Specifications Guide

Global Iron Ore

Latest update: February 2024

Definitions of the trading locations for which Platts

publishes indexes or assessments.......................... . . . . 2
Fines. . . . .. . . . . . . . . . . . . . . . . . . . ........................................... . . . . 4
VIU Differentials. . . . . . . . . . . ........................................... . . . . 6
Lump and Pellet. . . . . . . . . . . ........................................... . . . . 8
Domestic Chinese . . . . . . . ........................................... . . . 13
MOC Volume and Laycan Guidelines . . ......................... . . . 14
Derivatives. . . . . . . . . . . . . . . . . . ........................................... . . . 15
Netbacks. . . . . . . . . . . . . . . . . . . . ........................................... . . . 17
Dry Bulk Freight.. . . . . . . . . . ........................................... . . . 17

Revision History.. . . . . . . . ........................................... . . . 18

www.spglobal.com/commodityinsights
Specifications Guide Global Iron Ore: February 2024

Definitions of the trading locations for which Platts publishes indexes or assessments

The following specifications guide contains the primary specifications for S&P Global Commodity Insights’ Platts global iron ore assessments. All the assessments listed here employ Platts Assessments
Methodology, as published at https://www.spglobal.com/platts/plattscontent/_assets/_files/en/our-methodology/methodology-specifications/platts-assessments-methodology-guide.pdf.

These guides are designed to give Platts subscribers as much information as possible about a wide range of methodology and specification questions.

This guide is current at the time of publication. Platts may issue further updates and enhancements to this guide and will announce these to subscribers through its usual publications of record. Such
updates will be included in the next version of this guide. Platts editorial staff and managers are available to provide guidance when assessment issues require clarification.

These are the timestamps used for Platts iron ore assessments. Data reported at or after these timestamps is not considered in the assessment process.

Asia: 5.30pm Singapore

Atlantic: 4.30pm London

Platts publishes timing and increment guidelines for its Market on Close (MOC) assessment process, available at https://www.spglobal.com/commodityinsights/PlattsContent/_assets/_files/en/our-
methodology/methodology-specifications/metals_timing_increment_guidelines.pdf. Platts has additionally established volume and loading laycan guidelines for the iron ore MOC, which outline the
minimum or standard volume and laycan required for bids and offers. For details please refer to ‘MOC Volume and Laycan Guidelines’ in this guide.

Fines
Assessment Code Mavg Wavg Rolling Type Published Page Quality Dimensions Quantity Incoterms Location* Timing Payment UOM
monthly
average

Seaborne Fines
Granular size of up to
62% Fe, 8% moisture, 4% silica, 2.25% alumina, Qingdao, 14-56 days L/C at
IODEX 62% Fe CFR China IODBZ00 IODBZ03 IODBZ02 IODBZ04 Assessment Daily PMA1105 10 mm for up to 90% min 50,000 mt CFR $/dmt
0.09% phosphorus, 0.02% sulfur China forward sight
of cargo
Granular size of up to
TSI Iron Ore Fines 62% Fe 62% Fe, 8% moisture, 4% silica, 2.25% alumina, Qingdao, 14-56 days L/C at
TS01021 TSMAU03 TSMBY03 Assessment Daily 10 mm for up to 90% min 50,000 mt CFR $/dmt
CFR China 0.09% phosphorus, 0.02% sulfur China forward sight
of cargo
Granular size of up to
Iron Ore Fines 65% Fe CFR 65% Fe, 8.5% moisture, 2% silica, 1.4% alumina, Qingdao, 14-56 days L/C at
IOPRM00 IOPRM03 Assessment Daily PMA1105 10 mm for up to 90% min 50,000 mt CFR $/dmt
China 0.065% phosphorus China forward sight
of cargo
Granular size of up to
Iron Ore Fines 65% Fe Qingdao,
IOALB00 IOALB03 Calculation Daily Differential of the code IOPRM00 to IODBZ00 10 mm for up to 90% min 50,000 mt CFR NA NA $/dmt
Differential to IODEX China
of cargo

© 2024 by S&P Global Inc. All rights reserved. 2

Specifications Guide Global Iron Ore: February 2024

Fines
Assessment Code Mavg Wavg Rolling Type Published Page Quality Dimensions Quantity Incoterms Location* Timing Payment UOM
monthly
average
Granular size of up to
Iron Ore Fines 58% Fe CFR 58% Fe, 8% moisture, 6% silica, 2.9% alumina, Qingdao, 14-56 days L/C at
IODFE00 IODFE03 Assessment Daily PMA1105 10 mm for up to 90% min 50,000 mt CFR $/dmt
China 0.06% phosphorus China forward sight
of cargo
Granular size of up to
Iron Ore Fines 58% Fe Qingdao,
IOALC00 IOALC03 Calculation Daily PMA1105 Differential of the code IODFE00 to IODBZ00 10 mm for up to 90% min 50,000 mt CFR NA NA $/dmt
Differential to IODEX China
of cargo
Physical Structure of IODEX Qingdao,
IODBS00 IODBS03 Assessment Daily PMA1105 Basis IODEX 62% Fe CFR China NA min 50,000 mt CFR NA NA $/dmt
62% Fe CFR China China

Seaborne Fines Brands

Pilbara Blend Fines CFR Qingdao, 14-56 days L/C at
IOPBQ00 IOPBQ03 Assessment Daily PMA0140 as per typical specifications, basis typical Fe min 50,000 mt CFR $/dmt
Qingdao China forward sight
Pilbara Blend Fines CFR Qingdao, 14-56 days L/C at
IOPBS00 IOPBS03 Calculation Daily PMA0140 as per typical specifications, 62% Fe-adjusted min 50,000 mt CFR $/dmt
Qingdao (Floating) China forward sight
Pilbara Blend Fines CFR
Qingdao, 14-56 days L/C at
Qingdao (Fixed-Differential IOPBT00 IOPBT03 Calculation Daily PMA0140 as per typical specifications, basis typical Fe min 50,000 mt CFR $/dmt
China forward sight
to IODEX)
Brazilian Blend Fines CFR Qingdao, 14-56 days L/C at
IOBBA00 IOBBA03 Assessment Daily PMA0140 as per typical specifications, basis typical Fe min 50,000 mt CFR $/dmt
Qingdao China forward sight
Brazilian Blend Fines CFR Qingdao, 14-56 days L/C at
IOBBB00 IOBBB03 Calculation Daily PMA0140 as per typical specifications, 62% Fe-adjusted min 50,000 mt CFR $/dmt
Qingdao (Floating) China forward sight
Brazilian Blend Fines CFR
Qingdao, 14-56 days L/C at
Qingdao (Fixed-Differential IOBBC00 IOBBC03 Calculation Daily PMA0140 as per typical specifications, basis typical Fe min 50,000 mt CFR $/dmt
China forward sight
to IODEX)
Newman High Grade Fines Qingdao, 14-56 days L/C at
IONHA00 IONHA03 Assessment Daily PMA0140 as per typical specifications, basis typical Fe min 50,000 mt CFR $/dmt
CFR Qingdao China forward sight
Newman High Grade Fines Qingdao, 14-56 days L/C at
IONHB00 IONHB03 Calculation Daily PMA0140 as per typical specifications, 62% Fe-adjusted min 50,000 mt CFR $/dmt
CFR Qingdao (Floating) China forward sight
Newman High Grade
Qingdao, 14-56 days L/C at
Fines CFR Qingdao (Fixed- IONHC00 IONHC03 Calculation Daily PMA0140 as per typical specifications, basis typical Fe min 50,000 mt CFR $/dmt
China forward sight
Differential to IODEX)
Mining Area C Fines CFR Qingdao, 14-56 days L/C at
IOMAA00 IOMAA03 Assessment Daily PMA0140 as per typical specifications, basis typical Fe min 50,000 mt CFR $/dmt
Qingdao China forward sight
Mining Area C Fines CFR Qingdao, 14-56 days L/C at
IOMAB00 IOMAB03 Calculation Daily PMA0140 as per typical specifications, 62% Fe-adjusted min 50,000 mt CFR $/dmt
Qingdao (Floating) China forward sight
Mining Area C Fines CFR
Qingdao, 14-56 days L/C at
Qingdao (Fixed-Differential IOMAC00 IOMAC03 Calculation Daily PMA0140 as per typical specifications, basis typical Fe min 50,000 mt CFR $/dmt
China forward sight
to IODEX)
Jimblebar Fines CFR Qingdao, 14-56 days L/C at
IOJBA00 IOJBA03 Assessment Daily PMA0140 as per typical specifications, basis typical Fe min 50,000 mt CFR $/dmt
Qingdao China forward sight
Jimblebar Fines CFR Qingdao, 14-56 days L/C at
IOJBB00 IOJBB03 Calculation Daily PMA0140 as per typical specifications, 62% Fe-adjusted min 50,000 mt CFR $/dmt
Qingdao (Floating) China forward sight

© 2024 by S&P Global Inc. All rights reserved. 3

Specifications Guide Global Iron Ore: February 2024

Fines
Assessment Code Mavg Wavg Rolling Type Published Page Quality Dimensions Quantity Incoterms Location* Timing Payment UOM
monthly
average
Jimblebar Fines CFR
Qingdao, 14-56 days L/C at
Qingdao (Fixed-Differential IOJBC00 IOJBC03 Calculation Daily PMA0140 as per typical specifications, basis typical Fe min 50,000 mt CFR $/dmt
China forward sight
to IODEX)
57% Yandi Fines CFR Qingdao, 14-56 days L/C at
IOYFA00 IOYFA03 Assessment Daily PMA0140 as per typical specifications, basis typical Fe min 50,000 mt CFR $/dmt
Qingdao China forward sight
57% Yandi Fines CFR Qingdao, 14-56 days L/C at
IOYFB00 IOYFB03 Calculation Daily PMA0140 as per typical specifications, 62% Fe-adjusted min 50,000 mt CFR $/dmt
Qingdao (Floating) China forward sight
57% Yandi Fines CFR
Qingdao, 14-56 days L/C at
Qingdao (Fixed-Differential IOYFC00 IOYFC03 Calculation Daily PMA0140 as per typical specifications, basis typical Fe min 50,000 mt CFR $/dmt
China forward sight
to IODEX)
*References to “Qingdao, China” reflect the locational pricing basis of CFR China assessments.

MOC bids, offers and trades with a documentation presentation

Fines Normalization
period between 32 and 38 days will be normalized based on
Standard trade and delivery terms for seaborne assessments prevailing differentials observed in the market. Information In normalizing for chemical quality, the most important factors
Iron ore brands are typically sold against the standard reported to Platts with a document presentation period beyond Platts reflects are iron, alumina, silica and phosphorus. Platts
spot contract terms of the mining company producing and 38 days may be normalized and considered for the assessment normalizes for differences in iron content by adjusting on an
marketing the brand or against contracts that do not differ on a case-by-case basis. iron unit basis. For example, a cargo with specifications of
materially from the miner’s spot contract terms. Platts may 61% Fe will be normalized by dividing its price by 61 and then
publish bids, offers and trades that carry different terms and Platts tracks terms used in iron ore trade and may update multiplying by 62 for normalization to IODEX specifications, in
conditions, but may normalize these when considered in the guidance according to market developments. accordance with industry practice, before applying Platts value-
final assessment. in-use assessments to adjust the normalized value for alumina,
Platts assesses cargo deliveries 14-56 days forward from the silica and phosphorus.
Platts observes that trading against a Letter of Indemnity date of publication, and does not include one-off or distressed
(LOI) is a typical market practice in iron ore. The typical trades where either the buyer or seller has left it too late to In addition to reflecting published penalties and premia for
document presentation period does not exceed 31 days transact within acceptable lead times that can typically be met silica, alumina and phosphorus in its normalization process,
after the shipment date, to which information received by by counterparties in the normal course of business. In order to Platts may consider other quality and non-quality parameters
Platts for assessment purposes is normalized. The maximum consider FOB indications, Platts adds the average estimated which have an impact on value, including river port optionality,
presentation period for bids and offers reported for the MOC sailing time from load port to Qingdao, China, to the loading vessel size, etc.
assessment process is 38 days after the shipment date. laycan to estimate arrival dates.
MOC participants reporting offers of cargoes with document Platts specifications reflect prevalent market practice in taking
presentation periods above the 31-day normalization threshold Any transaction that is negotiated as part of a framework of a standard spot cargo in the CFR China market as being priced
need to state the presentation period up front up to a longer-term contractual arrangements (term deals) as well as with the locational basis of Qingdao port and containing the
maximum of 38 days. Participants reporting bids are expected multi-cargo spot transactions (strips) will be excluded from the optionality for buyers to nominate one or more main Chinese
to accept cargoes with presentation periods up to 38 days. assessment process. ports for discharge.

© 2024 by S&P Global Inc. All rights reserved. 4

Specifications Guide Global Iron Ore: February 2024

Where price information is reported for non-standard cargoes, High Grade Fines, Brazilian Blend Fines, Mining Area C Fines 58% iron ore fines assessment as well as changes to brand
for example those with restricted discharge port conditions, and Jimblebar Fines, assuming the typical specifications of relativities.
Platts may normalize it for lack of optionality based on market these brands, unless notified of specific cargo quality. Platts
feedback of prevailing price differentials, or deprioritize it for continuously reviews whether brands cease to be or become Iron ore fines with above 63.5% Fe may be considered in the
assessment purposes. sufficiently fungible to be considered in the IODEX & TSI 62% Fe 65% assessment.
assessment processes.
Platts assesses to the middle of the 14-56 day delivery period In addition to outright prices, Platts publishes differentials of
by using the daily physical structure to normalize for time. Ores of grades below 60% Fe and above 63.5% Fe may not be 58% and 65% fines to IODEX.
The structure may not always be linear and the assessment used directly in the formation of the 62% Fe IODEX assessment
represents value in the middle of the 14-56 day delivery due to a lack of linearity in the price escalation/de-escalation on
Seaborne Fines Brands
window. For seaborne cargoes with declared loading laycans, a per 1% Fe basis outside this range.
Platts derives an implied delivery date by adding an estimated Platts assesses Pilbara Blend Fines, Newman High Grade Fines,
voyage duration to the date in the middle of the laycan, with Platts considers full and part cargoes of the above medium Brazilian Blend Fines, Mining Area C Fines, Jimblebar Fines and
the middle date rounding up where applicable: for cargoes with grade fines brands, and also combined cargoes comprising of 57% Fe Yandi fines brands on a fixed and floating price basis
a 10-day loading laycan, for example, Platts assumes the 6th two different medium grade fines. daily. In addition, Platts publishes daily differentials of these
day as its middle date. For cargoes with whole-month arrival brands to IODEX.
dates, Platts assumes the 15th of the specified arrival month Cargoes priced off indexes without a corresponding liquid
as the implied delivery date, regardless of the number of days derivatives contract may not be taken into consideration. They Platts assesses fixed price brands against their typical
in that month. may however be referred to as an indicator of general price specifications, using information collected throughout the day
direction. from active market participants across the supply chain.

Seaborne Fines
TSI 62% Fe is published at parity with IODEX. Platts also publishes fixed and floating price brand differentials.
Platts assesses iron ore fines on a daily basis in US dollars per The fixed price brand differentials calculate the spread between
metric ton ($/dmt). 58% and 65% Fe fines CFR China the fixed price brand assessments and IODEX. The floating price
Iron ore fines with below 60% Fe may be considered in brand differentials calculate the spread between the fixed price
IODEX & TSI 62% Fe fines CFR China the 58% Fe assessment. Platts may consider spreads and brand assessments, converted to 62% Fe basis, and the front-
Platts considers the following iron ore medium grade fines dynamics in the Chinese portside market as indicative factors month derivative (TSIPM01).
brands for these assessments: Pilbara Blend Fines, Newman to help calibrate value-in-use (VIU) adjustments for seaborne

© 2024 by S&P Global Inc. All rights reserved. 5

Specifications Guide Global Iron Ore: February 2024

VIU Differentials
Assessment Code Mavg Type Published Page Quality UOM
Iron Ore Fe Differential per 1% (60-63.5% Fe Fines) IOMGD00 IOMGD03 Assessment Daily PMA1105 1% Fe within 60-63.5% range $/dmt
Iron Ore Fe Differential per 1% (55-60% Fe Fines) TSIAD00 TSIAD03 Assessment Daily PMA1105 1% Fe within 55-60% range $/dmt
Iron Ore Alumina Differential per 1% with 1-2.5% (60-63.5% Fe Fines) IOADF10 Assessment Daily PMA1105 1% alumina within 1-2.5% range for fines with 60-63.5% Fe $/dmt
Iron Ore Alumina Differential per 1% with 2.5-4% (60-63.5% Fe Fines) IOALE00 IOALE03 Assessment Daily PMA1105 1% alumina within 2.5-4% range for fines with 60-63.5% Fe $/dmt
Iron Ore Alumina Differential per 1% with <5% (55-60% Fe Fines) TSIAF00 TSIAF03 Assessment Daily PMA1105 1% alumina below 5% for fines with 55-60% Fe $/dmt
Iron Ore Silica Differential per 1% with 3-4.5% (60-63.5% Fe Fines) IOALF00 IOALF03 Assessment Daily PMA1105 1% silica within 3-4.5% range for fines with 60-63.5% Fe $/dmt
Iron Ore Silica Differential per 1% with 4.5-6.5% (60-63.5% Fe Fines) IOPPS10 Assessment Daily PMA1105 1% silica within 4.5-6.5% range for fines with 60-63.5% Fe $/dmt
Iron Ore Silica Differential per 1% with 6.5-9% (60-63.5% Fe Fines) IOPPS20 Assessment Daily PMA1105 1% silica within 6.5-9% range for fines with 60-63.5% Fe $/dmt
Iron Ore Silica Differential per 1% (55-60% Fe Fines) TSIAI00 TSIAI03 Assessment Daily PMA1105 1% silica for fines with 55-60% Fe $/dmt
Iron Ore Phosphorus Differential per 0.01% with 0.09-0.12% (60-63.5% Fe Fines) IOPPQ00 Calculation Daily PMA1105 0.01% phosphorus within 0.09-0.12% range for fines with 60-63.5% Fe $/dmt
Iron Ore Phosphorus Differential per 0.01% with 0.09-0.10% (60-63.5% Fe Fines) IOPPR00 Assessment Daily PMA1105 0.01% phosphorus within 0.09-0.10% range for fines with 60-63.5% Fe $/dmt
Iron Ore Phosphorus Differential per 0.01% with 0.10-0.11% (60-63.5% Fe Fines) IOPPT00 Assessment Daily PMA1105 0.01% phosphorus within 0.10-0.11% range for fines with 60-63.5% Fe $/dmt
Iron Ore Phosphorus Differential per 0.01% with 0.11-0.12% (60-63.5% Fe Fines) IOPPU00 Assessment Daily PMA1105 0.01% phosphorus within 0.11-0.12% range for fines with 60-63.5% Fe $/dmt
Iron Ore Phosphorus Differential per 0.01% with 0.12-0.15% (60-63.5% Fe Fines) IOPPV00 Assessment Daily PMA1105 0.01% phosphorus within 0.12-0.15% range for fines with 60-63.5% Fe $/dmt

Values of impurities are also determined from data gathered Per 1% Alumina Differential: Platts publishes three
VIU Differentials
from industry sources buying or selling cargoes with specific assessments of 1% Al: two bands for ores with a 60-63.5% Fe
Value-in-use (VIU) differentials are assessments which help Fe content with differing alumina, silica and phosphorus content, and one for ores with a 55-60% Fe content.
determine penalties and premia for iron (Fe) content and impurities.
content of various impurities, such as alumina, silica and Per 1% Silica Differential: Platts publishes four assessments of
phosphorus in iron ore fines. In cases where an iron ore brand temporarily falls outside 1% Si: three bands for ores with a 60-63.5% Fe content, and one
of the defined Fe range due to a short-term deterioration or for ores with a 55-60% Fe content.
Platts publishes VIUs for two different ranges of iron ores: with improvement in Fe content, that brand may still be considered,
Fe content of 60-63.5% and of 55-60%. For medium-range ores provided the phenomenon is indeed temporary. Per 0.01% Phosphorus Differential: Platts publishes four bands
with Fe content of 60-63.5%, the penalties for impurities are not of 0.01% P, namely 0.09-0.1% P, 0.1-0.11% P, 0.11-0.12% P and 0.12-
linear and Platts publishes assessments for specific bands. The 1% Fe Differential: Platts publishes two assessments of 1% Fe: 0.15% P, for ores with a 60-63.5% Fe content and one calculated
values within each band are considered to be linear. for ores with a 60-63.5% Fe content and for ores with a 55-60% average of the first three assessments (IOPPQ00).
Fe content. They represent the value of 1% Fe net of gangue
The values are determined by comparing spot transactions of elements, in a typical ton.
fines within each of these ranges respectively.

© 2024 by S&P Global Inc. All rights reserved. 6

Specifications Guide Global Iron Ore: February 2024

Lump and Pellet

Assessment Code Mavg Rolling Type Published Page Quality Dimensions Quantity Incoterms Location* Timing Payment UOM
monthly
average

Seaborne Lump
Sizing of max 15% <6.3
Iron Ore Spot Lump Premium 62.5% Fe, 4% moisture, 3.5% silica, 1.5% alumina, Qingdao, 14-56 days
IOCLP00 IOCLP03 IOCLZ03 Assessment Daily PMA1117 mm and max 15% >31.5 min 50,000 mt CFR L/C at sight $/dmtu
62.5% CFR China 0.075% phosphorus, 0.02% sulfur China forward
mm
Sizing of max 15% <6.3
Iron Ore Lump Outright Price 62% Fe, 4% moisture, 3.5% silica, 1.5% alumina, 0.075% Qingdao, 14-56 days
IOCLS00 IOCLS03 IOCLS33 Assessment Daily PMA1117 mm and max 15% >31.5 min 50,000 mt CFR L/C at sight $/dmt
CFR China phosphorus, 0.02% sulfur China forward
mm

CFR China Pellet

Iron Ore Spot Blast Furnace
65% Fe, 0.35% alumina, 5% silica, 0.02% phosphorus, Maximum sizing of 2.5% Qingdao, 14-56 days
Pellet Premium 65% CFR IOBFC04 IOBFC03 Assessment Wednesday PMA1161 min 35,000 mt CFR L/C at sight $/dmt
0.003% sulfur, 250 Cold Crushing Strength (CCS) under 5 mm China forward
China
Iron Ore Spot Blast Furnace
63% Fe, 3% alumina, 3.5% silica, 0.07% phosphorus, Maximum sizing of 5.0% Qingdao, 14-56 days
Pellet Premium 63% CFR IOCQS04 IOCQS03 Assessment Daily PMA1161 min 35,000 mt CFR L/C at sight $/dmt
0.008% sulfur and 230 Cold Crushing Strength (CCS) under 5 mm China forward
China
Iron Ore Spot Blast Furnace 63% Fe, 3% alumina, 3.5% silica, 0.07% phosphorus, Maximum sizing of 5.0% Qingdao, 14-56 days
IOCQR04 IOCQR03 Assessment Daily PMA1161 min 35,000 mt CFR L/C at sight $/dmt
Pellet 63% CFR China 0.008% sulfur and 230 Cold Crushing Strength (CCS) under 5 mm China forward

Atlantic Pellet
Atlantic Basin Iron Ore Pellets 65% Fe blast furnace pellet: silica 3%, alumina 0.5%, US
Sizing below 6.3 mm Current
Monthly Contract Price Brazil SB01095 Calculation Monthly PMA1160 275 Cold Crushing Strength (CCS), Low Temperature not specified FOB Brazil not specified cents /
<2.5%, over 9 mm is >94% month
Export FOB Disintegration +6.3 mm, 80% dmtu
Atlantic Iron Ore Blast 65% Fe blast furnace pellet: silica 3%, alumina 0.5%,
Sizing below 6.3 mm Brazil, Current
Furnace Pellet Contract Price IOBFP00 Assessment Monthly PMA1160 275 Cold Crushing Strength (CCS), Low Temperature not specified FOB not specified $/dmt
<2.5%, over 9 mm is >94% Atlantic month
Premium Disintegration +6.3 mm, 80%
Iron Ore 67.5% Fe DR Pellet 67.5% Fe DR pellet, 0.5% alumina, 1.5% silica, max
Current
Premium (62% Fe IODEX fines IODRP00 Assessment Monthly PMA1160 2.5% silica and alumina combined, 300 Cold Crushing Sizing over 9 mm >94% not specified NA NA not specified $/dmt
month
basis) Strength (CCS)
67.5% Fe DR pellet, 0.5% alumina, 1.5% silica, max
Iron Ore 67.5% Fe DR Pellet Current
IODBP00 Assessment Monthly PMA1160 2.5% silica and alumina combined, 300 Cold Crushing Sizing over 9 mm >94% not specified NA NA not specified $/dmt
Premium (65% Fe fines basis) month
Strength (CCS)
67.5% Fe DR pellet, 0.5% alumina, 1.5% silica, max
Current
Iron Ore 67.5% Fe DR Pellet IODBR00 Calculation Monthly PMA1160 2.5% silica and alumina combined, 300 Cold Crushing Sizing over 9 mm >94% not specified FOB Brazil not specified $/dmt
month
Strength (CCS)
67.5% Fe DR pellet, 0.5% alumina, 1.5% silica, max US
Current
Iron Ore 67.5% Fe DR Pellet IODBU00 Calculation Monthly PMA1160 2.5% silica and alumina combined, 300 Cold Crushing Sizing over 9 mm >94% not specified FOB Brazil not specified cents/
month
Strength (CCS) dmtu

*References to “Qingdao, China” reflect the locational pricing basis of CFR China assessments.

© 2024 by S&P Global Inc. All rights reserved. 7

Specifications Guide Global Iron Ore: February 2024

The published premium reflects contract settlements for the

Lump and Pellet Pellet
prevailing period, between multiple pellet producers and buyers.
CFR China In the event of no confirmed settlements covering loading
Lump
Platts publishes assessments for 65% and 63% Fe blast furnace for the month the assessment is published, Platts considers
Platts assesses iron ore lump as a premium in US dollars per iron ore pellets, expressed as premiums over the TSI 62% provisional contract pricing and related market data.
dry metric ton unit ($/dmtu), over a corresponding forward Fe CFR North China derivative after iron content and quality
strip of 62% iron ore fines, which is a proxy value calculated by adjustment. Market information obtained on an outright price Atlantic Basin Iron Ore 65% Fe Symbol Pellets Monthly Contract
using 62% iron ore fines derivatives, covering the 43 days that basis can be converted to a premium on a dmt basis using the Price FOB Brazil (SB01095; Dec. 2023 example):
correspond to the forward delivery dates reflected in Platts Mid-Window Month derivative. Platts also publishes an outright
Assessment Name Price Symbol
iron ore assessments (14-56 day delivery window). Market price for the 63% Fe pellet.
Atlantic BF Pellet Premium $/dmt
information for lump premium indications over a base month 36.5 IOBFP00
(Dec. 2023)
is normalized to a 62% iron ore fines strip basis, after adjusting Metallurgical properties have not been specified in line with IODEX 62% Fe Netback Brazil $/
105.11 IONBB03
the timing. This is to ensure all lump premium indications are current spot trading convention, as tests are not typically dmt (Monthly average Nov. 2023)
compared against the same base. conducted on each cargo, whether at load or discharge Iron Ore Fe Differential per 1% (60-
63.5% Fe Fines) (Monthly average
port. Market participants evaluate the premium each brand 6.48 IOMGD03
Nov. 2023) applied for 3 units to
Platts accounts for lump physical market structure in the commands, incorporating chemical, physical and metallurgical adjust from 62% Fe to 65% Fe
normalization of the lump premium. In the absence of physical properties, in large part based on prior knowledge of these Total all-in 65% Fe pellet price $/
148.09 NA
market structure information, Platts may consider lump derivative properties and experience using the products. dmt FOB Brazil (Dec. 2023)
market structure and fines market structure. Platts may consider Total all-in price cents/dmtu FOB
227.83 SB01095
index-linked price points in the lump premium assessments by Atlantic Market Brazil (Dec. 2023)

measuring these alongside observable outright prices. Platts publishes assessments for iron ore pellets in the Atlantic
Basin on an FOB Brazil basis. The assessments represent Direct Reduction Pellet
Platts also assesses iron ore lump as outright spot prices on a prevailing industry-settled quarterly contract settlements for Platts publishes assessments for high quality 67.5% Fe direct
daily basis in US dollars per dry metric ton ($/dmt), reflecting iron ore blast furnace pellets sold under term contracts to reduction iron ore pellets, expressed as premiums over Platts
the value of lump on a CFR Qingdao basis. The specifications are steel mills, primarily in Europe. The values are published on the 62% Fe IODEX and 65% Fe fines assessments, after iron content
aligned with specifications for the lump premium assessment. first business day of the month, following the London holiday adjustment.
The outright price is assessed by taking into account the iron calendar, both as an outright price and as a premium. The
ore fines strip and the lump premium. Market information premium, published in $/dmt, reflects an additional charge over The assessments reflect prevailing industry-settled quarterly
obtained on an outright price basis may also be considered the quality-adjusted iron ore fines. contract settlements for premiums used in formulating a
after normalization. contract settlement price for DR pellets, sold in term contracts
The outright price is published in US cents/dmtu. The to steel mills, primarily in the Middle East, North Africa, and in
Metallurgical properties have not been specified in line with calculation is based on the monthly average of the 62% Fe the Americas. The published premiums are net of any further
current spot trading convention, as tests are not typically IODEX fines netback to Brazil (IONBB03; $/dmt) of the previous quality and iron content adjustments.
conducted on each cargo, whether at load or discharge month, quality-adjusted for 65% Fe as a basis for pellet pricing
port. Market participants evaluate the premium each brand by adding three times the monthly average of the 1% Fe Platts also publishes an outright price reference for DR grade
commands, incorporating chemical, physical and metallurgical differential (IOMGD03) for the previous month. The sum value pellet on an FOB Brazil basis in $/dmt (IODBR00), which
properties, in large part based on prior knowledge of these is divided by 65 to convert from $/dmt to US cents/dmtu (see is calculated as a sum of the 67.5% Fe DR pellet premium
properties and experience using the products. table for example calculation). assessment (IODBP00), and the monthly average of the 65% Fe

© 2024 by S&P Global Inc. All rights reserved. 8

Specifications Guide Global Iron Ore: February 2024

fines netback to Brazil (IOFBN03) of the previous month, adjusted

up to 67.5% Fe. The outright DR pellet FOB Brazil price is also
published in US cents/dmtu, which is calculated by dividing
IODBR00 by 67.5 units of Fe (see table for example calculation).

All DR grade pellet assessments are published on the first

working day of the month following the London holiday calendar.

The published premiums reflect contract settlements for the

prevailing period, between multiple pellet producers and buyers.
In the event of no confirmed settlements covering loading
for the month the assessment is published, Platts considers
provisional contract pricing and related market data.

Iron Ore 67.5% Fe DR Pellet FOB Brazil (IODBR00, IODBU00; Dec.

2023 example):
Assessment Name Price Symbol
Iron Ore 67.5% Fe DR Pellet Premium $/dmt (65% Fe
47.00 IODBP00
fines basis)
65% Fe Netback Brazil $/dmt (Monthly average Nov.
116.46 IOFBN03
2023)
65% Fe Netback Brazil $/dmtu (Monthly average Nov.
2023) applied for 2.5 units to adjust from 65% Fe to 4.48 NA
67.5% Fe
Total all-in pellet price $/dmt FOB Brazil (Dec. 2023) 167.94 IODBR00

Total all-in price cents/dmtu FOB Brazil (Dec. 2023) 248.80 IODBU00

© 2024 by S&P Global Inc. All rights reserved. 9

Specifications Guide Global Iron Ore: February 2024

Domestic Chinese
Assessment Code Mavg Rolling Type Published Page Quality Dimensions Quantity Incoterms Location Timing Payment UOM
monthly
average

Port Stock Indices

62% Fe, 8% moisture, 4% Granular size of up to
Rizhao & Qingdao, Prompt
IOPEX 62% Fe FOT East China IOPBN00 IOPBN03 IOPBO00 Assessment Daily PMA0120 silica, 2.25% alumina, 0.09% 10 mm for up to 90% min 5,000 mt FOT TT/CAD Yuan/wmt
China loading
phosphorus, 0.02% sulfur of lot
62% Fe, 8% moisture, 4%
Rizhao & Qingdao, Prompt
IOPEX 62% Fe IPP East China IOPDC00 IOPDC03 Calculation Daily PMA0120 silica, 2.25% alumina, 0.09% min 5,000 mt FOT TT/CAD $/dmt
China loading
phosphorus, 0.02% sulfur
(Reflecting the typical
specifications of the seaborne
Pilbara Blend Fines FOT East Rizhao & Qingdao, Prompt
IOPBG00 IOPBG03 Assessment Daily PMA0120 equivalent, incorporating min 5,000 mt FOT TT/CAD Yuan/wmt
China China loading
changes arising from producers'
periodic specifications updates)
(Reflecting the typical
specifications of the seaborne
Newman High Grade Fines FOT Rizhao & Qingdao, Prompt
IOPBH00 IOPBH03 Assessment Daily PMA0120 equivalent, incorporating min 5,000 mt FOT TT/CAD Yuan/wmt
East China China loading
changes arising from producers'
periodic specifications updates)
(Reflecting the typical
specifications of the seaborne
Super Special Fines FOT East Rizhao & Qingdao, Prompt
IOSSA00 IOSSA03 Assessment Daily PMA0120 equivalent, incorporating min 5,000 mt FOT TT/CAD Yuan/wmt
China China loading
changes arising from producers'
periodic specifications updates)
(Reflecting the typical
specifications of the seaborne
Rizhao & Qingdao, Prompt
Iron Ore Carajas FOT East China IOCFA00 IOCFA03 Assessment Daily PMA0120 equivalent, incorporating min 5,000 mt FOT TT/CAD Yuan/wmt
China loading
changes arising from producers'
periodic specifications updates)
62% Fe, 8% moisture, 4% Granular size of up to
Caofeidian & Prompt
IOPEX 62% Fe FOT North China IOPBL00 IOPBL03 IOPBM00 Assessment Daily PMA0120 silica, 2.25% alumina, 0.09% 10 mm for up to 90% min 5,000 mt FOT TT/CAD Yuan/wmt
Jingtang, China loading
phosphorus, 0.02% sulfur of lot
62% Fe, 8% moisture, 4%
Caofeidian & Prompt
IOPEX 62% Fe IPP North China IOPCC00 IOPCC03 Calculation Daily PMA0120 silica, 2.25% alumina, 0.09% min 5,000 mt FOT TT/CAD $/dmt
Jingtang, China loading
phosphorus, 0.02% sulfur
(Reflecting the typical
specifications of the seaborne
Pilbara Blend Fines FOT North Caofeidian & Prompt
IOPBE00 IOPBE03 Assessment Daily PMA0120 equivalent, incorporating min 5,000 mt FOT TT/CAD Yuan/wmt
China Jingtang, China loading
changes arising from producers'
periodic specifications updates)
(Reflecting the typical
specifications of the seaborne
Newman High Grade Fines FOT Caofeidian & Prompt
IOPBF00 IOPBF03 Assessment Daily PMA0120 equivalent, incorporating min 5,000 mt FOT TT/CAD Yuan/wmt
North China Jingtang, China loading
changes arising from producers'
periodic specifications updates)

© 2024 by S&P Global Inc. All rights reserved. 10

Specifications Guide Global Iron Ore: February 2024

Domestic Chinese
Assessment Code Mavg Rolling Type Published Page Quality Dimensions Quantity Incoterms Location Timing Payment UOM
monthly
average
(Reflecting the typical
specifications of the seaborne
Super Special Fines FOT North Caofeidian & Prompt
IOSSB00 IOSSB03 Assessment Daily PMA0120 equivalent, incorporating min 5,000 mt FOT TT/CAD Yuan/wmt
China Jingtang, China loading
changes arising from producers'
periodic specifications updates)
(Reflecting the typical
specifications of the seaborne
Caofeidian & Prompt
Iron Ore Carajas FOT North China IOCFB00 IOCFB03 Assessment Daily PMA0120 equivalent, incorporating min 5,000 mt FOT TT/CAD Yuan/wmt
Jingtang, China loading
changes arising from producers'
periodic specifications updates)
62% Fe, 8% moisture, 4%
Rizhao & Qingdao, Prompt
IOPEX 62% Fe FOT East China IOPEC00 IOPEC03 IOPEM03 Assessment Daily PMA1119 silica, 2.25% alumina, 0.09% min 5,000 mt FOT TT/CAD Yuan/dmt
China loading
phosphorus, 0.02% sulfur
(Reflecting the typical
specifications of the seaborne
61.5% Pilbara Blend Fines FOT Rizhao & Qingdao, Prompt
IOPBC00 IOPBC03 Calculation Daily PMA1119 equivalent, incorporating min 5,000 mt FOT TT/CAD Yuan/dmt
East China China loading
changes arising from producers'
periodic specifications updates)
(Reflecting the typical
specifications of the seaborne
Newman High Grade Fines FOT Rizhao & Qingdao, Prompt
IOPBD00 IOPBD03 Calculation Daily PMA1119 equivalent, incorporating min 5,000 mt FOT TT/CAD Yuan/dmt
East China China loading
changes arising from producers'
periodic specifications updates)
62% Fe, 8% moisture, 4%
Caofeidian & Prompt
IOPEX 62% Fe FOT North China IOPNC00 IOPNC03 IOPNM03 Assessment Daily PMA1119 silica, 2.25% alumina, 0.09% min 5,000 mt FOT TT/CAD Yuan/dmt
Jingtang, China loading
phosphorus, 0.02% sulfur
(Reflecting the typical
specifications of the seaborne
61.5% Pilbara Blend Fines FOT Caofeidian & Prompt
IOPBA00 IOPBA03 Calculation Daily PMA1119 equivalent, incorporating min 5,000 mt FOT TT/CAD Yuan/dmt
North China Jingtang, China loading
changes arising from producers'
periodic specifications updates)
(Reflecting the typical
specifications of the seaborne
Newman High Grade Fines FOT Caofeidian & Prompt
IOPBB00 IOPBB03 Calculation Daily PMA1119 equivalent, incorporating min 5,000 mt FOT TT/CAD Yuan/dmt
North China Jingtang, China loading
changes arising from producers'
periodic specifications updates)
62% Fe, 8% moisture, 4% Granular size of up to
IOPEX 62% Fe FOT Yangtze River Jiangyin, Taicang & Prompt
IOPBW00 IOPBW03 Assessment Daily PMA0120 silica, 2.25% alumina, 0.09% 10 mm for up to 90% min 5,000 mt FOT TT/CAD Yuan/wmt
ports, China Zhenjiang, China loading
phosphorus, 0.02% sulfur of lot
62% Fe, 8% moisture, 4%
IOPEX 62% Fe IPP Yangtze River Jiangyin, Taicang & Prompt
IOPBX00             IOPBX03 Calculation Daily PMA0120 silica, 2.25% alumina, 0.09% min 5,000 mt FOT TT/CAD $/dmt
ports, China Zhenjiang, China loading
phosphorus, 0.02% sulfur

© 2024 by S&P Global Inc. All rights reserved. 11

Specifications Guide Global Iron Ore: February 2024

Domestic Chinese
Assessment Code Mavg Rolling Type Published Page Quality Dimensions Quantity Incoterms Location Timing Payment UOM
monthly
average
(Reflecting the typical
specifications of the seaborne
Pilbara Blend Fines FOT Yangtze Jiangyin, Taicang & Prompt
IOPBU00             IOPBU03 Assessment Daily PMA0120 equivalent, incorporating min 5,000 mt FOT TT/CAD Yuan/wmt
River ports, China Zhenjiang, China loading
changes arising from producers'
periodic specifications updates)
(Reflecting the typical
specifications of the seaborne
Newman High Grade Fines FOT Jiangyin, Taicang & Prompt
IOPBV00             IOPBV03 Assessment Daily PMA0120 equivalent, incorporating min 5,000 mt FOT TT/CAD Yuan/wmt
Yangtze River ports, China Zhenjiang, China loading
changes arising from producers'
periodic specifications updates)

Domestic Concentrate
66% Fe, 8% moisture, 5% silica, Granular size of more Delivery
Iron Ore Concentrate 66% Fe Tangshan, Hebei, Cash at
SB01159 SBMAJ03* Assessment Friday 0.75% alumina, max 0.03% than 0.074 mm for at min 1,000 mt DDP within 2 Yuan/dmt
DDP Tangshan VAT-inclusive Wkly China sight
phosphorus, max 0.05% sulfur least 70% of cargo weeks

*The monthly calculation (SBMAJ03) takes the average of the weekly assessment in Yuan/dmt (SB01159) and converts it to $/dmt.

Lump
Assessment Code Mavg Rolling Type Published Page Quality Dimensions Quantity Incoterms Location Timing Payment UOM
monthly
average
Reflecting the typical
specifications of the seaborne
Newman Blend Lump FOT North Caofeidian, Prompt
APORB00 APORB03 Assessment Daily equivalent, incorporating min 5,000 mt FOT TT/CAD Yuan/wmt
China Jingtang loading
changes arising from producers'
periodic specifications updates
Reflecting the typical
specifications of the seaborne
Newman Blend Lump Premium Caofeidian, Prompt
APORD00 APORD03 Calculation Daily equivalent, incorporating min 5,000 mt FOT TT/CAD $/dmtu
IPP North China Jingtang loading
changes arising from producers'
periodic specifications updates
Reflecting the typical
specifications of the seaborne
Pilbara Blend Lump FOT East Prompt
APORC00 APORC03 Assessment Daily equivalent, incorporating min 5,000 mt FOT Rizhao, Qingdao TT/CAD Yuan/wmt
China loading
changes arising from producers'
periodic specifications updates
Reflecting the typical
specifications of the seaborne
Pilbara Blend Lump Premium IPP Prompt
APORE00 APORE03 Calculation Daily equivalent, incorporating min 5,000 mt FOT Rizhao, Qingdao TT/CAD $/dmtu
East China loading
changes arising from producers'
periodic specifications updates

© 2024 by S&P Global Inc. All rights reserved. 12

Specifications Guide Global Iron Ore: February 2024

Platts also publishes brand assessments for Super Special

Domestic Chinese Lump
Fines and Iron Ore Carajas Fines for North and East China.
The assessments reflect trading activity in Caofeidian and Platts Chinese port stock lump assessments reflect spot prices
Port Stock Indices (IOPEX)
Jingtang in northern China, and Rizhao and Qingdao in eastern for Australian Newman Blend Lump (NBL) on a free-on-truck
Platts iron ore port stock indices, or IOPEX, include assessments China, in Yuan/wmt, on an FOT basis. Platts may consider north China ports basis, reflecting trading activity in Caofeidian
on an FOT basis for North and East China and for Yangtze pricing information for cargoes delivered to other eastern and and Jingtang, and Australian Pilbara Blend Lump (PBL) on a
River ports. For each region, the assessments reflect medium northern ports in the assessment, after normalization to the free-on-truck east China ports basis, reflecting trading activity
grade iron ore fines, as well as brand assessments of Pilbara stated location basis. The brand assessments are not typically in Rizhao and Qingdao. Platts may consider pricing information
Blend Fines and Newman High Grade Fines, in Yuan/wmt. The normalized for consideration in the IOPEX 62% assessments. for cargoes delivered to other northern and eastern ports in the
assessments reflect trading activity in Caofeidian and Jingtang assessments, after normalization to the stated location basis.
in northern China, Rizhao and Qingdao in eastern China, and The assessments are published in Yuan/wmt, on an FOT basis.
Domestic Chinese Concentrate
Jiangyin, Taicang, and Zhenjiang for Yangtze River ports. Platts
may reflect pricing information on cargoes delivered to other Platts publishes a weekly assessment for domestic Chinese Platts also publishes IPP calculations for NBL in north China
northern, eastern, and Yangtze River ports in the assessment, 66% Fe concentrate delivered duty paid Tangshan region in and PBL in east China, in $/dmtu, accounting for the moisture
after normalization to the stated location basis. Yuan/dmt. The assessment is inclusive of VAT. content, exchange rate, port charges and VAT.

Platts publishes IOPEX import parity price (IPP) calculations

for all regions in $/dmt, accounting for the exchange rate, port
charges and VAT.

© 2024 by S&P Global Inc. All rights reserved. 13

Specifications Guide Global Iron Ore: February 2024

MOC Volume and Laycan Guidelines

Platts volume and laycan guidelines specify the minimum or
standard volume and loading laycan required for bids and offers
published in the iron ore MOC assessment process.

Offers for seaborne iron ore cargoes are required to have a

standard 10-day loading laycan with a minimum volume of
50,000 mt for fines and lumps, and 35,000 mt for pellets.

Bids for seaborne iron ore cargoes should reflect typical loading
laycans and cargo sizes for the specific brands:
Brand Volume (mt) Bid Loading Laycan Offer Loading Laycan
MAC Fines 80,000-90,000 minimum 15 days standard
10-day laycan
Newman Fines 80,000-90,000 minimum 15 days standard
10-day laycan
Jimblebar Fines 80,000-90,000 minimum 15 days standard

10-day laycan
PB Fines 170,000-190,000 minimum 15 days standard
10-day laycan
BRBF Fines 170,000 minimum 30 days standard
10-day laycan
IOCJ Fines 170,000 minimum 20 days standard
10-day laycan
Newman Lumps 80,000-90,000 minimum 15 days standard
10-day laycan
PB Lumps 80,000-90,000 minimum 15 days standard
10-day laycan
Pellets minimum 35,000 minimum 30 days standard
10-day laycan
Timing and increment guidelines for the iron ore MOC are available at the following
link: https://www.spglobal.com/commodityinsights/PlattsContent/_assets/_files/
en/our-methodology/methodology-specifications/metals_timing_increment_
guidelines.pdf

© 2024 by S&P Global Inc. All rights reserved. 14

Specifications Guide Global Iron Ore: February 2024

Derivatives
Assessment Code Type Published Page Incoterms Location* UOM

TSI Iron Ore 62% Fe Derivative Current Month (Mo0) TSIPM00 Assessment Daily PMA1113 CFR Qingdao, China $/dmt

TSI Iron Ore 62% Fe Derivative Mo01 TSIPM01 Assessment Daily PMA1113 CFR Qingdao, China $/dmt

TSI Iron Ore 62% Fe Derivative Mo02 TSIPM02 Assessment Daily PMA1113 CFR Qingdao, China $/dmt

TSI Iron Ore 62% Fe Derivative Mo03 TSIPM03 Assessment Daily PMA1113 CFR Qingdao, China $/dmt

TSI Iron Ore 62% Fe Derivative Qr01 TSIPQ01 Assessment Daily PMA1113 CFR Qingdao, China $/dmt

TSI Iron Ore 62% Fe Derivative Qr02 TSIPQ02 Assessment Daily PMA1113 CFR Qingdao, China $/dmt

TSI Iron Ore 62% Fe Derivative Qr03 TSIPQ03 Assessment Daily PMA1113 CFR Qingdao, China $/dmt

TSI Iron Ore 62% Fe Derivative Yr01 TSIPY01 Assessment Daily PMA1113 CFR Qingdao, China $/dmt

Iron Ore Lump Premium Derivative Current Month (Mo0) AAQUA00 Assessment Daily PMA1113 CFR Qingdao, China $/dmtu

Iron Ore Lump Premium Derivative Mo01 AAQUA01 Assessment Daily PMA1113 CFR Qingdao, China $/dmtu

Iron Ore Lump Premium Derivative Mo02 AAQUA02 Assessment Daily PMA1113 CFR Qingdao, China $/dmtu

Iron Ore Lump Premium Derivative Mo03 AAQUA03 Assessment Daily PMA1113 CFR Qingdao, China $/dmtu

Iron Ore Fines 65% Fe Derivative Current Month (Mo0) IOFCM00 Assessment Daily PMA1113 CFR Qingdao, China $/dmt

Iron Ore Fines 65% Fe Derivative Mo01 IOFCM01 Assessment Daily PMA1113 CFR Qingdao, China $/dmt

Iron Ore Fines 65% Fe Derivative Mo02 IOFCM02 Assessment Daily PMA1113 CFR Qingdao, China $/dmt

Iron Ore Fines 65% Fe Derivative Mo03 IOFCM03 Assessment Daily PMA1113 CFR Qingdao, China $/dmt

*References to “Qingdao, China” reflect the locational pricing basis of CFR China assessments.

repeatability and incrementability - when assessing the prevailing Platts publishes derivatives assessments for current month
Derivatives
value of the derivatives contracts at market close. Platts tracks (Mo0), first-month forward (Mo01), second-month forward (Mo02)
Platts assesses 62% Fe and 65% Fe fines derivatives on a the movements in bids and offers, the spread between the bids and third-month forward (Mo03) strips. For 62% Fe fines only,
$/dmt basis. Platts also assesses lump premium derivatives and the offers, and the execution of trades. Furthermore, Platts Platts also publishes assessments for the next three calendar
on a $/dmtu basis. analyzes the price trends leading up to the close, and considers quarters and next calendar year. Monthly assessments roll on the
only typical market activity in the assessment process. This is first working day of the month. Quarterly derivatives assessments
Platts examines traded levels, bid and offer levels prior to to ensure that the Platts assessment reflects a prevailing and roll four times a year on the first working days of January, April,
the close of the assessment process, and employs the same representative value at the close, rather than an atypical trade July and October. A year is defined as a calendar year, for example
methodological principles used in its physical assessments - occurring at that time, earlier or later. 2022, i.e. from the first to the last working day in that year.

© 2024 by S&P Global Inc. All rights reserved. 15

Specifications Guide Global Iron Ore: February 2024

For example, during October 2023, the current month, Mo0, is

October, Mo01 is November 2023, Mo02 is December 2023, and
Qr01 is Q1 2024. On November 1, Mo0 becomes November, Mo01
rolls to December, Mo02 rolls to January, Qr01 remains as Q1 2024.

The derivatives assessments reflect the daily value at 5:30

pm Singapore time, on a CFR China basis. Fines derivatives
assessments are normalized to a minimum volume of 5,000 mt.

© 2024 by S&P Global Inc. All rights reserved. 16

Specifications Guide Global Iron Ore: February 2024

Fines Netbacks
Assessment Code Mavg Type Published Page Quality Quantity Incoterms Location Timing Payment UOM

Australia Capesize IONBA00 IONBA03 Calculation Daily PMA1106 62% Fe FOB Port Hedland NA NA $/dmt

Brazil Capesize IONBB00 IONBB03 Calculation Daily PMA1106 62% Fe FOB Tubarao NA NA $/dmt

NW Europe Capesize IONBR00 IONBR03 Calculation Daily PMA1106 62% Fe CFR Rotterdam NA NA $/dmt

South Africa Capesize IONSA00 IONSA03 Calculation Daily PMA1106 62% Fe FOB Saldanha Bay NA NA $/dmt

West India Panamax IONBI00 IONBI03 Calculation Daily PMA1106 62% Fe FOB Mormugao NA NA $/dmt

West India Supramax IODFA00 IODFA03 Calculation Daily PMA1106 58% Fe FOB Mormugao NA NA $/dmt

Brazil Capesize IOFBN00 IOFBN03 Calculation Daily PMA1106 65% Fe FOB Tubarao NA NA $/dmt

The CFR NW Europe IODEX netback is calculated by adding the West India-China Supramax 8.11%
Netbacks
Platts Tubarao to Rotterdam Capesize freight assessment to the
FOB netbacks are calculated by deducting the respective dry IODEX Brazil netback. 58%-Fe
bulk freight assessments from the day’s IODEX 62% Fe, 58% West India-China Supramax 11%
Fe and 65% Fe iron ore assessments CFR Qingdao. Reference
Moisture levels, used for conversion of freight rates 65%-Fe
ports are Port Hedland, Mormugao, Haldia/Paradip, Tubarao,
Rotterdam and Saldanha Bay. The dry bulk freight is converted IODEX 62% Fe Brazil-China Capesize 8.5%
from $/wmt into $/dmt, assuming moisture content commonly Australia-China Capesize 8.03%
seen in ores of respective origins, which is stated below.
Dry Bulk Freight
Brazil-China Capesize 9.00%
For example, the 58% Fe West India Supramax netback is Platts assesses freight rates for dry bulk cargoes on a variety
calculated by deducting the assessed Iron Ore Mormugao, WC Brazil-NW Europe Capesize 9.00% of routes. Please refer to the Freight specifications guide
India – Qingdao Supramax freight rate for a 50,000 mt cargo for details of these assessments https://www.spglobal.com/
from the IO Fines Fe 58% CFR China assessment on the day, South Africa-China Capesize 3.00% commodityinsights/PlattsContent/_assets/_files/en/our-
after normalizing the assumed moisture level of 11% for iron ore methodology/methodology-specifications/global_freight.pdf.
cargoes loading from West Coast India to a dry metric ton basis. West India-China Panamax 8.11%

© 2024 by S&P Global Inc. All rights reserved. 17

Specifications Guide Global Iron Ore: February 2024

Revision History October 2022: Platts clarified that Atlantic blast furnace and March 2020: Amended lower silica differential band for medium
global direct reduction iron ore pellet contract premiums and grade iron ore fines.
February 2024: Platts introduced a maximum document all-in prices represent prevailing industry-settled contract
presentation period of up to 38 days for all bids and offers settlements sold under term contracts. February 2020: Updated to reflect lump premium assessment
reported for its seaborne iron ore fines MOC assessment change. Platts launched lump outright price assessment.
process. In January, Platts updated its MOC volume guidelines August 2022: Platts renamed its domestic Chinese iron ore port Clarified IODEX and 58% Fe FOB netbacks.
for seaborne cargoes to remove 80,000-90,000 mt as a stock import parity calculations to IOPEX 62% Fe IPP.
standard volume for Pilbara Blend Fines bids. November 2019: Platts launched six brand differentials to
February 2022: Platts changed specifications, increased IODEX.
December 2023: Platts conducted an annual review of the frequency and renamed 64% Pellets assessments to 63% CFR
guide, made stylistic edits throughout for better clarity and China Iron Ore Pellets assessments. November 2019: Methodology & Specifications Guide Annual
updated calculation examples for Atlantic pellet and direct Review was conducted and clarifications made, including on
reduction pellet. The table containing the specifications of the December 2021: Platts conducted an annual review of the guide, the calculation of the floating brand prices, dry bulk freight
derivative forward curve assessment was simplified to remove launched the physical structure applied to IODEX, clarified the and description of the concentrate. Restructured the guide in
repetitive information. Details of Chinese port stock lump delivery date of seaborne fines and added the symbol for the a logical way, removed discontinued and added missing codes,
assessments launched in October were added. Phosphorus average calculation. added type of assessment, frequency and fixed page numbers
for the real-time alert.
May 2023: Platts expanded its IOPEX suite of domestic Chinese January 2021: Platts amended specifications of the 65% Fe
port stock assessments, launching 62% Fe fines assessments fines CFR China assessment. August 2019: Added explanation on the iron ore 58%-Fe FOB
for Yangtze River ports and adding brand assessments of netback calculations.
Pilbara Blend Fines and Newman High Grade Fines basis November 2020: Platts launched 65% Fe fines CFR China
Yangtze River ports. derivatives assessments. June 2019: Updated to reflect inclusion of Jimblebar fines in
Platts 62% IODEX CFR China and the launch of 57% Fe Yandi
March 2023: Platts updated specification tables for seaborne October 2020: Platts conducted an annual review of the guide Brand Assessments. Platts completed an annual update to
fines, lump and pellets to clarify that references to “Qingdao, and discontinued 58%-Fe low alumina assessments. sections 1 to 6 of Platts Methodology and Specifications Guides
China” reflect Qingdao as the locational pricing basis of its CFR in April 2019, and moved these sections into a standalone
China assessments, and expanded the normalization section of August 2020: Platts clarified volumes for fines derivatives Methodology Guide.
this guide to cover port optionality. assessments as min 5,000 mt in July 2020.
January 2019: Updated to reflect Iron Ore Phosphorus
November 2022: Platts changed the document presentation June 2020: Platts amended specifications of the standard 58%- Differentials and weekly Spot Blast Furnace Iron Ore Pellet 64%
period threshold for normalization applied to its seaborne iron Fe fines assessment, including moisture. CFR China and Spot Blast Furnace Iron Ore Pellet Premium 64%
ore fines assessments. Platts clarified the unit of currency for CFR China assessments. Clarified timing cargo delivery timing
the monthly average calculation of its iron ore concentrate April 2020: Launched the direct reduction pellet premium (over calculation.
domestic China assessment. Platts completed an annual review 65% Fe fines base) and DR pellet outright price (FOB Brazil)
of this guide, reviewing all content, correcting typos, and making assessments, and 65%-Fe fines FOB Brazil netback. Amended September 2018: Methodology & Specifications Guide Annual
edits to language throughout. Platts also added tables to the original DR pellet premium over IODEX to exclude any Review was conducted and clarifications made, including
illustrate Atlantic Basin pellet and 67.5% Fe DR pellet contract further quality and iron content adjustments. sections I-VI. Platts added details around the new iron ore
price calculations and added a section detailing volume and seaborne brand assessments.
loading laycans for the iron ore MOC.

© 2024 by S&P Global Inc. All rights reserved. 18

Specifications Guide Global Iron Ore: February 2024

May 2018: Updated to reflect change in China’s VAT rate and February 2017: This methodology guide was updated to reflect July 2015: This methodology guide was updated to include
consequent impact on the name of domestic concentrate the launch of a current month swap assessment (AAQTA00), product specifications for IOBFP00 Atlantic Basin iron ore
assessment (SB01159). from February 1, 2017. pellet premium and SB01095 Atlantic Basin Iron Ore Pellets
FOB Basis, which was added effective July 1, 2015. The Platts DR
January 2018: Updated to reflect TSI-IODEX methodology September 2016: Methodology & Specifications Guide Annual pellet premium assessment was added, as well as details on the
merger, additional assessment launches. On January 2, 2018, Review was conducted and clarifications made. IODEX netback Rotterdam, both launched July 1, 2015.
Platts merged the TSI-62% (TS01021) and IODEX-62% (IODBZ00)
price series as well as the TSI-58%, 1.5% Alumina (TS01047) and July 2016: This methodology guide was updated to reflect the May 2015: This methodology guide was updated to include the
the Platts 58% low-Alumina assessment (IONC580). discontinuation of the daily 52%-Fe Iron Ore price assessment new phosphorus differential assessment which was launched
(IONC520), from July 1, 2016. May 18, 2014.
December 2017: Updated to reflect launch of Lump Premium
swaps assessments. June 2016: This methodology guide was updated to reflect February 2015: This methodology guide was updated to include
the discontinuation of the daily 63.5/63%-Fe Iron Ore price further description of Platts’ processes and practices in survey
November 2017: Added section describing use of floating price assessment (IODSC00) from June 1, 2016. assessment environments.
indications in iron ore assessments.
October 2015: This methodology guide was updated to include July 2014: Platts revamped all Metals Methodology and
October 2017: Methodology & Specifications Guide Annual the new spot 65%-Fe blast furnace blast furnace pellet Specification guides, including its Iron Ore guide, in July 2014. This
Review was conducted and clarifications made. premium assessment which was launched October 7, 2015. revamp was completed to enhance the clarity and usefulness
The quarterly lump premium contract price section was also of all guides, and to introduce greater consistency of layout and
August 2017: This methodology guide was updated to reflect the taken out as it is no longer relevant or utilized in the market. structure across all published methodology guides. Methodologies
increase in frequency of the lump premium assessment to daily The moisture content for the IO Fines 65% Fe CFR China for market coverage were not changed through this revamp,
from weekly, and to reflect the launch of the IOPEX port stock assessment was also updated. unless specifically noted in the methodology guide itself.
assessments.

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