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Dubai India Crude Oil Futures

Dubai India Crude Oil (DICO) will allow participants to trade in a Crude Oil futures benchmark referencing the Indian Rupee, whilst trading in US Dollars. The use of DICO as a reference pricing mechanism extends far beyond its local and regional markets. The product design of DICO brings together both the DGCX WTI prices and the flagship USDINR contract. With WTI pricing accounting for over 25% of global supply, the DICO futures contract provides accessibility to the Indian energy markets to a wider range of participants.

 

Contract

Parameters

Contract Symbol

DICO

Underlying

Indian Crude Oil Contract

Contract Size

3

Notional Contract Value

USD 3.00 X Indian Crude Oil Futures Price quoted (e.g. Bid 3307.00 / Ask 3308.00)

Trading Currency

USD

Settlement Currency

USD

Price Quote

USD

Tick Size

1

Tick Value

USD 3

Settlement Basis

Cash Only Settlement Contract

Final Cash Settlement Price

The Final Cash Settlement Price basis shall be the DGCX front month WTI Light Crude Oil Final Settlement price that corresponds to the DGCX front month DICO contract. Official US Dollar reference rate issued by the Reserve Bank of India (RBI), based on bank rates in Mumbai at 12 noon on the Last Day of Trading or earliest available date shall be used to convert the above DGCX front month DWTI Final Settlement Price into DGCX front month DICO Final Settlement Price. For instance, on the Last Day of Trading of DICO front month contract, the Final settlement price of DGCX front month WTI Light Crude Oil is $50.00 and the last available RBI US Dollar reference price is INR 67.0025 /US$, then the Final Cash Settlement Price for the front month DICO contract shall be $3,350.12 rounded off to $3,350.00 (i.e. $50.00*67.0025 and rounded off to the nearest tick)

Last Day of Trading

Last Day of Trading shall be the 4th Business Day prior to the 25th calendar day of the month that precedes the Delivery Month. If the 25th calendar day is not a Business Day; Last Day of Trading shall be the 4th business day prior to the business day that precedes the 25th calendar day. If the 4th business day is not a DGCX or an Indian business day, then the preceding DGCX Business Day which is not a holiday in India shall be the Last Day of Trading.

Trading Days

Monday through to Friday

Trading Hours

DGCX Trading Hours

Trading Months

At the outset, two serial contract months and a spread contract will be available for trading.

New Contract Listing

Business day immediately following the last trading day

Max Order Size

500 contracts for Banks and institutions promoted by Banks. All other entities 200 contracts

EFP / EFS / Block Trades

As per DGCX By-Laws

Time Limit for EFP / EFS / Block Trade Registration

Up to 5 minutes after cessation of trading on any trading day

Initial Margin based on SPAN

USD 600 per lot (subject to change)

Extra Margin

At times of high volatility, an extra margin, as deemed fit by the Exchange, may be charged.

Calendar Spread Margin

100% benefit is offered on calendar spread positions

Daily Price Movement limit

No Limits - Note 1*

*There will be no limits on intra-day price movements, however to restrict data-entry errors the system will not allow entry of orders having prices higher or lower than 300 as compared to the previous closing price. The DGCX shall relax the intra-day price range for the prices of the contract approaching the 300 limit.