, and
month forward from the publication date. applied to North Sea Dated, which becomes available after 4:30pm
19 January 2005
London time. On days when North Sea Dated is unavailable due assessed with a cut off of 4:30pm Singapore time and applied to
to a UK public holiday, Argus will use a substitute North Sea Dated North Sea Dated, which becomes available after 4:30pm London
price (see below for the relevant methodology). time. On days when North Sea Dated is unavailable due to a UK
public holiday, Argus will use a substitute North Sea Dated price
The Cossack assessment is calculated by applying the grade’s (see below for the relevant methodology).
differential relative to North Sea Dated based on a market consen-
sus to the same day’s North Sea Dated value. The differential is Sudan
assessed with a cut off of 4:30pm Singapore time and applied to Argus assessments of Sudanese crudes consist of a market dif-
North Sea Dated, which becomes available after 4:30pm London ferential to North Sea Dated and an outright price calculated by
time. On days when North Sea Dated is unavailable due to a UK applying the differential to North Sea Dated.
public holiday, Argus will use a substitute North Sea Dated price
(see below for the relevant methodology). In the absence of specific Argus will publish assessments for Sudanese grades based on spot
market discussion, Argus will also take into account the spread deals and market information for 600,000-1mn bl cargoes loading
between the Tapis APPI-linked Cossack price and North Sea Dated. 15-45 days from the publication date. The cut off time for Sudanese
assessments is 4:30pm Singapore time.
The North West Shelf condensate assessment is calculated by
applying the grade’s differential relative to North Sea Dated based The Nile Blend assessment is calculated by applying the differential
on a market consensus to the same day’s North Sea Dated value. of Nile Blend relative to North Sea Dated based on a market consen-
The differential is assessed with a cut off of 4:30pm Singapore time sus to the same day’s North Sea Dated value. The differential is as-
and applied to North Sea Dated, which becomes available after sessed with a cut off of 4:30pm Singapore time and applied to North
4:30pm London time. On days when North Sea Dated is unavailable Sea Dated, which becomes available after 4:30pm London time.
due to a UK public holiday, Argus will use a substitute North Sea
Dated price (see below for the relevant methodology). On days when North Sea Dated is unavailable due to a UK public
holiday, Argus will use a substitute North Sea Dated price (see
The Ichthys condensate assessment is calculated by applying the above for the relevant methodology).
grade’s differential relative to North Sea Dated based on a market
consensus to the same day’s North Sea Dated value. The differen- The Dar Blend assessment is calculated by applying the differential of
tial is assessed with a cut off of 4:30pm Singapore time and applied Dar Blend relative to North Sea Dated based on a market consensus to
to North Sea Dated, which becomes available after 4:30pm London the same day’s North Sea Dated value. The differential is assessed with
time. On days when North Sea Dated is unavailable due to a UK a cut off of 4:30pm Singapore time and applied to North Sea Dated,
public holiday, Argus will use a substitute North Sea Dated price which becomes available after 4:30pm London time.
(see below for the relevant methodology).
On days when North Sea Dated is unavailable due to a UK public
The Vincent assessment is calculated by applying the grade’s holiday, Argus will use a substitute North Sea Dated price (see
differential relative to North Sea Dated based on a market consen- above for the relevant methodology).
sus to the same day’s North Sea Dated value. The differential is
assessed with a cut off of 4:30pm Singapore time and applied to Substitute Dated
North Sea Dated, which becomes available after 4:30pm London Substitute Dated replaces North Sea Dated as the base price for
time. On days when North Sea Dated is unavailable due to a UK Cossack, North West Shelf condensate, Vincent, Nile Blend and Dar
public holiday, Argus will use a substitute North Sea Dated price Blend on the few days each year when the Asian crude oil markets
(see below for the relevant methodology). Note: the Vincent as- are operating, but a public holiday in the UK means that London will
sessment was suspended in May 2018 and resumed in September not produce a North Sea Dated price.
2019 as production was halted for modification of the field’s floating
production, storage and offloading (FSPO) facility. Substitute Dated is calculated at 4.30pm Singapore time. Substitute
Dated comprises the Ice Brent 4.30pm Singapore one-minute mark-
The Pyrenees assessment is calculated by applying the grade’s er plus or minus a differential representing the difference between
differential relative to North Sea Dated based on a market consen- the Brent futures market and the physical North Sea market.
sus to the same day’s North Sea Dated value. The differential is
assessed with a cut off of 4:30pm Singapore time and applied to This differential is calculated in the following manner: Argus takes
North Sea Dated, which becomes available after 4:30pm London the most recently available North Sea Dated price assessed in
time. On days when North Sea Dated is unavailable due to a UK London, then it subtracts the London Ice Brent one-minute marker
public holiday, Argus will use a substitute North Sea Dated price from that same day.
(see below for the relevant methodology).
For example: Dated on 24 December was $72/bl and the Ice Brent
The Van Gogh assessment is calculated by applying the grade’s 4.30pm London one-minute marker was $70/bl – a difference of $2/
differential relative to North Sea Dated based on a market consen- bl. To calculate Substitute Dated on 26 December, when Singapore
sus to the same day’s North Sea Dated value. The differential is is working but London is not, Argus will add this $2/bl difference to
19 January 2005
the Ice Brent 4.30pm Singapore one-minute marker ($69/bl) to give Argus will normalise, based on discussions with market participants,
a Substitute Dated price of $71/bl. trades involving a premium related to unloading times, or to demur-
rage fees.
The market differentials for North West Shelf condensate, Nile Blend
and Dar Blend will then be added to this Substitute Dated price in Publication schedule
line with their respective methodologies. Des Shandong price assessments are published on all Argus Crude
publication dates except for Singapore and Beijing holidays. A pub-
Des Shandong lication schedule is available at www.argusmedia.com
Assessments are the range of deals done. In the absence of suf-
ficient reported trade, assessments will be made based on the best Des Shandong specifications
bids and offers (highest bids and lowest offers) in the market and on Grade API° Typical sulphur Min size Delivery (days
a survey of market participants. (%) (‘000bl) forward)
Tupi 29.3 0.36 1,000 50-90
Assessments are published as a low, high and midpoint, the aver- ESPO Blend 34.98 0.55 740 30-70
age of the low and high assessments. Djeno 27.6 0.34 950 40-80
Oman 33.3 1.06 1,000 40-80

Differentials
Johan Sverdrup 28 0.8 1,000 60-100
Assessments are expressed as $/bl differentials to the frontline Ice
Brent futures contract settlement price on the date of delivery.
WTI delivered northeast Asia
For example, cargoes bought for delivery to ports around Qingdao The Argus assessment for WTI crude delivered northeast Asia is
in October will price in against the Ice December contract, and published as a differential to Dubai physical spot prices and as an
November cargoes against Ice January Brent. outright price. Argus publishes the spot market differential based on
trade, bids and offers, and other market information relevant to 2mn
Argus rolls the Ice Brent basis month when the bulk of deals done bl cargoes arriving in Yosu, South Korea, three months after of the
on the day is done for the first time on that basis. Any trade that is publication date. The published differential is against Dubai physical
based on a different Ice Brent basis month will be converted to its spot price assessments in the calendar month before delivery. WTI
equivalent value against the current basis month by using published deals done for cfr delivery to other South Korean locations, Japan,
Ice Brent inter-month spreads at the 4:30pm Singapore timestamp Taiwan or China will be normalised to cfr Yosu using spot freight
on the day the deal was done. rates, for consideration for inclusion in the assessment.
Location The outright price for WTI delivered northeast Asia is calculated
Assessments are for cargoes delivering to Qingdao, Huangdao, by applying the published differential to the relevant Dubai swaps
Dongjiakou, Rizhao and Yantai ports in Shandong. month. The cut-off time for the WTI delivered northeast Asia assess-
ment is 4:30pm Singapore time.
Deals based on other sized cargoes and ports — for example, smaller
cargoes into Dongying or full cargoes into Ningbo — will inform the WTI delivered northeast Asia specifications
assessment based on discussions with market participants. Grade Typical API° Typical Cargo size Basis/ Timing
sulphur (%) Location
Outright prices WTI 42-44 ≤0.45 1.8mn-2.2mn bl delivered Arrival three

Yosu months after trade
An outright price is calculated in $/bl for each reported trade, bid,
offer or other relevant market information based on the reported
differential and the relevant 4:30pm Singapore one-minute marker, Mideast Gulf and Atlantic basin crude cfr Asia
depending on the anticipated date of delivery. A low, high and mid- Argus calculates cfr China and cfr Singapore prices for various
point outright price is also published for each grade. crudes. Cfr prices are calculated by adding the Argus assessment
of the specified freight rate to the underlying crude price.
Frequency
Prices are assessed daily. Trades completed before 9am Beijing Freight rates are the latest available at the 4:30pm Singapore time-
time on the day of assessment or received by Argus after 4:30pm stamp. See the Argus Freight methodology for more information on
Beijing time may not be considered for inclusion in the assessment. freight rate assessments.
Assessments are for trades on a delivered ex-ship (des) basis. Mideast Gulf cfr Asia
Freight rates
Argus publishes prices for trade with payment due 30 days after Dirty Mideast Gulf-East (double hull) 270,000t $/t for cfr
notice of readiness (NOR) at the port of discharge. China
Dirty Mideast Gulf-Singapore (double hull) 270,000t $/t for
cfr Singapore
19 January 2005
Crudes WTI fob Houston is the midpoint of the assessed range. Mars and
Dubai WCS Houston are the published volume-weighted average.
Oman
Murban Calculations for WTI fob Houston assume the use of three Aframax
Umm Lulu tankers to reverse lighter a VLCC with WTI crude and assumes port
Upper Zakum fees paid by the reverse lightering vessels, not the VLCC.
Qatar Marine
Al-Shaheen Freight rates
Basrah Light Dirty USGC-China 270,000t (lumpsum) for cfr China, con-
Basrah Medium verted to $/t
Basrah Heavy Dirty USGC-Singapore 270,000 (lumpsum) for cfr Singapore,
converted to $/t
West Africa cfr Asia Dirty USGC Aframax reverse lightering (lumpsum), con-
Argus calculates an Asia timestamp price of Cabinda, Girassol verted to $/t
Bonny Light, Qua Iboe and Escravos to allow for a comparison
of delivered West African, Middle East and Asia-Pacific crudes at Crudes
the same point in time. The Asia timestamp prices are the Argus WTI fob Houston
assessments of each of the five grades on the previous publication Mars*
date plus the difference between the previous publication date’s Ice WCS Houston*
Brent 4:30pm London one-minute marker and the Ice Brent 4:30pm
Singapore one-minute marker on the day of publication. *Delivered prices for Mars and WCS Houston are calculated by
adding the USGC-China 270,000t freight rate and export terminal
Freight rates costs to the underlying price of Mars and WCS Houston pipeline
Dirty West Africa-China 260,000t $/t for cfr China crude assessments. Argus periodically reviews the export cost used
Dirty West Africa-Singapore 260,000t $/t for cfr Singapore in calculating these delivered prices. That review is informed in part
by the price spread between the WTI fob Houston waterborne and
Crudes WTI Houston pipeline price assessments.
Cabinda
Girassol See the Argus Americas Crude methodology for more information on
Bonny Light the WTI fob Houston, Mars and WCS Houston price assessments.
Qua Iboe
Escravos US Gulf coast markers for Asia-Pacific
Argus calculates an Asia timestamp price of WTI Houston, WTI Mid-
North Sea cfr Asia land, LLS (Light Louisiana Sweet) and Mars to allow for a comparison
Argus calculates an Asia timestamp price of Forties to allow for a at the same point in time of US Gulf coast markers with the price of
comparison of delivered North Sea, Middle East and Asia-Pacific Middle Eastern and Asia-Pacific grades and benchmarks. Argus also
crudes at the same point in time. The Asia timestamp prices are publishes differentials between these four Asia timestamped US crude
the Argus assessments of Forties on the previous publication date prices and Dubai swaps, aligning prices across markets and helping
plus the difference between the previous publication date’s Ice participants hedge more accurately their exposure to US crude exports.
Brent 4:30pm London one-minute marker and the Ice Brent 4:30pm
Singapore one-minute marker on the day of publication. Argus Asia timestamp WTI Houston, WTI Midland, LLS and Mars are
built upon the previous day’s Argus volume-weighted average price of
Freight rates each of the four underlying grades. To those assessments is added the
Dirty North Sea-northeast Asia 270,000t (lumpsum) for cfr difference between the previous day’s WTI futures settlement price and
China, converted to $/t the WTI futures 4:30pm Singapore marker on the day of publication.
Crude See the Argus Americas Crude methodology for more information on
Forties the WTI Houston, WTI Midland, LLS and Mars price assessments.
US Gulf coast cfr Asia For example, on 12 May, the Asian-timestamp WTI Midland July
Argus calculates an Asia timestamp price of WTI fob Houston, Mars price assessment is calculated as:
and WCS Houston to allow for a comparison of delivered US Gulf
coast, Middle East and Asia-Pacific crudes at the same point in
time. The Asia timestamp prices are the Argus assessments of each
of the three grades on the previous publication date plus the differ-
ence between the previous publication date’s WTI futures settlement
price and the WTI futures 4:30pm Singapore one-minute marker on
the day of publication.
19 January 2005
Asian-timestamp July WTI Midland example Argus Condensate Index

Date Price The Argus Condensate Index (ACI) represents the daily value of
July WTI Midland assessment 11 May $47.42/bl condensates in Asia-Pacific, and will be derived from either Qatari
July WTI futures settlement 11 May $48.20/bl Deodorized Field Condensate (DFC) or Australian North West Shelf
(NWS) condensate, which are the two most liquid condensate
July WTI futures Singapore marker 12 May $48.13/bl
streams in the region. The ACI will be set by the lowest price of
July WTI futures Singapore marker - July 12 May-11May -7¢/bl ($48.13/bl - $48.20/bl)
WTI futures settlement
either DFC or NWS, on a delivered Singapore basis.
July WTI Midland, Asian timestamp 12 May $47.35/bl ($47.42/bl - 7¢/bl)
The price of DFC for the ACI will be derived by taking the Ice
Brent futures price at 4:30pm Singapore time and subtracting the
Timing exchange-of-futures-for-swaps (EFS) value for the corresponding
Argus publishes Asian-timestamp WTI Houston, WTI Midland, LLS month. The market differential for DFC spot cargoes relative to front-
and Mars price assessments for two forward months, according to line Dubai assessments will then be added together with the freight
the calendar used for North American spot trade, which differs from costs from Qatar to Singapore. The freight rate is for very large
the calendar used in the WTI futures market. crude carrier (VLCC) vessels and is assessed daily.
For three trading days in each calendar month, spot trade in WTI In more detail: August DFC will be August Ice Brent at 4:30pm Sin-
Houston, WTI Midland, LLS and Mars continues, while WTI futures gapore time minus the August EFS at 4:30pm Singapore time plus
have rolled to the next month. On those days, Argus will use the the August DFC spot differential plus freight.
nearest WTI futures contract as the basis for calculation of the Asian-
timestamp price for both the first and second months of each of the The price of NWS condensate for the ACI will be derived by taking
four grades. After those three days and for the rest of the calendar the Ice Brent futures price at 4:30pm Singapore time and adding the
month, Argus will revert to the calculation of the Asian timestamp for relevant Dated-to-front-line (DFL) value. The market differential for
each month based on the corresponding WTI futures contract. NWS condensate spot cargoes relative to North Sea Dated and the
freight cost for a dirty Aframax vessel from northwestern Australia to
For example, for most trading days in May, Argus publishes a June Singapore are then added. The freight rate is assessed daily.
and July Asian-timestamp WTI Houston price based on June and
July WTI futures prices. For three trading days in May, there will no In more detail: August NWS will be August Ice Brent at 4:30pm Sin-
longer be a June WTI futures price while there will continue to be a gapore time plus the July DFL value plus the August NWS conden-
June WTI Houston price, and on those days Argus will continue to sate spot differential plus freight.
publish a June and July Asian-timestamp WTI Houston price, both
based on the July WTI futures price.
Russia Asia-Pacific
For the differential of each of the four grades to Dubai swaps, Argus
will always use the comparison between the monthly contracts that ESPO Blend
are two calendar months ahead of the date of publication, in line The ESPO Blend assessment is the price of crude from the East
with the trading calendar for the Asian market, as in the following Siberia-Pacific Ocean (ESPO) pipeline, loading at the port of
example for 12 May: Kozmino in the Russian Far East. The outright price of ESPO Blend
is calculated by applying the daily volume-weighted average market
Dubai differential example differential for cargoes of ESPO Blend fob Kozmino to the relevant
Date Price Dubai swaps assessment. To calculate the volume-weighted aver-
July Asian-timestamp WTI Midland 12 May $47.35/bl age market differential, Argus will multiply the differential for each
July Dubai swaps 12 May $50/bl
cargo times the volume of that cargo, add the resulting values for all
July WTI Midland, Asian timestamp dif- 12 May -$2.65/bl ($47.35/bl-
cargoes together, and then divide that total by the combined volume
ferential to July Dubai swaps $50/bl) of all cargoes considered for the assessment on that day.
Argus will not publish Asian-timestamp US Gulf coast markers on Where market sources provide Argus with a range rather than a spe-
US holidays and Singapore holidays, matching the publication cific price, Argus will use editorial judgement to assess the value of the
calendars for Argus North American crude prices and for the CME’s cargo, which will then be included in the volume-weighted average.
WTI futures Singapore marker.
To be considered for inclusion in the assessment, trade must be for
On the first working day after US holidays, Argus will calculate the spot loading of crude by the producer or by a term-contract holder
Asia timestamp prices by using the last published WTI Houston, WTI selling crude into the spot market on a fob Kozmino basis. For the
Midland, LLS and Mars prices and applying the difference between avoidance of doubt, subsequent trade of crude that has already
that day’s WTI futures settlement and the WTI futures Singapore traded in the spot market will not be included in the assessment.
marker on the day of publication.
19 January 2005
ESPO Blend trading begins 30–75 days before cargo loading dates. For example, on 5 September, the ESPO Blend market was trading as
For example, cargoes loading from mid-November to mid-Decem- a differential to October Dubai swaps, while the Ice Brent front-month
ber could trade from early September until early October, although market was for November. To publish an ESPO Blend-Ice Brent differ-
discussion usually begins after loading schedules are issued and ential, a November ESPO Blend value is calculated as follows:
tenders awarded in late September.
ESPO Blend-Ice Brent differential $/bl
Argus will roll over the Dubai basis month when the bulk of deals Compo- ESPO Blend Ice Brent Dubai ESPO Blend ESPO
done on the day are done for the first time on that basis. Any trade nent assessment front intermonth calculated Blend-Ice
midpoint* month† spread*‡ value Brent front
after this rollover that is based on a different Dubai basis month will month
differential
then be converted to its equivalent value against the current month
Month October November December/ November November
by using published Dubai inter-month spreads applicable on the January
day the deal was done. Price 45.66 46.31 +0.15 45.81 -0.50
*assessed by Argus †Ice Brent 4:30pm Singapore minute marker ‡the intermonth spread of
The Argus assessment of ESPO Blend reflects the market price of physical Dubai crude prices. Dubai swaps are for delivery two months after the list month
100,000-270,000t cargoes loading 30-75 days ahead of the publica-

tion date. Sakhalin Island
Argus assessments of crudes from Sakhalin Island in Russia consist
The cut-off time for ESPO Blend deals to be taken into account for of a market differential to Dubai swaps for the month of loading and
the day’s assessment will be 4:30pm Singapore time. Any deals an outright price calculated by applying the differential to Dubai swaps
completed after this pricing timestamp will be considered on the for the month of loading. Argus will publish assessments for Sakhalin
next day of publication of Argus Crude. Argus will also exclude from grades based on spot deals and market information for 700,000 bl
the day’s assessment any deals for which validation is not available cargoes loading two months ahead of the publication date. The cut off
by 8:00pm Singapore time, and will consider them, once validated, time for Sakhalin Island assessments is 4:30pm Singapore time.
in the next day’s assessment, together with any fresh deals, us-
ing a volume-weighted average. In the event that validation is still Sakhalin Island assessments
unavailable by 8:00pm Singapore time on the day after the deal was The Sokol assessment is the price of Sokol, a crude from Sakhalin
concluded, Argus will consider validated deals two publication days Island in Russia. The value of Sokol is calculated by applying the
after the deal was concluded, provided there are no newer deals in market differential of Sokol to Dubai swaps for the month of loading.
that period, including the day when the deal was done. Any newer Cargoes loading across two calendar months will be considered
validated deals will supersede two-day-old deals. Argus will disre- for inclusion in the assessment as having loaded during the month
gard any information on deals three publication days old or older. against which the seller has priced the cargo. The prevailing market
differential is also published separately. The published price is for
On days when Argus moves the assessment time for Dubai crude crude traded on a cfr ship-to-ship (STS) Yosu basis. Trades done
forward to 12:30pm Singapore time because of an upcoming holi- on a cfr Yosu basis will be adjusted to a cfr STS Yosu basis before
day, it will also use a cut-off time of 12:30pm Singapore time for any being considered for inclusion in the assessment using an as-
ESPO Blend deals. Validation on these days should be available sessment of the price difference between the two. Trades done on
before 4:00pm Singapore time for Argus to consider these deals another basis may be considered for inclusion in the assessment if
for that day’s assessment. Otherwise, they will be considered in the they can be adjusted to a cfr STS Yosu basis.
next day of publication as stated above.
The Sakhalin Blend assessment is the price of Sakhalin Blend, a
ESPO Blend differentials crude from Sakhalin Island in Russia. The value of Sakhalin Blend is
Argus publishes the differential of the outright ESPO Blend price calculated by applying the market differential of Sakhalin Blend cfr
assessment to the relevant Dubai swaps price assessment and to Yosu to Dubai swaps for the month of loading. The prevailing market
the front-month Ice Brent minute-marker at 4:30pm Singapore time. differential is also published separately. The cut-off time for the
Whenever the timing of the relevant Dubai swaps price assessment Sakhalin Island assessments is 4:30pm Singapore time.
differs from the timing of the Ice Brent front-month contract, Argus
will calculate an ESPO Blend value that corresponds to the timing of Cif basis Singapore assessments
the Ice Brent front-month contract for the purpose of publishing an The BTC Blend cif basis Singapore assessment is calculated by
ESPO Blend-Ice Brent differential that reflects the monthly trading adding a freight component to the BTC fob Ceyhan assessment. The
cycle of ESPO cargoes. freight cost is for 135,000t vessels and is assessed daily based on
spot Med/Black Sea–East freight rates from the Argus Freight report.
In this case, the ESPO Blend value is calculated by adding the ap-
propriate Dubai intermonth spread to the outright ESPO Blend price The Urals Black Sea cif basis Singapore assessment is calcu-
assessment, producing an ESPO Blend price that corresponds with lated by adding a freight component to the Urals fob Novorossiysk
the timing of the Ice Brent front-month contract. Suezmax netback. The freight cost is for 135,000t vessels and is as-
sessed daily based on spot Med/Black Sea-East freight rates from
the Argus Freight report.
19 January 2005
Asia-Pacific, Sudan, ESPO Blend, Sakhalin Island assessments Reference prices

Typical
Typical Basis/
Grade sulphur Timing Cargo size
°API Location
% Argus publishes the Opec Reference Basket monthly average price.
Minas 35 0.08 fob Indonesia Loading second month-ahead 100,000 - 200,000 bl
Duri 21.5 0.20 fob Indonesia Loading second month-ahead 100,000 - 200,000 bl
Cinta 32.7 0.12 fob Indonesia Loading second month-ahead 100,000 - 200,000 bl
Argus Japanese Crude Cocktail Index
Widuri 33.3 0.07 fob Indonesia Loading second month-ahead 100,000 - 200,000 bl
(Argus JCC)
Senipah 51 0.03 fob Indonesia Loading second month-ahead 250,000 bl
Attaka 43 0.09 fob Indonesia Loading second month-ahead 100,000 - 200,000 bl

The Argus Japanese Crude Cocktail Index (Argus JCC) is an oil
Ardjuna 37 0.09 fob Indonesia Loading second month-ahead 100,000 - 200,000 bl
Belida 45 0.02 fob Indonesia Loading second month-ahead 100,000 - 200,000 bl

price index calculated and published by Argus that represents the
Bach Ho 39 0.04 fob Vietnam Loading second month-ahead 450,000 - 600,000 bl
price of Japan’s monthly crude imports.
Sutu Den 35.8 0.051 fob Vietnam Loading second month-ahead 450,000 - 600,000 bl
Tapis 46 0.02 fob Malaysia Loading second month-ahead 450,000 - 600,000 bl See the Argus LNG Daily methodology for a detailed description of
Kikeh 36.74 0.06 fob Malaysia Loading second month-ahead 600,000 bl the calculation.
Kimanis 38.61 0.06 fob Malaysia Loading second month-ahead 600,000 bl
Labuan 29.92 0.028 fob Malaysia Loading second month-ahead 300,000 - 600,000 bl
Miri Light 29.79 0.0771 fob Malaysia Loading second month-ahead 300,000-600,000 bl Americas
Kutubu fob Papua New
45 0.04 Loading second month-ahead 500,000 - 650,000 bl
Light Guinea
Cossack 48 0.04 fob Australia Loading second month-ahead 500,000 - 650,000 bl
For information on Argus Americas crude assessments, please see
NW Shelf 60 0.01 fob Australia Loading second month-ahead 500,000 - 650,000 bl
the Argus Americas Crude methodology and ASCI methodology.
Ichthys 50 0.09 fob Australia Loading second month-ahead 650,000 bl
Vincent 18.5 0.55 fob Australia Loading second month-ahead 500,000 - 650,000 bl US Gulf coast and midcontinent
Pyrenees 19 0.21 fob Australia Loading second month-ahead 400,000 - 450,000 bl
Van Gogh 17 0.37 fob Australia Loading second month-ahead 500,000 - 650,000 bl WTI
Nile Blend 32.76 0.045
fob Bashayer,
Loading 15-45 days ahead 600,000 - 1mn bl • WTI Cushing
Sudan
• CMA Nymex
fob Bashayer,
Dar Blend 26.4 0.116 Loading 15-45 days ahead 600,000 - 1mn bl
Sudan • WTI Houston
ESPO
Blend
34.91 0.53 fob Kozmino Loading 30-75 days ahead 100,000-270,000t • WTI Midland
Sokol 34.73 0.29 cfr STS Yosu Month of loading 700,000 bl
• WTI Midland Enterprise
Sakhalin • WTI diff to CMA Nymex
46.00 0.14 cfr Yosu Month of loading 700,000 bl
Blend
• WTI postings plus
• WTI fob Houston
Freight
Argus Crude includes freight rates in $/bl for 100,000t of crude from WTL
Kozmino republished from Argus Freight. • WTL Midland
Kozmino-Yosu
Kozmino-north China Midcontinent
Kozmino-Chiba • Bakken Clearbrook
Kozmino-Singapore • Bakken Cushing
• Bakken fob Beaumont/Nederland
See the Argus Freight methodology. • White Cliffs
• Niobrara
• WCS Cushing
Official formula prices
Texas
Argus publishes official formula prices for crude from Saudi Arabia, • Bakken Beaumont/Nederland
Iran, Yemen, Kuwait, Iraq, Qatar, Abu Dhabi and Dubai. These are • WTS
expressed as differentials to various benchmarks for a given loading • Southern Green Canyon
month and are set by national oil companies. • WCS Houston
Louisiana
Official selling prices • LLS
• HLS
Argus publishes official selling prices for crude from Oman, Indone- • Thunder Horse
sia, Malaysia and Brunei. These are expressed as outright prices for • Bonito
a given loading month and are set by national oil companies. • Poseidon
• Mars
• LOOP Sour
19 January 2005
Argus Sour Crude Index (ASCI™) Yields and netbacks for complex and simple refineries are pub-
lished for
Argus American GulfCoast Select Marker (Argus AGS
Marker) Northwest Europe
Arab Light
Argus American GulfCoast Select (Argus AGS) Arab Heavy
Azeri
US crude spreads to global benchmarks (Brent and Dubai) Basrah Light
• WTI Houston Bonny Light
• WTI Midland Brass River
• LLS Brent
• Mars Es Sider
• Bakken Beaumont/Nederland Forties
Iranian Light
US west coast pipeline Kirkuk
• Light postings average Kuwait
• Heavy postings average Murban
Saharan Blend
US west coast waterborne Urals
• ANS delivered Zueitina
South America Singapore

• Colombia Arab Light
• Vasconia Arab Heavy
• Castilla Basrah Light
• Argentina Dubai
• Escalante ESPO Blend
Iranian Heavy
Mexico Minas
• Maya Murban
• Isthmus Oman
• Olmeca
• Mexico K-factors US Gulf coast
Arab Light
Canada Arab Medium
• Syncrude Basrah Light
• WCS Bonny Light
• WCS Cushing LLS
• Condensate Mars
• MSW Maya
• LSB WTI
• LLB
• Waterborne US west coast
• Hibernia ANS
• Terra Nova Oriente
Oriente implied fob (the Oriente complex netback less a US
US Gulf coast freight west coast refining margin for a grade of similar quality)
• USGC Aframax reverse lightering (see the Argus Freight
methodology)
Argus intra-day North Sea forward physical
crude assessments
Daily netbacks
On Ice front-month Brent futures expiry days, Argus publishes
Argus publishes daily simple and complex refinery netbacks for a intra-day North Sea forward physical crude assessments for
number of different crude grades in northwest Europe, Singapore the corresponding expiring month at the following timestamps:
and the US Gulf. For information on the daily netbacks, please see 10:30,12:30,14:30,16:30,19:30 London time.
the Argus Netback Model methodology.
19 January 2005
The 19:30 assessment will be done at 18:30 London time when the The front-month North Sea forward physical value is assessed us-
Ice Brent settlement takes place an hour earlier than usual in Lon- ing a volume-weighted average of trade taking place in the minute
don because of an early US switch to Daylight Saving Time. leading up to the timestamp and reported to Argus no more than 10
minutes after the timestamp.
The methodology for identifying these price assessments is as fol-
lows: Argus bases its front-month North Sea forward physical crude The second-month Ice Brent futures value is assessed using trade
assessments on a volume-weighted average of outright North Sea in the minute leading up to the timestamp, or if there is no activity,
forward trade in the minute leading up to each timestamp. the last trade before the timestamp.
In the absence of outright trade, Argus will base its assessment on a For the EFP and North Sea forward physical intermonth values,
formula comprising the second-month exchange of futures for phys- Argus takes into account reported trade or indications leading up to
ical (EFP) differential, the North Sea forward physical front-month to the timestamp. If there is a period without reported trade or indica-
second-month (intermonth) differential and a representative second- tions, Argus will base its assessments on activity in the preceding
month Ice Brent futures value. Outright North Sea forward physical period.
bids and offers will be taken into account if they fall within a range
derived from the bid-offer spread on the second-month EFP market, No minimum transaction data threshold exists for these assess-
the bid-offer spread of the North Sea forward physical intermonth ments as, in the absence of outright trade, Argus will make its as-
market, and a representative second-month Ice Brent futures value. sessment in accordance with the above methodology.
The North Sea forward physical assessments are assessed indi- These assessments, including the 16:30 London time assessment
vidually, as follows: for North Sea Dated, are different and distinct from the assessments
published in the Argus Crude report.

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Methodology and specifications guide

Last Updated: jANUARY 2021

Methodology overview Throughout all markets, Argus is constantly seeking to increase

Argus will announce its publishing schedule in a calendar located 1. Transactions

In many markets, the relevant methodology will assign a relatively

Primary tests applied by reporters Assessment guidelines

Bids and offers Transparency and confidentiality

Argus market report editors and management will periodically and

l Appropriateness of the methodology of existing assessments

The report editor will initiate an informal process to examine viability.

Pricing tables Americas cargoes

Argus North Sea Dated calculation

Current CFD week

North Sea assessments

Ekofisk 37.5 0.23 fob Teesside, UK Loading 10 days-month ahead 600,000 bl

Flotta 36 .9 0.82 fob Flotta terminal Loading 10 days-month ahead 650,000 bl

Oseberg Ice Bwave

cif Rotterdam assessments Intermonths

CPC Terminal* 46.15 0.59 7.8971 fob CPC terminal 135,000t

BTC* 37.90 0.16 7.5303 fob Ceyhan 80,000t

Azeri Light 34.90 0.14 7.3970 fob Supsa 80,000t

* 4Q20 qualities used in 1Q21 calculations

The value of Qua Iboe, a Nigerian crude, is calculated by applying

Girassol 31 0.33 fob Angola Loading 25-60 days ahead 950,000 bl

fob offshore In this example, the Brent-Dubai EFS is an exchange of a November

Ice Brent November 47.76

Dubai swap November 46.00

Intermonth spread November/December -1.35 Murban

Forward month 2 (December) Month May June June June

Component Timing Price Price -6.95 27.10 -0.40 19.75

Dubai physical January 46.00 *Assessed by Argus

Intermonth spread December/January -0.82

Dubai physical assessment December 45.18

Dubai physical assessment February 46.74 Example

Month October November November November November Novem-

Banoco Arab Medium Basrah Light

Month December December February na November Novem-

Banoco Arab Medium Qatari DFC

Basrah Light, Basrah Medium and Basrah Heavy

Mideast Gulf assessments Murban differentials are published for

Tupi 29.3 0.36 1,000 50-90

Oman 33.3 1.06 1,000 40-80

Outright prices WTI 42-44 ≤0.45 1.8mn-2.2mn bl delivered Arrival three

Asian-timestamp July WTI Midland example Argus Condensate Index

100,000-270,000t cargoes loading 30-75 days ahead of the publica-

Asia-Pacific, Sudan, ESPO Blend, Sakhalin Island assessments Reference prices

Attaka 43 0.09 fob Indonesia Loading second month-ahead 100,000 - 200,000 bl

Belida 45 0.02 fob Indonesia Loading second month-ahead 100,000 - 200,000 bl

South America Singapore

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l Appropriateness of the methodology of existing assessments