NEW YORK AND CALGARY, July 9, 2013 /CNW/ - 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:
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Collateral efficiencies under existing NGX margining rules via spread
credits and cross-commodity netting
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Regulatory certainty
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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 http://twitter.com/tmxgroup.
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 OMX Clearing.
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.
SOURCE: TMX Group Inc.
