08/22/2005
As previously announced, matters are well under way for a new affiliated entity, NYMEX Europe Limited, to open soon a new open outcry futures trading exchange in London. The Exchange confidently anticipates the transition of its Brent Crude oil contract to NYMEX Europe Limited to occur in September this year.
At that time, the Brent contract will no longer be listed for trading in the Exchange's branch Dublin trading facility, which is fully regulated by the U.S. Commodity Futures Trading Commission as a designated contract market. Instead, the Brent contract will be listed for trading at the NYMEX Europe Limited exchange facility, which would be fully regulated by the U.K. Financial Services Authority following receipt of appropriate recognition as a Recognized Investment Exchange. However, the NYMEX clearinghouse in its capacity as DCO will continue to clear and settle the Brent Crude Oil contract.
As a courtesy to any market participants who may be currently utilizing this spread credit program, the Exchange is providing the marketplace with this preliminary advance notice that, upon commencement of trading of Brent Crude Oil contracts at NYMEX Europe Limited, the existing unilateral margin credit provided by the NYMEX clearinghouse between IPE Brent Crude Oil and Nymex Brent Crude oil shall cease.