DME announces launch date

The Dubai Mercantile Exchange (DME), the Middle East’s first energy futures exchange, will officially launch on May 1.

The DME, a joint venture between Tatweer and Nymex, also announced the completion of its state-of-the-art trading floor, which features the latest electronic trading technology.

The first three contracts to be traded on the DME’s electronic platform, DME Direct, will be the physically delivered Oman crude oil futures contract, and two financially settled contracts, a Brent-Oman spread and a WTI-Oman spread. Trading is expected to begin simultaneously at the following local times on May 1: 0600 Singapore, 0200 Dubai, 2300 London (previous day) and 1800 New York (previous day).

“The market response continues to be overwhelmingly positive, and all our efforts are now focused on the countdown to launch,” says Gary King, chief executive of the DME. “The regulatory approvals process is well advanced in Dubai as well as in key international jurisdictions. We have...unique contracts ready to trade as well as others under development, and membership and market-maker applications being received on a daily basis.”

Meanwhile, the DME, with ENOC Supply and Trading and Emirates Airline, continues to explore the potential development of a jet fuel futures contract, with a view to listing it later this year.