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ICE Futures
ICE Futures, part of ICE (Intercontinental Exchange) operates the leading electronic regulated futures and options exchange for global energy markets. ICE's robust trading platform offers participants access to a wide spectrum of energy futures products. Contracts include the Brent global crude benchmark contract, Gas Oil and Natural Gas.

Until the 1970s, the price of oil was relatively stable with production largely controlled by the biggest oil companies. The 1970s transformed the industry forever. Two oil price shocks meant that the price volatility became a fundamental feature of the market, short-term physical markets rapidly evolved, and the need to hedge emerged. Consequently, a group of interested parties founded the International Petroleum Exchange (IPE) in 1980 and the first contract, for Gas Oil futures, was launched the following year. The Brent Crude futures contract was launched in June 1988 and volumes grew rapidly and incremental, year-on-year growth has been evident since.  In 2005 the IPE's name changed to ICE Futures.

Initially, oil futures and options were traded in pits on the market floor using the open outcry system. In 1997 the IPE began trading its first non-oil contract with the launch of IPE Natural Gas futures. This contract was launched on the bespoke Electronic Trading Platform (ETS). This platform has been further enhanced since its launch and in 2005 all ICE energy contracts started trading exclusively on this electronic platform. The ICE platform supports an orderly, regulated futures market thanks to its wide availability, open participation and complete documentation of all orders.

Gas Oil

Gas Oil contract specification

ICE Futures' Gas Oil futures contract is a highly flexible and liquid contract and has developed into a benchmark for spot middle distillate across north-west Europe and beyond. It was ICE Futures' first futures contract to be launched in 1981 and is often referred to as heating oil in Europe or the USA.

Brent Crude

Brent Crude contract specifications

The ICE Futures Brent Crude futures contract is key for establishing the most important international oil price benchmark in the world. The Brent Blend complex consists of three related markets; dated or physical Brent, forward Brent and the futures contract on ICE Futures.

WTI Crude

WTI Crude contract specifications

The ICE WTI  contract was launched in early February 2006. It settles differently to the NYMEX contract, however there are some good arbitrage opportunities.

NYMEX

WTI Crude

WTI crude contract specification

Crude oil is the world's most actively traded commodity, and the NYMEX Division light, sweet crude oil futures contract is the world's most liquid forum for crude oil trading, as well as the world's largest-volume futures contract trading on a physical commodity. Because of its excellent liquidity and price transparency, the contract is used as a principal international pricing benchmark. Additional risk management and trading opportunities are offered through options on the futures contract; calendar spread options; crack spread options on the pricing differential of heating oil futures and crude oil futures and gasoline futures and crude oil futures; and average price options. The contract trades in units of 1,000 barrels, and the delivery point is Cushing, Oklahoma, which is also accessible to the international spot markets via pipelines. The contract provides for delivery of several grades of domestic and internationally traded foreign crudes, and serves the diverse needs of the physical market.



Heating oil

Heating oil contract specification

Heating oil, also known as No. 2 fuel oil, accounts for about 25% of the yield of a barrel of crude, the second largest 'cut' after gasoline. The heating oil futures contract trades in units of 42,000 gallons (1,000 barrels) and is based on delivery in New York harbour, the principal cash market trading centre. Options on futures, calendar spread options contracts, crack spread options contracts, and average price options contracts give market participants even greater flexibility in managing price risk.

New York Harbor RBOB Gasoline

RBOB specification

Gasoline is the largest single volume refined product sold in the United States and accounts for almost half of national oil consumption. It is a highly diverse market, with hundreds of wholesale distributors and thousands of retail outlets, often making it subject to intense competition and price volatility.




Natural gas

Natural gas contract specification

Natural gas accounts for almost a quarter of United States' energy consumption, and the NYMEX Division natural gas futures contract is widely used as a national benchmark price. The futures contract trades in units of 10,000 million British thermal units (mmBtu). The price is based on delivery at the Henry Hub in Louisiana, the nexus of 16 intra- and interstate natural gas pipeline systems that draw supplies from the region's prolific gas deposits. The pipelines serve markets throughout the U.S. East Coast, the Gulf Coast, the Midwest, and up to the Canadian border. An options contract and calendar spread options contracts provide additional risk management opportunities.