NYMEX Holdings Completes 10% Investment In Montreal Exchange (MX); NYMEX AND MX To Create Carex To Serve Canadian Energy Market

NYMEX Holdings, Inc. (NYSE: NMX), the parent company of the New York Mercantile Exchange, Inc. (NYMEX), the world's largest physical commodity exchange, today closed the purchase of a 10% equity stake in Montreal Exchange Inc. (MX), Canada's financial derivatives exchange. NYMEX and MX also announced the creation of Canadian Resources Exchange Inc. (CAREX), their new joint business venture dedicated to the Canadian energy marketplace.

NYMEX purchased the equity stake for an aggregate price of approximately $78 million, and the two exchanges jointly funded CAREX with approximately $3.5 million.

NYMEX Chairman Richard Schaeffer said, "We are gratified to move our partnership with the Montreal Exchange to the next step with our equity purchase and the establishment of CAREX. We are excited to work with MX to create dynamic and innovative risk management tools to the Canadian commodities industry."

In the coming months, CAREX, a Canadian corporation with its principal place of business in Calgary, Alberta, expects to offer trading and clearing services of over the counter (OTC) and on-exchange futures and options contracts for physical and financial settlement relating to Canadian-based energy (including natural gas, crude oil and electricity), metals and soft commodities.