NWE | LNG DAP Northwest Europe Futures Contract

Trade LNG with a contract that delivers real market pricing for imports into Northwest Europe. Designed for traders and commercial participants, this physically-deliverable benchmark offers a precise hedge and the ability to optimize your physical cargoes and infrastructure.

Abaxx's NWE LNG futures contract is a US dollar-denominated, 10,000 MMBtu, delivered-at-place (DAP) contract, physically-deliverable at LNG ports across Belgium, France, Netherlands, Portugal, Spain, and the United Kingdom.

Contract Specs

Rulebook Chapter|Fees|Contract Summary

Contract Name	LNG Northwest Europe Futures
Contract Symbol	NWE
Rule Chapter	900
Settlement Method	Physical
Contract Months	24 consecutive months
Pricing Terms	USD and cents /MMBtu
Contract Size	10,000 Million British Thermal Units (“MMBtu")
Minimum Price Movement	USD 0.01 per MMBtu
Trading Hours	1000 – 2400 SGT
Price Limits	Fixed price limits which will be published via circulars
Settlement Price Period	Daily Settlement Price Period - Five (5) minutes ending 2230 SGT Final Settlement Price Period - Thirty (30) minutes ending 2230 SGT on the Last Trading Day Note: times are subject to change to accommodate holidays and scheduled modifications announced by Exchange in advance
Final Settlement Price	The Final Settlement Price is the volume weighted average price for all trades done during Final Settlement Price Period of the contract rounded to the nearest $0.01 or as determined by the Exchange at its discretion using available information from related markets.
Last Trading Day	The first Business Day of the month preceding the first calendar day of the Delivery Month
Block Trade Minimum	5 lots
Reportable Level	25 lots
Position Limits (Spot Month)	350 lots
Position Accountability Levels (any/all month)	1750 lots
Quality	LNG delivered under this Contract shall, when converted into gaseous state, comply with the following specs: Delivered gas shall consist essentially of methane and having a Gross Heating Value of not less than 1,000 Btu per Standard Cubic Foot and not more than 1150 Btu per Standard Cubic Foot Nitrogen: max 1 mol% Methane: min 84 mol% Ethane: max 11 mol% Propane: max 3.5 mol% Butane: max 2 mol% Hydrogen Sulfide: max 0.25 grains per 100 standard cubic feet Sulfur: max 1.35 grains per 100 standard cubic feet The LNG delivered shall contain no material amounts of water, mercury, active bacteria or bacterial agents (including sulphate reducing bacteria or acid producing bacteria), and other contaminants or extraneous material, which will interfere with the receipt or the use of the LNG.
Delivery Unit Size	350 Contract Units or 3,500,000 MMBtu
Qualifying Delivery Unit Range	Delivery Unit Size +/- 5%; 3,325,000 – 3,675,000 MMBtu
Loading Tolerance	+/- 2%
Delivery Date	Delivery Date will be a day from the 11th - 20th of the Contract Month at the Buyer's Choice.
Delivery Term	Delivery at Place (DAP)
Eligible Ports	See Eligible Ports
LNG Vessel Availability	The Buyer shall adequately demonstrate commercial capability and ability to take delivery of LNG at one or more of the Eligible Discharge Ports prior to the last five (5) Trading Days of the contract. Failure to demonstrate this capability adequately can result in liquidation of position.
Product Availability	The Seller shall adequately demonstrate commercial capability and the ability to tender and effect physical delivery of a quantity and quality of LNG contracted for delivery at all of the Eligible Discharge Ports, by no later than five (5) Trading Days prior to the Last Trading Day of the Contract. Failure to demonstrate this capability adequately can result in liquidation of position.
Notice of Intention to Accept	Submitted by Clearing Member having open long positions of Delivery Unit Size(s) on the Business Day following Last Trading Day
Notice of Intention to Deliver	Submitted by Clearing Member having open short positions of Delivery Unit Size(s) on the Business Day following Last Trading Day
Delivery Margins	On the Business Day following the Last Trading Day (“Delivery Margin Deadline”), the Buyer’s Clearing Member and the Seller’s Clearing Member shall deposit with the Clearing House margins in such amounts and in such form as required by the Exchange. Such margins shall be returned on the Business Day following: (a) notification to the Exchange that delivery and payment have been completed. (b) In the event of any dispute, as directed by an Award; or (c) In the event where the Buyer and Seller elected for ADP, in accordance with paragraph 8 (Alternate Delivery Procedures)
Delivery Payment	On the 5th Business Day prior to the Delivery Date, the Clearing Member shall obtain from any Buyer an amount equal to the Final Settlement Price multiplied by the Estimated Delivery Quantity with consideration for the maximum amount delivered as per the Loading Tolerance (the “Payment Amount”) and deposit that amount with the Clearing House. After completion of loading/discharge of each LNG cargo, Seller shall furnish all necessary delivery documents and an invoice. The Buyer’s Clearing Member will submit a Confirmation of Valid Invoice along with a copy of the Seller’s invoice to the Clearing House to confirm receipt and accuracy of the sum due Clearing House will release to the Seller’s Clearing Member the sum due noted in the Seller’s duly issued invoice upon receipt of Confirmation of Valid Invoice from the Buyer’s Clearing Member
Venue of Arbitration	London Court of International Arbitration (LCIA)

NWE | LNG DAP Northwest Europe Futures Contract

Contract Specs

Rulebook Chapter|Fees|Contract Summary

Contract Name	LNG Northwest Europe Futures
Contract Symbol	NWE
Rule Chapter	900
Settlement Method	Physical
Contract Months	24 consecutive months
Pricing Terms	USD and cents /MMBtu
Contract Size	10,000 Million British Thermal Units (“MMBtu")
Minimum Price Movement	USD 0.01 per MMBtu
Trading Hours	1000 – 2400 SGT
Price Limits	Fixed price limits which will be published via circulars
Settlement Price Period	Daily Settlement Price Period - Five (5) minutes ending 2230 SGT Final Settlement Price Period - Thirty (30) minutes ending 2230 SGT on the Last Trading Day Note: times are subject to change to accommodate holidays and scheduled modifications announced by Exchange in advance
Final Settlement Price	The Final Settlement Price is the volume weighted average price for all trades done during Final Settlement Price Period of the contract rounded to the nearest $0.01 or as determined by the Exchange at its discretion using available information from related markets.
Last Trading Day	The first Business Day of the month preceding the first calendar day of the Delivery Month
Block Trade Minimum	5 lots
Reportable Level	25 lots
Position Limits (Spot Month)	350 lots
Position Accountability Levels (any/all month)	1750 lots
Quality	LNG delivered under this Contract shall, when converted into gaseous state, comply with the following specs: Delivered gas shall consist essentially of methane and having a Gross Heating Value of not less than 1,000 Btu per Standard Cubic Foot and not more than 1150 Btu per Standard Cubic Foot Nitrogen: max 1 mol% Methane: min 84 mol% Ethane: max 11 mol% Propane: max 3.5 mol% Butane: max 2 mol% Hydrogen Sulfide: max 0.25 grains per 100 standard cubic feet Sulfur: max 1.35 grains per 100 standard cubic feet The LNG delivered shall contain no material amounts of water, mercury, active bacteria or bacterial agents (including sulphate reducing bacteria or acid producing bacteria), and other contaminants or extraneous material, which will interfere with the receipt or the use of the LNG.
Delivery Unit Size	350 Contract Units or 3,500,000 MMBtu
Qualifying Delivery Unit Range	Delivery Unit Size +/- 5%; 3,325,000 – 3,675,000 MMBtu
Loading Tolerance	+/- 2%
Delivery Date	Delivery Date will be a day from the 11th - 20th of the Contract Month at the Buyer's Choice.
Delivery Term	Delivery at Place (DAP)
Eligible Ports	See Eligible Ports
LNG Vessel Availability	The Buyer shall adequately demonstrate commercial capability and ability to take delivery of LNG at one or more of the Eligible Discharge Ports prior to the last five (5) Trading Days of the contract. Failure to demonstrate this capability adequately can result in liquidation of position.
Product Availability	The Seller shall adequately demonstrate commercial capability and the ability to tender and effect physical delivery of a quantity and quality of LNG contracted for delivery at all of the Eligible Discharge Ports, by no later than five (5) Trading Days prior to the Last Trading Day of the Contract. Failure to demonstrate this capability adequately can result in liquidation of position.
Notice of Intention to Accept	Submitted by Clearing Member having open long positions of Delivery Unit Size(s) on the Business Day following Last Trading Day
Notice of Intention to Deliver	Submitted by Clearing Member having open short positions of Delivery Unit Size(s) on the Business Day following Last Trading Day
Delivery Margins	On the Business Day following the Last Trading Day (“Delivery Margin Deadline”), the Buyer’s Clearing Member and the Seller’s Clearing Member shall deposit with the Clearing House margins in such amounts and in such form as required by the Exchange. Such margins shall be returned on the Business Day following: (a) notification to the Exchange that delivery and payment have been completed. (b) In the event of any dispute, as directed by an Award; or (c) In the event where the Buyer and Seller elected for ADP, in accordance with paragraph 8 (Alternate Delivery Procedures)
Delivery Payment	On the 5th Business Day prior to the Delivery Date, the Clearing Member shall obtain from any Buyer an amount equal to the Final Settlement Price multiplied by the Estimated Delivery Quantity with consideration for the maximum amount delivered as per the Loading Tolerance (the “Payment Amount”) and deposit that amount with the Clearing House. After completion of loading/discharge of each LNG cargo, Seller shall furnish all necessary delivery documents and an invoice. The Buyer’s Clearing Member will submit a Confirmation of Valid Invoice along with a copy of the Seller’s invoice to the Clearing House to confirm receipt and accuracy of the sum due Clearing House will release to the Seller’s Clearing Member the sum due noted in the Seller’s duly issued invoice upon receipt of Confirmation of Valid Invoice from the Buyer’s Clearing Member
Venue of Arbitration	London Court of International Arbitration (LCIA)

NWE | LNG DAP Northwest Europe Futures Contract

Contract Specs

Rulebook Chapter|Fees|Contract Summary

Contract Name	LNG Northwest Europe Futures
Contract Symbol	NWE
Rule Chapter	900
Settlement Method	Physical
Contract Months	24 consecutive months
Pricing Terms	USD and cents /MMBtu
Contract Size	10,000 Million British Thermal Units (“MMBtu")
Minimum Price Movement	USD 0.01 per MMBtu
Trading Hours	1000 – 2400 SGT
Price Limits	Fixed price limits which will be published via circulars
Settlement Price Period	Daily Settlement Price Period - Five (5) minutes ending 2230 SGT Final Settlement Price Period - Thirty (30) minutes ending 2230 SGT on the Last Trading Day Note: times are subject to change to accommodate holidays and scheduled modifications announced by Exchange in advance
Final Settlement Price	The Final Settlement Price is the volume weighted average price for all trades done during Final Settlement Price Period of the contract rounded to the nearest $0.01 or as determined by the Exchange at its discretion using available information from related markets.
Last Trading Day	The first Business Day of the month preceding the first calendar day of the Delivery Month
Block Trade Minimum	5 lots
Reportable Level	25 lots
Position Limits (Spot Month)	350 lots
Position Accountability Levels (any/all month)	1750 lots
Quality	LNG delivered under this Contract shall, when converted into gaseous state, comply with the following specs: Delivered gas shall consist essentially of methane and having a Gross Heating Value of not less than 1,000 Btu per Standard Cubic Foot and not more than 1150 Btu per Standard Cubic Foot Nitrogen: max 1 mol% Methane: min 84 mol% Ethane: max 11 mol% Propane: max 3.5 mol% Butane: max 2 mol% Hydrogen Sulfide: max 0.25 grains per 100 standard cubic feet Sulfur: max 1.35 grains per 100 standard cubic feet The LNG delivered shall contain no material amounts of water, mercury, active bacteria or bacterial agents (including sulphate reducing bacteria or acid producing bacteria), and other contaminants or extraneous material, which will interfere with the receipt or the use of the LNG.
Delivery Unit Size	350 Contract Units or 3,500,000 MMBtu
Qualifying Delivery Unit Range	Delivery Unit Size +/- 5%; 3,325,000 – 3,675,000 MMBtu
Loading Tolerance	+/- 2%
Delivery Date	Delivery Date will be a day from the 11th - 20th of the Contract Month at the Buyer's Choice.
Delivery Term	Delivery at Place (DAP)
Eligible Ports	See Eligible Ports
LNG Vessel Availability	The Buyer shall adequately demonstrate commercial capability and ability to take delivery of LNG at one or more of the Eligible Discharge Ports prior to the last five (5) Trading Days of the contract. Failure to demonstrate this capability adequately can result in liquidation of position.
Product Availability	The Seller shall adequately demonstrate commercial capability and the ability to tender and effect physical delivery of a quantity and quality of LNG contracted for delivery at all of the Eligible Discharge Ports, by no later than five (5) Trading Days prior to the Last Trading Day of the Contract. Failure to demonstrate this capability adequately can result in liquidation of position.
Notice of Intention to Accept	Submitted by Clearing Member having open long positions of Delivery Unit Size(s) on the Business Day following Last Trading Day
Notice of Intention to Deliver	Submitted by Clearing Member having open short positions of Delivery Unit Size(s) on the Business Day following Last Trading Day
Delivery Margins	On the Business Day following the Last Trading Day (“Delivery Margin Deadline”), the Buyer’s Clearing Member and the Seller’s Clearing Member shall deposit with the Clearing House margins in such amounts and in such form as required by the Exchange. Such margins shall be returned on the Business Day following: (a) notification to the Exchange that delivery and payment have been completed. (b) In the event of any dispute, as directed by an Award; or (c) In the event where the Buyer and Seller elected for ADP, in accordance with paragraph 8 (Alternate Delivery Procedures)
Delivery Payment	On the 5th Business Day prior to the Delivery Date, the Clearing Member shall obtain from any Buyer an amount equal to the Final Settlement Price multiplied by the Estimated Delivery Quantity with consideration for the maximum amount delivered as per the Loading Tolerance (the “Payment Amount”) and deposit that amount with the Clearing House. After completion of loading/discharge of each LNG cargo, Seller shall furnish all necessary delivery documents and an invoice. The Buyer’s Clearing Member will submit a Confirmation of Valid Invoice along with a copy of the Seller’s invoice to the Clearing House to confirm receipt and accuracy of the sum due Clearing House will release to the Seller’s Clearing Member the sum due noted in the Seller’s duly issued invoice upon receipt of Confirmation of Valid Invoice from the Buyer’s Clearing Member
Venue of Arbitration	London Court of International Arbitration (LCIA)