New Abaxx exchange launches trading in LNG, carbon; delays nickel

Abaxx Technologies

28/06/2024 12:34

By Eric Onstad
       LONDON, June 28 (Reuters) - A new Singapore-based
commodities exchange started trading in liquefied natural gas
(LNG) and carbon futures on Friday, but delayed the launch of
its contract for nickel sulphate, officials from the firm said.
    Josh Crumb, CEO of Canadian-listed Abaxx Technologies Inc
 ABXX.NLB , which owns the exchange, announced on Friday on
social media platform X, formerly Twitter, that the exchange had
opened.
    An Abaxx official, who declined to be named, confirmed by
phone that trading had started in the LNG and carbon contracts,
but did not give details of volumes. 
    Abaxx had initially planned to launch the world's first
futures contract for nickel sulphate at the same time as the
other two contracts.
    Nickel sulphate is a form of nickel used in electric vehicle
batteries, a sector which is growing in importance.
    The Abaxx nickel contract would likely be launched in a
matter of weeks and was delayed because branding and
specifications had to be finalised, the official said.
    Abaxx also aimed to eventually add contracts for other
metals used in EV batteries such as lithium, executives told
Reuters last October.
    In December, authorities in Singapore granted approval for
the Abaxx exchange and clearing house.
    The new Abaxx nickel contract would be physically settled
but does not have a network of warehouses for delivery like
dominant metals market London Metal Exchange (LME).
    Instead, Abaxx futures contracts facilitate delivery
directly from seller to buyer.
    The existing nickel futures contracts on the LME and the
Shanghai Futures Exchange both trade in Class 1 refined nickel.

 (Reporting by Eric Onstad; Editing by Anil D'Silva)
 ((eric.onstad@thomsonreuters.com; +44 20 7542 7093; Twitter https://twitter.com/reutersEricO;
 Reuters Messaging: eric.onstad.thomsonreuters.com@reuters.net))