London, January 12, 2010 – NASDAQ OMX Commodities, a business unit of The NASDAQ OMX Group (NASDAQ: NDAQ) and Nord Pool Spot today announced the successful launch of N2EX, its marketplace for physical UK power contracts. The launch included a day-ahead auction and a prompt market.
"After an intensive year of development and preparations with the UK market participants, we are very pleased with the day-ahead auction results and the volumes currently being traded on the first day of the prompt market. The total traded volume on the day-ahead auction which closed at 10.30 CET was 6,987 MWh. The prompt market is still open for trading and the so far traded volumes have exceeded expectations,” said Hans Randen, director trading in Nord Pool Spot.
"The good start for the N2EX market solution in the UK power market bodes well for the later launch of the derivatives market," commented Geir Reigstad, head of NASDAQ OMX Commodities.
N2EX will establish a reference price based on the physical market. The reference price will be the basis for its planned derivatives market.
N2EX is the result of a market initiative to inject liquidity back into the UK power market. In 2008, the Futures and Options Association (FOA) selected a consortium bid from Nord Pool Spot AS and NASDAQ OMX Commodities as a result of their extensive expertise. Nord Pool Spot runs the largest physical power market in the world, while NASDAQ OMX Commodities provides access to the world’s largest power derivatives exchange and one of Europe’s largest carbon markets, together with Nord Pool ASA.
For further information, please go to www.n2ex.com
or contact Hans Randen, Director Trading, Nord Pool Spot +47 9202 1326.
The NASDAQ OMX Group, Inc
+1 212 401 8714
Thomas Skålnes, acting communication manager, NASDAQ OMX Commodities
+47 9340 7300
Geir Reigstad, head of NASDAQ OMX Commodities
+47 9084 6735
Hans Randen, director trading, Nord Pool Spot,
+47 9202 1326
The Transitional Market Council (TMC) consists of representatives from the members, FOA and N2EX.
N2EX is the name of the UK power market offering from NASDAQ OMX Commodities and Nord Pool Spot, but it is not a legal entity. The web site, www.n2ex.com, will following the market opening provide market information and documentation for both the physical and financial UK power market.
NASDAQ OMX Commodities and Nord Pool ASA provide access to the world’s largest power derivatives markets and one of Europe’s largest carbon markets. NASDAQ OMX Commodities is responsible for the international derivative and carbon products offering, and also operates the clearing business and offers consulting services to commodities markets globally. Nord Pool ASA is responsible for the exchange operations and trading activities, including ownership of the Nordic derivative products. NASDAQ OMX Commodities and Nord Pool ASA have more than 385 members from 22 countries across a wide range of energy producers and consumers, as well as financial institutions. NASDAQ OMX Commodities is business unit of the NASDAQ OMX Group. For more information, please visit www.nasdaqomx.com/commodities and www.nordpool.com.
About Nord Pool Spot
Nord Pool Spot AS runs the largest physical power market in the world, offering both day-ahead and intraday markets to its participants. 330 companies from 20 countries trade daily on the exchange. The Nord Pool Spot group has offices in Oslo, Helsinki, Stockholm, Fredericia (Denmark) and London. Nord Pool Spot is owned by the Nordic transmission system operators. In 2008, the group had a turnover of 300 TWh representing a value of EUR 15.0 billion.
About NASDAQ OMX
The NASDAQ OMX Group, Inc is the world’s largest exchange company. It delivers trading, exchange technology and public company services across six continents, with over 3,800 listed companies. NASDAQ OMX offers multiple capital raising solutions to companies around the globe, including its U.S. listings market, NASDAQ OMX Nordic, NASDAQ OMX Baltic, NASDAQ OMX First North, and the U.S. 144A sector. The company offers trading across multiple asset classes including equities, derivatives, debt, commodities, structured products and exchange-traded funds. NASDAQ OMX technology supports the operations of over 70 exchanges, clearing organizations and central securities depositories in more than 50 countries. NASDAQ OMX Nordic and NASDAQ OMX Baltic are not legal entities but describe the common offering from NASDAQ OMX exchanges in Helsinki, Copenhagen, Stockholm, Iceland, Tallinn, Riga, and Vilnius. For more information about NASDAQ OMX, visit www.nasdaqomx.com.