Shearman & Sterling represented Intercontinental Exchange in connection with the establishment with Magellan Midstream Partners and Enterprise Products Partners of a new futures contract for the physical delivery of crude oil in the Houston area.

The quality specifications of the new futures contract will be consistent with a West Texas Intermediate crude oil originating from the Permian Basin with common delivery options at either the Magellan East Houston terminal or the Enterprise Crude Houston terminal. In support of this new futures contract, Magellan and Enterprise anticipate discontinuing their existing provisions for delivery services under the current futures contracts deliverable at each terminal once the new contract receives regulatory approval and is finalized.

Intercontinental Exchange is a Fortune 500 company that designs, builds and operates digital networks to connect people to opportunity. It provides financial technology and data services across major asset classes that offers its customers access to mission-critical workflow tools that increase transparency and operational efficiencies. Intercontinental Exchange operates exchanges, including the New York Stock Exchange, and clearing houses that help people invest, raise capital and manage risk across multiple asset classes.

The Team