- Trading Screen Product Name
- Gasoil Crack Futures (bbl)
- Trading Screen Hub Name
- LS GO 1st Line/Brent 1st Line
- Contract Symbol
ULD
- Hedge Instrument
The delta hedge for the Low Sulphur Gasoil 1st Line vs Brent 1st
Line Average Price Option is the Low Sulphur Gasoil 1st Line vs
Brent 1st Line Future (ULD)
- Contract Size
1,000 barrels
- Unit of Trading
Any multiple of 1,000 barrels
- Currency
US Dollars and cents
- Trading Price Quotation
One cent ($0.01) per barrel
- Settlement Price Quotation
One hundredth of one cent ($0.0001) per barrel
- Minimum Price Fluctuation
One hundredth of one cent ($0.0001) per barrel
- Last Trading Day
Last Trading Day of the contract month
- Option Style
Options are average priced and will be automatically exercised into
the Low Sulphur Gasoil 1st Line vs Brent 1st Line Future (in bbls)
on the expiry day if they are "in the money". The Future resulting
from exercise immediately goes to cash settlement relieving market
participants of the need to concern themselves with liquidation or
exercise issues. If an option is "out of the money" it will expire
automatically. It is not permitted to exercise the option on any
other day or in any other circumstances than the Last Trading Day.
No manual exercise is permitted.
- Option Premium / Daily Margin
The Low Sulphur Gasoil 1st Line vs Brent 1st Line Average Price
Option (in bbls) is a premium-paid-upfront option. The traded
premium will therefore be debited by the Clearing House from the
Buyer and credited to the Seller on the morning of the Business Day
following the day of trade. Members who are long
premium-paid-upfront options will receive a Net Liquidating Value
(NLV) credit to the value of the premium which is then used to
offset the initial margin requirement flowing from both these
options and positions in other energy contracts. Members who are
short premium-paid-upfront options will receive an NLV debit in
addition to their initial margin requirement. NLV is calculated
daily with reference to the settlement price of the option
- Expiry
16:30 London Time (11:30 EST).
Automatic exercise settings are pre-set to exercise contracts
which are one minimum price fluctuation or more “in the
money” with reference to the relevant reference price.
Members cannot override automatic exercise settings or manually
enter exercise instructions for this contract.
The reference price will be a price in USD and cents per barrel
equal to the average of the settlement prices of the Low Sulphur
Gasoil 1st Line vs Brent 1st Line Future (in bbls) for the contract
month. When exercised against, the Clearing House, at its
discretion, selects sellers against which to exercise on a pro rata
basis.
conversion factor: 1 metric tonne = 7.45 barrels
- Strike Price Intervals
This contract will support Custom Option Strikes with strikes in
increments of $0.25 within a range of -$5 to $60. This range may be
revised from time to time according to future price movements. The
at-the-money strike price is the closest interval nearest to the
previous business day's settlement price of the underlying contract
- Roll Adjust Provision
In order to use the correct Floating Price quotations, the nearby
month quotation for ICE Brent Futures and ICE Low Sulphur Gasoil
Futures specified in the Floating Price terms above will be used
except for the expiration date of each commodity's underlying
delivery month's futures contract. On such date, the applicable
pricing quotation will be rolled to the following month's futures
contract.
- Contract Series
Up to 72 consecutive months
- Final Payment Date
Two Clearing House Business Days following the Last Trading Day
- Business Days
ICE Business Days
- MIC Code
- IFEU
- Clearing Venues
- ICEU