WASHINGTON, November 10, 2011
Nodal Exchange, LLC announced the launch of 32 new power contracts settling on Electric Reliability Council of Texas (ERCOT) locations. Cleared by LCH.Clearnet Ltd, the contracts are now available for trading for all 4 ERCOT hubs and all 4 ERCOT zones and include:
- Monthly Day Ahead Off-Peak 7×8 Power
- Monthly Day Ahead Off-Peak 2×16 Power
- Monthly Real Time Off-Peak 7×8 Power
- Monthly Real Time Off-peak 2×16 Power
These contracts will be available for current month plus 68 months forward.
“With this new offering, Nodal Exchange is responding to the unique trading needs of the ERCOT market by offering a more granular approach to managing off-peak hours.” said Paul Cusenza, Chief Executive Officer of Nodal Exchange. “We are pleased to be able to meet the long term hedging needs of the ERCOT market with these cleared monthly 2×16 (weekends and holidays, 16 daytime hours per day) and monthly 7×8 (7 days per week, 8 nighttime hours per day) contracts.”
Alberto Pravettoni, Managing Director, LCH.Clearnet said: “Our commitment to continually providing innovative solutions to maximise value for our customers is amply demonstrated by the enhanced off-peak contract offering. Together with Nodal Exchange, we enable them to take full advantage of the flexibility that such a granular market offers, whilst also enjoying the benefits that clearing brings.”
Since its launch in 2009, Nodal Exchange has introduced over 3,800 cleared power contracts with over 70,000 expiries offering the largest product set of cleared contracts for power basis trading. In addition, the company also offers a contract on Henry Hub for natural gas. All Nodal Exchange contracts are financially settled.
About Nodal Exchange, LLC
Nodal Exchange is the first commodities exchange dedicated to offering locational (nodal) futures contracts and related services to participants in the organized North American electric power markets. Nodal Exchange builds on the success of the existing Regional Transmission Organization/Independent System Operator (RTO/ISO) Day Ahead and Real Time markets by offering cash-settled futures contracts in a cleared market enabling Nodal Exchange participants to effectively manage basis and credit risk. Daily auctions are held on over 90 key locations and weekly auctions on over 1,800 hubs, zones and nodes. The Nodal Exchange platform also accepts for clearing over the-counter (OTC) cash settled trades for power and natural gas contracts submitted by participants and brokers. Nodal Exchange is an independent, privately held company. For more information, visit nodalexchange.com.