Two basis swap contracts based on NGI's bidweek indexes at
Chicago and the Southern California border were among a number of
energy products approved last week for listing on enymex, the New
York Mercantile Exchange's Internet-based trading system. Nymex
expects to launch the new system during the second quarter of 2001.
"These products were designed to replicate the most actively
traded over-the-counter energy instruments," said Exchange Chairman
Daniel Rappaport, "introducing the added benefits of clearing
services; a neutral, centralized marketplace; and a highly
sophisticated technological platform. While there may be additional
products developed for introduction at launch, including more
internationally based contracts, and there will certainly be more
shortly thereafter, these contracts were selected as natural
adjuncts to our established markets because of their close
relationships to these liquid benchmarks."
Two of the products are basis swap contracts based on the
differential between the exchange Henry Hub natural gas futures
price and the Natural Gas Intelligence quoted index prices for
Chicago City Gate and the Southern California border. Terms of the
new instruments include the following:
Natural Gas Intelligence (NGI), is a leading provider of natural gas, shale news and market information for the deregulated North American natural gas industry. Since the first issue of Natural Gas Intelligence was published in 1981, NGI has provided key pricing and data relied upon daily by thousands of industry participants in the U.S, Canada and Mexico as well as Central and South America, Europe and Asia.