ENERGY CONTRACTS

Natural Gas Contracts | Overview | Quote-board

FUTURES

OPTIONS

Trading Unit 10,000 million British thermal units (mmBtu). Price Quotation U.S. dollars and cents per mmBtu. Trading Hours (All times are New York time) Open outcry trading is conducted from 10:00 AM until 2:30 PM. After-hours futures trading is conducted via the NYMEX ACCESS® internet-based trading platform beginning at 3:15 PM on Mondays through Thursdays and concluding at 9:30 AM the following day. On Sundays, the session begins at 7:00 PM. Trading Months Seventy-two (72) consecutive months commencing with the next calendar month (for example, on January 6, 2004, trading occurs in all months from February 2004 through January 2010). Minimum Price Fluctuation $0.001 (0.1¢) per mmBtu ($10.00 per contract). Maximum Daily Price Fluctuation $3.00 per mmBtu ($30,000 per contract) for all months. If any contract is traded, bid, or offered at the limit for five minutes, trading is halted for five minutes. When trading resumes, the limit is expanded by $3.00 per mmBtu in either direction. If another halt were triggered, the market would continue to be expanded by $3.00 per mmBtu in either direction after each successive five-minute trading halt. There will be no maximum price fluctuation limits during any one trading session. Last Trading Day Trading terminates three business days prior to the first calendar day of the delivery month. Settlement Type Physical. Delivery The Sabine Pipe Line Co. Henry Hub in Louisiana. Seller is responsible for the movement of the gas through the Hub; the buyer, from the Hub. The Hub fee will be paid by seller. Delivery Period Delivery shall take place no earlier than the first calendar day of the delivery month and shall be completed no later than the last calendar day of the delivery month. All deliveries shall be made at as uniform as possible an hourly and daily rate of flow over the course of the delivery month. Alternate Delivery Procedure (ADP) An alternate delivery procedure is available to buyers and sellers who have been matched by the Exchange subsequent to the termination of trading in the spot month contract. If buyer and seller agree to consummate delivery under terms different from those prescribed in the contract specifications, they may proceed on that basis after submitting a notice of their intention to the Exchange. Exchange of Futures for Physicals (EFP) or Swaps (EFS) The commercial buyer or seller may exchange a futures position for a physical position or a swaps position of equal quantity by submitting a notice to the Exchange. EFPs and EFSs may be used to either initiate or liquidate a futures position. Grade and Quality Specifications Pipeline specifications in effect at time of delivery. Position Accountability Levels and Limits Any one month/all months: 12,000 net futures, but not to exceed 1,000 in the last three days of trading in the spot month. Margin Requirements Margins are required for open futures positions. Trading Symbol NG

Trading Unit One NYMEX Division natural gas futures contract. Price Quotation U.S. dollars and cents per mmBtu. Trading Hours (All times are New York time) Open outcry trading is conducted from 10:00 AM until 2:30 PM. Trading Months Seventy-two (72) consecutive months. Minimum Price Fluctuation $0.001 (0.1¢) per mmBtu ($10.00 per contract). Maximum Daily Price Fluctuation No price limits. Last Trading Day Trading ends on the business day immediately preceding the expiration of the underlying futures contract. Exercise of Options By a clearing member to the Exchange clearinghouse not later than 5:30 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. Strike Prices Twenty strike prices in increments of $0.05 (5¢) per mmBtu above and below the at-the-money strike price in all months, plus an additional 20 strike prices in increments of $0.05 (5¢) per mmBtu above the at-the-money price will be offered in the first three nearby months, and the next 10 strike prices in increments of $0.25 (25¢) per mmBtu above the highest and below the lowest existing strike prices in all months for a total of at least 81 strike prices in the first three nearby months and a total of at least 61 strike prices for four months and beyond. The at-the-money strike price is nearest to the previous day's close of the underlying futures contract. Strike price boundaries are adjusted according to futures price movements. Margin Requirements Margins are required for open short options positions. The margin requirement for an options purchaser will never exceed the premium paid. Trading Symbol ON

 

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