CLEARED NGX MARKETS ON ICE
Through its alliance with NGX, ICE offers clearing and settlement services for physical forward natural gas contracts for select U.S. trading hubs. Customers electing to clear these products through NGX’s Derivative Clearing Organization (DCO), may execute on WebICE or in the OTC markets through a brokerage firm that has signed the ICE Broker Agreement. NGX uses ICE Block to electronically accept OTC transactions for clearing. All physical forwards submitted for clearing will be converted to physical futures via NGX EFRP and cleared and settled through NGX’s DCO.
Available Hubs for Cleared Physical Delivery
Canadian Natural Gas and Electricity
ICE is the exclusive trading platform for virtually all natural gas and electricity contracts traded in NGX’s energy markets. All Canadian natural gas will transact and clear as physical futures and electricity contracts will transact and clear as financial futures. NGX plans to replace its ECM with Foreign Board of Trade Registration, which will continue to provide a nexus for U.S. participants to access these products.
Available Natural Gas Hubs for Cleared Physical Delivery
Available Electricity Hubs for Financial Settlement
Physical and Financial Crude
NGX's Canadian physical crude products will be offered as futures for trading through WebICE, ICE's electronic trading platform on a cleared only basis. Crude oil products that are intended for deferred shipment or delivery will be listed on WebICE as bilateral forward products. Contracting Parties wishing to participate in the deliverable bilateral market will be required to certify their intent to deliver. All products that are matched on WebICE or in the OTC markets may be submitted to NGX via ICE Block where they will be converted to futures through NGX’s EFRP process and cleared under NGX’s rules.
ICE launched financial products against TMX Group's Canadian crude indices, the industry's most comprehensive gauge of Canadian crude pricing, in December 2010.