Press Release
15 January 2008
CLIMATE EXCHANGE PLC ("Company" or "Group")
PRE CLOSE PERIOD TRADING UPDATE
CONTINUED GROWTH IN EXISTING PRODUCTS
STRONG NEW PRODUCT PIPELINE
INTERNATIONAL EXPANSION
In keeping with past practice, Climate Exchange plc, the leading international
environmental exchange operator, is pleased to provide an update on trading for
the period 1 January 2007 to 31 December 2007.
Highlights for the period under review:
- ECX volumes up by 128.93% over same period in 2006
- ECX open interest up by 170.88% over same period in 2006
- ECX membership increased from 71 on 31 December 2006 to 84 on 31 December 2007
- CCX volumes up by 123.3% over same period in 2006
- CCX membership increased from 238 on 31 December 2006 to 401 on 31
December 2007
- CCFE volumes up by 881% over same period in 2006
- CCFE open interest up by 719% as at 31 December 2007, year on year
- CCFE membership increased from 154 on 31 December 2006 to 239 on 31
December 2007
- Launch of the Insurance Futures Exchange Services Ltd ("IFEX") in
September 2007
ECX - European Climate Exchange
CCX - Chicago Climate Exchange
CCFE - Chicago Climate Futures Exchange
Neil Eckert, CEO of Climate Exchange plc, said: "By every measure highlighted
above the progress of the Group has been excellent. We have just passed the
major milestone of having traded 1 million contracts for the year at ECX. The
January daily average so far also sets a new record. There are also a number of
encouraging developments in the work we have been doing in other alternative
exchange activities, notably the launch of IFEX."
Richard Sandor, Chairman of Climate Exchange plc, said: "Your Company continues
to be the leading exchange in the development of international environmental
markets. A significant development is the recent announcement of the Memorandum
of Understanding with the China National Petroleum Company. Further details
relating to the commercial terms and the scope of activity will follow in due
course.
We are the leading regulated environmental exchange in the U.S. market, which
continues to develop as evidenced by our increased CCX volumes which more than
doubled and by our increased membership. The U.S. emissions baseline now exceeds
500 million tonnes which is equivalent to ca. 25% of the EU Emissions Trading
System. The U.S. is now into an election year and it would appear that the
political landscape is exceptionally positive with the profile on climate change
being raised significantly and the prospects of a mandatory U.S. cap and trade
system being ever more likely.
We continue to be excited by the long term value proposition inherent in the
international franchise we are building."
ECX Volumes for 12 months to 31 December 2007 (1000 Tonnes/Contract)
Month Total Volume Open Interest Total Volume Open Interest
Futures Futures Options Options
Contract Contracts Contract Contract
January 07 61,157 72,141 1,265 1,465
February 07 62,336 80,312 1,550 3,015
March 07 73,829 83,474 1,950 4,965
April 07 59,276 92,417 1,450 5,935
May 07 77,713 107,212 1,910 7,675
June 07 91,381 113,930 2,515 9,215
July 07 126,058 138,114 6,790 12,820
August 07 103,119 149,590 8,750 19,485
September 07 99,461 160,540 10,900 26,030
October 07 107,743 183,347 5,735 28,550
November 07 98,405 188,631 9,475 34,930
December 07 72,592 139,741 4,751 36,645
YTD Total 980,780 57,041
Jan - Dec 2006 452,774 560
(Numbers reported in tonnes of CO2 EU Allowances (EUAs) )
CCFE Volumes for 12 months to 31 December 2007 (Contracts)
Month SFI Futures SFI Options NFI Futures Total
January 07 14,511 - - 14,511
February 07 4,837 - 52 4,889
March 07 12,017 - 219 12,236
April 07 7,697 5,750 279 13,726
May 07 12,869 4,365 481 17,715
June 07 23,555 6,115 344 30,014
July 07 14,753 7,152 578 22,614
August 07 16,569 16,491 506 34,269
September 07 16,950 14,930 563 33,123
October 07 19,991 13,565 340 36,198
November 07 16,302 13,210 73 30,732
December 07 20,979 10,280 30 33,731
Total 181,030 91,858 3,465 283,758
Jan - Dec 2006 28,924 - - 28,924
CCFE End of Month Open Interest for 12 months to 31 December 2007 (Contracts)
Month SFI Futures SFI Options NFI Futures Total
January 07 10,881 - - 10,881
February 07 11,300 - 45 11,345
March 07 13,183 125 13,308
April 07 15,067 4,570 305 19,942
May 07 15,569 6,265 504 22,338
June 07 17,092 9,015 753 26,860
July 07 16,978 11,147 535 28,716
August 07 17,440 19,157 695 37,721
September 07 18,749 24,420 120 44,150
October 07 19,956 20,200 0 42,673
November 07 21,083 28,610 70 52,797
December 07 9,793 17,130 30 31,290
December 2006 3,822 - - 3,822
The above tables do not separately set out specific volumes and open interest
for other products, including ECO Index, NFI-annual, CFI Futures, IFEX, CER,
ECFI and CER Option. However, the "total" figures column does include figures
for these products.
CCX Volumes for 12 months to 31 December 2007 (100 Tonnes/Contract)
Month Contracts Tonnes (CO2e)
January 07 15,942 1,594,200
February 07 37,121 3,712,100
March 07 17,271 1,727,100
April 07 8,739 873,900
May 07 18,007 1,800,700
June 07 21,423 2,142,300
July 07 33,042 3,304,200
August 07 9,124 912,400
September 07 5,359 535,900
October 07 18,414 1,841,400
November 07 24,781 2,478,100
December 07 20,152 2,015,200
Total 229,375 22,937,500
Jan - Dec 2006 102,724 10,272,400
Details of memberships can be found at www.ecxeurope.com for ECX members and at
www.chicagoclimateexchange.com for CCX and CCFE members.
We continue to drive international expansion and are making material progress in
establishing our businesses in Canada and India.
In Canada, the Group has announced a joint venture with the Montreal Bourse
which is due for imminent launch.
In India, the Group has established a founder member group working to form a
domestic reduction system similar to that in the United States. The Chairman of
the founder member group is Rajendra Pachauri, the Chairman of the
Intergovernmental Panel on Climate Change ("IPCC"). Rajendra Pachauri recently
collected a Nobel Prize on behalf of IPCC alongside Al Gore. The founder member
group includes a number of India's leading industrial companies.
The Group is also in ongoing discussions regarding product collaboration in the
Middle East and Australia. In all cases, our experience in launching new
emissions reduction markets provides significant competitive advantage.
The Company views the launch of the Insurance Futures Exchange ("IFEX"), which
trades U.S. hurricane catastrophe derivatives, as an extremely important
development. Interest has been substantial and there have been trades executed
by major banks, hedge funds and by the insurance community. Marketing activity
continues and we have a growing number of authorized traders.
New business activity is substantial, the Group has established a scalable
business where, for minimal cost, it can launch new contracts which have the
potential to provide significant revenue and a material, leveraged impact on our
franchise. We will resource our team to allow us to continue to deal with the
opportunities our business is generating.
Contacts
Richard Sandor, Chairman Climate Exchange plc 001 312 554 3370
Neil Eckert, CEO Climate Exchange plc 0207 382 7807
Matthew Whittell, CFO Climate Exchange plc 0207 382 7802
Peter Rigby/Alexandra Parry, Haggie Financial 0207 417 8989
About Climate Exchange plc
Climate Exchange plc is a holding company whose subsidiaries are principally
engaged in owning, operating and developing exchanges to facilitate trading in
environmental financial instruments including emissions reduction credits in
both voluntary and mandatory markets. The two main businesses are the Chicago
Climate Exchange (CCX) which operates a voluntary but legally binding cap and
trade system including an exchange for CO2 emissions as well as SO2 and NOx
contracts in the US and internationally, and the European Climate Exchange (ECX)
which operates an exchange focused on compliance certificates for the mandatory
European Emissions Trading Scheme. http://climateexchange.com
About Chicago Climate Exchange, Inc.
CCX is a financial institution whose objectives are to apply financial
innovation and incentives to advance social, environmental and economic goals.
CCX is the world's first and North America's only legally binding rules-based
greenhouse gas emissions allowance trading system, as well as the world's only
global system for emissions trading based on all six greenhouse gases. CCX
members are leaders in greenhouse gas management and represent all sectors of
the global economy, as well as public sector innovators. Reductions achieved
through CCX are the only reductions in North America being achieved through a
legally binding compliance regime, providing independent third party
verification through a contractual arrangement with the National Association of
Securities Dealers (NASD) and price transparency. The founder, Chairman and CEO
of CCX is economist and financial innovator Dr. Richard L. Sandor, who was named
a Hero of the Planet by Time magazine for his founding of CCX. For a full list
of CCX members, daily prices and other Exchange information, see http://
www.chicagoclimateexchange.com.
CCX, a US corporation, launched its trading platform in 2003. In 2005, CCX
launched the European Climate Exchange (ECX), now the leading exchange operating
in the European Union Emissions Trading Scheme. CCX also launched the Chicago
Climate Futures Exchange (CCFE), a CFTC-regulated futures exchange for U.S. SO2
allowances and U.S. NOx Ozone Season allowances, the world's first environmental
derivatives exchange. Since 2006, CCX, ECX and CCFE have been owned by Climate
Exchange Plc, a publicly traded company listed on the AIM of the London Stock
Exchange.
About European Climate Exchange
Over 85% of all exchange traded derivatives on the European Union Emissions
Trading Scheme (EU ETS) are based on the European Climate Exchange (ECX)
products. The ECX futures and options are listed on ICE Futures Europe and trade
on their easily accessible electronic trading platform.
The ECX/ICE products have become the benchmark in the emissions market. For full
information see the ECX website at www.ecx.eu
This information is provided by RNS
The company news service from the London Stock Exchange
Climate Exchange PLC announces Trading Statement
| Source: Climate Exchange PLC
Isle of Man, UK--(Marketwire - January 15, 2008) -