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

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 , 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)