MUSCAT: Dubai Mercantile Exchange (DME), the premier international energy futures exchange in the Middle East, recorded an impressive increase in total volume and physical delivery in 2023 compared to last year, cementing its position as the main crude oil benchmark in the East of Suez market.
DME’s front-month trading volume in 2023 surged to 800 million barrels, surpassing the 2022 figure of 752 million barrels and attaining the highest levels since 2018. Similarly, the physical delivery volume for 2023 rose to 210 million barrels from the 2022 count of 181 million barrels, achieving another highest since 2018. Furthermore, DME’s total physical exposure in 2023 rose to 262 million barrels from 214 million in 2022.
The remarkable performance during 2023 has strengthened DME’s standing on the global level, with its flagship Oman Crude Oil Futures Contract, DME Oman, now representing 36% of the Middle Eastern crude heading to the Asian market - a phenomenal growth from just 8% in 2007.
Commenting on the exceptional growth in trade volumes, Raid al Salami, Managing Director, DME, said: “In 2023, we experienced a dynamic period marked by notable achievements in business performance and strategic collaborations. These successes have significantly strengthened our market share and overall value. As we enter the New Year, we remain confident in sustaining our positive momentum despite ongoing changes across regional and global energy landscapes. We will continue to set new benchmarks of excellence and deliver value to our stakeholders.”
DME’s accomplishments in 2023 included key milestones such as delivering 3 billion barrels through the exchange mechanism since its inception and over 20 billion barrels traded in total.
The exchange has recently entered a strategic partnership with Saudi Tadawul Group (STG) in Jan 2024, enhancing its expertise and growth potential and opening promising opportunities.