Price Reporting Agencies

 Majorly there were four Price Reporting Agencies (PRA) in the World namely

·         Platts,

·         Argus Media,

·         Asia Petroleum Price Index (APPI), and

·         ICIS London Oil Report

 

Price Reporting Agencies (PRA)	Methods of reporting data
ICIS London Oil Report	subjective approach based on the first-hand extensive trading experience of its reporters
APPI	mechanical approach based on data submitted in writing to an accounting firm by a panel of traders
Platts	combination of mechanistic analysis and judgement
Argus Media	combination of mechanistic analysis and judgement

 

Averaged over lengthy time periods, the differences among prices reported by different PRAs for the same crude oil grade is usually substantially less than $1.00/bbl.

In the case of the key benchmark grade of “Dated Brent” this difference is about $0.01/bbl.

In the case of other benchmarks, such as Dubai and Tapis, the differences over time can be more substantial.

ICIS which employs the ICE one-minute marker directly for the purpose of establishing its 21-Day BFOE assessment

Platts prices are perceived to be firmly entrenched in the contractual fabric of the industry and it and has the largest customer base followed by Argus. There is considerable inertia in the industry that sees even companies that are highly critical of Platts and its methodologies continuing to use it as a price reference source in their deals.