Dubai, 17 February 2014 - The Royal Bank of Scotland (RBS) has today been approved to issue letters of credit for trading on DME directly from Singapore. The approval reflects DME and RBS's joint commitment to facilitate the trading activities of their mutual customers in Asia. 

RBS will be able to issue Letters of Credit (LCs) directly from Singapore to guarantee deliveries  of Oman Blend crude oil through the DME, helping to create a more efficient and cost-effective trading ecosystem around the Exchange.  Previously all DME Letters of Credit had to be issued via an entity in the US.

Christopher Fix, Chief Executive of DME, said: "This announcement highlights our commitment to providing our participants with the best possible trading environment. Asia has played an extremely significant role in DME's recent sustained growth. Our customers in Asia have requested us to facilitate the financing of their crude oil deliveries and we have responded with this initiative to facilitate Letters of Credit directly from banks based in Singapore. We are delighted to see RBS accepted under this scheme and we hope that our mutual customers in Asia will take advantage of this new financing opportunity."

Adrian Ong, Head of Transaction Services, Singapore at RBS said: "We are delighted to participate in this new initiative because our clients will benefit from the direct issuance of LCs from Singapore. As one of the leading Trade Finance banks in Asia Pacific, RBS has well established banking relationships with major commodities players globally. Our participation in this new initiative reflects our focus on delivering greater efficiencies for our clients to trade and to take delivery in the global energy markets." 

About DME
DME is the premier international energy futures and commodities exchange in the Middle East. It aims to provide oil producers, traders and consumers engaged in the East of Suez markets with transparent pricing of crude oil.

Launched in 2007, DME has rapidly grown into a globally relevant exchange. Its flagship Oman Crude Oil Futures Contract (DME Oman) contract is now firmly established as the most credible crude oil benchmark relevant to the rapidly growing East of Suez market. Reflecting the economics of the Asian region like no other contract, and the largest physically delivered crude oil futures contract in the world, DME Oman is the world's third crude oil benchmark and the sole benchmark for Oman and Dubai exported crude oil. 

DME is a fully electronic exchange, with regulatory permissions allowing access from more than 20 jurisdictions, including the major financial centers of Asia, Europe and the United States. The Exchange is located within the Dubai International Financial Center (DIFC), a financial free zone designed to promote financial services within the UAE. The DME is regulated by the Dubai Financial Services Authority and all trades executed on the DME are cleared through and guaranteed by CME Clearing.

DME is a joint venture between Dubai Holding, Oman Investment Fund and CME Group. Global financial institutions and energy trading firms including Goldman Sachs, JPMorgan, Morgan Stanley, Shell, Vitol and Concord Energy also hold equity stakes in the DME. www.dubaimerc.com

Media Contacts
DME
Mayssam Hamadeh
Head of Corporate Communications
+971 506523754 (mobile)
mayssam.hamadeh@dubaimerc.com

TRACCS (PR agency)
Shaza Taher
+96824649099
shaza.taher@traccs.net

© Press Release 2014