Propane Futures Contract Specifications

Trading Unit

  • 42,000 U.S. gallons (1,000 barrels).

Price Quotation

  • U.S. dollars and cents per gallon.

Trading Hours (All times are New York time)

  • Open outcry trading is conducted from 9:20 AM until 1:10 PM.After hours futures trading is conducted via the CME Globex® trading platform, with the following schedule: Sunday 6:00 PM until 9:00 AM the following day (Monday’s trade date)
  • Monday -Thursday 1:45 PM until 5:15 PM the same day (Current trade date) 6:00 PM until 9:00 AM the following day (Next trade date)
  • Friday 1:45 PM until 5:15 PM (Friday’s trade date)

Trading Months

  • 15 consecutive months.

Minimum Price Fluctuation

  • $0.0001 (0.01) per gallon ($4.20 per contract)

Maximum Daily Price Fluctuation

  • $0.25 per gallon ($10,500 per contract) for all months. If any contract is traded, bid, or offered at the limit for five minutes, trading is halted for five minutes. When trading resumes, the limit is expanded by $0.25 per gallon in either direction. If another halt were triggered, the market would continue to be expanded by $0.25 per gallon in either direction after each successive five-minute trading halt. There will be no maximum price fluctuation limits during any one trading session.

Last Trading Day

  • Trading terminates at the close of business on the last business day of the month preceding the delivery month.


  • F.O.B. at Texas Eastern Products Pipeline Co. or, with the agreement of the buyer and the seller, at any pipeline, storage facility, or fractionation facility in Mont Belvieu, Texas, with direct pipeline access to TEPPCO. Delivery may be made by in-line or in-well transfer, inter-facility transfer from the seller’s facility to TEPPCO, or by book transfer unless either the buyer or the seller disagrees with such transfer.

Delivery Period

  • All deliveries must be initiated after the fourth business day and completed by the last calendar day of the delivery month.

Alternate Delivery Procedure (ADP)

  • An alternate delivery procedure is available to buyers and sellers who have been matched by the Exchange subsequent to the termination of trading in the spot month contract. If buyer and seller agree to consummate delivery under terms different from those prescribed in the contract specifications, they may proceed on that basis after submitting a notice of their intention to the Exchange.

Exchange of Futures for Physicals (EFP)

  • The buyer or seller may exchange a futures position for a physical position of equal quantity by submitting a notice to the Exchange. EFPs may be used to either initiate or liquidate a futures position.

Grade and Quality Specifications

  • Conforms to industry standards for fungible liquefied propane gas as determined by the Gas Processors Association (GPA-HD-5).


  • Inspection shall be conducted in accordance with pipeline practices.

Margin Requirements

  • Margins are required for open futures positions.

Trading Symbol

  • PN

source: New York Mercantile Exchange Inc

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