Shanghai International Energy Exchange has released its Circular on Market Makers Application for Crude Oil Options as follows:

The Shanghai International Energy Exchange (“INE”) invites market makers for crude oil options in accordance with the Market-Making Management Rules of the Shanghai International Energy Exchange and notifies the relevant matters:

1. Application Requirements

(1) Having net assets of no less than RMB 50 million or its equivalent in foreign currency;

(2) Having specialized agencies and personnel in charge of the market-making business, and market-making personnel familiar with the relevant laws and regulations as well as INE’s business rules;

(3) Having a sound plan for the market-making business, an internal control system, and a risk management system;

(4) Having no record of severe violation of laws or regulations in the past three years;

(5) Having a stable and reliable technology system for the market-making business;

(6) Having the experience recognized by INE in trading, market-making, or simulated market-making; and

(7) Other requirements prescribed by INE.

2. Materials for Application

(1) An Application Form for Market Maker Qualification with the applicant’s common seal (if any) signed by its legal representative or authorized signatory (Appendix 1);

(2) A photocopy of the applicant’s Business License bearing its common seal, or notarized and lawfully authenticated materials on its legitimate establishment;

(3) The original of the latest audited financial statement, or a photocopy bearing the common seal of the accounting firm or bearing the signature of the authorized signatory of the accounting firm or the auditing firm. In any case, a paging seal should be stamped;

(4) Post setting and job responsibility of the market-making department, and the name list and resumes of the person-in-charge and other personnel for the market-making business (Appendix 2);

(5) An implementation plan for the market-making business, internal control system, and risk management system (Appendix 3 for key points of reference). All these documents should be stamped with a paging seal;

(6) A Letter of Commitment on no severe violation of laws or regulations in the past three years (Appendix 4);

(7) A statement on its technology system for the market-making business (Appendix 5);

(8) A statement on its market-making or simulated market-making; and

(9) Other materials required by INE and, if a securities firm or a risk management subsidiary of a futures firm, a photocopy of its Filing Letter or No-Action Letter on market-making business issued by its authorities.

3. Requirements for Submission

(1) Form of Materials: All application materials should be submitted in electronic form and, for Appendices 1 and 4, in written form as well. Both electronic and written materials should bear the applicant’s common seal. INE may require additional written materials as necessary.

(2) Order of Materials: Please number the required materials by referring to the above “Materials for Application” section and submit them together with a list.

(3) Name of Materials: Please name the materials in the format of “Applicant Name—Application Materials for Shanghai International Energy Exchange Market Maker.”

(4) Deadline of Submission: Please submit the electronic and written materials by email and post, respectively before June 2, 2021, and call us to confirm.

(5) Applicants who do not meet the application requirements or provide incomplete application materials will be ineligible for the subsequent comprehensive assessment. INE may require additional materials or conduct on-site inspection as necessary,

4. Contact Information

Tel:　021-68401485　021–68402786

Email:              inemarketmaker@shfe.com.cn

Address:           5/F, Shanghai Futures Tower, 500 Pudian Road, Pudong New Area, Shanghai

Attention:         Trading Department

Postal Code:     200122

Appendices: 1. INE Application Form for Market Maker Qualification
　　　　　2. Summary Table of Posts and Personnel
　　　　　3. Key Points of Reference in the Implementation Plan and Internal Rules for Market-Making Business
　　　　　4. Letter of Commitment
　　　　　5. Filing Form of Technology System for the Market-Making Business
 

Shanghai International Energy Exchange

May 28, 2021