ICE Futures Europe Statement: UK Government Emissions Auction

London - 23 April 2012

IntercontinentalExchange (NYSE: ICE), a leading operator of global regulated futures exchanges, clearing houses and over-the-counter (OTC) markets, today issued the following statement following the announcement by the UK Department of Energy & Climate Change.

"ICE Futures Europe is delighted that the UK Department of Energy & Climate Change has selected the Exchange as the preferred supplier to conduct aviation allowances and auctions for Phase III of the EU Emissions Trading Scheme (EU ETS) on behalf of the UK Government.

ICE Futures Europe is a Recognised Investment Exchange and a Recognised Auction Platform by the Financial Services Authority and through its ECX product suite, offers the world's most liquid on-exchange carbon market. The Exchange is therefore ideally placed to provide auction services to its members and customers for both compliance and price risk management purposes as part of the next phase of the EU ETS."

The UK's Phase III and aviation auctions are due to start in November, subject to approval by the European Union.

ICE Futures Europe offers derivative contracts on four types of carbon units: EU Allowances (EUAs), Certified Emission Reductions (CERs), Emissions Reductions Units (ERUs) and European Union Aviation Allowances (EUAAs).

Emissions trading volumes have experienced strong growth since the first contract was launched in 2005, with annual volumes for ICE Emissions futures and options products achieving a record 7.57 million contracts in 2011 (7,570 million tonnes of CO2), an increase of 23% on the previous year. Average daily volumes were 33,625 in March 2012, up 0.8% on last year and open interest stood at 1.227 million contracts as at April 20, 2012 for ICE Emissions products.

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