The Malaysian Pengerang terminal has been included in Platts Singapore’s pricing assessments for middle distillates and gasoline – a move which is expected to boost interest in the terminal.
The terminal, a joint venture between Dialog Group and Vopak started operations last year and received its first VLCC containing crude oil in March.
It is expected that Platt’s will include Pengrang deliveries in its assessments from May 1. It is expected that this move will offer more flexibility to traders and improve market liquidity.
Platts said in a statement: ‘Following feedback to its proposal to reflect deliveries from the Pengerang terminal in its benchmark free-on-board Singapore assessments for middle distillates and gasoline, Platts confirms that it will include the terminal in its market on close assessment process with effect from May 1.’
The terminal will be able to accommodate VLCCs and will have storage capacity of 1.3 million m3.