{"id":760250,"date":"2023-05-24T10:15:58","date_gmt":"2023-05-24T14:15:58","guid":{"rendered":"https:\/\/www.marketnewsdesk.com\/index.php\/ice-marks-latest-evolution-for-brent-as-midland-joins-the-largest-and-most-liquid-oil-contract-in-the-world\/"},"modified":"2023-05-24T10:15:58","modified_gmt":"2023-05-24T14:15:58","slug":"ice-marks-latest-evolution-for-brent-as-midland-joins-the-largest-and-most-liquid-oil-contract-in-the-world","status":"publish","type":"post","link":"https:\/\/www.marketnewsdesk.com\/index.php\/ice-marks-latest-evolution-for-brent-as-midland-joins-the-largest-and-most-liquid-oil-contract-in-the-world\/","title":{"rendered":"ICE Marks Latest Evolution for Brent as Midland Joins the Largest and Most Liquid Oil Contract in the World"},"content":{"rendered":"<p>        <!--.bwalignc { text-align: center; list-style-position: inside }body {font:normal small Arial,Helvetica,sans-serif;color:#000;background-color:#fff;padding:24px;margin:0;} a img {border:0;} h3 {font-size:medium;color:#000;margin:0 0 1em 0; text-align:center;}-->  <\/p>\n<p class=\"bwalignc\"><b>ICE Marks Latest Evolution for Brent as Midland Joins the Largest and Most Liquid Oil Contract in the World<\/b><\/p>\n<p>LONDON &amp; HOUSTON&#8211;(<a href=\"http:\/\/www.businesswire.com\">BUSINESS WIRE<\/a>)&#8211;<br \/>\nIntercontinental Exchange, Inc. (NYSE:ICE), a leading global provider of data, technology, and market infrastructure, today announced that ICE Brent, the largest crude oil futures and options market in the world, has undergone its latest evolution with the addition of Midland WTI into the Brent basket, creating a new Midland exposure for the oil market to manage.<\/p>\n<p>\nICE Brent withstood the volatility across markets in 2022. Liquidity has consistently grown through 2023 with open interest up 31% since the start of the year at over 5 million contracts and ADV of approximately 1.2 million contracts. Brent options represent the primary crude oil options market in the world in terms of open interest and volume. This month, Midland-origin WTI crude became an additional deliverable grade into the Brent basket creating a link between the price for U.S. Gulf Coast (USGC) Midland barrels and the settlement of ICE Brent futures.<\/p>\n<p>\nICE offers four contracts central to the market\u2019s new Midland exposure. These include ICE Brent crude oil (ICE: B); ICE Midland WTI (ICE: HOU); ICE Dated Brent vs. Brent 1<sup>st<\/sup> Line (ICE: DBF); and ICE Aframax USGC to U.K. Continent (Platts) Freight (ICE: WDE). Over 50,000 lots of the WDE contract have traded this year as participants seek to hedge their exposure to the cost of carrying crude from the U.S. Gulf Coast to the UK in an Aframax tanker.<\/p>\n<p>\n\u201cEver since plans were finalized last year to include Midland WTI into the Brent complex, we\u2019ve seen consistent growth in volume and open interest in ICE HOU as customers take advantage of the additional optionality that the HOU contract provides,\u201d said Jeff Barbuto, Head of Global Oil Markets at ICE. \u201cWith HOU you get the option of physical delivery to two of the biggest terminals in Houston, with free movement to the terminal of your choice. In addition, alternative assessments of WTI in Houston only consider trades based on a smaller proportion of Midland origin crude shipped to Houston. HOU offers a more complete representation of the Houston market.\u201d<\/p>\n<p>\nICE\u2019s Midland WTI (Code: HOU) contract enables participants to directly price and hedge Midland WTI quality crude that meets Platts Midland specifications accepted into Dated Brent. The contract, underpinned by over 4 million barrels per day of supply capacity of Midland-origin WTI direct into Houston, is deliverable at the Magellan East Houston (MEH) and Enterprise Crude Houston (ECHO) terminals, both of which are connected to Platts-approved water terminals to deliver Midland WTI into Brent. The same physical Midland WTI barrels deliverable against the ICE HOU contract can be delivered into Dated Brent and the rest of the Brent complex.<\/p>\n<p>\n\u201cWe\u2019ve seen 3 to 4 million barrels a month going to delivery through the HOU exchange delivery process. In addition to that, we\u2019re also seeing HOU EFPs (Exchange for Physicals) trade, which offer additional flexibility to other locations and delivery dates, reflecting how the market is finding more ways to utilize the contract,\u201d continued Barbuto.<\/p>\n<p>\nOver 11 million barrels went to physical delivery via HOU last month, including via the EFP mechanism, a record high for the contract. Liquidity in HOU hit a record 32,452 contracts in open interest on May 22, 2023, with the number of participants actively trading HOU growing to more than 70.<\/p>\n<p>\nAcross ICE\u2019s global oil complex, open interest stands at 11.8 million contracts, up 23% since the start of the year, with average daily volume of 2 million contracts. Oil is one part of ICE\u2019s extensive commodity markets where open interest hit a record 54 million contracts on May 22, 2023, up 16% since the start of the year.<\/p>\n<p><b>About Intercontinental Exchange<\/b><\/p>\n<p><a rel=\"nofollow\" href=\"https:\/\/www.ice.com\/\"><b>Intercontinental Exchange, Inc. <\/b><\/a>(NYSE: ICE) is a Fortune 500 company that designs, builds and operates digital networks to connect people to opportunity. We provide financial technology and data services across major asset classes that offer our customers access to mission-critical workflow tools that increase transparency and operational efficiencies. We operate <a rel=\"nofollow\" href=\"https:\/\/www.theice.com\/about\/exchanges-clearing\"><b>exchanges<\/b><\/a>, including the <a rel=\"nofollow\" href=\"https:\/\/www.nyse.com\/\"><b>New York Stock Exchange<\/b><\/a>, and <a rel=\"nofollow\" href=\"https:\/\/www.theice.com\/solutions\/clearing\"><b>clearing houses<\/b><\/a> that help people invest, raise capital and manage risk across multiple asset classes. Our comprehensive fixed income <a rel=\"nofollow\" href=\"https:\/\/www.theice.com\/about\/fixed-income-data\"><b>data services<\/b><\/a> and execution capabilities provide information, analytics and platforms that help our customers capitalize on opportunities and operate more efficiently. At <a rel=\"nofollow\" href=\"https:\/\/www.theice.com\/about\/mortgage-technology\"><b>ICE Mortgage Technology<\/b><\/a>, we are transforming and digitizing the U.S. residential mortgage process, from consumer engagement through loan registration. Together, we transform, streamline and automate industries to connect our customers to opportunity.<\/p>\n<p>\nTrademarks of ICE and\/or its affiliates include Intercontinental Exchange, ICE, ICE block design, NYSE and New York Stock Exchange. Information regarding additional trademarks and intellectual property rights of Intercontinental Exchange, Inc. and\/or its affiliates is located <a rel=\"nofollow\" href=\"http:\/\/www.intercontinentalexchange.com\/terms-of-use\"><b>here<\/b><\/a>. Key Information Documents for certain products covered by the EU Packaged Retail and Insurance-based Investment Products Regulation can be accessed on the relevant exchange website under the heading \u201cKey Information Documents (KIDS).\u201d<\/p>\n<p>\nSafe Harbor Statement under the Private Securities Litigation Reform Act of 1995 &#8212; Statements in this press release regarding ICE&#8217;s business that are not historical facts are &#8220;forward-looking statements&#8221; that involve risks and uncertainties. For a discussion of additional risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see ICE&#8217;s Securities and Exchange Commission (SEC) filings, including, but not limited to, the risk factors in ICE&#8217;s Annual Report on Form 10-K for the year ended December 31, 2022, as filed with the SEC on February 2, 2023.<\/p>\n<p>\nCategory: EXCHANGES<\/p>\n<p>\nICE- CORP<\/p>\n<p>\nSource: Intercontinental Exchange<\/p>\n<p><img decoding=\"async\" alt=\"\" src=\"https:\/\/cts.businesswire.com\/ct\/CT?id=bwnews&amp;sty=20230524005501r1&amp;sid=flmnd&amp;distro=nx&amp;lang=en\" style=\"width:0;height:0\" \/><span class=\"bwct31415\" \/><\/p>\n<p id=\"mmgallerylink\"><span id=\"mmgallerylink-phrase\">View source version on businesswire.com: <\/span><span id=\"mmgallerylink-link\"><a href=\"https:\/\/www.businesswire.com\/news\/home\/20230524005501\/en\/\" rel=\"nofollow\">https:\/\/www.businesswire.com\/news\/home\/20230524005501\/en\/<\/a><\/span><\/p>\n<p><b>ICE Media Contact:<br \/>\n<\/b><br \/>Rebecca Mitchell<br \/>\n<br \/><a rel=\"nofollow\" href=\"mailto:Rebecca.Mitchell@ice.com\"><b>Rebecca.Mitchell@ice.com<br \/>\n<\/b><\/a><br \/>+44 7951 057 351<\/p>\n<p><b>ICE Investor Contact:<br \/>\n<\/b><br \/>Katia Gonzalez<br \/>\n<br \/><a rel=\"nofollow\" href=\"mailto:katia.gonzalez@ice.com\"><b>katia.gonzalez@ice.com<br \/>\n<\/b><\/a><br \/>(678) 981-3882<\/p>\n<p><b>KEYWORDS:<\/b> Texas Europe United States United Kingdom North America<\/p>\n<p><b>INDUSTRY KEYWORDS:<\/b> Finance Oil\/Gas Banking Energy Professional Services<\/p>\n<p><b>MEDIA:<\/b><\/p>\n<table cellpadding=\"3\" cellspacing=\"3\">\n<tr>\n<td><font face=\"Arial\" size=\"2\"><b>Logo<\/b><\/font><\/td>\n<\/tr>\n<tr>\n<td><img decoding=\"async\" src=\"https:\/\/mms.businesswire.com\/media\/20230524005501\/en\/411456\/3\/ICE_R_colour.jpg\" alt=\"Logo\" \/><\/td>\n<\/tr>\n<tr>\n<td><font face=\"Arial\" size=\"2\"><\/font><\/td>\n<\/tr>\n<\/table>\n","protected":false},"excerpt":{"rendered":"<p>ICE Marks Latest Evolution for Brent as Midland Joins the Largest and Most Liquid Oil Contract in the World LONDON &amp; HOUSTON&#8211;(BUSINESS WIRE)&#8211; Intercontinental Exchange, Inc. (NYSE:ICE), a leading global provider of data, technology, and market infrastructure, today announced that ICE Brent, the largest crude oil futures and options market in the world, has undergone its latest evolution with the addition of Midland WTI into the Brent basket, creating a new Midland exposure for the oil market to manage. ICE Brent withstood the volatility across markets in 2022. Liquidity has consistently grown through 2023 with open interest up 31% since the start of the year at over 5 million contracts and ADV of approximately 1.2 million contracts. Brent options represent &hellip; <\/p>\n<p class=\"link-more\"><a href=\"https:\/\/www.marketnewsdesk.com\/index.php\/ice-marks-latest-evolution-for-brent-as-midland-joins-the-largest-and-most-liquid-oil-contract-in-the-world\/\" class=\"more-link\">Continue reading<span class=\"screen-reader-text\"> &#8220;ICE Marks Latest Evolution for Brent as Midland Joins the Largest and Most Liquid Oil Contract in the World&#8221;<\/span><\/a><\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-760250","post","type-post","status-publish","format-standard","hentry"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.5 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>ICE Marks Latest Evolution for Brent as Midland Joins the Largest and Most Liquid Oil Contract in the World - Market Newsdesk<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.marketnewsdesk.com\/index.php\/ice-marks-latest-evolution-for-brent-as-midland-joins-the-largest-and-most-liquid-oil-contract-in-the-world\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"ICE Marks Latest Evolution for Brent as Midland Joins the Largest and Most Liquid Oil Contract in the World - Market Newsdesk\" \/>\n<meta property=\"og:description\" content=\"ICE Marks Latest Evolution for Brent as Midland Joins the Largest and Most Liquid Oil Contract in the World LONDON &amp; HOUSTON&#8211;(BUSINESS WIRE)&#8211; Intercontinental Exchange, Inc. (NYSE:ICE), a leading global provider of data, technology, and market infrastructure, today announced that ICE Brent, the largest crude oil futures and options market in the world, has undergone its latest evolution with the addition of Midland WTI into the Brent basket, creating a new Midland exposure for the oil market to manage. ICE Brent withstood the volatility across markets in 2022. Liquidity has consistently grown through 2023 with open interest up 31% since the start of the year at over 5 million contracts and ADV of approximately 1.2 million contracts. 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(NYSE:ICE), a leading global provider of data, technology, and market infrastructure, today announced that ICE Brent, the largest crude oil futures and options market in the world, has undergone its latest evolution with the addition of Midland WTI into the Brent basket, creating a new Midland exposure for the oil market to manage. ICE Brent withstood the volatility across markets in 2022. Liquidity has consistently grown through 2023 with open interest up 31% since the start of the year at over 5 million contracts and ADV of approximately 1.2 million contracts. 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