DME reaches 5bn barrels milestone
Dubai, September 23, 2013
Dubai Mercantile Exchange (DME), a leading energy futures exchange in the Middle East, has set a new record reaching the 5 billion barrel mark, with a total of 5 million contracts (equivalent to 5 billion barrels) traded on the exchange.
This milestone comes just seven months after the DME passed the 4 billion barrels mark and continues the strong growth trajectory in trading volumes across the last 12 months, said a senior official.
The 5 millionth trade on the Exchange took place on Friday 20 September between Mercuria Energy Trading Private Limited and Standard Chartered Bank.
DME Oman provides customers with transparent and regulated futures trading that addresses the need for price discovery of Middle Eastern sour crude oil.
Commenting on the feat, CEO Christopher Fix said the exchange has experienced a sustained increase in traded volumes over the past 12 months and was delighted to pass the 5 billion barrels traded mark.
"This consistent growth story underlines the confidence of the market in the DME and shows the quality liquidity being attracted to the Exchange. DME is perfectly positioned to serve the energy benchmark needs of the Middle East and Asia – the fastest growing oil supply/demand corridor in the world," he noted.
Yves Demasure, the global head of Oil Option Trading at Standard Chartered, said: "We are pleased to be involved in this historic trade on DME Oman and would like to congratulate the DME on this 5th million trade. Standard Chartered is proud to be associated with the DME and to have contributed to the growth and success of this market."
"DME Oman is a source of liquidity which allows us to service our clients’ crude oil purchasing and pricing needs. Having price transparency and a smooth physical delivery mechanism has led to the success of DME and we continue to look for ways to expand our activity to facilitate the growing needs of our client base in our footprint countries," stated the official.
Michael Livingston, the head of crude – Asia at Mercuria said: “The DME has succeeded in creating a liquid global benchmark, and has in turn increased the liquidity of the Asian physical and paper crude oil markets. Mercuria looks forward to playing an integral role in the DME's continued developments and future successes.”-TradeArabia News Service