IPE Commits To Extension Of Electronic-Only Trading Hours - Evolutionary Step To Take Effect On November 1 For Brent Crude Futures

The Board of Directors of the International Petroleum Exchange (IPE), Europe’s leading energy futures and options exchange, today announced that it will extend exclusive electronic trading hours to meet growing demand from energy market participants worldwide.

With effect from November 1, IPE Brent Crude futures will trade exclusively via the Exchange’s electronic platform from 10 a.m. to 2 p.m. London time. Currently, the morning period for electronic-only trading of Brent is from 2 a.m. (for Far East traders) until 10 a.m.

Open outcry and electronic trading for IPE Brent Crude futures, from November, will run simultaneously from 2 p.m. until 7.30 p.m. Monday to Friday. Evening electronic only hours run from 7.30 p.m. to 10 p.m.

Gas Oil futures and options and Brent options trading via open outcry remains unchanged.

This move is designed to sustain IPE’s leadership position as Europe’s premier energy futures and options exchange.

Since June 2001, IPE and its parent IntercontinentalExchange (ICE) have developed and deployed a leading-edge Internet-based trading platform for commodity futures trading in order to sustain a progressive and competitive London-based exchange serving the global energy market.

Sir Bob Reid, chairman of IPE, said: "The decision today is another important evolutionary step in the development of the Exchange’s business in the electronic market. This follows the pattern of the rapid growth in screen trading across commodity and financial markets. The Exchange’s platform has been well tested and its resilience has been confirmed in current trading. The commercial environment has been designed to encourage participation and grow liquidity quickly.”

Dr Richard Ward, chief executive of IPE, said: "Advances in trading technology are drawing more players into the futures and options marketplace who want to get in and out at the click of a mouse. Our objective is to build significant liquidity on the electronic platform for the Brent Crude futures in a well-ordered process. We have strong expressions of interest from several market makers and from market participants who have recently become members of the IPE in anticipation of this evolutionary development. The changes will come into effect on November 1 to give members and customers sufficient preparation time."