Argus Biofuels

Daily international market prices and commentary

Issue 23-4 | Friday 6 January 2023

Highlights prICES

„„ Fame 0 outright price leads gains among biodiesel complex Biofuels spot prices $/t
„„ Class II HVO drops sharply as offers decrease in ARA
RED biodiesel fob ARA range
„„ Activity ticks up in European UCO markets
Bid Ask ±
„„ European ethanol prices tumble on strong selling interest
Palm OME 1,273.00 1,283.00 +17.00
„„ Prices slide in Dutch,German renewable fuel ticket markets
Rapeseed OME 1,664.00 1,674.00 +16.00
Soya OME 1,453.00 1,463.00 +17.00
Market Commentary
FAME 0°C CFPP 1,373.00 1,383.00 +17.00
FAME -10°C CFPP 1,634.00 1,644.00 +15.00
Further gasoil rise lifts NWE biodiesel prices
UCOME 1,671.50 1,681.50 +12.75
A further rise in gasoil lifted outright values for crop and
Tallow OME 1,611.50 1,621.50 +12.75
waste-based biodiesel on Friday, with liquidity remaining
Advanced FAME 0°C CFPP 1,741.50 1,751.50 +12.75
strong on Argus Open Markets (AOM) for crop grades.
RED marine biodiesel dob ARA range
The 7-28 day gasoil price rose by $17.75/t to $861.50/t,
Mid ±
the highest level since the first session of the year on 3
B10 581.72 +18.19
January.
B20 609.45 +31.40
Ucome did not trade for a second consecutive session
B30 637.17 +44.59
amid ample supply because of arrivals from China in the
B50 692.62 +70.99
fourth quarter and a preference among some buyers for
B100 816.24 +136.98
lower CFPP crop-based product such as RME. And while the
RED hydrotreated vegetable oil (HVO) fob ARA range
assessed outright for Ucome rose, premiums fell by more
Bid Ask ±
than those for Fame 0 and RME. Ucome closed in a $785-
HVO (Class I)
820/t range. Spot value was assessed at $815/t, the mid- diff to 7-28 days Ice gasoil* $/m³ (6 Jan)
+990.00 +1,000.00 nc
point of a $10/t range down from the closing offer. Outright HVO (Class I)
+1,269.23 +1,282.05 nc
Ucome rose by $12.75/t to $1,676.50/t. diff to 7-28 days Ice gasoil* (6 Jan)

Fame 0 traded nine times in the window for 13 January-3 HVO (Class I) 2,202.52 2,215.34 +19.23
HVO (Class II)
February loading at $515-520/t with spot value assessed at +1,240.00 +1,250.00 -145.00
diff to 7-28 days Ice gasoil* $/m³ (6 Jan)
the $516.11/t traded average. This was down by $1.45/t and HVO (Class II)
+1,589.74 +1,602.56 -185.90
outright Fame 0 rose by $17/t to $1,378/t. diff to 7-28 days Ice gasoil* (6 Jan)

And trade for RME was initiated seven times at $800- HVO (Class II) 2,523.03 2,535.85 -166.67

815/t with spot value assessed at the $807/t traded aver- HVO (Class III)
+1,225.00 +1,235.00 -75.00
diff to 7-28 days Ice gasoil* $/m³ (6 Jan)
age, down by $2.11/t with outright RME rising by $16/t to HVO (Class III)
+1,570.51 +1,583.33 -96.16
$1,669/t. diff to 7-28 days Ice gasoil* (6 Jan)
In paper trade reported to Argus, a 2Q Ucome/Fame 0 HVO (Class III) 2,503.80 2,516.62 -76.93

spread traded twice at +$270/t ($855-860/t, $585-590/t) *HVO-escalated

for a combined 6,000t/month. 2Q RME traded at $665/t Sustainable aviation fuel (SAF)^ fob ARA range

for 1,000t/month, a 2Q Fame 0 contract traded twice at Bid Ask ±

$585-590/t for 5,000t/month, 4Q Fame 0 dealt at $530/t for SAF diff to 7-28 days Ice gasoil* $/m³ (6 Jan) +1,745.00 +1,755.00 nc
SAF diff to 7-28 days Ice gasoil* (6 Jan) +2,296.05 +2,309.21 nc
contents SAF 3,253.90 3,267.06 +19.73
^Hydrotreated Esters and Fatty Acids (HEFA-SPK)
European biodiesel 1 *SAF-escalated
Feedstocks and European ethanol 4
Bionaphtha fob ARA range
Asia-Pacific biofuels and Freight 7
Bid Ask ±
US biofuels and month to date averages 9
Bionaphtha 2,515.00 2,525.00 -50.00
Market news 10

Copyright © 2023 Argus Media group Available on the Argus Publications App
Argus Biofuels Issue 23-4 | Friday 6 January 2023

RED biodiesel fob ARA range, premium to Ice gasoil 7-28 day Hydrotreated biofuels prices (volume) $/m³
Bid Ask ±
Transaction Price ($/t)
HVO fob ARA range (Class II)* 1,967.96 1,977.96 -130.01
FAME 0°C CFPP, loading 13 Jan 2023 - 03 Feb 2023 (1,000t) SAF fob ARA range* 2,472.96 2,482.97 +15.00
Petroineos buys from Shell +520.00 Bionaphtha fob ARA range* 1,735.35 1,742.25 -34.50
TotalEnergies sells to Petroineos +520.00 *HVO, SAF and bionaphtha have assumed densities of 0.78kg/l, 0.76kg/l and
Trafigura sells to Greenergy +515.00 0.69kg/l respectively.
TotalEnergies sells to Petroineos +515.00
Shell sells to Vitol +515.00
Vitol buys from Shell +515.00 Ice gasoil swaps $/t
Mercuria sells to Vitol +515.00 Value ±
Greenergy buys from Shell +515.00
7 to 28 days forward 861.50 +17.75
Mercuria sells to Petroineos +515.00
7 to 28 days forward (HVO-escalated) 933.29 +19.23
7 to 28 days forward (SAF-escalated) 957.85 +19.73
Rapeseed OME, loading 13 Jan 2023 - 03 Feb 2023 (1,000t)
Astra Bioplant buys from Greenergy +800.00
Astra Bioplant buys from BP +805.00
Ice gasoil settle $/t
Astra Bioplant buys from Cargill +805.00
Petroineos buys from Greenergy +805.00 Contract Value ±
Petroineos buys from Cargill +805.00 Jan 880.25 +20.00
Petroineos buys from Viterra B.V. +814.00 Feb 861.50 +17.75
Petroineos buys from Saipol +815.00 Mar 836.25 +15.75

UCOME, loading 13 Jan 2023 - 03 Feb 2023 (1,000t)

No recorded deals Biofuels spot prices $/t
Bid Ask ±

1,000t/month, 2Q Ucome traded at $855/t for 6,000t/month RED ethanol fob ARA range
T2 premium ethanol inc duty €/m³ 703.75 713.75 -21.25
and 3Q Ucome dealt twice at $835-840/t for 5,000t/month.
T2 premium ethanol inc duty 946.67 960.12 -20.53
T2 premium ethanol diff to Eurobob oxy +223.42 +236.37
YTD volumes RME, Fame 0, UCOME (Dec 22 vs 21)
 t T2 ethanol inc duty €/m³ 663.75 673.75 -21.25
T2 ethanol inc duty 892.86 906.31 -20.97
3,000,000 T2 ethanol diff to Eurobob oxy +169.61 +182.56
RED biomethanol
2,500,000 Biomethanol fob ARA range netback 1,271.00 1,279.00 nc
Biomethanol fob ARA range diff to methanol +948.68 +958.68
Biomethanol cif UK 1,305.00 1,315.00 nc
2,000,000
ETBE
ETBE fob Rotterdam (5 Jan) 1,119.50 1,120.25 +6.25
1,500,000 FAME0 Diff to MTBE (5 Jan) +30.00
RME
UCOME
1,000,000
Feedstock prices
500,000
Bid Ask ±

0 Rapeseed oil (RSO) €/t

Contract
2021 2022
RSO fob Dutch mill prompt 1,138.00 1,142.00 -22.50
FAME 0C CFPP vs UCOME RED fob ARA $/t RSO fob Dutch mill FMA 1,148.00 1,152.00 -25.00
RSO fob Dutch mill MJJ 1,188.00 1,192.00 -15.00
RSO fob Dutch mill ASO 1,190.00 1,200.00 -5.00
UCOME RED fob ARA Sunflower oil (SFO) $/t
FAME 0C CFPP RED fob ARA SFO fob northwest Europe 6 ports AMJ 1,265.00 1,280.00 nc
2,000 Used cooking oil (UCO) $/t
UCO fob ARA range 1,170.00 1,180.00 nc
UCO cif ARA 1,135.00 1,145.00 nc
1,750 UCO ex-works Netherlands €/t 1,230.00 1,240.00 nc
hh
UCO ex-works Netherlands 1,305.46 1,316.07 +10.77
Tallow fca northwest Europe $/t
1,500 Tallow categories 1 and 2 €/t 950.00 960.00 nc
Tallow categories 1 and 2 1,008.28 1,018.89 +8.32
Tallow category 3 €/t 1,355.00 1,365.00 nc
1,250 Tallow category 3 1,438.12 1,448.74 +11.85
6 Oct 4 Nov 5 Dec 6 Jan Palm oil mill effluent (POME) $/t
POME cif ARA 1,045.00 1,055.00 nc

Copyright © 2023 Argus Media group Page 2 of 13

Argus Biofuels Issue 23-4 | Friday 6 January 2023

Hydrotreated vegetable oil Gasoil spreads $/t

The Class II HVO premium dropped sharply in the first week Month Value ±

of the year as selling interest moved lower in the afternoon Palm oil-gasoil spread (Pogo) Mar 85.75 -24.50
Bean oil-gasoil spread (Bogo) Mar 554.75 -1.50
window. Class III prices also softened while the Class I
premium was unchanged as interest was thin.
Interest for Class II HVO was set in a wide $1,200-1,400/
m³ range at the window’s open on Friday and narrowed RED swaps and forward physical prices $/t
to $1,200-1,250/m³ by the close. One bid went as high as
Contract Mid ±
$1,250/m³ during the session, against a best offer of $1,280/
RME RED swap
m³. The Class II HVO premium was assessed at $1,245/ Jan 1,661.00 +29.00
m³, the midpoint of a $10/m³ range down from the most Feb 1,590.00 +10.00
competitive offer at the close and down by $145/m³ on the Mar 1,527.00 +6.00
week. Some term contracts for the first quarter of the year 2Q 23 1,447.00 +8.00

had been previously heard closed at $1,250/m³. Demand for 3Q 23 1,409.00 +29.00
4Q 23 1,389.00 +26.00
UCO-based HVO was heard to be stable in the wider market
Fame 0°C CFPP RED swap
while supply of HVO with UCO Proof of Sustainability (PoS)
Jan 1,386.00 +49.00
paperwork was tighter than that for product with palm oil Feb 1,395.00 +45.00
mill effluent (Pome) PoS, according to some in the market. Mar 1,377.00 +21.00
Buying interest for Class I HVO, which now excludes palm 2Q 23 1,372.00 +28.00
oil proof of sustainability (PoS), emerged at $900/m³ in Fri- 3Q 23 1,324.00 +14.00

day's afternoon window but offers were absent and no fresh 4Q 23 1,279.00 +1.00
UCOME RED swap
activity was heard during the week. As interest was scarce,
Jan 1,666.00 +29.00
the Class I premium was assessed unchanged on the week at
Feb 1,655.00 +35.00
$995/m³. Mar 1,637.00 +21.00
Buying interest for Class III HVO was first set at $1,100/m³ 2Q 23 1,642.00 +28.00
in Friday’s afternoon window and rose to $1,170/m³ during 3Q 23 1,604.00 +9.00
the session, with a $1,200/m³ bid withdrawn shortly before 4Q 23 1,569.00 +6.00
PME RED forward physical
the close, but offers were absent. Based on lower bids in the
Jan 1,286.00 +49.00
afternoon window and on a sharp drop in the Class II price,
Feb 1,305.00 +45.00
the Class III premium was assessed $75 /m³ lower on the Mar 1,287.00 +21.00
week at $1,230/m³. 2Q 23 1,292.00 +28.00
The arbitrage to move HVO from the US to Norway and 3Q 23 1,244.00 +14.00
the UK is workable, according to participants, following a 4Q 23 1,189.00 +1.00
drop in RIN credit values in the US in December. But a wide SME RED forward physical
Jan 1,466.00 +49.00
“hogo” spread between Nymex heating oil futures and Ice
Feb 1,455.00 +45.00
gasoil futures, which traders look at when assessing trans-
Mar 1,437.00 +21.00
atlantic arbitrage opportunities, continues support to US 2Q 23 1,402.00 +18.00
3Q 23 1,354.00 +14.00
RED HVO fob ARA $/t 4Q 23 1,309.00 +1.00
Fame -10°C CFPP RED forward physical
Class I Class II Class III Jan 1,634.00 +31.00
3,000 Feb 1,571.00 +14.00
Mar 1,512.00 +7.00
2,800 2Q 23 1,440.00 +10.00
3Q 23 1,401.00 +28.00
2,600 4Q 23 1,378.00 +23.00
hhhhhh
Ethanol NWE T2 RED swap €/m³
2,400 Jan 680.00 -45.00
Feb 733.00 -20.00
2,200 Mar 765.00 -5.00
2Q 23 785.00 +2.00
2,000 3Q 23 782.00 -3.00
14 Oct 10 Nov 7 Dec 6 Jan 4Q 23 751.00 -2.00

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Argus Biofuels Issue 23-4 | Friday 6 January 2023

prices. Indicative offers for US-origin product delivered into Renewable fuel ticket prices
the UK or Norway were reported at a premium to the front Bid Ask

month gasoil price of around $1,550/t during the week. And German GHG reduction obligation* €/t CO2e

while demand from UK buyers was heard to be strong, some Conventional GHG quota
2022 400 410
suppliers in the US were struggling to source ISCC-compliant 2023 400 430
feedstocks to meet UK requirements. Single-counting advanced GHG quota €/GJ
2022 3.10 3.40
Sustainable aviation fuel 2023 3.30 3.70
Double-counting advanced GHG quota
The sustainable aviation fuel (HEFA-SPK) premium to the 2022 800 840
underlying gasoil price was unchanged on the week despite 2023 820 860
a sharp drop in the used cooking oil (UCO) -based Class II Other GHG quota
hydrotreated vegetable oil (HVO) price as offers remained 2022 420 430
2023 430 440
firm and supply tight in northwest Europe. Annex IX part B GHG quota
No fresh SAF deals were heard done during the week, 2022 410 420
but some airlines were looking to increase spot purchases 2023 390 420
Netherlands renewable fuel unit** €/GJ
to grow the share of biojet in their fuel mix even in non-
Conventional renewable fuel unit (HBE-C)
mandated market. And selling interest continued to be heard
2022 12.00 13.00
at a premium of over $2,300/t above the fossil jet fuel price. 2023 12.00 14.00
Buyers were increasingly looking at Asian volumes to meet Advanced renewable fuel unit (HBE-G)
demand and offers for for Chinese-origin SAF were heard as 2022 14.70 15.20
2023 14.75 15.75
high as $3,500/t fob China.
Other renewable fuel unit (HBE-O)
European jet prices moved higher in the second part of 2022 14.60 15.10
the week, supported by higher demand and lower stocks in 2023 14.65 15.65
ARA. Annex IX part B renewable fuel unit (HBE-IXB)
2022 14.50 15.00
The HEFA-SAF premium to the underlying SAF-esca- 2023 14.55 15.55
lated 7-28 days Ice gasoil price was assessed at $1,750/ *Treibhausgasminderungsverpflichtung **Hernieuwbare brandstofeenheden
m³, unchanged on the week. The outright price was set at UK renewable transport fuel certificate p/RTFC
$3,260.48/t, which equates to a premium of around $2,325/t Crop-based RTFC
to the weekly jet fuel price. 2022 32.50 33.50
2023 31.50 33.00
Other RTFC
Feedstocks 2022 33.00 34.00
Fob Dutch mill rapeseed oil (RSO) prices fell across the curve 2023 32.00 33.00
on Friday, despite slight gains in the wider vegetable oil
complex.
January was offered at €1,180/t but no bids emerged, Renewable gas guarantees of origin (5 Jan)
and February interest was narrow at €1,135-1,45/t. February Unit Bid Ask Mid ±
traded at €1,140/t and in the absence of firm January inter- Denmark
est, the prompt RSO 5-40 days loading position was assessed 2022 crop €/MWh 26.50 28.50 27.50 -1.00
2023 crop €/MWh 27.50 29.50 28.50 -1.00
in line with February’s traded level at €1,138-1,142/t, falling
2024 crop €/MWh 28.50 30.50 29.50 nc
by €22.50/t from Thursday. 2022 waste €/MWh 48.50 50.50 49.50 -1.00
The Vegetable Oil Price Index fell by 6.6pc on the month 2023 waste €/MWh 50.00 51.00 50.50 -1.00
2024 waste €/MWh 50.50 51.50 51.00 nc
in December. This was also around 42pc lower than March
Netherlands
2022 when cut supply from the Black Sea region spiked 2022 crop €/MWh 26.50 28.50 27.50 -1.00
global prices and the index hit a record high. 2023 crop €/MWh 27.50 29.50 28.50 -1.50
February-March-April (FMA) changed hands at €1,150/t, 2024 crop €/MWh 29.00 31.00 30.00 nc
2022 waste €/MWh 50.00 52.00 51.00 +0.50
marking the assessment at €1,148-1,152/t, a €25/t drop on 2023 waste €/MWh 50.00 53.00 51.50 -0.50
the day. May-June-July (MJJ) traded at €1,190/t, informing 2024 waste €/MWh 51.00 53.00 52.00 nc
the strip’s assessment at €1,188-1,192/t and pulling the mid- UK
2022 crop £/MWh 14.00 16.00 15.00 -0.50
point down by €15/t from Thursday. August-September-Oc-
2023 crop £/MWh 14.50 17.00 15.75 +0.10
tober (ASO) was bid-offered at €1,180-1,200/t. The strip was 2024 crop £/MWh 14.75 17.75 16.25 nc
assessed in a €10/t range from the best offer in the market 2022 waste £/MWh 28.00 33.00 30.50 nc
2023 waste £/MWh 30.50 32.00 31.25 -0.75
at €1,190-1,200/t, softening the strip by €5/t on the session. 2024 waste £/MWh 30.50 33.00 31.75 nc

Copyright © 2023 Argus Media group Page 4 of 13

Argus Biofuels
Waste and advanced feedstocks
More selling interest emerged on the European used cooking
oil (UCO) import market, while buyers also returned to the
inland market supporting prices.
No buying or selling interest emerged on Argus Open
Markets (AOM) for UCO fob ARA range loading between 13
January and 3 February on Friday. Demand still remains
subdued on the fob market but participants expect this to
pick up towards the end of the month. The UCO fob ARA
range assessment was unchanged on the day and the week
at $1,175/t.
UCO collection in China is still being hindered by a recent
rise in Covid cases, and participants expect there to be
further slowdowns in collection because of tighter worker
availability within inland logistics as the lunar new year
holiday approaches.
More selling interest emerged on the UCO import mar-
ket. Offers for Middle East origin UCO cif ARA were reported
in a wide $1,150-1,200/t range, while offers for Indonesian
product was reported at $1,075/t for lower quality UCO with
5pc free fatty acid (FFA) content and minimum 55 iodine
value (IV). But participants continued to peg market value
for UCO cif ARA with maximum 5pc FFA and minimum 70 IV
at $1,120/t, and said this was largely what was trading this
week.
Supply of standard specification UCO cif ARA with 80
IV remains tighter, according to participants. Based on the
information UCO cif ARA was set at $1,140/t, flat on the day
but lower by $20/t on the week
Firmer bids did emerge on the inland UCO market to-
wards the end of the week and buying and selling interest
narrowed compared to the previous few weeks. On Thurs-
day a bid for UCO ex-works Netherlands was reported at
€1,230/t, while an offer was reported at €1,245/t. Based on
the the information UCO ex-works Netherlands was assessed
at €1,235/t, flat on the session but higher by €15/t on the
week.
No fresh bids or offers were reported on the European
UCO cif ARA vs fob China $/t
UCO cif ARA
UCO fob China
UCO bulk fob China
1,200
1,150
1,100 hhhhhh
1,050
1,000
950
29 Sep 7 Nov 6 Dec
Copyright © 2023 Argus Media group Page 5 of 13
Issue 23-4 | Friday 6 January 2023
animal fats market. The tallow categories 1 and 2 fca north-
west Europe (NWE) and tallow category 3 fca NWE assess-
ments were both flat on the day and the week at €955/t and
€1,360/t, respectively.
No new information surfaced on the European palm oil
mill effluent (Pome) market. Offers on a fob basis in south-
east Asia remained around $800/t. The assessment was flat
on the day and the week at $1,050/t.
T2 ethanol RED vs Eurobob oxy $/t
Ethanol NWE T2 RED fob ARA
Gasoline Eurobob oxy NWE barge
1,250
1,000
hh
750
500
5 Oct 3 Nov 2 Dec 5 Jan
European ethanol
Prices on European ethanol market continued to tumble on
Friday as selling interest picked up against a backdrop of
abundant supply in the ARA hub.
Liquidity on the T2 ethanol fob ARA range spot mar-
ket increased on the session, as the afternoon assessment
window saw trades closed at €681/m³, €680/m³ and €652/
m³ for the 11-15 January loading period and at €662/m³ for
the later 14-18 January loading period. By the close of the
assessment window, one bid remained at €640/m³ and one
offer remained at €770/m³, both for 14-18 January dates.
Based on the trades, Argus assessed T2 ethanol fob ARA
range at the average of the four deals struck, €668.75/m³ – a
drop of €21.25/m³ on the day and €77.25/m³ on the week as
spot prices fell to their lowest levels since August 2021. The
premium for the higher GHG savings ethanol remained at
€40/m³.
Liquidity remained strong on the lower GHG savings
ethanol paper market on Friday on the back of strong selling
interest as prices continued to fall at the front of the curve.
Before the assessment window, 2Q changed hands twice at
€788/m³ and again at €795/m³, 1Q traded at €735/m³ and
again at €737/m³, May traded at €788/m³ and 1Q/3Q traded
at -€52/m³ via 1Q/2Q being set at -€55/m³ and 2Q/3Q being
set at +€3/m³ (€735/m³, €790/m³, €787/m³) . Just before the
open and again during the window, January traded at €705/
m³. Also during the window, 1Q/2Q traded twice at -€55/
m³ (€737/m³, €792/m³). After the close, January traded at
€680/m³.
Argus Biofuels
Renewable fuel tickets
Renewable fuel ticket prices in Germany and the
Netherlands moved lower during the week, while prices in
the UK edged higher as buyers returned to the market.
Prices in the German market for 2022 and 2023 green-
house gas (GHG) emission reduction certificates softened
amid increased liquidity, with trade for both compliance
years.
2022 Other GHG credits changed hands at €425/t CO2e
with bids and offers at €420-430/t CO2e on Friday, nudging
lower by €5/t CO2e on the week. Interest for 2022 Annex
IX Part B certificates also fell by €5/t CO2e on the week to
€410-420/t CO2e, while value for 2022 Conventional GHG
credits was flat at €400-410/t CO2e.
The premium for 2022 advanced single-counting GHG
credits was reported in a €3.10-3.40/GJ range, while 2022
double-counting certificates fell by €10/t CO2e on the week
to €800-840/t CO2e.
2023 Other GHG certificates traded at €440/t CO2e be-
fore bids and offers declined to €430-440/t CO2e on Friday,
lower by €10/t CO2e on the week. 2023 Annex IXB credits
fell by the same amount, to €390-420/t CO2e, while 2023
Conventional certificates moved sidesways at €400-430/t
CO2e.
The premium for 2023 advanced single-counting GHG
credits was reported marginally lower on the week in a
€3.30-3.70/GJ range, while 2023 double-counting certificates
fell by €30/t CO2e to €820-860/t CO2e.
In the Netherlands, prices for renewable fuel units (HBE)
for 2023 fell sharply at the end of the week with the market
reacting to a decision by the government not to lower
multipliers applied for certain biofuels, electricity and other
renewable fuels within its domestic blending scheme. 2023
HBE prices had firmed significantly after the Dutch govern-
ment published a proposal to lower respective multipliers in
November 2022.
The market for 2023 HBEs was illiquid during most of
the week until 2023 HBE-Gs changed hands at €15.25/GJ
on Friday, with bids and offers dropping to a €14.75-15.75/
GJ range, with the midpoint down by €2.65/GJ on the
week. 2023 HBE-Os and -IXBs slid by €2.75/GJ and €2.45/GJ,
respectively, to €14.65-15.65/GJ and €14.55-15.55/GJ. 2023
HBE-Cs were valued at €12-14/GJ, lower by €1/GJ.
Prices for 2022 HBEs also weakened, albeit to a lesser
extent, with HBE-Os at €14.60-15.10/GJ on Friday after trad-
ing at €14.80/GJ around midweek. This was down by €0.40/
GJ on the week. 2022 HBE-Gs and -IXBs were reported in a
€14.70-15.20/GJ and €14.50-15.00/GJ range, down by €0.30/
Copyright © 2023 Argus Media group Page 6 of 13
Issue 23-4 | Friday 6 January 2023
GJ and slightly higher by €0.05/GJ, respectively, on the
week. 2023 HBE-Cs fell by €0.25/GJ on the week to €12-14/
GJ.
Trade was absent from the UK RTFC market for both compli-
ance years but buyers did return to the market. Bids moved
higher this week and by Friday the assessment for non-crop
RTFCs was set at 33.00-34.00p/RTFC, higher by 0.50p/RTFC
on the week. The assessment for crop RTFCs was set in a
32.50-33.50p/RTFC range, also firming by 0.50p/RTFC on the
week.
Interest for 2023 RTFCs remained wide. Non-crop 2023
RTFCs and crop RTFCs were both assessed flat on the week
at 32.00-33.00p/RTFC and 31.50-33.00p/RTFC respectively.
Renewable gas GOOs
Renewable gas guarantees of origin (RGGO) prices for waste
decreased in Denmark this week while UK and Dutch RGGOs
were little changed. The 2024 vintage was assessed at a
small premium to 2023 amid low market activity.
In Denmark, 2022 and 2023 waste RGGOs moved down by
€1/MWh having held at €50.50/MWh and €51.50/MWh in the
previous three weeks. Biomethane injections into the Dan-
ish grid were 14.5pc higher in 2022 compared to 2021 and
scaled up from an average of 18.2GWh/d at the start of 2022
to 20.8GWh/d in October and November.
In the UK, crop RGGOs for 2022 decreased by £0.50/MWh
and rose by £0.10/MWh for the 2023 vintage, increasing the
premium for 2023 crop RGGOs to 2022 product to £0.75/
MWh from £0.15/MWh last week. The 2023 vintage for waste
RGGOs decreased by £0.75/MWh to £31.25/MWh. The 2023
premium for UK waste is now the same as for crop, £0.75/
MWh.
This week Portugal announced plans to launch biometh-
ane and renewable hydrogen auctions in mid-2023. The
gases will be sold, along with the guarantees of origin, to
gas utilities to help them meet decarbonisation quotas.
Estonia announced plans to extend the period of subsidy for
biomethane production for transport by six months, from 31
December 2023 to 30 June 2024.
Announcement
The holiday calendar showing which Argus reports are
not published on which days is now available online
https://www.argusmedia.com/en/methodology/
publishing-schedule
Argus Biofuels Issue 23-4 | Friday 6 January 2023

International biofuels / feedstock differentials and freight

China vs fob ARA range $/t

Ucome diff: 361.50
HVO (Class II) diff: 304.44
Freight 5kt: 220.00
Rotterdam

UCO bulk fob China vs exw NL $/t

Diff: 245.77
Freight 5kt: 245.00
Shanghai

HVO fob Sg vs fob ARA range $/t

Freight 40kt: 110.50

POME fob Mal vs cif ARA $/t Port Klang Singapore

Diff: 270.00
Freight 3-5kt: 235.00

Asia-Pacific biofuels: Chinese UCO offers rise International biofuels spot prices $/t
An Indonesia-based palm methyl ester (PME) producer is Bid Ask ±

expecting Indonesian PME volumes offered in the export RED biodiesel

market to fall sharply this year because of the country’s B35 BGME fob China 1,280.00 1,350.00 nc
biodiesel mandate. UCOME fob China 1,280.00 1,350.00 nc
This may be supporting Malaysian PME prices on expecta- PME fob Malaysia 980.00 1,145.00 +20.00
tions of tighter supplies. PME fob Indonesia 860.00 1,020.00 -5.00
RED-certified Malaysian PME was offered at $1,145/t Biodiesel
fob. While Malaysian non-RED PME was offered at between PME ex-works Indonesia 841.00 845.00 +2.00
$1,120-1,150/t fob, with producers citing a increase in oper- SME fob Argentina upriver (5 Jan) 1,460.74 1,487.18 -12.05

ating costs for the higher offers. But there were no bids on SME fob Houston B100 (5 Jan) 1,875.42 1,905.32 +0.12

6 January, with a broker doubting that any interest would SME fob Houston B100 (5 Jan) ¢/USG 627.23 637.23 +0.04
RED hydrotreated vegetable oil (HVO)
emerge soon at these levels.
HVO fob China (6 Jan) 2,200.00 2,250.00 nc
There were few new southeast Asian used cooking oil
HVO fob Singapore (Class I) netback 2,092.02 2,104.84 +19.23
(UCO) indications, with assessments little changed from 5 HVO fob Singapore (Class II) netback 2,412.53 2,425.35 -166.67
January. A deal for Indonesian flexibag UCO initiated earlier HVO fob Singapore (Class III) netback 2,393.30 2,406.12 -76.93
in the week closed at $1,020/t cif South Korea and was pre- Sustainable aviation fuel (SAF)*
paring to load. But the market remained split, with muted SAF fob Singapore netback 3,143.40 3,156.56 +19.73
demand for finished UCO methyl ester (Ucome) continuing to *Hydrotreated Esters and Fatty Acids (HEFA-SPK)
Bionaphtha
weigh on UCO bids from Malaysian buyers at $900-950/t cif
Bionaphtha cfr northeast Asia 2,420.00 2,440.00 +65.00
levels earlier in the week. An offer also emerged for Malay-
Ethanol
sian UCO in flexibags at $980/t fob. fob Pakistan 990.00 1,010.00 nc
Palm oil mil effluent (Pome) offers remained at $800/t fob Pakistan (hydrous) 920.00 940.00 nc
fob Malaysia/Indonesia with no bids surfacing. cfr Mumbai 850.00 910.00 +5.00
Long-haul freight assessments from Asia-Pacific to Europe cfr Philippines $/m³ 705.00 725.00 +5.00
were flat from the previous week with a quiet market. But B-grade cfr northeast Asia $/m³ 750.00 800.00 nc
regional palm oil freight rates were lower by 30pc over the cfr China 630.00 885.00 +5.00
past three weeks, according to shipbrokers, as Indonesia’s
decision to tighten its domestic marketing obligation for palm

Copyright © 2023 Argus Media group Page 7 of 13

Argus Biofuels Issue 23-4 | Friday 6 January 2023

oil products to 6:1 from this month has reduced spot demand International feedstock spot prices $/t
Bid Ask ±
for nearby laycans.
RED feedstocks

Chinese UCO offers rise Brown grease dap China CNY/t 7,200.00 7,400.00 nc
Brown grease dap China 1,046.51 1,075.58 +1.16
Chinese UCO sellers were under increasing cost pressure with
UCO dap China CNY/t 8,200.00 8,500.00 nc
firming domestic collecting costs, while bids from European
UCO dap China 1,191.86 1,235.47 +1.33
buyers remained flat during the week.
Premium UCO bulk fob China 1,080.00 1,140.00 +15.00
Several market participants said they started to lose money
UCO bulk fob China 1,030.00 1,100.00 +15.00
from executing previous contracts or term contracts. Most
Premium UCO diff to UCO bulk fob China +45.00
sellers were reluctant to offer February-loading regular bulk
UCO fob China 1,000.00 1,080.00 +15.00
UCO cargoes below $1,100/t fob China. But no higher solid bids
UCO fob Indonesia 930.00 990.00 nc
emerged.
UCO bulk fob Malaysia 990.00 1,040.00 nc
At least one seller based in Hong Kong targeted $1,080/t
UCO fob Vietnam 990.00 1,010.00 nc
fob China for regular flexibag UCO, considering the current cif
POME fob Malaysia/Indonesia 760.00 800.00 nc
Amsterdam-Rotterdam-Antwerp (ARA) level. Container freight
Feedstocks
from China to the ARA hub rebounded slightly to $1,400 per 20ft Palm olein Malaysia/Indonesia fob
container load from $1,200 in December. Prompt 945.00 965.00 -5.00
Discussions over Ucome remained at a similar level to 5 Feb 945.00 965.00 -5.00
Mar 945.00 965.00 -5.00
January, with most sellers still offering February cargoes at
Apr 965.00 975.00 -5.00
above $1,350/t fob China and bids flat. Arg SBO diff to CBOT 1st mth (5 Jan) ¢/lb -9.50 -8.30
Some Pome methyl ester loading in early February was be-
ing negotiated at around $1,300/t fob China but no deals done
emerged.
Rebounding prices for hydrotreated vegetable oil (HVO) Freight (06 Jan) $/t
in ARA during the week did not immediately support buying Size '000t Bid Ask ±
interest for Chinese HVO from the European market. A batch Malaysia - ARA
of February-loading HVO with -15°C cold filter plugging point Palm Oil 15-30 137.00 142.00 nc
PME 3-5 205.00 215.00 nc
(CFPP) was still offered at $2,300/t fob China. Another seller
UCO/Pome 3-5 230.00 240.00 nc
did not receive any bids above $2,000/t fob China for HVO with Malaysia - West Med
+15°C CFPP. Palm Oil 15-30 132.00 137.00 nc
PME 3-5 200.00 210.00 nc
Philippine ethanol tenders issued UCO/Pome 3-5 225.00 235.00 nc
Singapore - ARA
Several ethanol tenders to buy were issued in the Philippines
HVO 40 108.00 113.00 nc
this week. China - ARA
An oil major issued an 11-month tender for February-Decem- UCO 5 240.00 250.00 nc
ber in lots of two, the first seeking 1,000-2,000 m³/month and Ucome/HVO 5 215.00 225.00 nc
US - China
the second seeking 2,000-3,000 m³/month. The tender results
Ethanol 40-50 68.00 85.00 nc
will be released on 16 January. Another refiner issued a tender
seeking 4,000-6,000m³ for March-April delivery with results
to be released on 9 January. Current ethanol offers were at
$710/m³ cfr Philippines, according to one trader, but this was Reference prices $/t
deemed too low by another. Month Settle ±
Chinese domestic fuel grade offers increased by around CBOT soybean oil futures (16:30 London time)
100 yuan/t to Yn7,100-7,200/t ($1,034-1,049/t) ddp with value- Jan 1,395.53 -1.98
added tax, said a trader. Prices have increased because of low Mar 1,391.12 +14.33
inventories resulting from reduced ethanol production because May 1,383.18 +14.77
of modest margins. Malaysia palm oil futures
The B-grade market is still muted with suppliers under pres- Jan 907.24 -24.67
sure to lower prices, said a buyer. But suppliers might increase Feb 918.80 -11.06
prices for the first shipments from Brazil in the second half of Mar 921.98 -8.79
May if the government decides to discontinue the tax holiday Bid Ask ±
on gasoline after it ends on 28 February. Glycerine fob SE Asia 280.00 300.00 nc

Copyright © 2023 Argus Media group Page 8 of 13

Argus Biofuels Issue 23-4 | Friday 6 January 2023

US biofuels Biodiesel spot price averages January to date $/t

RIN credits mostly rose in the first half of the session on Bid Ask

Friday, supporting the Argus Renewable Volume Obligation RED

(RVO). Palm OME fob ARA range 1,240.25 1,250.25
The Argus RVO ticked up by 0.1¢/USG to 20.98¢/USG. Rapeseed OME fob ARA range 1,650.75 1,660.75
Current year biomass-based diesel D4 RIN credits were Soya OME fob ARA range 1,405.25 1,415.25
last bid and offered at 173.5¢/RIN and 175¢/RIN, respec- FAME 0°C CFPP fob ARA range 1,340.25 1,350.25
tively, rising by a penny to 174.25¢/RIN. 2022 biodiesel FAME -10°C CFPP fob ARA range 1,619.50 1,629.50
credits were bid at 183.5¢/RIN and offered at 185¢/RIN, tick- UCOME fob ARA range 1,649.18 1,659.18
ing down by 0.5¢/RIN to 184.25¢/RIN. 2023 ethanol credits Tallow OME fob ARA range 1,589.18 1,599.18
traded at a 3.5¢/RIN discount to concurrent biodiesel cred- Advanced FAME 0°C CFPP fob ARA range 1,719.18 1,729.18
its, and then were bid at a 2.5¢/RIN discount and offered at International
a 3.5¢/RIN discount on the follow, firming by 0.75¢/RIN to RED Ucome fob China 1,265.00 1,340.00
171.25¢/RIN. 2023 cellulosic biofuel D3 credits were steady RED PME fob Malaysia 972.50 1,118.75
as no new market information surfaced. RED PME fob Indonesia 856.25 1,028.75
Ethanol prices were mixed amid lower market liquidity, SME fob Argentina (to 5 Jan) 1,496.77 1,523.95
as CBOT corn futures ticked higher. HVO spot price averages January to date $/t
Chicago Rule 11 railcars rose by 1.5¢/USG to 234¢/USG Bid Ask
after deals at that level were reported just before midday.
RED
Prompt in-tank transfers at Kinder Morgan’s Argo terminal
HVO fob ARA range (Class I) 2,196.62 2,209.44
fell by 2.5¢/USG to 227¢/USG after transactions at that level
HVO fob ARA range (Class II) 2,656.56 2,669.38
surfaced several times. New York Harbor front month barges
HVO fob ARA range (Class III) 2,570.02 2,582.84
were flat after new market information failed to surface.
International
RED HVO fob China 2,200.00 2,250.00
Americas
Export differentials for Argentinian soybean oil edged higher Feedstocks spot price averages January to date $/t
throughout the week, reflecting an active demand on the Bid Ask
deferred months market. Spot discounts narrowed by 0.1¢/lb
RED
to CBOT -8.9¢/lb.
RSO fob Dutch mill prompt €/t 1,151.38 1,159.63
For the forward months, on 5 December participants
UCO fob ARA range 1,170.00 1,180.00
traded 4,000t of soybean oil at CBOT -9.2¢/lb to be deliv-
UCO cif ARA 1,140.00 1,150.00
ered in February. On the March front, at least 4,000t were
UCO ex-works Netherlands 1,292.61 1,303.18
traded at CBOT -9.4¢/lb and 2,000t were reported for April
Tallow (categories 1 and 2) fca northwest Europe 1,004.48 1,015.05
timing at CBOT -10¢/lb.
Tallow (category 3) fca northwest Europe 1,432.71 1,443.28
In Chicago, the futures benchmark fell by 3.98¢/lb to
POME cif ARA 1,045.00 1,055.00
62.42¢/lb, tracking crude oil losses pressured by concerns of
a global economy recession and lower Chinese demand due International

to a Covid-19 surge. RED premium bulk UCO fob China 1,080.00 1,117.50

Biodiesel prices for export fell after the European Union RED bulk UCO fob China 1,030.00 1,077.50

revised the minimum import price for the first quarter. RED- RED POME fob Malaysia/Indonesia 760.00 800.00

certified biofuel settled at $1,474/t, declining by $119.40/ Ethanol spot price averages January to date $/t
as EU authorities decreased the import price to around
Bid Ask
€1,401.50/t.
RED
T2 premium ethanol fob ARA range inc duty €/m³ 736.19 746.19

Announcement T2 premium ethanol fob ARA range inc duty 986.51 999.91
T2 premium ethanol diff to Eurobob oxy +237.70 +250.60
All data change announcements can be viewed online at T2 ethanol fob ARA range inc duty €/m³ 696.19 706.19
www.argusmedia.com/announcements T2 ethanol fob ARA range inc duty 932.90 946.31
Alternatively, to be added to the email distribution list T2 ethanol diff to Eurobob oxy +184.09 +196.99
for all announcements, please email: International
datahelp@argusmedia.com fob Pakistan 990.00 1,010.00

Copyright © 2023 Argus Media group Page 9 of 13

Argus Biofuels
NEWS
Global food prices reach record high in 2022
The UN's Food and Agriculture Organization (FAO) Food Price
Index (FFPI) hit a record high in 2022 as supply disruptions,
elevated input costs and adverse weather conditions in some
regions drove grain and vegetable oil prices to all-time highs
in the first half of last year.
The FFPI reached 143.7 points last year, from 125.7
points in 2021 and its previous record of 131.9 points in 2011.
The FAO Cereal Price Index averaged 154.7 points in
2022, up by from 23.5 points in 2021 and 12.5 points higher
than the previous record high registered in 2011. Global
wheat and corn prices surged by 15.6pc and 24.8pc on the
year, driven by disrupted supplies and rising uncertainties in
the first half of last year, accompanied by rising energy and
inputs costs, adverse weather in key producing regions and
strong global demand.
And the FAO Vegetable Oil Price Index rose to 187.8
points in 2022, also making a new record annual high, up
by 22.9 points on the year, following a sharp increase in the
world's prices for major vegetable oils in January-March.
Monthly indexes further decline
But both the Cereal and Vegetable Oil Indexes continued to
decline in December following lower global prices.
The Cereal Price Index averaged 147.3 points in Decem-
ber, down by 2.9 points from November but still up on the
year by 6.8 points. Global wheat prices were pressured
by ongoing harvesting in the southern hemisphere boost-
ing global supplies, while corn prices eased on the back of
strong competition from Brazil-origin corn, despite concerns
that dryness would create possible losses in Argentinian
production.
The Vegetable Oil Price Index in December fell to its
lowest since February 2021 at 144.4 points, also down by
10.3 points on the month. The world's palm oil prices fell
by about 5pc from November, as slow global demand offset
lower production in major producing countries, while soy-
bean prices were pressured by a positive outlook for South
American production. And international prices for sunflower
oil and rapeseed oil fell because of abundant global supplies
and low demand, particularly from the EU.
As a result, the FFPI continued its losses for the ninth
consecutive month in December, averaging 132.4 points,
down by 2.6 points on the month.
By Anya Fielding
Ukraine ags exports rebound in December
Ukraine's agricultural exports sped up in December after a
Copyright © 2023 Argus Media group Page 10 of 13
Issue 23-4 | Friday 6 January 2023
slowdown a month earlier, with soybean shipments doubling
on the year.
Ukraine exported a total of 6.75mn t of grains, oilseeds
and by-products in December, according to customs data, up
from 5.9mn t in November but below the 6.89mn t exported
in October. December's exports also lagged the 7.9mn t
shipped a year earlier.
Soybean exports at multi-month high
Soybean exports reached a multi-month high in December at
around 387,000t — up from 385,000t in November and more
than doubling from the same time last year, when 192,000t
was exported (see chart)
. This brought cumulative shipments of the crop so far in
the 2022-23 marketing year (September-August) to 1.24mn t,
up from just 592,000t in a year earlier. Ukraine has already
exported 80pc of the 1.5mn t that the US Department of
Agriculture projects that the nation will ship this season.
Higher demand from the EU and Turkey boosted exports
last month, with 67pc of exports shipping from the Pivden-
nyi, Odessa and Chornomosk (POC) seaports. Rail and truck
deliveries accounted for 17pc and 14pc, respectivley.
In contrast, exports of sunflower seed (SFS) and rapeseed
fell in December to about 312,000t and 237,000t respec-
tively, down from November’s 377,000t and 412,000t. But
this was still sharply up from the exported volumes over the
same period last year, when SFS and rapeseed shipments
stood at about 4,000t and 57,000t, respectively.
Sunflower oil (SFO) and sunflower seed meal (SFM) ex-
ports in December reached 468,000t and 331,000t respec-
tively, almost in line with the 466,000t and 345,000t shipped
in the previous month. About 78pc and 60pc of SFO and SFM
exports in December were shipped from Ukraine's sea and
river ports.
Soybean oil exports followed a similar trend, standing at
20,000t and up from 16,000t in November.
Overall oilseed, vegetable oil and meal exports from
Ukraine declined to 1.75mn t from 2mn t in November, but
this was above the 1.6mn t shipped a year earlier, mainly as
a result of higher rapeseed, SFS and soybean shipments.
Corn further dominates grain exports
Ukrainian companies exported a total of 5mn t of grains
— including wheat, barley and corn — last month, well up
from the 3.9mn t exported in November but lower than the
6.31mn t in the same period a year earlier.
Corn remained the major export crop, with shipments
accounting for more than half, or 3.26mn t, of overall
Argus Biofuels
grain exports last month. This was down from the 4.9mn t
exported a year earlier. Shipments through the POC ports
accounted for 75pc of corn exports in October, while rail
deliveries made up 21pc.
Ukrainian companies also slightly decreased wheat
exports last month, with 1.55mn t shipped. This was down
from the nearly 1.58mn t exported the previous month
but up from 1.17mn t in October. Barley exports stood at
179,000t in December, down from 296,000t in November
and 240,000t a year earlier. About 84pc of October's wheat
exports and 90pc of barley exports were routed through
Ukraine's POC ports.
Overall grain exports from Ukraine in the first half of the
2022-23 marketing year (July-June) reached 22.79mn t, down
from 35.64mn t in 2021-22.
By Kristin Yavorska
US ethanol output falls to 18-month low: EIA
US ethanol production tumbled last week to the lowest
in more than 18 months, helping to trim stockpiles of the
biofuel, according to Energy Information Administration (EIA)
data.
US ethanol production in the week ended 30 December
fell by 119,000 b/d to 844,000 b/d, the lowest since 5 June
2020 and the first weekly output below 900,000 b/d since
late September. Midcontinent production fell by 112,000 b/d
to 794,000 b/d, while the Gulf coast region boosted output
by 2,000 b/d.
Compared with a year earlier, US production last week
was down by 204,000 b/d.
Domestic ethanol stocks fell to 24.4mn bl, down by 0.8pc
from the prior week but holding above 24mn bl for a fourth
consecutive week. The west coast led the inventory decline,
falling by 171,000 bl to 2.5mn bl, while midcontinent stocks
rose on the week by 52,000 bl.
Compared with a year earlier, US ethanol stocks last
week were up by 3.1mn bl.
Implied gasoline demand fell from the previous week
by 1.8mn b/d to 7.5mn b/d, the lowest since January 2021.
Gasoline demand was down by 658,000 b/d compared with a
year earlier.
Ethanol blending fell by 127,000 b/d, on the week to
789,000 b/d. Blending was up 7,000 b/d from a year earlier.
By Conor O'Brien
Brazil sells biodiesel at deep discounts in early 2023
Brazilian producers are selling biodiesel at lower prices than
in the last two months of 2022 as plants in Rio Grande do Sul
and Mato Grosso states jostle for product and some southern
participants look to regain market share lost in 2022.
Copyright © 2023 Argus Media group Page 11 of 13
Issue 23-4 | Friday 6 January 2023
Discounts for product delivered in the first two months of
2023 from the Mato Grosso hub ranged from R300-R400/m³
(21-28¢/USG), while those practiced in Rio Grande do Sul
were between R250-350/m³.
Premiums or discounts negotiated with mills are calcu-
lated based on the logistical differential of the producer’s
facilities and their margin. The formula includes soybean oil
futures contract on the Chicago Board of Trade, currency
exchange and soyoil export differential in Paranagua.
A recent survey by Argus indicates that discounts offered
by plants in Mato Grosso in January-February have deepened
significantly compared with the R70-400/m³ discounts of-
fered in the final two months of 2022.
Producers in Rio Grande do Sul were offering R100-250/
m³ discounts in November-December. The more competitive
prices in the center-west state are a result of the volume of
degummed soy oil, with acidity at 4pc, outside the 1pc limit
for exports defined by the Brazil’s cereal exporters agency
Anec.
The early start of harvest compared with other soybean
producers, higher carry-over stocks and more vegetable oil
available gave Mato Grosso a competitive advantage over
southern states that were still grappling with drought condi-
tions in 2022.
Distributors are benefiting from excess market supply
at the start of the year, a position bolstered by lower-than-
expected sales of blended diesel and a national biodiesel
blending mandate stuck at 10pc.
The domestic biodiesel industry had around 53pc of idle
production capacity in 2022, according to Brazil’s biodiesel
and biokerosene union Ubrabio.
Discounts for January and February grew to R200-250/m³
from R50-100/m³ in the final two months of 2022 in southern
Parana state. Furthermore, participants in center-western
Goias state reported deals ranging from a R20/m³ premium
and a R150/m³ discount, compared with R50-150/m³ dis-
counts in November-December.
In Bahia state, in the strategic northeastern market,
differentials mentioned to Argus varied between R40-50/
m³ premiums, mainly because of a pause on sales by state-
controlled Petrobras biodiesel-producing arm, Petrobras
Biocombustivel. Demand was instead met by Binatural,
Oleoplan and northern Goias.
Early close for Asia-Pacific biofuels prices,
20 Jan
Argus will close its Asia-Pacific biofuels assessments
early, at 12:30pm Singapore time, on 20 January 2023,
which is the last publication day before a public holiday
in Singapore.
Argus Biofuels Issue 23-4 | Friday 6 January 2023

Contracting boost
Producers and distributors with a market share higher

Argus Consulting
than 3pc must acquire at least 80pc of the volume sold in
the same two-month period under contract o access the

Services
spot market, according to rules established by Brazil’s oil
regulator ANP.
ANP reported that average compliance to the minimum
contract threshold by retailers in the first two months of
Bespoke projects
2023 was 166.6pc in January and February 2023, a 24.6 per-
centage point increase from November-December 2022.
Long-term
Contracting levels reached 151pc of the target for the
period among biofuel plants, 40 percentage points higher Mid-term
than the last bimonthly period of 2022.
Companies Bianchini, from Rio Grande do Sul, Caibiense, Short-term
from Mato Grosso, and Oleoplan Cacoal, from Rondonia
state, chose to stay out of the latest contracting round.
Commodity market expertise
Retailers contracted volumes above the minimum target
International networks
to shield themselves from fluctuations in the soybean oil
futures contract in Chicago during the Southern Cone's soy- Trusted data
bean growing season, they said.
By Alexandre Melo
Providing clients with:
• Business strategy support
• Access to the local and global energy
commodity market
• Customized market analysis
• Supply and demand, trade and price forecasts
ARGUS • Training

HYDROGEN
& FUTURE Click here to find out more »
FUELS SERVICE
Transition to Net Zero requires you to remain
fully informed about the policy, regulatory and Argus Biofuels Methodology
technological developments taking place across
the globe. Subscribe to our service today to Argus uses a precise and
transparent methodology to
better navigate your energy transition journey. assess prices in all the markets
it covers. The latest version of aRGUs BIOFUeLs
Sign up now to get complementary access the Argus Biofuels
to Argus Hydrogen and Future Fuels Service Methodology can be found at:
Contents:
Methodology overview 2
Price assessments - introduction 6

www.argusmedia.com/methodology.
Spot prices 6
Reference prices 8
Spot ethanol price assessments 8
Forward price assessments and swaps 10

For a hard copy, please email

info@argusmedia.com, but
please note that methodologies
are updated frequently and for Last Updated: may 2014

the latest version, you should The most up-to-date Argus Biofuels methodology is available on www.argusmedia.com

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Copyright © 2023 Argus Media group Page 12 of 13

Argus Biofuels Issue 23-4 | Friday 6 January 2023

Argus successfully completes annual Iosco Announcement

assurance review
Argus has completed the 11th external assurance
review of its price benchmarks covering crude oil, oil
products, LPG, chemicals, thermal and coking coal,
natural gas, biofuels, biomass, metals, fertilizers and
agricultural markets. The review was carried out by
professional services firm PwC. Annual independent,
external reviews of oil benchmarks are required by
international regulatory group Iosco’s Principles for
Oil Price Reporting Agencies, and Iosco encourages
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