02/12/2008
The first contracts month to be listed will be the April 2008 Contract Month. As a general matter, the Exchange intends to list contract months for each subsequent month that there is also listed a contract month in the underlying Brent Last Day futures contract for American and Look-alike Options, WTI-Brent Bullet Swap for WTI-Brent Crude Oil Spread Option, and Brent Calendar swap contract for Average Price option. The following summarizes the main characteristics of these options:
BRENT AMERICAN STYLE OPTION
Trading Unit: A Brent Crude Oil put or call option contract traded on the Exchange represents an option to assume a short or long position in the underlying Brent Crude Oil Last Day futures contract traded on the Exchange.
Strike Price Intervals: Ten strike prices in increments of $0.50 (50¢) per barrel per above and below the at-the-money strike price. Strike price boundaries are adjusted according to futures price movements.
Expiration Date: A Brent Crude Oil option contract on the Exchange shall expire at the close of trading three business days prior to the expiration of the underlying Brent Crude Oil Last Day futures contract. The expiration date shall be announced prior to the listing of the option contract.
Exercise of Options: By a clearing member to the Exchange clearinghouse no later than 4:30 PM or 45 minutes after the underlying futures settlement price is posted, whichever is later, on any day up to and including the options expiration.
Minimum Price Fluctuation: $0.01 (1¢) per barrel
Product Symbol: OS
WTI-BRENT CRUDE OIL SPREAD OPTION
Trading Unit: Upon expiration, the WTI-Brent Crude Oil Spread Call option will be financially settled by subtracting the strike price from the Settlement Price of the Underlying WTI-Brent Bullet swap contract multiplied by 1,000, or zero, whichever is greater. Upon expiration, the WTI-Brent Crude Oil Spread Put option will be financially settled by subtracting the Settlement Price of the Underlying WTI-Brent Bullet swap contract from the strike price multiplied by 1,000, or zero, whichever is greater
Strike Price Intervals: Ten strike prices in increments of $0.10 (10¢) per barrel above and below the at-the-money strike price. Strike price boundaries are adjusted according to the underlying bullet swap price movements.
Expiration Date: A WTI-Brent crude oil spread option contract on the Exchange shall expire at the close of same day as the termination date of the underlying WTI-Brent Bullet swap contract traded on the Exchange. The expiration date shall be announced prior to the listing of the option contract.
Minimum Price Fluctuation: $0.01 (1¢) per barrel
Product Symbol: BV
BRENT "LOOK-ALIKE" OPTION
Trading Unit: A Brent look-Alike Crude Oil is a European Style Financially Settled Option. Upon expiration, the Brent “Look-Alike” Call option will be financially settled by subtracting the strike price from the Settlement Price of the Underlying Brent Crude Oil Last Day futures contract multiplied by 1,000, or zero, whichever is greater. Upon expiration, the Brent "Look-Alike" Put option will be financially settled by subtracting the Settlement Price of the Underlying Brent Crude Oil Last Day futures contract from the strike price multiplied by 1,000, or zero, whichever is greater.
Strike Price Intervals: Ten strike prices in increments of $0.50 (50¢) per barrel above and below the at-the-money strike price. Strike price boundaries are adjusted according to the futures price movements.
Expiration Date: A Brent look-Alike Crude Oil option contract on the Exchange shall expire at the close of trading three business days prior to the expiration of the underlying Brent Crude Oil Last Day futures contract. The expiration date shall be announced prior to the listing of the option contract.
Minimum Price Fluctuation: $0.01 (1¢) per barrel
Product Symbol: BE
BRENT AVERAGE PRICE OPTION
Trading Unit: A Brent Average Price Option is a cash settled option. On expiration of a call option, the value will be the difference between the settlement price of the Underlying Brent Calendar Swap contract and the strike multiplied by 1,000, or zero, whichever is greater. On expiration of a put option, the value will be the difference between the strike price and the settlement price of the Underlying Brent Calendar Swap multiplied by 1,000 barrels, or zero, whichever is greater.
Strike Price Intervals: Ten strike prices in increments of $0.50 (50¢) per barrel above and below the at-the-money strike price. Strike price boundaries are adjusted according to the futures price movements.
Expiration Date: A Brent Crude Oil Average Price Option on the Exchange shall expire at the close of trading on the last business day of the calendar month. The expiration date shall be announced prior to the listing of the option contract.
Minimum Price Fluctuation: $0.01 (1¢) per barrel
Product Symbol: BA
Trading Hours: The above options will be listed on the NYMEX trading floor from 9:00 AM to 2:30 PM and on NYMEX ClearPort® from 6:00 PM Sundays through 5:15 PM Fridays New York time, with a 45– minute break between 5:15 PM and 6:00 PM
Fee Schedule for the above option contracts: There will be a three month fee waive