55 East 52nd Street 

New York, New York 10055 

 Submission No. 15-19 

 January 30, 2015 

Mr. Christopher J. Kirkpatrick 

Secretary of the Commission 

Office of the Secretariat 

Commodity Futures Trading Commission 

Three Lafayette Centre 

1155 21st Street, NW 

Washington, DC 20581 

Re: New Tennessee Zone 4 300L Swing Future and Related Amendments (6 of 6) 

 Submission Pursuant to Section 5c(c)(1) of the Act and Regulation 40.2 and 40.6(a) 

Dear Mr. Kirkpatrick: 

Pursuant to Commission Regulations 40.2 and 40.6(a), ICE Futures U.S., Inc. (“Exchange”) 

submits, by written certification, new Rules 18.A.161 through 18.A.166, Resolutions 1 and 2 of Chapter

18, and the Exchange’s Block Trade Procedures, which are codified in the Exchange’s Block Trade FAQ, 

as set forth in Exhibit A. The new rules and amendments provide for six new financial natural gas futures 

contracts, which will be listed on February 16, 2015. 

Transco Leidy 

The Exchange is listing three new futures contracts which supplement the existing 

Transcontinental Gas Pipe Line’s (“Transco”) contracts. The Transco pipeline delivers natural gas 

through an interstate transmission pipeline system, extending from South Texas to New York City. Leidy 

covers deliveries from the Clinton and Potter counties, Pennsylvania to Hunterdon County, N.J. The 

Transco Leidy Basis Future contract is a monthly cash settled Exchange futures contract based upon the

mathematical result of subtracting the price of the NYMEX Henry Hub Natural Gas Futures Contract 

from the monthly price published by Inside FERC for Transco Leidy. The Transco Leidy Swing Future 

contract is a daily cash settled Exchange Futures Contract based upon the daily price published by Gas

Daily for Transco Leidy. The Transco Leidy Index Future is a monthly cash settled Exchange Futures 

Contract based upon the mathematical result of subtracting the monthly price published by Inside FERC 

for Transco Leidy, from the average of the daily prices published by Gas Daily for Transco Leidy. 

Contract Name Contract 

Size 

Minimum 

Tick1

IPL 

Amount 

IPL 

Recalc 

Time 

(Seconds) 

IPL Hold 

Period 

(Seconds) 

NCR2 

Minimum 

Block 

Size 

Spot 

Month 

Position 

Limit 

Transco Leidy 

Basis Future 2,500 $0.0005 $4.00 3 5 

20% of 

Basis/Spread 

FMV up to 

0.05 

25 21,500 

 

1

 The minimum price fluctuation is either $0.0005 or $0.0010 for screen trades and $0.0001 for blocks and other 

trades outside the central limit order book. 

2

 NCR for the Transco Leidy Index Future contract is $0.04 during Bidweek (Prompt Month Only). 
Transco Leidy 

Swing Future 2,500 $0.0010 $4.00 3 5 0.05 25 21,500 

Transco Leidy 

Index Future 2,500 $0.0005 $0.20 3 5 0.02 25 21,500 

The listing cycle for the Transco Leidy Basis and Index Future contracts is up to 120 consecutive 

monthly contract periods. The listing cycle for the Transco Leidy Swing Future is up to 65 consecutive 

daily contract periods. Trading hours are 7:50PM to 6:05PM the next day. A Deliverable Supply 

Analysis detailing the methodology the Exchange used to determine the spot month position limits for the 

aforementioned contracts is attached hereto as Exhibit B. 

Tennessee Zone 4 

The Exchange is listing three new contracts to supplement the existing Tennessee Gas Pipeline 

Company (“TGP” or “Tennessee”) contracts. TGP is the owner of a pipeline that runs from the Gulf 

Coast to the Northeastern seaboard. TGP is divided into eight zones. Tennessee Zone 4 300 Leg includes 

deliveries from station 315 in Tioga County, Pa. to station 321 in Susquehanna County, Pa. The 

Tennessee Zone 4 300L Basis Future is a monthly cash settled Exchange Futures contracts based upon the

mathematical result of subtracting the price of the NYMEX Henry Hub Natural Gas Futures Contract 

from the monthly price published by Inside FERC for Tennessee Gas Pipeline Co., Zone 4 300 Leg. The 

Tennessee Zone 4 300L Swing Future contract is a daily cash settled Exchange Futures Contract based 

upon the daily price published by Gas Daily for Tennessee, Zone 4 300 Leg. Lastly, the Tennessee Zone 

4 300L Index Future is a monthly cash settled Exchange Futures contract based upon the mathematical 

result of subtracting the monthly price published by Inside FERC for Tennessee Gas Pipeline Co., Zone 4 

300 Leg, from the average of the daily prices published by Gas Daily for Tennessee, Zone 4 300 Leg. 

Contract Name 

Contract 

Size 

(MMBtu) 

Minimum 

Tick3

IPL 

Amount 

IPL 

Recalc 

Time 

(Seconds) 

IPL Hold 

Period 

(Seconds) 

NCR4 

Minimum 

Block 

Size 

Spot 

Month 

Position 

Limit 

Tennessee Zone 4 

300L Basis 

Future 

2,500 $0.0005 $4.00 3 5 

20% of 

Basis/Spread 

FMV up to 

0.05 

25 19,900 

Tennessee Zone 4 

300L Swing 

Future 

2,500 $0.0010 $4.00 3 5 0.05 25 19,900 

Tennessee Zone 4 

300L Index 

Future 

2,500 $0.0005 $0.20 3 5 0.02 25 19,900 

The listing cycle for the Tennessee Zone 4 300L Basis and Index contracts is up to 120 

consecutive monthly contract periods. The listing cycle for the Tennessee Zone 4 300L Swing contract is 

up to 65 consecutive daily contract periods. Trading hours are 7:50PM to 6:05PM the next day. A 

Deliverable Supply Analysis detailing the methodology the Exchange used to determine the spot month 

position limits for the aforementioned contracts is attached hereto as Exhibit B. 

 

3

 The minimum price fluctuation is either $0.0005 or $0.0010 for screen trades and $0.0001 for blocks and other 

trades outside the central limit order book. 

4

 NCR for the Tennessee Zone 4 300L Index Future is $0.04 during Bidweek (Prompt Month Only). 
Certifications 

The new rules and rule amendments will become effective with the listing of the new financial 

natural gas contracts on February 16, 2015. The Exchange is not aware of any substantive opposing 

views to the new financial natural gas contracts. The Exchange certifies that the rule amendments comply 

with the requirements of the Act and the rules and regulations promulgated thereunder. The Exchange 

has reviewed the designated contract market core principles ("Core Principles") as set forth in the Act and 

has determined that the listing of the contract complies with the following relevant Core Principles: 

COMPLIANCE WITH RULES 

The terms and conditions of the new financial natural gas futures contracts are set forth in new 

Rules 18.A.161 through 18.A.166, Resolutions 1 and 2 of Chapter 18, and the Exchange’s Block 

Trade Procedures, and will be enforced by the Exchange. In addition, trading of the contracts is 

subject to all relevant Exchange rules which are enforced by the Market Regulation Department. 

CONTRACTS NOT READILY SUBJECT TO MANIPULATION 

The new financial natural gas futures contracts are not readily subject to manipulation as they are 

based on established and liquid underlying cash markets. In addition, trading of the new 

contracts will be monitored by the Market Regulation Department. 

POSITION LIMITS OR ACCOUNTABILITY 

Positions in the new financial natural gas futures contracts will be subject to position limits set by

the Exchange. As described above, such position limits are based upon existing levels set for 

substantially similar products or are based upon the deliverable supply in the cash market. A 

Deliverable Supply Analysis is attached hereto as Exhibit B. 

FINANCIAL INTEGRITY OF CONTRACTS 

The new financial natural gas futures contracts will be cleared by ICE Clear Europe, a registered 

derivatives clearing organization subject to Commission regulation, and carried by registered 

futures commission merchants qualified to handle customer business. 

The Exchange further certifies that, concurrent with this filing, a copy of this submission was 

posted on the Exchange’s website and may be accessed at (https://www.theice.com/futuresus/regulation#Rule-Filings). 

If you have any questions or need further information, please contact me at 212-748-4021 or at 

jason.fusco@theice.com. 

Sincerely, 

 Jason V. Fusco 

 Assistant General Counsel 

 Market Regulation 

Enc. 

cc: Division of Market Oversight 

 New York Regional Office 
EXHIBIT A 

Resolution No. 1-Minimum Price Fluctuation Table 

The following minimum price fluctuations shall be applicable to Energy Contracts. 

Rule 

Number 

Product Minimum Price Fluctuation 

Screen Blocks and 

other trades 

outside the 

central limit 

order book 

* * * 

18.A.161 Transco Leidy Basis Future $0.0005 $0.0001 

18.A.162 Transco Leidy Swing Future $0.0010 $0.0001 

18.A.163 Transco Leidy Index Future $0.0005 $0.0001 

18.A.164 Tennessee Zone 4 300L Basis Future $0.0005 $0.0001 

18.A.165 Tennessee Zone 4 300L Swing Future $0.0010 $0.0001 

18.A.166 Tennessee Zone 4 300L Index Future $0.0005 $0.0001 

* * * 
Resolution No. 2 – Position Limit/Accountability Table 

Rule Contract Name 

Commodity 

Code 

Contract 

Size 

Unit of 

Trading 

Spot 

Month 

Limit 

Single Month 

Accountability 

Level 

All Month 

Accountability 

Level 

Aggregate 

1 (Positive 

Correlation) 

18.A.164 

Tennessee Zone 4 300L Basis Future 

DMR 2,500 MMBtu 19,900 19,900 19,900 DMR 

18.A.166 

Tennessee Zone 4 300L Index Future 

DMQ 2,500 MMBtu 19,900 19,900 19,900 DMS 

18.A.165 

Tennessee Zone 4 300L Swing Future 

DMS 2,500 MMBtu 19,900 19,900 19,900 DMS 

18.A.161 Transco Leidy Basis Future YQB 2,500 MMBtu 21,500 21,500 21,500 YQB 18.A.163 Transco Leidy Index Future YQI 2,500 MMBtu 21,500 21,500 21,500 YQS 18.A.162 Transco Leidy Swing Future YQS 2,500 MMBtu 21,500 21,500 21,500 YQS 
6 

18.A.161 Transco Leidy Basis Future 

Contract Description: A monthly cash settled Exchange Futures Contract based upon the mathematical 

result of subtracting the price of the NYMEX Henry Hub Natural Gas Futures Contract, as defined in 

Reference Price B, from the monthly price published by Inside FERC for the location specified in 

Reference Price A. 

Contract Symbol: YQB 

Settlement Method: Cash settlement 

Contract Size: 2500 MMBtus 

Currency: USD 

Minimum Price Fluctuation: The price quotation convention shall be One hundredth of a cent 

($0.0001) per MMBtu; minimum price fluctuation may vary by trade type. Please see Table in Resolution 

1 to this Chapter 18. 

Listing Cycle: Up to 120 consecutive monthly Contract Periods 

Last Trading Day: The last Business Day prior to the first calendar day of the Contract Period 

Final Settlement: Reference Price A minus Reference Price B 

Reference Price A: NATURAL GAS-TRANSCONTINENTAL GAS PIPE LINE, LEIDY LINE 

RECEIPTS-INSIDE FERC 

a) Description: “NATURAL GAS-TRANSCONTINENTAL GAS PIPE LINE, LEIDY LINE 

RECEIPTS-INSIDE FERC” means that the price for a Pricing Date will be that day's Specified 

Price per MMBTU of natural gas for delivery on the Delivery Date, stated in U.S. Dollars, 

published under the heading "Market Center Spot Gas Prices($/MMBtu): Transcontinental Gas 

Pipe Line: Leidy Line receipts: Index" in the issue of Inside FERC that reports prices effective on 

that Pricing Date. 

b) Pricing Date: First publication date of Contract Period 

c) Specified Price: Index 

d) Pricing calendar: Inside FERC 

e) Delivery Date: Contract Period 

Reference Price B: NATURAL GAS-NYMEX 

a) Description: "NATURAL GAS-NYMEX" means that the price for a Pricing Date will be that 

day's Specified Price per MMBtu of natural gas on the NYMEX of the Henry Hub Natural Gas 

Futures Contract for the Delivery Date, stated in U.S. Dollars, as made public by the NYMEX on 

that Pricing Date. 
7 

b) Pricing Date: Last scheduled trading day of the NYMEX Henry Hub Natural Gas Futures 

Contract for the Delivery Date 

c) Specified Price: Settlement price 

d) Pricing Calendar: NYMEX 

e) Delivery Date: Contract Period 

Final Payment Date: The third Clearing Organization business day following the Last Trading Day 

18.A.162 Transco Leidy Swing Future 

Contract Description: A daily cash settled Exchange Futures Contract based upon the daily price 

published by Gas Daily for the location specified in Reference Price A. 

Contract Symbol: YQS 

Settlement Method: Cash settlement 

Contract Size: 2500 MMBtus 

Currency: USD 

Minimum Price Fluctuation: The price quotation convention shall be One hundredth of a cent 

($0.0001) per MMBtu; minimum price fluctuation may vary by trade type. Please see Table in Resolution 

1 to this Chapter 18. 

Listing Cycle: Up to 65 consecutive daily Contract Periods 

Last Trading Day: The Business Day prior to the Contract Period 

Final Settlement: Reference Price A 

Reference Price A: NATURAL GAS-APPALACHIA, TRANSCO, LEIDY LINE RECEIPTS-GAS 

DAILY 

a) Description: “NATURAL GAS-APPALACHIA, TRANSCO, LEIDY LINE RECEIPTS-GAS 

DAILY " means that the price for a Pricing Date will be that day's Specified Price per MMBTU 

of natural gas for delivery on the Delivery Date, stated in U.S. Dollars, published under the 

heading "Daily price survey ($/MMBtu): Appalachia: Transco, Leidy Line receipts: Midpoint" in 

the issue of Gas Daily that reports prices effective on that Pricing Date. 

b) Pricing Date: Each day that prices are reported for the Delivery Date 
8 

c) Specified Price: Midpoint 

d) Pricing calendar: Gas Daily 

e) Delivery Date: Contract Period 

Final Payment Date: The third Clearing Organization business day following the Last Trading Day 

18.A.163 Transco Leidy Index Future 

Contract Description: A monthly cash settled Exchange Futures Contract based upon the mathematical 

result of subtracting the monthly price published by Inside FERC, as defined in Reference Price B, from 

the average of the daily prices published by Gas Daily, as defined in Reference Price A. 

Contract Symbol: YQI 

Settlement Method: Cash settlement 

Contract Size: 2500 MMBtus 

Currency: USD 

Minimum Price Fluctuation: The price quotation convention shall be One hundredth of a cent 

($0.0001) per MMBtu; minimum price fluctuation may vary by trade type. Please see Table in Resolution 

1 to this Chapter 18. 

Listing Cycle: Up to 120 consecutive monthly Contract Periods 

Last Trading Day: The Business Day prior to the Contract Period 

Final Settlement: Reference Price A 

Reference Price A: NATURAL GAS-APPALACHIA, TRANSCO, LEIDY LINE RECEIPTS-GAS 

DAILY 

a) Description: “NATURAL GAS-APPALACHIA, TRANSCO, LEIDY LINE RECEIPTS-GAS 

DAILY " means that the price for a Pricing Date will be that day's Specified Price per MMBTU 

of natural gas for delivery on the Delivery Date, stated in U.S. Dollars, published under the 

heading "Daily price survey ($/MMBtu): Appalachia: Transco, Leidy Line receipts: Midpoint" in 

the issue of Gas Daily that reports prices effective on that Pricing Date. 

b) Pricing Date: Each day that prices are reported for the Delivery Date 

c) Specified Price: Midpoint 

d) Pricing calendar: Gas Daily 
9 

e) Delivery Date: Contract Period 

Reference Price B: NATURAL GAS-TRANSCONTINENTAL GAS PIPE LINE, LEIDY LINE 

RECEIPTS-INSIDE FERC 

a) Description: “NATURAL GAS-TRANSCONTINENTAL GAS PIPE LINE, LEIDY LINE 

RECEIPTS-INSIDE FERC” means that the price for a Pricing Date will be that day's Specified 

Price per MMBTU of natural gas for delivery on the Delivery Date, stated in U.S. Dollars, 

published under the heading "Market Center Spot Gas Prices($/MMBtu): Transcontinental Gas 

Pipe Line: Leidy Line receipts: Index" in the issue of Inside FERC that reports prices effective on 

that Pricing Date. 

b) Pricing Date: First publication date of Contract Period 

c) Specified Price: Index 

d) Pricing calendar: Inside FERC 

e) Delivery Date: Contract Period 

Final Payment Date: The third Clearing Organization business day following the Last Trading Day 

18.A.164 Tennessee Zone 4 300L Basis Future 

Contract Description: A monthly cash settled Exchange Futures Contract based upon the mathematical 

result of subtracting the price of the NYMEX Henry Hub Natural Gas Futures Contract, as defined in 

Reference Price B, from the monthly price published by Inside FERC for the location specified in 

Reference Price A. 

Contract Symbol: DMR 

Settlement Method: Cash settlement 

Contract Size: 2500 MMBtus 

Currency: USD 

Minimum Price Fluctuation: The price quotation convention shall be One hundredth of a cent 

($0.0001) per MMBtu; minimum price fluctuation may vary by trade type. Please see Table in Resolution 

1 to this Chapter 18. 
10 

Listing Cycle: Up to 120 consecutive monthly Contract Periods 

Last Trading Day: The last Business Day prior to the first calendar day of the Contract Period 

Final Settlement: Reference Price A minus Reference Price B 

Reference Price A: NATURAL GAS-TENNESSEE GAS PIPELINE CO., ZONE 4-300 LEG-INSIDE 

FERC 

a) Description: "NATURAL GAS-TENNESSEE GAS PIPELINE CO., ZONE 4-300 LEGINSIDE FERC” means that the price for a Pricing Date will be that day's Specified Price per 

MMBTU of natural gas for delivery on the Delivery Date, stated in U.S. Dollars, published under 

the heading "Market Center Spot Gas Prices($/MMBtu): Tennessee Gas Pipeline Co.: Zone 4-300 

leg: Index" in the issue of Inside FERC that reports prices effective on that Pricing Date. 

b) Pricing Date: First publication date of Contract Period 

c) Specified Price: Index 

d) Pricing calendar: Inside FERC 

e) Delivery Date: Contract Period 

Reference Price B: NATURAL GAS-NYMEX 

a) Description: "NATURAL GAS-NYMEX" means that the price for a Pricing Date will be that 

day's Specified Price per MMBtu of natural gas on the NYMEX of the Henry Hub Natural Gas 

Futures Contract for the Delivery Date, stated in U.S. Dollars, as made public by the NYMEX on 

that Pricing Date. 

b) Pricing Date: Last scheduled trading day of the NYMEX Henry Hub Natural Gas Futures 

Contract for the Delivery Date 

c) Specified Price: Settlement price 

d) Pricing Calendar: NYMEX 

e) Delivery Date: Contract Period 

Final Payment Date: The third Clearing Organization business day following the Last Trading Day 
11 

18.A.165 Tennessee Zone 4 300L Swing Future 

Contract Description: A daily cash settled Exchange Futures Contract based upon the daily price 

published by Gas Daily for the location specified in Reference Price A. 

Contract Symbol: DMS 

Settlement Method: Cash settlement 

Contract Size: 2500 MMBtus 

Currency: USD 

Minimum Price Fluctuation: The price quotation convention shall be One hundredth of a cent 

($0.0001) per MMBtu; minimum price fluctuation may vary by trade type. Please see Table in Resolution 

1 to this Chapter 18. 

Listing Cycle: Up to 65 consecutive daily Contract Periods 

Last Trading Day: The Business Day prior to the Contract Period 

Final Settlement: Reference Price A 

Reference Price A: NATURAL GAS-APPALACHIA, TENNESSEE, ZONE 4-300 LEG-GAS DAILY 

a) Description: “NATURAL GAS-APPALACHIA, TENNESSEE, ZONE 4-300 LEG-GAS 

DAILY " means that the price for a Pricing Date will be that day's Specified Price per MMBTU 

of natural gas for delivery on the Delivery Date, stated in U.S. Dollars, published under the 

heading "Daily price survey ($/MMBtu): Appalachia: Tennessee, zone 4-300 leg: Midpoint" in 

the issue of Gas Daily that reports prices effective on that Pricing Date. 

b) Pricing Date: Each day that prices are reported for the Delivery Date 

c) Specified Price: Midpoint 

d) Pricing calendar: Gas Daily 

e) Delivery Date: Contract Period 

Final Payment Date: The third Clearing Organization business day following the Last Trading Day 
12 

18.A.166 Tennessee Zone 4 300L Index Future 

Contract Description: A monthly cash settled Exchange Futures Contract based upon the mathematical 

result of subtracting the monthly price published by Inside FERC, as defined in Reference Price B, from 

the average of the daily prices published by Gas Daily, as defined in Reference Price A. 

Contract Symbol: DMQ 

Settlement Method: Cash settlement 

Contract Size: 2500 MMBtus 

Currency: USD 

Minimum Price Fluctuation: The price quotation convention shall be One hundredth of a cent 

($0.0001) per MMBtu; minimum price fluctuation may vary by trade type. Please see Table in Resolution 

1 to this Chapter 18. 

Listing Cycle: Up to 120 consecutive monthly Contract Periods 

Last Trading Day: The Business Day prior to the Contract Period 

Final Settlement: Reference Price A 

Reference Price A: NATURAL GAS-APPALACHIA, TENNESSEE, ZONE 4-300 LEG-GAS DAILY 

a) Description: “NATURAL GAS-APPALACHIA, TENNESSEE, ZONE 4-300 LEG-GAS 

DAILY " means that the price for a Pricing Date will be that day's Specified Price per MMBTU 

of natural gas for delivery on the Delivery Date, stated in U.S. Dollars, published under the 

heading "Daily price survey ($/MMBtu): Appalachia: Tennessee, zone 4-300 leg: Midpoint" in 

the issue of Gas Daily that reports prices effective on that Pricing Date. 

b) Pricing Date: Each day that prices are reported for the Delivery Date 

c) Specified Price: Midpoint 

d) Pricing calendar: Gas Daily 

e) Delivery Date: Contract Period 

Reference Price B: NATURAL GAS-TENNESSEE GAS PIPELINE CO., ZONE 4-300 LEG-INSIDE 

FERC 

a) Description: "NATURAL GAS-TENNESSEE GAS PIPELINE CO., ZONE 4-300 LEGINSIDE FERC” means that the price for a Pricing Date will be that day's Specified Price per 

MMBTU of natural gas for delivery on the Delivery Date, stated in U.S. Dollars, published under 

the heading "Market Center Spot Gas Prices($/MMBtu): Tennessee Gas Pipeline Co.: Zone 4-300 

leg: Index" in the issue of Inside FERC that reports prices effective on that Pricing Date. 

b) Pricing Date: First publication date of Contract Period 
13 

c) Specified Price: Index 

d) Pricing calendar: Inside FERC 

e) Delivery Date: Contract Period 

Final Payment Date: The third Clearing Organization business day following the Last Trading Day 

 [REMAINDER OF RULE UNCHANGED] 
14 

ICE FUTURES U.S. 

BLOCK TRADE – FAQs 

* * * 

Contract Name Commodity 

Code 

Contract 

Size 

Unit of 

Trading 

Block MQR 

(in Lots) 

Transco Leidy Basis Future YQB 2500 MMBtu 25 

Transco Leidy Swing Future YQS 2500 MMBtu 25 

Transco Leidy Index Future YQI 2500 MMBtu 25 

Tennessee Zone 4 300L Basis Future DMR 2500 MMBtu 25 

Tennessee Zone 4 300L Swing Future DMS 2500 MMBtu 25 

Tennessee Zone 4 300L Index Future DMQ 2500 MMBtu 25 

* * * 
15 

EXHIBIT B 

[EXHIBIT REDACTED]