NASDAQ OMX and NGX Announce U.S. Physical Energy Alliance
NEW YORK and CALGARY, July 9, 2013 (GLOBE NEWSWIRE) -- NASDAQ OMX Commodities
and Natural Gas Exchange Inc. (NGX), a wholly-owned subsidiary of TMX Group,
today announced that they have entered into a strategic alliance (the
Alliance). The Alliance involves the NASDAQ OMX US physical energy entity,
NASDAQ OMX Commodities Clearing Company (NOCC), a wholly-owned subsidiary of
The NASDAQ OMX Group, Inc., and the physical energy exchange and clearinghouse
of NGX, which serves more than 250 contracting parties in the US and Canada.
Together NGX and NOCC will provide a premier solution for transacting in
physical energy in the US, helping customers maximize collateral efficiency,
and enabling increased transparency and market liquidity. The Alliance will
leverage NGX's established US natural gas trading and clearing expertise
combined with NOCC's physical power know-how. NGX will offer trading and
clearing services for the Alliance and NOCC will contribute account
management, product development, and scheduling resources.
"Adding physical power products with an established organization such as NOCC
is a natural addition to our successful physical natural gas business in the
US," said Jim Oosterbaan, President of NGX. "We expect this Alliance to help
new and existing NGX customers to improve their liquidity and collateral
efficiencies through cross commodity netting."
"NGX is strategically aligned with our physical power business and their
complementary natural gas products present a great opportunity to leverage our
combined experience and capability in this unique regulatory environment,"
said Magnus Haglind, Head of US Commodities for NASDAQ OMX.
Subject to regulatory approval, NGX, a recognized exchange and clearing agency
in Canada and a registered U.S. Foreign Board of Trade and Derivative Clearing
Organization, will list and clear physical power futures contracts based on
NGX's existing US physical natural gas futures contracts.As a result,
contracting parties will benefit from:
*Collateral efficiencies under existing NGX margining rules via spread
credits and cross-commodity netting
*Improved liquidity and distribution in Canada and the U.S.
*Introduction of physically cleared power products to WebICE through NGX's
alliance with the InterContinental Exchange, Inc.
NGX expects to list the physical power futures contracts in September in
concert with the novation of NOCC's remaining physical power contracts to
NGX.The NGX physical power futures will initially be listed exclusively for
the ERCOT (Texas) market, expanding later into the WECC region.
About TMX Group (TSX:X)
TMX Group's key subsidiaries operate cash and derivative markets and
clearinghouses for multiple asset classes including equities, fixed income and
energy. Toronto Stock Exchange, TSX Venture Exchange, TMX Select, Alpha Group,
The Canadian Depository for Securities, Montreal Exchange, Canadian
Derivatives Clearing Corporation, Natural Gas Exchange, BOX Options Exchange,
Shorcan, Shorcan Energy Brokers, Equicom and other TMX Group companies provide
listing markets, trading markets, clearing facilities, depository services,
data products and other services to the global financial community. TMX Group
is headquartered in Toronto and operates offices across Canada (Montreal,
Calgary and Vancouver), in key U.S. markets (New York, Houston, Boston and
Chicago) as well as in London, Beijing and Sydney. For more information about
TMX Group, visit our website at www.tmx.com. Follow TMX Group on Twitter at
About NASDAQ OMX Group
The inventor of the electronic exchange, The NASDAQ OMX Group, Inc., fuels
economies and provides transformative technologies for the entire lifecycle of
a trade - from risk management to trade to surveillance to clearing. In the
U.S. and Europe, we own and operate 23 markets, 3 clearinghouses and 5 central
securities depositories supporting equities, options, fixed income,
derivatives, commodities, futures and structured products. Able to process
more than 1 million messages per second at sub-40 microsecond speeds with
99.99+% uptime, our technology drives more than 70 marketplaces in 50
developed and emerging countries into the future, powering 1 in 10 of the
world's securities transactions. Our award-winning data products and worldwide
indexes are the benchmarks in the financial industry. Home to approximately
3,300 listed companies worth more than $6 trillion in market cap whose
innovations shape our world, we give the ideas of tomorrow access to capital
today. Welcome to where the world takes a big leap forward, daily.Welcome to
the NASDAQ OMX Century.To learn more, visit www.nasdaqomx.com. Follow us on
Facebook (www.facebook.com/NASDAQ) and Twitter (www.twitter.com/nasdaqomx).
(Symbol: NDAQ and member of S&P 500)
About NASDAQ OMX Commodities Clearing Company
NASDAQ OMX Commodities Clearing Company provides trading opportunities to its
physical power and natural gas trading counterparties, supported by
sophisticated credit and risk management operations. It is part of NASDAQ OMX
Commodities, which is a trademark of the NASDAQ OMX Group, Inc.
About NASDAQ OMX Commodities
NASDAQ OMX Commodities is the brand name for the NASDAQ OMX Group's worldwide
suite of commodity related products and services. The NASDAQ OMX Commodities
offerings include power, natural gas and carbon emission markets and clearing
services. NASDAQ OMX Commodities is a trademark of the NASDAQ OMX Group, Inc.
NASDAQ OMX Commodities Europe is the trade name of NASDAQ OMX Oslo ASA which
is authorized as a commodity derivatives exchange by the Norwegian Ministry of
Finance and supervised by the Norwegian Financial Supervisory Authority. All
trades with NASDAQ OMX Commodities Europe are subject to clearing with NASDAQ
NOS Clearing ASA is the leading clearing house for the freight market and a
specialist clearing provider to the commodities markets. The company is wholly
owned by the NASDAQ OMX Group Inc. The clearinghouse, which is situated in
Oslo, has more than 300 members.
NASDAQ OMX Clearing is the trade name of NASDAQ OMX Stockholm AB which is
authorized and supervised as a multi-asset clearinghouse by the Swedish
Financial Supervisory Authority in Sweden as well as authorized to conduct
clearing operation in Norway by the Norwegian Ministry of Finance.
Cautionary Note Regarding Forward-Looking Statements
Information set forth in this communication contains forward-looking
statements that involve a number of risks and uncertainties.NASDAQ OMX
cautions readers that any forward-looking information is not a guarantee of
future performance and that actual results could differ materially from those
contained in the forward-looking information.Such forward-looking statements
include, but are not limited to, statements about our capital return
initiatives.Forward-looking statements involve a number of risks,
uncertainties or other factors beyond NASDAQ OMX's control.These factors
include, but are not limited to, NASDAQ OMX's ability to implement its
strategic initiatives, economic, political and market conditions and
fluctuations, government and industry regulation, interest rate risk, U.S. and
global competition, and other factors detailed in NASDAQ OMX's filings with
the U.S. Securities and Exchange Commission, including its annual reports on
Form 10-K and quarterly reports on Form 10-Q which are available on NASDAQ
OMX's website at http://www.nasdaqomx.com and the SEC's website at
www.sec.gov. NASDAQ OMX undertakes no obligation to publicly update any
forward-looking statement, whether as a result of new information, future
events or otherwise.
CONTACT: For more information please contact:
Director, Communications and Public Affairs
+47 6752 8080
+47 9060 0759 (mobile)
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