Hartree, Mercuria and Vitol trade first CME carbon offset contracts

Mercuria Holdings

01/03/2021 14:44

LONDON, March 1 (Reuters) - Trading companies Hartree
Partners, Mercuria and Vitol all participated in the first
trades of CME’s new carbon offset futures contracts, broker
Evolutions Markets, which facilitated the trade, said on Monday.
    CME launched the Global Emissions Offset (GEO) contract on
Monday to help establish a global price for voluntary carbon
credits that are currently traded on a mostly project-by-project
basis.  urn:newsml:reuters.com:*:nL8N2K13R5
    The voluntary carbon offset market is expected to grow
rapidly over the next few years as more companies seek to buy
offsets to meet their climate targets.  urn:newsml:reuters.com:*:nL1N2KW0PE
    The trade was a partial strip comprising 10,000 offsets for
June 2021 delivery at $2.00 and 10,000 for Sept. 2021 delivery
at $2.05, Evolution said in a statement.
    Each offset represents one metric tonne of carbon dioxide
reduction.
    Hartree Partners was the seller of the offsets while
Mercuria bought the June contracts and Vitol bought the
September contracts, Evolution said.

 (Reporting by Susanna Twidale; editing by Jason Neely)
 ((susanna.twidale@thomsonreuters.com; +44 207 5424753;))