ULSD3B: Platts Ultra Low Sulfur Diesel (Group 3) – Brent Spread

Hannah BlalockEnergy - Price


What is it?

The differential between the S&P Global Platts assessment of the price of ultra low sulfur diesel delivered to a pipeline in Group 3, a region in the Midwest that covers Oklahoma, Missouri and Kansas, and the price of Dated Brent, the world’s benchmark crude. All prices normalized to dollars per barrel.

Who is interested?

Any participant in the market that has an exposure to the price of diesel and observes how diesel is moving on its own or relative to the crude oil market, in this case represented by the price of ULSD in Group 3 compared to dated Brent.

What does it tell me?

The number takes the daily assessment of ULSD in Group 3, converts it to a price of dollars per barrel and subtracts the price of dated Brent from it. The end number is displayed as a graph. A rising number indicates the physical market for this product is strengthening compared to crude. A declining market indicates the physical market for this product is weakening compared to crude. The actual Platts assessment for the inputs is not available through this series and must be purchased from S&P Global Platts.