NYMEX: Exchange Eliminates Limits On Number Of Electronic Trading Privileges

The board of directors of the New York Mercantile Exchange, Inc., voted this morning to eliminate the limit on the number of participants that can hold electronic trading privileges on NYMEX ACCESS® internet-based electronic trading platform. ,p.All users will still be required to obtain approval by the Exchange and a guarantee from an Exchange clearing member. The Exchange is examining means of distributing revenue directly associated with NYMEX ACCESS® trading to share-holders.

The right to participate directly in COMEX Division markets must be approved by the COMEX Division members, subject to the terms of the 1994 NYMEX/COMEX merger.

Currently, the number of NYMEX ACCESS® participants is limited to the number of seats on each division of the Exchange and electronic trading privileges must be leased from the seat owner.

Exchange President J. Robert Collins, Jr., said, "This will enable us to expand the number of direct market participants which will grow increasingly important as we broaden our product mix to meet the needs of various over-the-counter market players."

He continued, "NYMEX ACCESS® volume is up 23% since trading was introduced over the internet and an annual volume record was already set on the system before the end of November. It is critical to remove any artificial limitations to future growth and liquidity."