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ICE: First trade of UK Natgas options

 

London, 9 March 2011

IntercontinentalExchange today announced the first trade of the ICE UK natural gas options contract on ICE Futures Europe, Europe's leading energy exchange. The first transaction was brokered on 8th March 2011 by TullettPrebon.

Jason Pegley, Head of Utility Markets, ICE Futures Europe said: "We are pleased to lead the development of European natural gas markets which are rising in importance. We see continued growth opportunities with this market with strong volumes and a growing group of participants.The UK contract will compliment our Dutch and German futures contracts, launched in 2010."

Andrew Temple, TullettPrebon said: "We are delighted to be able to respond to our customers needs with the launch of ICE's UK Natural Gas Options contract. Natural gas is a growing market and ICE recognised the demand for an options contract."

For each contract month, a range of 81 strike prices are listed at intervals of 0.50 pence covering the price range from 37.50 - 77.50 pence/therm.

The UK natural gas options contracts are exercised into the underlying UK natural gas futures contract. The ICE UK Natural Gas futures contract is the leading benchmark for U.K. natural gas, with year-to-date trading volume of 981,910 lots through 9 March 2011, 47% up from the same period in 2010.

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