ICE Announces Launch of Low Sulphur Gasoil Futures, Options and Swaps Contracts

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IntercontinentalExchange

Aug 16, 2011, 05:15 ET

LONDON, Aug. 16 2011 /PRNewswire/ -- IntercontinentalExchange (NYSE: ICE), a leading operator of global regulated futures exchanges, clearing houses and over-the-counter (OTC) markets, today announced the launch of ICE Low Sulphur Gasoil Futures and Options contracts on ICE Futures Europe.  ICE also announced the introduction of 13 OTC Low Sulphur Gasoil Swaps cleared by ICE Clear Europe.  

All of the new contracts will be available for the trade date of Monday 19 September 2011 and are subject to regulatory approval.  

The ICE Low Sulphur Gasoil Futures contract will be based on a 0.001% sulphur (10ppm) diesel barge specification and will trade from the January 2012 contract and delivery month, out to December 2016. The existing ICE Gasoil Futures contract will continue to trade as per its current 0.1% sulphur (1,000ppm) specification, up to and including January 2015.

David Peniket, President & COO, ICE Futures Europe said: "We are pleased to announce the launch of ICE Low Sulphur Gasoil Futures, which follows an extensive consultation period with market participants. The contract will meet long term hedging requirements in the global distillate market, and especially in Europe which is increasingly moving towards a low sulphur, 10ppm diesel grade."

The full list of new low sulphur gasoil contracts, available for the trade date of Monday 19 September 2011, is as follows:  

  • Gasoil Outright – ICE Low Sulphur Gasoil Futures (ULS)
  • Gasoil Outright – ICE Low Sulphur Gasoil American-Style Options (ULS)
  • Gasoil Outright - Low Sulphur Gasoil 1st Line Swap (ULA)
  • Gasoil Diff - Low Sulphur Gasoil 1st Line Swap vs. Gasoil 1st Line Swap (ULB)
  • Gasoil Crack (mt) - Low Sulphur Gasoil 1st Line vs. Brent 1st Line Swap (mt) (ULC)
  • Gasoil Crack (bbl) - Low Sulphur Gasoil 1st Line vs. Brent 1st Line Swap (bbl) (ULD)
  • Diesel Diff - Diesel 10ppm FOB RDAM Barges vs. Low Sulphur Gasoil 1st Line Swap (ULE)
  • Diesel Diff - ULSD 10 ppm CIF NWE Cargoes vs. Low Sulphur Gasoil 1st Line Swap (ULF)
  • Diesel Diff - Diesel 10ppm CIF NWE (Le Havre) Cargoes vs. Low Sulphur Gasoil 1st Line Swap (ULG)
  • Gasoil Diff - Gasoil 50 ppm FOB RDAM Barges vs. Low Sulphur Gasoil 1st Line Swap (ULH)
  • Diesel Diff - ULSD 10 ppm CIF MED Cargoes vs. Low Sulphur Gasoil 1st Line Swap (ULI)
  • Jet Diff - Jet CIF NWE Cargoes vs. Low Sulphur Gasoil 1st Line Swap (ULJ)
  • Jet Diff - Jet FOB RDAM Barges vs. Low Sulphur Gasoil 1st Line Swap (ULK)
  • HO GO Arb (mt) - Heating Oil 1st line vs. Low Sulphur Gasoil 1st Line Swap (mt) (ULL)
  • HO GO Arb (bbl) - Heating Oil 1st line vs. Low Sulphur Gasoil 1st Line Swap (bbl) (ULM)

All of the diesel differential and jet differential swaps, as well as the Gasoil Diff - Gasoil 50ppm FOB RDAM Barges vs. Low Sulphur Gasoil 1st Line Swap, reference Platts European MarketScan.

With the OTC products announced today, ICE will offer more than 560 cleared OTC energy contracts.  ICE Clear Europe provides a new product development platform in ICE's global energy futures and OTC markets and supports the risk management needs of member firms and customers.

For questions regarding ICE Low Sulphur Gasoil and ICE Gasoil Futures & Options contracts, please contact Mike Davis (UK) +44 20 7065 7753, [email protected].  For OTC product and clearing queries, please contact Mark Woodward (UK) +44 20 7065 7617, [email protected].

About IntercontinentalExchange

IntercontinentalExchange (NYSE: ICE) is a leading operator of regulated futures exchanges and over-the-counter markets for agricultural, credit, currency, emissions, energy and equity index contracts. ICE Futures Europe hosts trade in half of the world's crude and refined oil futures. ICE Futures U.S. and ICE Futures Canada list agricultural, currencies and Russell Index markets. ICE is also a leading operator of central clearing services for the futures and over-the-counter markets, with five regulated clearing houses across North America and Europe. ICE serves customers in more than 70 countries. www.theice.com  

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Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995 - Statements in this press release regarding IntercontinentalExchange's business that are not historical facts are "forward-looking statements" that involve risks and uncertainties. For a discussion of additional risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see ICE's Securities and Exchange Commission (SEC) filings, including, but not limited to, the risk factors in ICE's Annual Report on Form 10-K for the year ended December 31, 2010, as filed with the SEC on February 9, 2011 and ICE's Quarterly Report on Form 10-Q for the quarter ended June 30, 2011, as filed with the SEC on August 3, 2011.

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SOURCE IntercontinentalExchange