ICE FUTURES ABU DHABI THE HOME OF MURBAN FUTURES LAUNCHING MARCH 29, 2021 MURBAN ICE FUTURES ICE MURBAN In November 2019, Abu Dhabi’s ADNOC’s onshore concessions, which produce ABU DHABI FUTURES Murban quality crude grade have the capacity to ICE Futures Abu Dhabi (IFAD) is established ICE Murban Futures will bring transparent pricing Supreme Petroleum Council produce approximately 2 million barrels of oil per day, in Abu Dhabi Global Market (ADGM), an to participants, giving them more options to representing more than half the UAE total (SPC) announced that International Financial Centre that practices manage risk and clear trades. The contract will oil production. Abu Dhabi National Oil and applies English common law in its entirety complement ICE’s global oil complex of over 600 Murban is a highly fungible light sweet crude oil that to its legal and regulatory regime. related oil products including locational and refined Company’s (ADNOC’s) flagship is widely used by refineries in Asia because of its spreads across 47 geographic markets. This means IFAD will complement ICE Murban Futures with intrinsic and consistent chemical qualities. It has an participants can access the products they need at onshore crude oil, Murban, a series of tradable spread markets to other API of 39.9° and Sulphur content of 0.78%. the exact point of consumption or production. would move to market-driven, ICE crude oil benchmarks, alongside a series of related derivative contracts including 1st As a light sweet crude well-positioned to serve a forward-based pricing, using Murban has a diverse user base and is imported into almost every country in North, Far East, South East, lines, crude swaps and differentials. global market, the introduction of ICE Murban Futures a new futures contract as its and South Asia. offers the market an exciting new oil price marker. Contracts traded at IFAD will, subject to price marker. Murban crude is internationally recognized for regulatory approval, be cleared at ICE Clear ICE Murban Futures will be a physically delivered its consistent quality and high, stable production Europe, one of the world’s leading clearing contract with delivery at Fujairah in the United Arab The SPC also authorized ADNOC to volumes, as well as its large number of global buyers. houses, and will clear alongside ICE Brent, ICE Emirates (UAE) on a free-on-board (FOB) basis. remove destination restrictions on WTI, ICE (Platts) Dubai and ICE Low Sulphur Murban crude sales. ADNOC Logistics support Murban supply with state Gasoil allowing customers to benefit from of the art terminal and storage facilities. associated margin offsets and delivering This was followed by an announcement meaningful capital efficiencies. from Intercontinental Exchange Inc. IFAD is regulated by the FSRA of ADGM and (ICE) that it will launch a new exchange, is a registered Foreign Board of Trade (FBOT) ICE Futures Abu Dhabi (IFAD), to host under the CFTC meaning that traders and the world’s first futures contract clearers based in the United States can trade based on ADNOC’s Murban crude oil. and clear IFAD markets. ICE Futures Abu Dhabi and trading in Murban Futures plans to launch Capacity to produce More than approximately on March 29, 2021, subject to the completion of regulatory approvals.* of50% ADNOC’s crude IFAD INFORMATION barrels2 million of Murban oil production For further information on IFAD and ICE Nine of the world’s largest energy per day membership please visit www.theice.com/futures-abu-dhabi or contact traders will join ICE and ADNOC as [email protected] founding partners in ICE Futures Abu Dhabi (IFAD). Those partners are BP, GS Caltex, INPEX, JXTG, PetroChina, PTT, Shell, Total and Vitol. Exported IFAD Contract to nearly every Refiners60+ around rulebook specifications country in North, the world use South and East Asia Murban crude Jeffrey Sprecher, Chairman and CEO of Intercontinental Exchange, and H.E. Dr. Sultan Ahmed Al Jaber, UAE Minister of State and Delivery IFAD ADNOC Group CEO unveil the launch of ICE Futures Abu Dhabi in November 2019. procedures Q&A ICE MURBAN CRUDE OIL FUTURES MURBAN CRUDE OIL – RELATED CASH CONTRACT SPECIFICATION SETTLED CONTRACTS* Contract Product Size: Trading Price Settlement Price Code Quotation: st Quotation: Murban Singapore Marker 1 Line Future One cent One cent ADG 1,000 st per barrel Crude Murban Singapore Marker 1 Line Balmo Future barrels per lot ($0.01) ($0.01) per barrel ADK Outrights Murban 1st Line Future ADF Murban 1st Line Balmo Future ADJ Last Trading Day: Final Settlement Price: Daily Settlement: Daily Marker Prices: Singapore Gasoil (Platts) vs Murban 1st Line Future MUS Last Business Singapore Marker volume weighted published at average price of Fuel Oil 380 cst Singapore (Platts) vs Murban 1st Line Future Day of the Price on the Last MUT Trading Day. This will trades between second month 16:30 st Singapore and Singapore Mogas 92 Unleaded (Platts) vs Murban 1 Line Future preceding the form the Exchange and Refined MUU Delivery Settlement 19:28 delivery month Product st Price which will be the 16:30 Naphtha C+F Japan ( Platts) vs Murban 1 Line Future London Cracks MUV basis for 19:30 physical London Prevailing Time delivery Prevailing Time (there will be no London Marker st st Price on the Last Trading Day) Murban Singapore Marker 1 Line vs Brent Singapore Marker 1 Line Future AD3 Murban Singapore Marker 1st Line vs Brent Singapore Marker 1st Line Balmo Future AD4 Murban 1st Line Future vs Brent 1st Line Future Crude ADI Differentials Murban 1st Line Future vs Brent 1st Line Balmo Future ADU Murban Singapore Marker 1st Line vs Brent 1st Line Future ADH Trading Hours: Physical Delivery: Contract Series: Murban Singapore Marker 1st Line vs Brent 1st Line Balmo Future 22 hours Delivery of Murban Crude Oil at Up to 48 consecutive AD5 the , Fujairah months st st per day ADNOC Terminal Murban 1 Line vs WTI 1 Line Future ADW (01:00-23:00 London Time) on a FOB basis onto Buyer’s vessel during the delivery month * Murban 1st Line vs WTI 1st Line Balmo Future ADZ Murban 1st Line vs Dated Brent (Platts) 1st Line Future ADV Murban 1st Line vs Dated Brent (Platts) 1st Line Balmo Future ICE Murban Futures will be complemented with a range of cash settled derivatives which ADY IFAD plan to launch for day one of trading. The full list of contracts are listed here. * An Alternative Delivery Process can be agreed between the buyer and seller. *Subject to regulatory approval IFAD OIL SALES IFAD: FREQUENTLY CONTACTS ASKED QUESTIONS Business Contacts - IFAD Who are the shareholders in IFAD? Contact for general business inquiries ICE is the operator of the exchange and the Jamal Oulhadj [email protected] majority shareholder. ADNOC, BP, GS Caltex, Francois Lepart [email protected] INPEX, JXTG, PetroChina, PTT, Shell, Total Business Contacts - ICE Futures Europe (TOTSA) and Vitol support ICE to launch IFAD. Contact for general business inquiries Jeff Barbuto [email protected] When will IFAD launch Murban Futures? Deborah Pratt [email protected] Subject to the completion of regulatory Julius Foo [email protected] approvals, ICE plans to launch IFAD Murban Wayne Hick [email protected] Futures on March 29, 2021. Business Contact - ICE Clear Europe Why is Murban a good price marker? Contact for general business inquiries Murban is a high-quality light-sweet grade Kylie Poole [email protected] crude oil and has reliable and stable high production volumes from numerous long- Membership term concession and production partners, Enquiries about IFAD and ICEU membership Ann Carroll [email protected] including: Total, BP, PetroChina, INPEX, Zhenhua, GS Caltex and has a large number Trading Platform API Integration of international buyers and users. Customers who need to schedule exchange Intercontinental Exchange Partners Launch ICE Futures Abu Dhabi in November 2019. conformance testing What impact does IFAD’s entry to the [email protected] market have on existing oil benchmarks? The ambition is for the market to use Murban Market Making Programs as a price marker alongside other global oil More details surrounding IFAD’s performance ADNOC: FREQUENTLY benchmarks. based incentive programs ASKED QUESTIONS Vincent Martin [email protected] What is the operational tolerance? Production User Set-Up The operational loading tolerance is 0.2% for How does the new pricing mechanism work? How will this impact existing customer ICE company, user, and account set up a Futures-based physical delivery. This means The price of Murban crude is set as a forward price. contracts or how they buy crude from ADNOC? [email protected] the buyer is assured they will be receiving a Following the launch of IFAD, ADNOC’s Murban ADNOC term volumes and long-term contracts will quantity of Murban crude oil that is almost crude price will be set based on Murban Futures still be available to customers. ADNOC will remain a Participant Agreements exactly the same as their expired Futures contracts, which will be traded on IFAD. As such, reliable supplier of its customers’ crude oil needs ICE Participant Agreements position. When delivering physical product ADNOC’s customers will have increased visibility of and will continue to do business as usual. Volumes [email protected] through the Exchange, it is common for the the price of Murban they are purchasing. will also be available via the exchange. allowable delivered volume to be as precise Datacenter and Connectivity as operationally possible. Will some refiners look to move their risk Will ADNOC trade the Murban Futures contract SFTI, Colo and Hub connectivity to Production from the monthly pricing period at purchase on IFAD? and DR sites (Basildon, Chicago, Atlanta) What daily volumes will be available for to the monthly pricing period of delivery? [email protected] ADNOC Trading, a new entity incorporated in ADGM trading? Some refiners may look to do this.