USA: ICE Chooses Platts Data for LNG Contracts

Platts physical energy price assessments for liquefied natural gas (LNG) and petroleum products have been selected as the basis for nine new cleared over-the-counter (OTC) swaps contracts launched last week by the IntercontinentalExchange (ICE), an operator of OTC markets and futures exchanges.

Last week’s contract launch by ICE, which includes a Japan Korea Marker LNG Swap contract based on the Platts Japan/Korea Marker (JKM), brings the number of ICE energy contracts that are settled and cleared on the basis of Platts’ physical price assessments to a total of 158.

“We’re particularly pleased that exchanges and clearing houses recognize the value of the Platts LNG benchmark and have chosen it for settling and clearing new swaps contracts,” said Gerald Bueshel, Platts director of global licensing. “The broadening market use of Platts’ LNG Japan Korea Marker since its launch in 2009 is a clear indication of how rapidly LNG price risk management is evolving.”

Last month, CME Group (CME) launched a liquefied natural gas (LNG) swap futures contract that is also based on the Platts JKM.

[mappress]
LNG World News Staff, September 3, 2012