Euronext Launches its First Nitrogen Fertiliser Futures Contract

Paris – 10 May 2016 – Euronext today announced the launch in autumn 2016 of the first physically-deliverable futures contract for nitrogen solution. Aimed at the European market, this innovative new contract will complement the Group’s commodity futures offering. It will enable Euronext to offer users a comprehensive suite of tools to manage price risk and cover their overall positions more efficiently, for both agricultural inputs and for grains and oilseeds such as wheat, rapeseed and corn.

Combining both urea and ammonium nitrate, UAN-30[1] solution is a common element of the family of nitrogen-based fertilisers used throughout the agricultural industry. Euronext will offer a physically delivered future traded in euros and backed by partners across the entire fertiliser supply chain, from producers and traders through storage terminal operators to cooperatives. The delivery point will be in Rouen (France), a  major trading area for fertiliser imports as well as for crop exports such as wheat. The initial expiry calendar has been set for March, June, September and November over a 2-year horizon,  reflecting the seasonal pattern of sowing, manuring and  harvesting  for different types of crop. Clearing will be handled by LCH SA, subject to regulatory approvals.

François Terrassin, CEO of Rubis Terminal, one of Europe’s leading independent storage specialists for fertiliser and agro, oil and chemical products, and Euronext’s partner for the new contract, said: “Rubis Terminal is delighted to team up with Euronext to launch this new contract. Our Rouen site is a major fertiliser supply and distribution platform for the agricultural sector and is ideally suited for the future success of this contract. We believe this initiative will make it easier for market players to access our offering and will confirm our position in Europe and worldwide.”

Olivier Raevel, Head of Commodities at Euronext, said: “Our nitrogen solution futures contract is intended for the whole fertiliser industry and its end-users, particularly cooperatives, who are key users of Euronext’s commodity contracts. Designed to meet the needs of an industry that is already familiar with instruments for hedging price risk in commodities, it will diversify our product offering. We are confident that this new contract will be a success and are keen to continue offering innovative solutions to our clients in this sector.”


[1]EU REGULATION (EC) No 2003/2003 dated 13 October 2003 and  EU REGULATION (EC) No 1907/2006 (REACH) Appendix II.


 

About Euronext
Euronext is the leading pan-European exchange in the Eurozone with nearly 1,300 listed issuers worth close to €3.5 trillion in market capitalisation as of end June 2017, an unmatched blue chip franchise consisting of 24 issuers in the Morningstar® Eurozone 50 Index℠ and a strong diverse domestic and international client base.  Euronext operates regulated and transparent equity and derivatives markets. Its total product offering includes Equities, Exchange Traded Funds, Warrants & Certificates, Bonds, Derivatives, Commodities and Indices. Euronext also leverages its expertise in running markets by providing technology and managed services to third parties. In addition to its main regulated market, Euronext also operates Euronext GrowthTM (formerly known as Alternext) and Euronext AccessTM (formerly known as the Free Market). For the latest news, find us on Twitter (www.twitter.com/euronext) and LinkedIn (www.linkedin.com/company/euronext).

Disclaimer
This press release is for information purposes only and is not a recommendation to engage in investment activities. This press release is provided “as is” without representation or warranty of any kind. While all reasonable care has been taken to ensure the accuracy of the content, Euronext does not guarantee its accuracy or completeness. Euronext will not be held liable for any loss or damages of any nature ensuing from using, trusting or acting on information provided. No information set out or referred to in this publication may be regarded as creating any right or obligation. The creation of rights and obligations in respect of financial products that are traded on the exchanges operated by Euronext’s subsidiaries shall depend solely on the applicable rules of the market operator. All proprietary rights and interest in or connected with this publication shall vest in Euronext.

This press release speaks only as of this date. Euronext refers to Euronext N.V. and its affiliates. Information regarding trademarks and intellectual property rights of Euronext is located at www.euronext.com/terms-use.

© 2017, Euronext N.V. - All rights reserved.