New assessment enables market to quantify
carbon emissions further up the steelmaking value chain in line
with evolving reporting and regulatory requirements
SINGAPORE and NEW
YORK and LONDON,
Sept. 25,
2024 /PRNewswire/ -- Platts, part of S&P Global
Commodity Insights, the leading independent provider of
information, data, analysis, benchmark prices and workflow
solutions for the metals, commodities, energy and energy transition
markets, today announces the upcoming launch of the
world's first daily carbon-accounted iron ore price assessments and
related carbon intensity estimates to bring greater transparency to
the industry's decarbonization efforts.
The new carbon intensity series features a daily
carbon-accounted iron ore assessment incorporating Platts global
benchmark 62% Fe iron ore index (IODEX) and a carbon intensity
premium reflecting the cost of offsetting greenhouse gas emissions
in the mining and transportation of iron ore using carbon
credits.
The Platts IODEX Carbon Intensity Premium reflects carbon
intensities of the mining, inland transportation, loading, and
shipping of iron ore from key ports in Australia and Brazil to Qingdao in China, multiplied by Platts Carbon Removal
Credit Assessment (CRC), which reflects nature- and
technology-based carbon credits.
Carbon-Accounted IODEX is the sum of Platts IODEX and the IODEX
Carbon Intensity Premium and marks a first such assessment for iron
ore, the key ingredient used in the blast furnace-basic oxygen
furnace route that accounts for more than 70% of the world's crude
steel output.
The launch meets growing informational needs by global steel
producers, processors, end-users and traders, as they adapt to
evolving regulatory and reporting requirements.
This new series complements Platts Carbon-Accounted Steel
Premium (CASP) offering for finished steel, building on more than a
year of CASP price history for European hot-rolled coil, and
follows the September 2024 launch of
world-first CASPs for rebar and medium sections.
Niki Wang, Senior Managing
Editor, Iron Ore at S&P Global Commodity Insights
commented, "We are pleased to announce the launch of Commodity
Insights' first carbon intensity offering for metals, supporting
the Platts IODEX global benchmark. With iron and steel production
accounting for almost 7% of global greenhouse gas emissions,
steel's carbon footprint counts as the top emitter among
manufacturing industries, as well as other sectors including
construction, energy and transportation. The launch of
Carbon-Accounted IODEX will allow market participants to retrace
and evaluate emissions at critical junctures, from the mine to the
port of discharge."
"Carbon-Accounted IODEX provides critical context around the
carbon footprint of transactions of the iron ore supply chain in a
market that is increasingly concerned about their environmental
impact," said Heather Jones, Head
of Emissions Technical, Center of Emissions Excellence at S&P
Global Commodity Insights. "The information it delivers is a
necessary tool to help industry players better understand, track,
and ultimately price carbon in their business decisions."
For more information, the subscriber note about the assessments
may be found here:
https://www.spglobal.com/commodityinsights/en/our-methodology/subscriber-notes/092524-platts-to-launch-worlds-first-daily-carbon-accounted-iron-ore-assessment-iodex-carbon-intensity-premium
Access details of Platts' price assessments methodology here:
https://www.spglobal.com/commodityinsights/plattscontent/_assets/_files/en/our-methodology/methodology-specifications/platts-assessments-methodology-guide.pdf
Platts Carbon-Accounted IODEX, IODEX Carbon Intensity Premium
and carbon intensity estimates are available via S&P Global
Commodity Insights products and services, including Platts Steel
Alert, SBB Steel Markets Daily, Platts Connect, Platts Market
Center, and the Platts price database. Platts
Carbon-Accounted IODEX, IODEX Carbon Intensity Premium and carbon
intensity estimates will be available from September 30 via S&P Global Commodity
Insights products and services, including Platts Steel Alert,
SBB Steel Markets Daily, Platts Connect, Platts Market
Center, and the Platts price database.
Media Contacts:
Americas: Kathleen Tanzy + 1
917-331-4607, kathleen.tanzy@spglobal.com
EMEA: Paul Sandell + 44 (0)7816 180039,
paul.sandell@spglobal.com
Asia: Melissa Tan
+ 65-6597-6241, melissa.tan@spglobal.com
About S&P Global Commodity Insights
At S&P Global Commodity Insights, our complete view of global
energy and commodity markets enables our customers to make
decisions with conviction and create long-term, sustainable
value.
We're a trusted connector that brings together thought leaders,
market participants, governments, and regulators and we create
solutions that lead to progress. Vital to navigating commodity
markets, our coverage includes oil and gas, power, chemicals,
metals, agriculture, shipping and energy transition.
Platts® products and services, including leading
benchmark price assessments in the physical commodity markets, are
offered through S&P Global Commodity Insights. S&P Global
Commodity Insights maintains clear structural and operational
separation between its price assessment activities and the other
activities carried out by S&P Global Commodity Insights and the
other business divisions of S&P Global.
S&P Global Commodity Insights is a division of S&P
Global (NYSE: SPGI). S&P Global is the world's foremost
provider of credit ratings, benchmarks, analytics and workflow
solutions in the global capital, commodity and automotive markets.
With every one of our offerings, we help many of the world's
leading organizations navigate the economic landscape so they can
plan for tomorrow, today. For more information visit
https://www.spglobal.com/commodityinsights.
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SOURCE S&P Global Commodity Insights