SUBMISSION COVER SHEET

IMPORTANT: Check box if Confidential Treatment is requested 

Registered Entity Identifier Code (optional): 23-113

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): 02/27/23 Filing Description: Delisting of Thirteen (13) Canadian 

Crude Oil Futures and Options Contracts

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: 

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

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: See filing.

Rule Numbers: See filing.
300 Vesey Street New York, NY 10282 T 212 299 2200 F 212 301 4645 christopher.bowen@cmegroup.com cmegroup.com

1

Christopher Bowen 

Managing Director and Chief Regulatory Counsel

Legal Department

February 27, 2023

VIA ELECTRONIC PORTAL

Mr. Christopher J. Kirkpatrick

Office of the Secretariat

Commodity Futures Trading Commission

Three Lafayette Centre

1155 21st Street, N.W.

Washington, D.C. 20581

Re: CFTC Regulation 40.6(a) Certification. Delisting of Thirteen (13) Canadian Crude Oil 

Futures and Options Contracts.

NYMEX Submission No. 23-113

Dear Mr. Kirkpatrick:

New York Mercantile Exchange, Inc. (“NYMEX” or “Exchange”) is certifying to the Commodity Futures 

Trading Commission (“CFTC” or “Commission”) the delisting of the thirteen (13) Canadian Crude Oil futures 

and options contracts as set forth in the table below (the “Contracts”) effective immediately. There is no 

open interest in the Contracts. 

Contract Title

CME 

Globex 

and

CME 

ClearPort 

Code

Rulebook 

Chapter

Hardisty Western Canadian Select (NE2) Monthly Index Futures WCW 982

Edmonton Light Sweet (NE2) Monthly Index Futures LSW 983

Edmonton Synthetic Sweet (NE2) Monthly Index Futures SSW 984

Western Canadian Select (WCS) Crude Oil Futures WCE 1108

Hardisty Western Canadian Select (NE2) Monthly Index Average Price 

Option WCI 1151

Western Canadian Select (WCS) Crude Oil Option WCO 1212

Dakota Access Bakken (NE2) Monthly Index Futures DAB 1296

Guernsey Light Sweet (NE2) Monthly Index Futures GSW 1297

Clearbrook Bakken Sweet (NE2) Monthly Index Futures CSW 1298

Edmonton C5+ Condensate (NE2) Monthly Index Futures CC5 1299

Edmonton Synthetic Sweet (NE2) Monthly Index Average Price Option SSO 1306

Edmonton Light Sweet (NE2) Monthly Index Average Price Option SWO 1307

Edmonton C5+ Condensate (NE2) Monthly Index Average Price Option CCO 1308

The Contracts are being delisted from the CME Globex electronic trading platform (“CME Globex”) and 

CME ClearPort, the venues on which they were previously listed.
300 Vesey Street New York, NY 10282 T 212 299 2200 F 212 301 4645 christopher.bowen@cmegroup.com cmegroup.com

2

The Exchange previously amended the listing schedule for the NE2 futures and options contracts and 

suspended trading and clearing of certain previously listed contract months of the Contracts. See NYMEX 

Submission No. 22-477, dated November 1, 2022.

Exhibit A provides amendments to NYMEX Rulebook Chapters in blackline format.

As a result of the delisting, information regarding the Contracts has been deleted from the respective 

product rulebook chapters, related position limits in the Position Limit, Position Accountability and 

Reportable Level Table located in the Interpretations and Special Notices Section of Chapter 5 (“Trading 

Qualifications and Practices”) of the NYMEX Rulebook (the “Table”), the CME Globex non-reviewable 

ranges located in Rule 588.H. of the NYMEX Rulebook, and the list of block-eligible products located on 

the CME Group website. The Table is attached under separate cover, in blackline format, as Exhibit B.

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

the Commodity Exchange Act (“CEA” or “Act”) and identified that the following Core Principles may be 

impacted by this initiative as follows:

• Emergency Authority: There is no open interest in the Contracts, and therefore there will be no 

market disruption related to the delisting. 

• Availability of General Information: The Exchange will make publicly available the details of the 

delisting by publishing a Special Executive Report (“SER”) to the marketplace. The SER will be 

available on CME Group’s website.

Pursuant to Section 5c(c) of the Act and CFTC Regulation 40.6(a), the Exchange hereby certifies that the 

delisting of the Contracts complies with the Act, including regulations under the Act. There were no 

substantive opposing views to this proposal.

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.

Should you have any questions concerning the above, please e-mail 

CMEGSubmissionInquiry@cmegroup.com or contact the undersigned at (212) 299-2200. 

Sincerely,

/s/ Christopher Bowen

Managing Director and Chief Regulatory Counsel

Attachments: Exhibit A - Amendments to NYMEX Rulebook Chapters (blackline format) 

Exhibit B - Position Limit, Position Accountability, and Reportable Level Table in Chapter 

 5 of the NYMEX Rulebook (attached under separate cover) (blackline format) 
3

EXHIBIT A

NYMEX Rulebook

(deletions struck through)

Chapter 982

Hardisty Western Canadian Select (NE2) Monthly Index Futures

982100. SCOPE OF CHAPTER

The provisions of these rules shall apply to all contracts bought or sold on the Exchange for cash 

settlement based on the Index Price. The procedures for trading, clearing and cash settlement of this 

contract, and any other matters not specifically covered herein shall be governed by the general rules 

of the Exchange. 

982101. CONTRACT SPECIFICATIONS

The Index Price for each contract month is equal to the NE2 Canadian Monthly Index (CMI) for WCS 

Hardisty during the Index Pricing Period for the contract month. The Index Pricing Period shall extend 

from the first Canadian business day of the month through the last Canadian business day prior to 

Notice of Shipments (NOS) date on the Enbridge Pipeline. The Index is expressed as a differential 

versus the Calendar Month Average (CMA) of the NYMEX Light Sweet Crude Oil futures settlement 

price.

982102. TRADING SPECIFICATIONS

The number of months open for trading at a given time shall be determined by the Exchange.

982102.A. Trading Schedule

The hours of trading for this contract shall be determined by the Exchange.

982102.B. Trading Unit

The contract quantity shall be 1,000 U.S. barrels. Each contract shall be valued as the contract 

quantity (1000) multiplied by the settlement price.

982102.C. Price Increments

Prices shall be quoted in U.S. dollars and cents per barrel. The minimum price fluctuation shall

be $0.001 per barrel. There shall be no maximum price fluctuation.

982102.D. Position Limits, Exemptions, Position Accountability and Reportable Levels 

The applicable position limits and/or accountability levels, in addition to the reportable levels, are set 

forth in the Position Limit, Position Accountability and Reportable Level Table in the Interpretations 

& Special Notices Section of Chapter 5. 

A Person seeking an exemption from position limits for bona fide commercial purposes shall apply 

to the Market Regulation Department on forms provided by the Exchange, and the Market Regulation 

Department may grant qualified exemptions in its sole discretion.

Refer to Rule 559 for requirements concerning the aggregation of positions and allowable 

exemptions from the specified position limits.

982102.E. Termination of Trading

Trading shall cease one Canadian business day prior to the Notice of Shipments (NOS) date on the 

Enbridge Pipeline. The NOS date occurs on or about the 20th calendar day of the month, subject to 

confirmation by Enbridge Pipeline. The official schedule for the NOS dates will be made publicly 

available by Enbridge.

982103. FINAL SETTLEMENT 

Final settlement under the contract shall be by cash settlement. Final settlement, following 

termination of trading for a contract month, will be based on the Index Price. The final settlement 

price will be the Index calculated for each contract month. 
4

Chapter 983

Edmonton Light Sweet (NE2) Monthly Index Futures

983100. SCOPE OF CHAPTER

The provisions of these rules shall apply to all contracts bought or sold on the Exchange for cash 

settlement based on the Index Price. The procedures for trading, clearing and cash settlement of this 

contract, and any other matters not specifically covered herein shall be governed by the general rules 

of the Exchange. 

983101. CONTRACT SPECIFICATIONS

The Index Price for each contract month is equal to the NE2 Canadian Monthly Index (CMI) for SW 

Edmonton during the Index Pricing Period for the contract month. The Index Pricing Period shall 

extend from the first Canadian business day of the month through the last Canadian business day 

prior to Notice of Shipments (NOS) date on the Enbridge Pipeline. The Index is expressed as a 

differential versus the Calendar Month Average (CMA) of the NYMEX Light Sweet Crude Oil futures 

settlement price.

983102. TRADING SPECIFICATIONS

The number of months open for trading at a given time shall be determined by the Exchange.

983102.A. Trading Schedule

The hours of trading for this contract shall be determined by the Exchange.

983102.B. Trading Unit

The contract quantity shall be 1,000 U.S. barrels. Each contract shall be valued as the contract 

quantity (1000) multiplied by the settlement price.

983102.C. Price Increments

Prices shall be quoted in U.S. dollars and cents per barrel. The minimum price fluctuation shall

be $0.001 per barrel. There shall be no maximum price fluctuation.

983102.D. Position Limits, Exemptions, Position Accountability and Reportable Levels 

The applicable position limits and/or accountability levels, in addition to the reportable levels, are set 

forth in the Position Limit, Position Accountability and Reportable Level Table in the Interpretations 

& Special Notices Section of Chapter 5. 

A Person seeking an exemption from position limits for bona fide commercial purposes shall apply 

to the Market Regulation Department on forms provided by the Exchange, and the Market Regulation 

Department may grant qualified exemptions in its sole discretion.

Refer to Rule 559 for requirements concerning the aggregation of positions and allowable 

exemptions from the specified position limits.

983102.E. Termination of Trading

Trading shall cease one Canadian business day prior to the Notice of Shipments (NOS) date on the 

Enbridge Pipeline. The NOS date occurs on or about the 20th calendar day of the month, subject to 

confirmation by Enbridge Pipeline. The official schedule for the NOS dates will be made publicly 

available by Enbridge.

983103. FINAL SETTLEMENT 

Final settlement under the contract shall be by cash settlement. Final settlement, following 

termination of trading for a contract month, will be based on the Index Price. The final settlement 

price will be the Index calculated for each contract month. 
5

Chapter 984

Edmonton Synthetic Sweet (NE2) Monthly Index Futures

984100. SCOPE OF CHAPTER

The provisions of these rules shall apply to all contracts bought or sold on the Exchange for cash 

settlement based on the Index Price. The procedures for trading, clearing and cash settlement of this 

contract, and any other matters not specifically covered herein shall be governed by the general rules 

of the Exchange. 

984101. CONTRACT SPECIFICATIONS

The Index Price for each contract month is equal to the NE2 Canadian Monthly Index (CMI) for SYN 

+ Edmonton during the Index Pricing Period for the contract month. The Index Pricing Period shall 

extend from the first Canadian business day of the month through the last Canadian business day 

prior to Notice of Shipments (NOS) date on the Enbridge Pipeline. The Index is expressed as a 

differential versus the Calendar Month Average (CMA) of the NYMEX Light Sweet Crude Oil futures 

settlement price.

984102. TRADING SPECIFICATIONS

The number of months open for trading at a given time shall be determined by the Exchange.

984102.A. Trading Schedule

The hours of trading for this contract shall be determined by the Exchange.

984102.B. Trading Unit

The contract quantity shall be 1,000 U.S. barrels. Each contract shall be valued as the contract 

quantity (1000) multiplied by the settlement price.

984102.C. Price Increments

Prices shall be quoted in U.S. dollars and cents per barrel. The minimum price fluctuation shall

be $0.001 per barrel. There shall be no maximum price fluctuation.

984102.D. Position Limits, Exemptions, Position Accountability and Reportable Levels 

The applicable position limits and/or accountability levels, in addition to the reportable levels, are set 

forth in the Position Limit, Position Accountability and Reportable Level Table in the Interpretations 

& Special Notices Section of Chapter 5. 

A Person seeking an exemption from position limits for bona fide commercial purposes shall apply 

to the Market Regulation Department on forms provided by the Exchange, and the Market Regulation 

Department may grant qualified exemptions in its sole discretion.

Refer to Rule 559 for requirements concerning the aggregation of positions and allowable 

exemptions from the specified position limits.

984102.E. Termination of Trading

Trading shall cease one Canadian business day prior to the Notice of Shipments (NOS) date on the 

Enbridge Pipeline. The NOS date occurs on or about the 20th calendar day of the month, subject to 

confirmation by Enbridge Pipeline. The official schedule for the NOS dates will be made publicly 

available by Enbridge.

984103. FINAL SETTLEMENT 

Final settlement under the contract shall be by cash settlement. Final settlement, following 

termination of trading for a contract month, will be based on the Index Price. The final settlement 

price will be the Index calculated for each contract month. 
6

Chapter 1108

Western Canadian Select (WCS) Crude Oil Futures

1108100. SCOPE OF CHAPTER

This chapter is limited in application to Western Canadian Select (WCS) Crude Oil futures. The 

procedures for trading, clearing, delivery and settlement not specifically covered herein or in Chapter 

7 shall be governed by the general rules of the Exchange.

The provisions of these rules shall apply to all Western Canadian Select (WCS) crude oil bought or 

sold for future delivery in Hardisty, Alberta, Canada. 

The terms "seller" and "buyer" shall mean the seller of the physical product and the buyer of the 

physical product, respectively.

For purposes of these rules, unless otherwise specified, times referred to herein shall refer to and 

indicate New York time.

1108101. CONTRACT SPECIFICATIONS

The contract grade for delivery on futures contracts shall be a blend of heavy crude oil streams from 

Alberta, Canada meeting the grade and quality specifications for Western Canadian Select (“WCS”)

for and within the pipeline facilities of Husky Energy Inc. (including any successor in such capacity, 

“Husky”) at Hardisty, Alberta (“Hardisty”) and shall be deliverable in satisfaction of contract delivery 

obligations under these rules. The quality characteristics for WCS exhibit a five-year average for 

Density of 929.6 kilograms per cubic meter, 20.6 Degrees API for Gravity, and 3.46 weight percent 

for Sulfur content. The quality characteristics for WCS can be viewed at 

http://www.crudemonitor.ca./crude.php?acr=WCS. 

1108102. TRADING SPECIFICATIONS

Trading in Western Canadian Select (WCS) Crude Oil futures is regularly conducted in all calendar 

months. The number of months open for trading at a given time shall be determined by the Exchange.

1108102.A. Trading Schedule 

The hours for trading shall be determined by the Exchange.

1108102.B. Trading Unit 

The unit of trading shall be 1,000 U.S. barrels (42,000 U.S. gallons). All volumes shall be determined 

at 15 degrees Celsius (60 degrees Fahrenheit) in accordance with Husky’s standard operating 

procedures for in-line transfers of title to product within the facilities of Husky (as defined below) at 

Hardisty, and using a conversion factor for U.S. barrels to cubic meters of 6.29287 U.S. barrels per 

cubic meter.

1108102.C. Price Increments 

The minimum price fluctuation shall be $0.01 (1 cent) per barrel. Prices shall be quoted in U.S. 

dollars and cents per barrel. 

1108102.D. Position Limits, Exemptions, Position Accountability and Reportable Levels

The applicable position limits and/or accountability levels, in addition to the reportable levels, are set 

forth in the Position Limit, Position Accountability and Reportable Level Table in the Interpretations 

& Special Notices Section of Chapter 5. 

A Person seeking an exemption from position limits for bona fide commercial purposes shall apply 

to the Market Regulation Department on forms provided by the Exchange, and the Market Regulation 

Department may grant qualified exemptions in its sole discretion.

Refer to Rule 559 for requirements concerning the aggregation of positions and allowable 

exemptions from the specified position limits.

1108102.E. Termination of Trading 

No trades in Western Canadian Select (WCS) Crude Oil futures in the expiring contract month shall 

be made after one (1) Canadian business day prior to the Notice of Shipments (NOS) date 

established and made publicly available by Enbridge Pipelines Inc. (including any successor in such 

capacity, “Enbridge”) prior to the start of each calendar year under the Crude Petroleum Rules and 

Regulations (as amended, replaced or restated) for Enbridge’s Mainline System for the month 

preceding the delivery month. The NOS date occurs on or about the 20th calendar day of the month 

prior to the delivery month, subject to confirmation by Enbridge. Enbridge’s monthly nomination 

schedule establishing the NOS date for each month of each calendar year will be posted on the 
7

Exchange website as part of the termination of trading schedule. Enbridge’s monthly nomination 

schedule and the termination of trading schedule will be subject to amendment as permitted by 

Enbridge’s Crude Petroleum Rules and Regulations.

Any contracts remaining open after termination of trading must be either:

(a) Settled by delivery which shall take place no earlier than the first calendar day of the delivery 

month and shall be completed no later than the last calendar day of the delivery month, as 

determined by Husky in accordance with Husky’s standard operating procedures for in-line 

transfers of title to product within the facilities of Husky at Hardisty; or

(b) Liquidated by means of a bona fide Exchange for Related Position (“EFRP”) pursuant to Rule 

538. An EFRP is permitted in an expired futures contract until 3:30 p.m. on the last trade date 

of the expiring futures contract. An EFRP which establishes a futures position for either the buyer 

or the seller in an expired futures contract shall not be permitted following the termination of 

trading of an expired futures contract

1108103. INSPECTION 

Any inspection of product shall be conducted only in accordance with, and as permitted by, Husky’s 

standard operating procedures for in-line transfers of title to product within the facilities of Husky at 

Hardisty. All certificates and other documents issued by Husky evidencing the quantity, quality, 

grade, type and specifications of product delivered and transferred to buyer as recorded by Husky in 

accordance with such standard operating procedures of Husky shall be determinative and conclusive 

for all purposes under these rules and for the purposes of any contract under these rules.

1108104. DELIVERY 

All deliveries shall be made by in-line transfer of title to product to the buyer within the pipeline 

facilities of Husky at Hardisty without physical movement of product, free of all duties, liens, 

encumbrances, unpaid taxes, adverse claims, fees and other charges. 

All deliveries shall be made in accordance with all applicable laws and regulations, and in accordance 

with Husky’s standard operating procedures for in-line transfer of title to product within the facilities 

of Husky at Hardisty. 

The seller retains title to, and bears the risk of, loss for the product until, and the buyer assumes title 

to, and bears risk of, loss for the product as and after, the time of transfer of title, which shall be 

deemed to occur when the in-line transfer of title to the buyer is recorded by Husky in accordance 

with Husky’s standard operating procedures.

1108105. DELIVERY PROCEDURES 

1108105.A. Responsibilities of Clearing Members Having Open Long Positions 

1. Notice of Intention to Accept 

Exchange clearing members having open long positions shall provide the Clearing House with a 

Notice of Intention to Accept delivery by 4:00 p.m. on the final day of trading. The Notice of 

Intention to Accept must be in the form prescribed by the Exchange, and must be properly 

completed and indicate the name(s) of the buyer(s), the number of contracts to be accepted, 

and any additional information as may be required by the Exchange. 

2. Delivery Instructions

By 4:30 p.m. on the final day of trading, the buyer’s clearing member shall provide the seller’s clearing 

member and the Exchange with properly completed Delivery Instructions in the form prescribed 

by the Exchange. Such Delivery Instructions must include the following information: 

a. Name of seller’s clearing member; 

b. Tender Number

c. Number of contracts; 

d. Method of delivery (which must conform to Husky’s standard operating procedures for inline transfers of title to product within the facilities of Husky at Hardisty in effect with respect 

to the manner of delivery and the quantity to be delivered); and

e. Any additional information as may be required by the Exchange.

1108105.B. Responsibilities of Clearing Members Having Open Short Positions 

1. Notice of Intention to Deliver
8

Exchange clearing members having open short positions shall provide the Clearing House with a 

Notice of Intention to Deliver by 4:00 p.m. on the final day of trading. The Notice of Intention to 

Deliver must be in the form prescribed by the Exchange, and must be properly completed 

indicate the name(s) of the seller(s), the number of contracts to be delivered, and any additional 

information as may be required by the Exchange. 

2. Scheduling Notice 

As soon as possible following determination of scheduling, but no later than the last business day of 

the month preceding the delivery month, the seller’s clearing member shall provide the buyer’s 

clearing member and the Exchange with a Scheduling Notice in the form prescribed by the 

Exchange which must state the delivery time. 

1108105.C. Amendment of Delivery Instructions 

Notwithstanding the foregoing, at any time prior to the last business day of the month preceding the 

delivery month, the buyer and the seller may, by mutual agreement, elect to change the delivery 

terms with respect to the method of delivery (provided that the method of delivery must continue to 

conform to Husky’s standard operating procedures for in-line transfers of title to product within the 

facilities of Husky at Hardisty); or the timing of delivery. 

1108105.D. Final Settlement Price

The final settlement price shall be the basis for delivery. The final settlement price shall be expressed 

as a differential to the calendar month average of the NYMEX Light Sweet Crude Oil futures first 

nearby settlement price. 

1108105.E. Notice Day

The Clearing House shall allocate Delivery Notices and Notices of Intention to Accept by matching size 

of positions. The Clearing House shall provide copies of the notices to the respective clearing 

members on the final day of trading. The day on which the notices are provided to the clearing 

members shall be referred to as the Notice Day. 

1108105.F. Non-Transferable

The clearing member who receives a Delivery Notice or a Notice of Intention to Accept from the Clearing 

House shall be deemed to have agreed to accept or deliver product. Delivery Notices and Notices 

of Intention to Accept are not transferable. 

1108106. TIMING OF DELIVERY 

Delivery shall take place no earlier than the first calendar day of the delivery month and shall be completed 

no later than the last calendar day of the delivery month as determined by Husky in accordance with 

Husky’s standard operating procedures for in-line transfers of title to product within the facilities of 

Husky at Hardisty. 

Transfer of Title — The seller shall provide the buyer with any quantitative certificates and appropriate 

documents evidencing the transfer of title to the buyer as recorded by Husky in accordance with 

Husky’s standard operating procedures for in-line transfers of title to product within the facilities of 

Husky at Hardisty upon receipt of payment. 

The seller shall provide preliminary confirmation of title transfer at the time of delivery by facsimile or in 

electronic format, or other appropriate form of documentation confirming the transfer of title to 

product, if and as provided from Husky.

1108107. DELIVERY MARGIN AND PAYMENT 

1108107.A. Definitions

For purposes of this Section 107,

“Payment Date” shall mean the twenty-fifth day of the month following the delivery month, or if such 

date is a Saturday or an Exchange or a Canadian bank holiday other than Monday, payment shall 

be made on the preceding day which is not an Exchange or a Canadian bank holiday. If such day is 

a Sunday or an Exchange or Canadian bank holiday which occurs on a Monday, payment shall be 

made on the next day which is not an Exchange or a Canadian bank holiday. 

"Long" shall mean the customer of a long clearing member or the long clearing member if such 

clearing member is acting for their own account; 

"Short" shall mean the customer of a short clearing member or the short clearing member if such 

member is acting for their own account.

1108107.B. Margin
9

On the third business day following the last day of trading, the clearing member shall obtain from any 

buyer margin equal to the full value of the product to be delivered and the clearing member shall 

obtain from any seller margin in an amount fixed, from time to time, by the Exchange. 

The buyer’s clearing member and the seller’s clearing member shall deposit with the Clearing House 

margins in such amounts and in such form as required by the Exchange. Such margins shall be 

returned on the business day following notification to the Exchange that delivery and payment have 

been completed.

1108107.C. Payment

No later than 12:00 p.m. on the third business day prior to the Payment Date, the seller shall advise 

its clearing member of the name and address of the bank, and the name of the account to which 

payment shall be made. The clearing member shall advise the opposite clearing member who shall 

advise the buyer. On the Payment Date, the buyer shall pay the short contract value by federal funds 

wire transfer to the account of the seller at the bank nominated by the seller. The term "contract 

value" shall mean the amount equal to the settlement price on the last day of trading in a futures 

contract times one thousand (1,000) times the number of contracts to be delivered.

No later than 12:00 p.m. on the Payment Date, the buyer shall advise its clearing member of the 

federal funds wire transfer number and the name of the sending bank. The clearing member 

representing the buyer shall advise the opposite clearing member who shall similarly advise the 

seller. 

No later than the business day following the Payment Date, the seller shall advise its clearing member 

of receipt of payment, who shall deliver a notice of payment to the clearing member representing the 

buyer and the Clearing House. Upon receipt of such notice, the delivery shall be complete.

Any payment made on the Payment Date shall be based on volume actually delivered as determined 

by Husky in accordance with Husky’s standard operating procedures for in-line transfers of title to 

product within the facilities of Husky at Hardisty. All quantitative certificates and other documents 

issued by Husky evidencing the transfer of title to the buyer as recorded by Husky in accordance with 

Husky’s standard operating procedures shall be determinative and conclusive for these purposes. If 

quantitative results are unavailable prior to the time established in these rules for payment of product, 

a pro-forma payment based on 1,000 U.S. barrels per contract shall be made. Similarly, if the quality 

inspection is unavailable, a pro-forma payment based on par qualities shall be made. Payment 

adjustments based on the actual quantity or quality transferred shall be completed by 12:00 p.m. on 

the fifth business day after initial payment. 

The seller shall be responsible for all royalties, charges, fees, duties, taxes and excises (each and 

collectively, “Governmental Charges”) levied, assessed or imposed by any governmental authority 

before title to product is transferred to the buyer, and the buyer shall be responsible for all 

Governmental Charges levied, assessed or imposed by any governmental authority as or after title 

to product is transferred to the buyer pursuant to any futures contract under these rules. Subject to 

the foregoing, any Government Charge that is levied, assessed or imposed by any governmental 

authority on the transaction pursuant to any futures contract under these rules or that is levied, 

assessed or imposed on, or measured by, the settlement price of or the proceeds of sale from a 

futures contract under these rules (other than any income tax) is not included in the settlement price 

payable by the buyer, and the buyer shall be responsible for all such applicable Governmental 

Charges, furnish the seller with satisfactory certificates evidencing any exemption claimed by the 

buyer from any such applicable Governmental Charges, and reimburse the seller for any such 

applicable Governmental Charges paid by the seller.

1108108. VALIDITY OF DOCUMENTS 

The Exchange makes no representation respecting the authenticity, validity or accuracy of any 

inspection certificate, Notice of Intention to Deliver, Notice of Intention to Accept, check or any 

document or instrument delivered pursuant to these rules. 

1108109. ALTERNATIVE DELIVERY PROCEDURES

A seller and buyer matched by the Exchange under Section 105.E. may agree to make and take 

delivery under terms or conditions which differ from the terms and conditions prescribed by this 

Chapter. In such a case, clearing members shall execute an Alternative Notice of Intention to Deliver 

on the form prescribed by the Exchange and shall deliver a completed and executed copy of such 

notice to the Exchange. The delivery of an executed Alternative Notice of Intention to Deliver to the 

Exchange shall release the clearing members and the Exchange from their respective obligations 

under the rules of this Chapter and any other rules regarding physical delivery. 
10

In executing such notice, clearing members shall indemnify the Exchange against any liability, cost 

or expense the Exchange may incur for any reason as a result of the execution, delivery, or 

performance of such contracts or such agreement, or any breach thereof or default thereunder. Upon 

receipt of an executed Alternative Notice of Intention to Deliver, the Exchange will return to the 

clearing members all margin monies held for the account of each with respect to the contracts 

involved.
11

Chapter 1151

Hardisty Western Canadian Select (NE2) Monthly Index Average Price Option

1151100. SCOPE OF CHAPTER

This chapter is limited in application to put and call options on Hardisty Western Canadian Select 

(NE2) Monthly Index Futures. In addition to the rules of this chapter, transactions in options on 

Hardisty Western Canadian Select (NE2) Monthly Index Futures shall be subject to the general rules 

of the Exchange insofar as applicable.

1151101. OPTION CHARACTERISTICS

The number of months open for trading at a given time shall be determined by the Exchange.

1151101.A. Trading Schedule

The hours of trading for this contract shall be determined by the Exchange.

1151101.B. Trading Unit

The Call Option traded on the Exchange represents the differential between the final settlement price 

of the underlying Hardisty Western Canadian Select (NE2) Monthly Index Futures less the strike 

price, or zero whichever is greater, multiplied by 1,000 barrels. A Put Option represents the 

differential between the strike price and the final settlement price of the underlying Hardisty Western

Canadian Select (NE2) Monthly Index Futures, or zero, whichever is greater, multiplied by 1,000

barrels.

1151101.C. Price Increments

Prices shall be quoted in dollars and cents per barrel and prices shall be in multiples of $0.001 per 

barrel. The minimum price increment will be $0.001.

1151101.D. Position Limits, Exemptions, Position Accountability and Reportable Levels

The applicable position limits and/or accountability levels, in addition to the reportable levels, are set 

forth in the Position Limit, Position Accountability and Reportable Level Table in the Interpretations 

& Special Notices Section of Chapter 5. 

A Person seeking an exemption from position limits for bona fide commercial purposes shall apply 

to the Market Regulation Department on forms provided by the Exchange, and the Market Regulation 

Department may grant qualified exemptions in its sole discretion. Refer to Rule 559 for requirements 

concerning the aggregation of positions and allowable exemptions from the specified position limits.

1151101.E. Termination of Trading

The option contract shall expire along with the underlying Hardisty Western Canadian Select (NE2) 

Monthly Index Futures contract. Trading of the underlying futures ceases one Canadian business 

day prior to the Notice of Shipments (NOS) date on the Enbridge Pipeline. The NOS date occurs on 

or about the 20th calendar day of the month, subject to confirmation by Enbridge Pipeline. The official 

schedule for the NOS dates will be made publicly available by Enbridge Pipeline prior to the start of 

each year, and will be posted on the Exchange website as part of the termination schedule.

1151101.F. Type Option

The option is a European-style option which can be exercised only on the expiration day.

1151102. EXERCISE PRICES AND CHARACTERISTICS

Transactions shall be conducted for option contracts as set forth in Rule 300.20.

.
12

Chapter 1212

Western Canadian Select (WCS) Crude Oil Option

1212100. SCOPE OF CHAPTER

This chapter is limited in application to put and call options on Western Canadian Select (WCS) 

Crude Oil futures contracts. In addition to the rules of this chapter, transactions in options on Western 

Canadian Select (WCS) Crude Oil futures shall be subject to the general rules of the Exchange 

insofar as applicable.

1212101. OPTION CHARACTERISTICS

The number of months open for trading at a given time shall be determined by the Exchange.

1212101.A. Trading Schedule

The hours of trading for this contract shall be determined by the Exchange.

1212101.B. Trading Unit

A Western Canadian Select (WCS) Crude Oil Call Option traded on the Exchange represents an 

option to assume a long position in the underlying Western Canadian Select (WCS) Crude Oil futures 

contract at the strike price. A Western Canadian Select (WCS) Crude Oil Put Option traded on the 

Exchange represents an option to a short position in the underlying Western Canadian Select (WCS) 

Crude Oil futures contract at the strike price.

1212101.C. Price Increments

Prices shall be quoted in dollars and cents per barrel. The minimum price increment shall be $0.01

per barrel.

1212101.D. Position Limits and Position Accountability

For purposes of calculating compliance with position limits, each contract will be aggregated with 

positions held in Western Canadian Select (WCS) Crude Oil futures. Each position in the contract 

will be calculated as a single position in the Western Canadian Select (WCS) Crude Oil futures 

contract.

In accordance with Rule 559, no person shall own or control positions in excess of 1,000 contracts 

net long or net short in the spot month. 

In accordance with Rule 560:

1. the all-months accountability level shall be 10,000 futures-equivalent contracts net long or net 

short in all months combined;

2. the any-one month accountability level shall be 10,000 futures-equivalent contracts net long or 

net short in any single contract month excluding the spot month. 

Refer to Rule 559 for requirements concerning the aggregation of positions and allowable 

exemptions from the specified position limits.

1212101.E. Termination of Trading

The option contract shall expire at the close of trading three business days prior to the expiration of 

the underlying Western Canadian Select (WCS) Crude Oil futures contract.

1212101.F. Type Option

The option is an American-style option which can be exercised on any business day prior to and on 

the expiration day.

1212102. EXERCISE PRICES AND CHARACTERISTICS

Transactions shall be conducted for option contracts as set forth in Rule 300.20.
13

Chapter 1296

Dakota Access Bakken (NE2) Monthly Index Futures

1296100. SCOPE OF CHAPTER

The provisions of these rules shall apply to all futures contracts bought or sold on the Exchange for 

cash settlement based on the Index Price. The procedures for trading, clearing and cash settlement 

of this contract, and any other matters not specifically covered herein shall be governed by the 

general rules of the Exchange.

1296101. CONTRACT SPECIFICATIONS

The Index Price for each contract month is equal to the NE2 Canadian Monthly Index (CMI) for BakDAPL during the Index Pricing Period for the contract month. The Index Pricing Period shall extend 

from the first Canadian business day of the month through the last Canadian business day prior to 

Notice of Shipments (NOS) date on the Enbridge Pipeline. The Index is expressed as a differential 

versus the Calendar Month Average (CMA) of the NYMEX Light Sweet Crude Oil futures settlement 

price.

1296102. TRADING SPECIFICATIONS

The number of months open for trading at a given time shall be determined by the Exchange.

1296102.A. Trading Schedule

The hours of trading for this contract shall be determined by the Exchange.

1296102.B. Trading Unit

The contract quantity shall be 1,000 U.S. barrels. Each contract shall be valued as the contract 

quantity (1,000) multiplied by the settlement price.

1296102.C. Price Increments

Prices shall be quoted in U.S. dollars and cents per barrel. The minimum price fluctuation shall

be $0.001 per barrel. There shall be no maximum price fluctuation.

1296102.D. Position Limits, Exemptions, Position Accountability and Reportable Levels 

The applicable position limits and/or accountability levels, in addition to the reportable levels, are set 

forth in the Position Limit, Position Accountability and Reportable Level Table in the Interpretations 

& Special Notices Section of Chapter 5. 

A Person seeking an exemption from position limits for bona fide commercial purposes shall apply 

to the Market Regulation Department on forms provided by the Exchange, and the Market Regulation 

Department may grant qualified exemptions in its sole discretion.

Refer to Rule 559 for requirements concerning the aggregation of positions and allowable 

exemptions from the specified position limits.

1296102.E. Termination of Trading

Trading shall cease one Canadian business day prior to the Notice of Shipments (NOS) date on the 

Enbridge Pipeline. The NOS date occurs on or about the 20th calendar day of the month, subject to 

confirmation by Enbridge Pipeline. The official schedule for the NOS dates will be made publicly 

available by Enbridge.

1296103. FINAL SETTLEMENT

Final Settlement under the contract shall be by cash settlement. Final settlement, following 

termination of trading for a contract month, will be based on the Floating Price. The final settlement 

price will be the Floating Price calculated for each contract month.

Final settlement under the contract shall be by cash settlement. Final settlement, following 

termination of trading for a contract month, will be based on the Index Price. The final settlement 

price will be the Index calculated for each contract month. 
14

Chapter 1297

Guernsey Light Sweet (NE2) Monthly Index (Net Energy) Futures

1297100. SCOPE OF CHAPTER

The provisions of these rules shall apply to all contracts bought or sold on the Exchange for cash 

settlement based on the Index Price. The procedures for trading, clearing and cash settlement of this 

contract, and any other matters not specifically covered herein shall be governed by the general rules 

of the Exchange. 

1297101. CONTRACT SPECIFICATIONS

The Index Price for each contract month is equal to the NE2 US Monthly Index (USMI) for Lt. SW 

Guernsey during the Index Pricing Period for the contract month. The Index Pricing Period shall 

extend from the first business day after the 25th calendar day two months prior to the contract month 

through the last business day that falls on or before the 25th calendar day of the month prior to the 

contract month. If the 25th calendar day is a weekend or holiday, the Trade month period shall end 

on the first business day prior to the 25th calendar day. The Index is expressed as a differential 

versus the Calendar Month Average (CMA) of the NYMEX Light Sweet Crude Oil futures settlement 

price.

1297102. TRADING SPECIFICATIONS

The number of months open for trading at a given time shall be determined by the Exchange.

1297102.A. Trading Schedule

The hours of trading for this contract shall be determined by the Exchange.

1297102.B. Trading Unit

The contract quantity shall be 1,000 U.S. barrels. Each contract shall be valued as the contract 

quantity (1000) multiplied by the settlement price.

1297102.C. Price Increments

Prices shall be quoted in U.S. dollars and cents per barrel. The minimum price fluctuation shall

be $0.001 per barrel. There shall be no maximum price fluctuation.

1297102.D. Position Limits, Exemptions, Position Accountability and Reportable Levels 

The applicable position limits and/or accountability levels, in addition to the reportable levels, are set 

forth in the Position Limit, Position Accountability and Reportable Level Table in the Interpretations 

& Special Notices Section of Chapter 5. 

A Person seeking an exemption from position limits for bona fide commercial purposes shall apply 

to the Market Regulation Department on forms provided by the Exchange, and the Market Regulation 

Department may grant qualified exemptions in its sole discretion.

Refer to Rule 559 for requirements concerning the aggregation of positions and allowable 

exemptions from the specified position limits.

1297102.E. Termination of Trading

Trading shall cease at the close of trading on the last business day that falls on or before the 25th 

calendar day of the month prior to the contract month. If the 25th calendar day is a weekend or 

holiday, trading shall cease on the first business day prior to the 25th calendar day.

1297103. FINAL SETTLEMENT 

Final settlement under the contract shall be by cash settlement. Final settlement, following 

termination of trading for a contract month, will be based on the Index Price. The final settlement 

price will be the Index calculated for each contract month. 
15

Chapter 1298

Clearbrook Bakken Sweet (NE2) Monthly Index Futures

1298100. SCOPE OF CHAPTER

The provisions of these rules shall apply to all contracts bought or sold on the Exchange for cash 

settlement based on the Index Price. The procedures for trading, clearing and cash settlement of this 

contract, and any other matters not specifically covered herein shall be governed by the general rules 

of the Exchange. 

1298101. CONTRACT SPECIFICATIONS

The Index Price for each contract month is equal to the NE2 Canadian Monthly Index (CMI) for UHC 

Clearbrook during the Index Pricing Period for the contract month. The Index Pricing Period shall 

extend from the first Canadian business day of the month through the last Canadian business day 

prior to Notice of Shipments (NOS) date on the Enbridge Pipeline. The Index is expressed as a 

differential versus the Calendar Month Average (CMA) of the NYMEX Light Sweet Crude Oil futures 

settlement price.

1298102. TRADING SPECIFICATIONS

The number of months open for trading at a given time shall be determined by the Exchange.

1298102.A. Trading Schedule

The hours of trading for this contract shall be determined by the Exchange.

1298102.B. Trading Unit

The contract quantity shall be 1,000 U.S. barrels. Each contract shall be valued as the contract 

quantity (1000) multiplied by the settlement price.

1298102.C. Price Increments

Prices shall be quoted in U.S. dollars and cents per barrel. The minimum price fluctuation shall

be $0.001 per barrel. There shall be no maximum price fluctuation.

1298102.D. Position Limits, Exemptions, Position Accountability and Reportable Levels 

The applicable position limits and/or accountability levels, in addition to the reportable levels, are set 

forth in the Position Limit, Position Accountability and Reportable Level Table in the Interpretations 

& Special Notices Section of Chapter 5. 

A Person seeking an exemption from position limits for bona fide commercial purposes shall apply 

to the Market Regulation Department on forms provided by the Exchange, and the Market Regulation 

Department may grant qualified exemptions in its sole discretion.

Refer to Rule 559 for requirements concerning the aggregation of positions and allowable 

exemptions from the specified position limits.

1298102.E. Termination of Trading

Trading shall cease one Canadian business day prior to the Notice of Shipments (NOS) date on the 

Enbridge Pipeline. The NOS date occurs on or about the 20th calendar day of the month, subject to 

confirmation by Enbridge Pipeline. The official schedule for the NOS dates will be made publicly 

available by Enbridge.

1298103. FINAL SETTLEMENT 

Final settlement under the contract shall be by cash settlement. Final settlement, following 

termination of trading for a contract month, will be based on the Index Price. The final settlement 

price will be the Index calculated for each contract month. 
16

Chapter 1299

Edmonton C5+ Condensate (NE2) Monthly Index Futures 

1299100. SCOPE OF CHAPTER

The provisions of these rules shall apply to all contracts bought or sold on the Exchange for cash 

settlement based on the Index Price. The procedures for trading, clearing and cash settlement of this 

contract, and any other matters not specifically covered herein shall be governed by the general rules 

of the Exchange. 

1299101. CONTRACT SPECIFICATIONS

The Index Price for each contract month is equal to the NE2 Canadian Monthly Index (CMI) for C5+ 

(CFT) Edmonton. The Index Pricing Period shall extend from the first Canadian business day of the 

month through the last Canadian business day prior to Notice of Shipments (NOS) date on the 

Enbridge Pipeline. The Index is expressed as a differential to the Calendar Month Average (CMA) of 

the NYMEX Light Sweet Crude Oil futures settlement price.

1299102. TRADING SPECIFICATIONS

The number of months open for trading at a given time shall be determined by the Exchange.

1299102.A. Trading Schedule

The hours of trading for this contract shall be determined by the Exchange.

1299102.B. Trading Unit

The contract quantity shall be 1,000 U.S. barrels. Each contract shall be valued as the contract 

quantity (1000) multiplied by the settlement price.

1299102.C. Price Increments

Prices shall be quoted in U.S. dollars and cents per barrel. The minimum price fluctuation shall

be $0.001 per barrel. There shall be no maximum price fluctuation.

1299102.D. Position Limits, Exemptions, Position Accountability and Reportable Levels 

The applicable position limits and/or accountability levels, in addition to the reportable levels, are set 

forth in the Position Limit, Position Accountability and Reportable Level Table in the Interpretations 

& Special Notices Section of Chapter 5. 

A Person seeking an exemption from position limits for bona fide commercial purposes shall apply 

to the Market Regulation Department on forms provided by the Exchange, and the Market Regulation 

Department may grant qualified exemptions in its sole discretion.

Refer to Rule 559 for requirements concerning the aggregation of positions and allowable 

exemptions from the specified position limits.

1299102.E. Termination of Trading

Trading shall cease one Canadian business day prior to the Notice of Shipments (NOS) date on the 

Enbridge Pipeline. The NOS date occurs on or about the 20th calendar day of the month, subject to 

confirmation by Enbridge Pipeline. The official schedule for the NOS dates will be made publicly 

available by Enbridge.

1299103. FINAL SETTLEMENT 

Final settlement under the contract shall be by cash settlement. Final settlement, following 

termination of trading for a contract month, will be based on the Index Price. The final settlement 

price will be the Index calculated for each contract month.
17

Chapter 1306

Edmonton Synthetic Sweet (NE2) Monthly Index Average Price Option

1306100. SCOPE OF CHAPTER

This chapter is limited in application to put and call options on Edmonton Synthetic Sweet (NE2) 

Monthly Index Futures contract. In addition to the rules of this chapter, transactions in options on 

Edmonton Synthetic Sweet (NE2) Monthly Index Futures shall be subject to the general rules of the 

Exchange insofar as applicable.

1306101. OPTION CHARACTERISTICS

The number of months open for trading at a given time shall be determined by the Exchange. 

1306101.A. Trading Schedule 

The hours of trading for this contract shall be determined by the Exchange. 

1306101.B. Trading Unit 

An Edmonton Synthetic Sweet (NE2) Monthly Index Average Price Option is a cash-settled option. 

On expiration of a call option, the value will be the difference between the settlement price of the 

underlying Edmonton Synthetic Sweet (NE2) Monthly Index Futures and the strike price multiplied 

by 1,000 barrels, or zero whichever is greater. On expiration of a put option, the difference between 

settlement price of the underlying Synthetic Sweet Oil (Net Energy) Monthly Index Futures and the 

strike price multiplied by 1,000 barrels, or zero whichever is greater.

1306101.C. Price Increments 

Prices shall be quoted in dollars and cents per barrel and prices shall be in multiples of $0.001 per 

barrel. The minimum price increment will be $0.001. 

1306101.D. Position Limits and Position Accountability 

The applicable position limits and/or accountability levels, in addition to the reportable levels, are set 

forth in the Position Limit, Position Accountability and Reportable Level Table in the Interpretations 

& Special Notices Section of Chapter 5. 

A Person seeking an exemption from position limits for bona fide commercial purposes shall apply 

to the Market Regulation Department on forms provided by the Exchange, and the Market Regulation 

Department may grant qualified exemptions in its sole discretion.

Refer to Rule 559 for requirements concerning the aggregation of positions and allowable 

exemptions from the specified position limits.

1306101.E. Termination of Trading 

The option contract shall expire along with the underlying Edmonton Synthetic Sweet (NE2) Monthly 

Index Futures contract. Trading shall cease one Canadian business day prior to the Notice of 

Shipments (NOS) date on the Enbridge Pipeline. The NOS date occurs on or about the 20th calendar 

day of the month, subject to confirmation by Enbridge Pipeline. The official schedule for the NOS 

dates will be made publicly available by Enbridge Pipeline prior to the start of each year, and will be 

posted on the Exchange website as part of the termination schedule. 

1306101.F. Type Option 

The option is a European-style option which can be exercised only on the expiration day. 

1306102. EXERCISE PRICES AND CHARACTERISTICS

Transactions shall be conducted for option contracts as set forth in Rule 300.20.

.
18

Chapter 1307

Edmonton Light Sweet (NE2) Monthly Index Average Price Option

1307100. SCOPE OF CHAPTER

This chapter is limited in application to put and call options on Edmonton Light Sweet (NE2) Monthly 

Index Futures contract. In addition to the rules of this chapter, transactions in options on Edmonton 

Light Sweet (NE2) Monthly Index Futures shall be subject to the general rules of the Exchange insofar 

as applicable.

1307101. OPTION CHARACTERISTICS

The number of months open for trading at a given time shall be determined by the Exchange. 

1307101.A. Trading Schedule 

The hours of trading for this contract shall be determined by the Exchange. 

1307101.B. Trading Unit 

An Edmonton Light Sweet (NE2) Monthly Index Average Price Option is a cash-settled option. On 

expiration of a call option, the value will be the difference between the settlement price of the 

underlying Edmonton Light Sweet (NE2) Monthly Index Futures and the strike price multiplied by 

1,000 barrels, or zero whichever is greater. On expiration of a put option, the difference between 

settlement price of the underlying Edmonton Light Sweet (NE2) Monthly Index Futures and the strike 

price multiplied by 1,000 barrels, or zero whichever is greater.

1307101.C. Price Increments 

Prices shall be quoted in dollars and cents per barrel and prices shall be in multiples of $0.001 per 

barrel. The minimum price increment will be $0.001. 

1307101.D. Position Limits and Position Accountability 

The applicable position limits and/or accountability levels, in addition to the reportable levels, are set 

forth in the Position Limit, Position Accountability and Reportable Level Table in the Interpretations 

& Special Notices Section of Chapter 5. 

A Person seeking an exemption from position limits for bona fide commercial purposes shall apply 

to the Market Regulation Department on forms provided by the Exchange, and the Market Regulation 

Department may grant qualified exemptions in its sole discretion.

Refer to Rule 559 for requirements concerning the aggregation of positions and allowable 

exemptions from the specified position limits.

1307101.E. Termination of Trading 

The option contract shall expire along with the underlying Edmonton Light Sweet (NE2) Monthly 

Index Futures contract. Trading shall cease one Canadian business day prior to the Notice of 

Shipments (NOS) date on the Enbridge Pipeline. The NOS date occurs on or about the 20th calendar 

day of the month, subject to confirmation by Enbridge Pipeline. The official schedule for the NOS 

dates will be made publicly available by Enbridge Pipeline prior to the start of each year, and will be 

posted on the Exchange website as part of the termination schedule. 

1307101.F. Type Option 

The option is a European-style option which can be exercised only on the expiration day. 

1307102. EXERCISE PRICES AND CHARACTERISTICS

Transactions shall be conducted for option contracts as set forth in Rule 300.20.
19

Chapter 1308

Edmonton C5+ Condensate (NE2) Monthly Index Average Price Option

1308100. SCOPE OF CHAPTER

This chapter is limited in application to put and call options on Edmonton C5+ Condensate (NE2) 

Monthly Index Futures contract. In addition to the rules of this chapter, transactions in options on 

Edmonton C5+ Condensate Monthly Index (NE2) Futures contract shall be subject to the general 

rules of the Exchange insofar as applicable.

1308101. OPTION CHARACTERISTICS

The number of months open for trading at a given time shall be determined by the Exchange. 

1308101.A. Trading Schedule 

The hours of trading for this contract shall be determined by the Exchange. 

1308101.B. Trading Unit 

An Edmonton C5+ Condensate (NE2) Monthly Index Average Price Option is a cash-settled option. 

On expiration of a call option, the value will be the difference between the settlement price of the 

underlying Edmonton C5+ Condensate (NE2) Monthly Index Futures and the strike price multiplied 

by 1,000 barrels, or zero whichever is greater. On expiration of a put option, the difference between 

settlement price of the Edmonton C5+ Condensate (NE2) Monthly Index Futures and the strike price 

multiplied by 1,000 barrels, or zero whichever is greater.

1308101.C. Price Increments 

Prices shall be quoted in dollars and cents per barrel and prices shall be in multiples of $0.001 per 

barrel. The minimum price increment will be $0.001. 

1308101.D. Position Limits and Position Accountability 

The applicable position limits and/or accountability levels, in addition to the reportable levels, are set 

forth in the Position Limit, Position Accountability and Reportable Level Table in the Interpretations 

& Special Notices Section of Chapter 5. 

A Person seeking an exemption from position limits for bona fide commercial purposes shall apply 

to the Market Regulation Department on forms provided by the Exchange, and the Market Regulation 

Department may grant qualified exemptions in its sole discretion.

Refer to Rule 559 for requirements concerning the aggregation of positions and allowable 

exemptions from the specified position limits.

1308101.E. Termination of Trading 

The option contract shall expire along with the underlying Edmonton C5+ Condensate (NE2) Monthly 

Index Futures contract. Trading shall cease one Canadian business day prior to the Notice of 

Shipments (NOS) date on the Enbridge Pipeline. The NOS date occurs on or about the 20th calendar 

day of the month, subject to confirmation by Enbridge Pipeline. The official schedule for the NOS 

dates will be made publicly available by Enbridge Pipeline prior to the start of each year, and will be 

posted on the Exchange website as part of the termination schedule. 

1308101.F. Type Option 

The option is a European-style option which can be exercised only on the expiration day. 

1308102. EXERCISE PRICES AND CHARACTERISTICS

Transactions shall be conducted for option contracts as set forth in Rule 300.20.
20

EXHIBIT B

NYMEX Rulebook

Chapter 5

(“Trading Qualifications and Practices”)

Position Limit, Position Accountability, and Reportable Level Table

(attached under separate cover)