0.5% futures contracts : starting in February (file image/pixabay)
Players will be able to trade in 0.5% sulfur fuel oil contracts courtesy of the Intercontinental Exchange (ICE) from February.
The move is the second such offering joining 0.5% sulfur futures contracts trading on the New York Mercantile Exchange which started this week.
Both futures contracts will be settled against SP Global Platts prices.
"The contracts will operate alongside ICE's benchmark Low Sulphur Gasoil futures, fuel oil and LNG markets," the exchange said in a statement.
With the 0.5% sulfur cap on bunker fuel starting in a year's time, ICE said it had seen strong demand for such a contract ahead of the new rule.
"Our customers have expressed a strong desire for marine fuel 0.5% specific derivative contracts," ICE said.