APX-ENDEX provides services for New Values, the Dutch based European emissions exchange. APX-ENDEX clears and physically settles transactions traded on New Values’ Climex trading platform. Climex is an international, fully electronic trading platform for dealing in Carbon (CO2) Allowances and Kyoto Certificates. It provides a marketplace where trading parties worldwide can be contacted easily and where trading in a fast, simple, cost effective and reliable manner is possible.

In addition to trading over the Climex exchange, counterparties conducting bilateral or OTC trades can also give up their trades through the Climex platform. The trades are then cleared by APX Commodities Ltd. or APX B.V., depending on the clearing arrangements of the trading counterparties involved. The Climex Alliance started the year with 63 members and completed the year with 80 members in total.

In 2007, the total volume on the Climex exchange increased to 7,001 Kilotonnes, up from 4,750 in 2006. Over 7 million EUA certificates were traded through the Climex Alliance; comprising of over 2 million certificates traded on the ‘Over The Counter’ (OTC) or ‘bilateral markets’ and given to APX-ENDEX for clearing. A total of 5 million tonnes were traded on the Climex exchange screen in 2007 resulting in a total cleared value of over EUR 10.5 million compared to EUR 103 million in 2006. The decrease being due to the continuing price erosion for the first phase carbon credits. The growth in volumes was mainly due to the increase in members and the continuing development of the European carbon markets with carbon registries opening in Central and Eastern Europe during the course of the year.

APX Spot Carbon Product

APX-ENDEX offers clearing services for the APX Spot Carbon product and is part of the Climex Alliance. The cleared spot carbon product is traded over the Climex platform and cleared by APX for trading members choosing a UK based clearing counterparty. The product may also be traded OTC and given up to APX-ENDEX for clearing through Climex.