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ICE announces launch of two German natgas futures

London, 20 October 2010

 

IntercontinentalExchange ( NYSE: ICE), a leading operator of global regulated futures exchanges, clearing houses and over-the-counter (OTC) markets, today announced the launch of two German natural gas futures on ICE Futures Europe on 17 November, pending regulatory approval. The contracts are for physical delivery at NetConnect Germany (NCG) and GASPOOL.

The German natural gas futures contracts will trade alongside ICE's U.K. NBP Natural Gas futures contract and its Dutch TTF Natural Gas futures contract, bringing together for the first time Europe's three largest traded gas markets on a single trading and clearing platform. The ICE NBP Natural Gas futures contract is the leading benchmark for U.K. natural gas, with year-to-date trading volume of 3.2 million contracts through 30 September, up 59% from the same period in 2009. Dutch TTF futures have traded more than 70 thousand contracts following their introduction in March 2010.

"ICE Futures Europe is leading the integration of European natural gas markets," said David Peniket, President and COO of ICE Futures Europe. "With the addition of these two German natural gas futures contracts to our successful Dutch TTF natural gas future, ICE Futures Europe will build upon the depth of liquidity we have established in the U.K. natural gas market and continental Europe. This product suite maximizes capital efficiency by offering margin offsets between German, Dutch and UK gas, as well as our energy complex, including coal and emissions."

Both the NCG and GASPOOL contracts will consist of a series of twelve consecutive months, six quarters, eight seasons and four years settled by way of physical delivery through the transfer of rights at their respective hubs, and both will be priced in Euros and Euro cents per megawatt hour. At launch, margin offsets will be available against ICE's NBP Natural Gas futures, Dutch TTF futures and cleared Henry Hub swaps.

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www.theice.com

 

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