NOS Clearing launched the Fuel Oil in 2005 and introduced the Fuel Oil Single contracts in March 2012. The cleared future contracts cover the main underlying fuel oil products used by the shipping industry. By offering cleared fuel oil derivatives in addition to the freight derivatives, NOS offers an effective hedging tool to the shipping industry and the cargo owners/buyers as well as trading opportunities to financial investors.
The Fuel Oil Single contracts are traded in lot sizes of just one ton, to accommodate for smaller players and avoiding trading in decimal lots.
Through clearing you have several positive effects on risk management and operations: