Notice to Members
Notice No. 527
12/03/2007
Dual Listing of NYMEX Options on Natural Gas Delivery Points ("Pipe Option") on the NYMEX Trading Floor and NYMEX CPC
Beginning on Sunday evening, December 16 , 2007 (for trade date December 17, 2007), the New York Mercantile Exchange, Inc. will dually list for trading on the NYMEX trading floor and for Clearing on NYMEX CPC®, European Style, financially settled options on the following delivery points:

Option Name
Option Trading Symbol
Associated Basis Swap
PGE Citygate "Pipe" Option
Ticker Symbol: CW
PC
Alberta "Pipe" Option
Ticker Symbol: PI
NA
Northern Rockies "Pipe" Option
Ticker Symbol: ZR
NR
Transco Zone 6 "Pipe" Option
Ticker Symbol: TZ
NZ
Chicago City Gate "Pipe" Option
Ticker Symbol: PY
NB
Houston Ship Channel "Pipe"Option
Ticker Symbol: PK
NH
San Juan "Pipe" Option
Ticker Symbol: PJ
NJ
SOCAL "Pipe" Option
Ticker Symbol: ZN
NS
Panhandle "Pipe" Option
Ticker Symbol: PU
PH


Contract Unit:
Upon expiration a long call option on the above "Pipe" options contract will be financially settled by adding the settlement price for the same delivery month of Henry Hub Natural Gas Swap Futures to the underlying NYMEX Basis swap less the strike price multiplied by 2,500 mmBtu, or zero, whichever is greater. Upon expiration a long put on the above "Pipe" options contract will be financially settled by subtracting from the strike price the settlement price for the same delivery month of Henry Hub Natural Gas Swap Futures added to the underlying NYMEX Basis swap multiplied by 2,500 mmBtu, or zero whichever is greater
The Synthetic Underlying futures Symbols (Used Only for Performance Bond):
  • PGE Citygate
    		•  Ticker Symbol: XQ
  • Alberta "Pipe" Option
    		• Ticker Symbol: XI
  • Northern Rockies "Pipe" Option
    		• Ticker Symbol: XR
  • Transco Zone 6 "Pipe" Option
    		• Ticker Symbol: XZ
  • Chicago City Gate "Pipe" Option
    		• Ticker Symbol: XO
  • Houston Ship Channel "Pipe" Option
    		• Ticker Symbol: XJ
  • San Juan "Pipe" Option
    		• Ticker Symbol: XX
  • SOCAL "Pipe" Option
    		• Ticker Symbol: XN
  • Panhandle "Pipe" Option
    		• Ticker Symbol: XH
    Strike Price Intervals:
    Five strike prices in increments of $0.01 per mmBtu above and below the at-the-money strike price Strike price boundaries are adjusted according to futures price movements
    Expiration Date:
    The Pipe Option expires on the termination day of the underlying basis swap
    Minimum Price Fluctuation:
    $0.001 per mmBtu
    Contract Size:
    $0.001 per mmBtu
    Minimum Price Fluctuation:
    2,500 mmBtu
    Trading Months:
    The first contract months to be listed will be those involving cash settlement into the January 2008 contract month. There will initially be listed 72 consecutive monthly expiration
    Fee Schedule for the above options contracts:
    CPC
    Member
    $0.44
    Non member
    $0.63
     
    NXPIT
    Member Overnight
    $0.44
    Member Day Trade
    $0.44
    Blended
    $0.63
    Non Member
    $0.63
     
    EOO
    Member Overnight EOO
    $0.15
    Blended
    $0.23
    Non Member
    $0.36
     
    Cash Settlement
    Member
    $0.90
    Non Member
    $1.15
    Should you have any questions or require any further information, please contact exchangeinfo@nymex.com