DME Approves 20 Companies For Oman Crude Trading
The Dubai Mercantile Exchange (DME) has begun the approval of companies for both clearing and off-floor trading in readiness for the 1 May launch of its Oman crude. Reuters reported on 12 March that 20 members had thus far been approved – nine clearing members and 11 off-floor ones. All trades will have to be cleared through accounts held by clearing members. The first clearing members were listed as Calyon Financial, Fimat, Lehman Brothers, Morgan Stanley, MBF Clearing, Phibro, Prudential Bache, Sterling Commodities and Triland. Off-floor traders were listed as AAA Capital Management, Astmax, Breakwater Trading, Flow Traders, Glencore, Jump Trading, Madison Tyler, Morgan Stanley, Phibro, Vitol Asia and Vitol SA. DME also plans to offer 50 seats for floor members and to select 20 firms to be market makers. Gulf oil producers which use Oman crude as a pricing reference for their Asian term contracts are expected to monitor the development of DME Oman trading with a view to their own pricing policy (MEES, 12 March).
