Matrix Markets auctions 4.750 MMbbl of storage capacity
HOUSTON — Matrix Markets LLC announced that 4.750 MMbbl of LOOP capacity allocation contracts (CACs) were sold during the Oct. 3 auction.
LOOP CACs include physical forward agreements (PFAs) and block futures contracts executed pursuant to the rules of NYMEX. During the auction, 2,850 block futures were executed at $0.15 from January 2018 through September 2018. In addition, there were 1,900 PFAs sold at $0.15/bbl from December 2017 through September 2018.
LOOP’s CACs were introduced to the market in connection with CME Group’s launch of the first-ever physically delivered crude oil storage futures contract, and provide market participants with the right to store 1,000 bbl of crude oil per contract at LOOP’s Clovelly Hub for a specific calendar month. The CME Group futures are listed under the symbol “LPS” and opened for trading on March 30, 2015. LOOP LLC is the operator of the largest privately owned crude oil terminal in the United States.
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