OPIS and Trayport Sign for New Oil Product Trading Screens
LONDON (March 20, 2017) – Traders and brokers who seek efficient and transparent ways to buy, sell and price physical oil products can now employ a suite of new trading and price discovery screens following the signing of an agreement between OPIS, part of business information provider IHS Markit (Nasdaq: INFO), and London-based Trayport Ltd.
OPIS will leverage the high performance, executable trading screens that also provide instant price discovery using the OPIS450 methodology. OPIS450 assesses live-market bid, offered and traded value to create a price for each of the 450 minutes between 9 a.m. and 4.30 p.m. before averaging outright prices and differentials to provide new all-day and settlement-derived prices.
At International Petroleum (IP) Week in London, OPIS demonstrated new trading screens for diesel, gasoline and gasoil/heating oil, and also presented prices and trade tallies since January 2016, when OPIS launched the OPIS450 Jet Barge Market for Rotterdam and the surrounding region. Vitol, Lufthansa, Blue Oil, Nextstream, Mabanaft and Totsa are among those who have participated in the Trayport OPIS450 market in 2016, with a small but growing number of spot deals taking place throughout the year.
OPIS has delivered live pricing to key global markets since 2003 using an extensive range of OPIS price tickers. With the addition of an industrial-scale, independent trading platform from Trayport to a live-pricing methodology, OPIS450 has delivered all-day, exchange-style pricing to OTC physical markets for the first time.
“The feedback from this first OPIS450 Jet fuel trading screen has been really good over its first year, and the pricing that results has proven to be robust,” said Tim Wright, director – OPIS Europe. “In the days leading up to IP Week alone, we had three spot jet fuel trades, a new major European refiner participating in the screen, and further oil majors and brokers enquiring about registering to trade.”