SUBMISSION COVER SHEET

IMPORTANT: Check box if Confidential Treatment is requested

Registered Entity Identifier Code (optional): 23-490

Organization: New York Mercantile Exchange, Inc. ("NYMEX")

Filing as a: DCM SEF DCO SDR 

Please note - only ONE choice allowed.

Filing Date (mm/dd/yy): December 29, 2023 Filing Description: Modifications to the 

NYMEX Gas Options Portfolio Program

SPECIFY FILING TYPE 

Please note only ONE choice allowed per Submission.

Organization Rules and Rule Amendments

Certification § 40.6(a)

Approval § 40.5(a)

Notification § 40.6(d)

Advance Notice of SIDCO Rule Change § 40.10(a)

SIDCO Emergency Rule Change § 40.10(h)

Rule Numbers: Not Applicable

New Product Please note only ONE product per Submission.

Certification § 40.2(a) 

Certification Security Futures § 41.23(a)

Certification Swap Class § 40.2(d)

Approval § 40.3(a)

Approval Security Futures § 41.23(b)

Novel Derivative Product Notification § 40.12(a)

Swap Submission § 39.5

Official Product Name: 

Product Terms and Conditions (product related Rules and Rule Amendments)

Certification § 40.6(a) 

Certification Made Available to Trade Determination § 40.6(a)

Certification Security Futures § 41.24(a)

Delisting (No Open Interest) § 40.6(a) 

Approval § 40.5(a)

Approval Made Available to Trade Determination § 40.5(a)

Approval Security Futures § 41.24(c)

Approval Amendments to enumerated agricultural products § 40.4(a), § 40.5(a)

“Non-Material Agricultural Rule Change” § 40.4(b)(5)

Notification § 40.6(d)

Official Name(s) of Product(s) Affected: 

Rule Numbers: 
20 S Wacker Dr Chicago, IL 60606 T 312 466 7478 tim.elliott@cmegroup.com cmegroup.com

Timothy Elliott

Managing Director and Chief Regulatory Counsel

Legal Department

December 29, 2023

VIA ELECTRONIC PORTAL

Christopher J. Kirkpatrick

Office of the Secretariat

Commodity Futures Trading Commission

Three Lafayette Centre

1155 21st Street, N.W.

Washington, DC 20581

RE: Modifications to the NYMEX Gas Options Portfolio Program

NYMEX Submission No. 23-490

Dear Mr. Kirkpatrick:

New York Mercantile Exchange, Inc. (“NYMEX” or “Exchange”) hereby notifies the Commodity Futures Trading 

Commission (“CFTC” or “Commission”) of plans to modify the NYMEX Gas Options Portfolio Program (“Program”). 

The modifications to the Program will become effective on February 1, 2024.

Exhibit 1 sets forth the terms of this Program. Modifications appear below, with additions underlined and deletions 

overstruck.

The Exchange reviewed the designated contract market core principles (“Core Principles”) as set forth in the 

Commodity Exchange Act (“CEA”). During the review, NYMEX staff identified the following Core Principles as 

potentially being impacted: Monitoring of Trading, Execution of Transactions, Protection of Market Participants, 

Compliance with Rules, Availability of General Information, and Recordkeeping.

The Program does not impact the Exchange’s ability to perform its trade practice and market surveillance obligations 

under the CEA and NYMEX market regulation staff will monitor trading in the Program’s products to prevent 

manipulative trading and market abuse. Additionally, NYMEX has implemented systems to track Program 

participants’ volume to ensure proper distribution of earned incentives. The products included in this Program are 

listed for trading in the open and competitive market. Participants in the Program will be selected by Exchange staff 

using criteria as further stated in Exhibit 1. Chapter 4 of the NYMEX rules includes prohibitions against fraudulent, 

non-competitive, unfair or abusive practices. All participants must execute a contractual agreement with NYMEX in 

which each participant will expressly agree to comply with and be subject to, applicable regulations and NYMEX 

rules. The Program is subject to the Exchange’s record retention policies which comply with the CEA. 

The Exchange certifies that the Program complies with the CEA and the regulations thereunder. There were no 

substantive opposing views to this Program.

The Exchange certifies that this submission has been concurrently posted on the Exchange’s website at 

http://www.cmegroup.com/market-regulation/rule-filings.html.

If you require any additional information regarding this submission, please e-mail 

CMEGSubmissionInquiry@cmegroup.com or contact Rachel Johnson at 312-466-4393 or via e-mail at 

Rachel.Johnson@cmegroup.com. Please reference our NYMEX Submission No. 23-490 in any related 

correspondence.

Sincerely,

/s/ Timothy Elliott

Managing Director and Chief Regulatory Counsel

Attachment: Exhibit 1
EXHIBIT 1

NYMEX Gas Options Portfolio Program

Program Purpose

The purpose of the Program is to build liquidity in NYMEX natural gas options products. The resulting 

increase in liquidity for these products benefits all participant segments in the market.

Product Scope 

All NYMEX natural gas options (“Products”).

Eligible Participants

There is no limit to the number of participants that may participate in the Program. Participants may be 

NYMEX members or non-members.

Program Term

Start date is February 1, 2020. End date is January 31, 2024 January 31, 2025.

Obligations

Participants must meet certain volume thresholds, as determined by the Exchange, in order to receive the 

incentives.

Incentives

Upon meeting all obligations, as determined by the Exchange, participants will be eligible to receive 

predetermined incentives.

Monitoring and Termination of Status

The Exchange shall monitor participants’ activity in the Products and retains the right to revoke participant 

status if it concludes from review that a participant no longer meets the requirements of the Program.