IntercontinentalExchange (NYSE: ICE), a leading operator of global exchanges and over-the-counter (OTC) markets, and Natural Gas Exchange Inc. (NGX), a leading energy exchange and clearinghouse, will offer clearing and settlement services for physical OTC natural gas contracts beginning March 3, 2008. Physical clearing on select U.S. trading hubs will be available as part of the previously announced alliance between ICE and NGX.
The first two natural gas hubs available for cleared physical delivery will be PG&E Citygate and GTN Malin, with additional U.S. hubs to be announced in the near future. NGX's clearing organization will serve as the central counterparty for physical delivery and financial performance.
Market participants interested in learning more about cleared physical markets are encouraged to visit the ICE website at www.theice.com/ngx and www.ngx.com.
ICE pioneered the concept of OTC clearing for financially settled natural gas and power contracts in 2002. NGX has been clearing physical natural gas contracts at Canadian hubs since 1994.