The Dubai Mercantile Exchange Limited (DME) said that it has reached a new milestone with more than 500,000 lots of its benchmark DME Oman Crude Oil Futures Contract being traded since its launch on June 1, 2007.

DME is the Middle East’s premier energy futures and commodities exchange.

At the close of trading on December 2, 2008, the DME Oman Crude Oil Futures Contract had traded a total of 500,495 contracts, equivalent to 500.495 million barrels of oil, said a top official.

Making the announcement, Ahmad Sharaf, chairman of the DME said: 'This is a truly remarkable milestone that clearly demonstrates the steady progress that we have been making since our launch last year.'

'The DME Oman Crude Oil Futures Contract is increasingly recognized as the first successful exchange traded contract for price transparency in the East of Suez markets, joining West Texas Intermediate (WTI) and Brent crude oil futures contracts as the world’s benchmarks for crude oil.”

Tom Leaver, chief executive officer of the DME, said: 'We have seen growing acceptance and demand for the DME Oman Crude Oil Futures Contract as a risk management tool from the Asian refining community, as well as demand from international traders leveraging arbitrage opportunities.'

'Trading half a million contracts over 18 months is a clear mark of the success of the contract and its direct relevance for price transparency and fair value for the East of Suez market.'

'This success was underscored by the commitment of seven international companies purchasing equity stakes in the DME during 2008, demonstrating that even in a turbulent financial climate, there is a compelling value proposition offered by the DME,' he remarked.

'We look forward to continued growth and setting new records, as the visibility and reach offered by CME Globex gives further impetus to the growing liquidity of the DME’s contracts,” he added.-TradeArabia News Service