CME UCO futures use PRIMA European T1 UCO price assessment

In the UK, PRIMA’s pricing service has been chosen to launch the world’s first risk management contract for the recycled feedstocks cutting transport’s carbon emissions.

The CME-listed futures contract settles against the daily PRIMA European T1 Used Cooking Oil price assessment published by London-based PRIMA. This provides the first instrument for European biodiesel and HVO producers, oil refiners and feedstock suppliers to manage their forward pricing risk using a low carbon feedstock.

PRIMA’s daily assessment tracks liquidity in European and imported waste oils used in biofuels manufacture. Waste oils are only considered towards the assessment if they are accompanied by the stringent sustainability documentation required by European regulators.