JPFEX to Launch Futures Contract Heavy Crude Oil

Leichester, United Kingdom (PressExposure) October 12, 2012 -- Japan Futures Exchange (JPFEX) today announced that it will launch a futures contract on heavy crude oil. The new crude oil futures contract will be based on the price of the benchmark for heavy crude oil in the US. The contract will be listed for trading on the JPFEX's electronic platform.

Trades will be cleared by the JPFEX Clearing Facilities and the contracts will be cash-settled using the Crude Oil Index reference price published by JPFEX. The Crude Oil Index is the measurement of the price differential between heavy crude oil and light crude oil used by market participants in the physical market.

"We are proud to introduce a new futures contract on heavy crude oil that can be used by market participants to better manage the risk associated with the fluctuation of the price differential between heavy crude oil and light crude oil," said Rokuro Shizuka, JPFEX Chief Executive Officer. "The listing of a heavy crude oil futures contract represents an opportunity for the JPFEX to position itself in an important segment of the crude oil market in Asia."

Crude oil plays a vital role in Asian economic development and heavy crude oil production is expected to double.

The new heavy crude oil contracts are an integral part of our strategy to service the energy market and complement the trading, clearing and index services offered by JPFEX in the physical market," said Mr. Shizuka, JPFEX Chief Executive Officer. "Perhaps more importantly, this product demonstrates the key strategic linkages among the JPFEX business areas."

Japan Futures Exchange is the home of Futures, Options, Forex, CFD and commodities transactions. JPFEX is an all-electronic, open access market model with dedicated market makers and market participants providing liquidity.

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Press Release Submitted On: October 15, 2012 at 2:10 am
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