* CLTX was bought by Germany's European Energy Exchange
* EEX itself is part of German stock exchange Deutsche
* CLTX focuses on iron ore, shipping, freight
* CLTX eyes Asia's growing LNG market
By Vera Eckert
SINGAPORE, May 4 Singapore's Cleartrade Exchange
expects the overall market size of its core products of iron
ore, shipping, and fuel oil to grow strongly to $200 million by
2020, and it aims to take a growing slice of that trading, its
chief executive told Reuters.
Cleartrade Exchange (CLTX) last year became fully owned by
Germany's European Energy Exchange EEX, which is
continental Europe's leading electricity and natural gas bourse
and is trying to go global though acquisitions like CLTX in 2016
and the U.S. Nodal exchange this year.
EEX is itself a unit of Deutsche Boerse, Germany's biggest
Asia-Pacific markets for freight and seaborne commodities
are likely to grow to $200 million in total exchange revenue by
2020, from $130 million in 2015, CLTX's chief executive Egbert
Laege told Reuters.
"Our ambition is to achieve double-digit growth across these
markets," he said.
CLTX is a rival to London-based Baltic Exchange, the world's
main shipping bourse, which last year was taken over by
Singapore Exchange (SGX).
By comparison with the size of the market and some of its
competitors, CLTX is a small exchange.
Its 2016 sales revenues were 1.1 million euros ($1.20
million), down from 1.2 million a year earlier. That compares
with total EEX revenues of 234.2 million euros.
CLTX last year traded 315 million tonnes of iron ore, up 55
percent from 2015, and 4.7 million tonnes of bunker fuel, up 37
percent. Turnover in freights eased by three percent to 438,000
days of hire.
However, despite its size, CLTX is seen as giving EEX and
Deutsche Boerse a foothold in Asia's growth markets.
"We are also very interested in the liquefied natural gas
(LNG) market, so that could potentially be a further field of
action," Laege added.
Due to overcapacity following sharp production rises
especially in Australia and the United States, spot LNG trading
in Asia, which consumes 70 percent of global supplies, is
soaring, opening business opportunities for exchanges.
Laege said that Cleartrade's LNG ambitions were supported by
its location in Singapore, which is expected to become the main
trading hub for LNG markets, allowing parent EEX power and gas
customers in Europe to deal with global gas price exposure.
"From both dimensions, LNG makes sense (for us)," he said.
($1 = 0.9182 euros)
(Reporting by Vera Eckert, editing by Richard Pullin)