Skip to main content

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. The vast majority of retail client accounts lose money when trading in CFDs. You should consider whether you can afford to take the high risk of losing your money.

Onyx Markets NGL C3 ENT/C3 LST NGL N. America – Commodity Differential CFD

C3 ENT/C3 LST NGL N. America – Commodity Differential CFD

Trade with the world's #1 oil derivatives liquidity provider

Name & Trade Code

Contract Name C3 ENT/C3 LST(4200gal-$/gal)
MT5 Code C3_ENT/C3_LST
Contract Classification Commodity Differential CFD
Geographical Region N. America

Contract Specification

Sector Energy
Product Group NGL
Tenor Period Consecutive individual whole calendar months, e.g. May 25
Maximum Forward Tenor Up to 18 consecutive forward Tenor Periods available
Contract Size 4200
Contract Unit gal
Trading Price Quote $/gal
Price Digits 5
Currency USD
Tick Value 0.042
Tick Size 1.0E-5
Minimum Volume 1
Volume Steps [Lots] 0.01
Settlement Positions held into pricing month will be split into the constituent legs and then follow the settlement methodology for Outrights. i.e. Arithmetic mean of Settlement Prices throughout expiry month.
Margins Download a summary or detailed document with tiers.

Expiry Trading Overview

Contract Expiry Date The last trading day of the expiring Tenor Period (i.e. 30 May 2025 for May 25 Tenor Period)
Last Trading Day (for new open positions) Five working days prior to the Contract Expiry Date for the Tenor Period (i.e. 23 May 2025 for May 25 Tenor Period)
Last Trading Day (for closing position in that Tenor Period) The Contract Expiry Date of the relevant Tenor Period

Tenor Period Settlement Valuation Process

Open Volume The net open volume for the expiring Tenor Period
Daily Settlement Value Market-on-Close – The daily assessment settlement time, e.g. 4:30 pm for European contracts
Daily Settlement Volume Each day during Tenor Period, the remaining Open Volume reduces by the equivalent of 1/ (number of pricing days in the Tenor Period, including today if prior to Market-on-Close) and be settled at Daily Settlement Value
Final Settlement Price Positions held into pricing month will be split into the constituent legs and then follow the settlement methodology for Outrights. i.e. Arithmetic mean of Settlement Prices throughout expiry month.

Contract Purpose

This contract enables market participants to:

  • Trade the price spread between US Mont Belvieu propane (Enterprise) and US Gulf Coast propane (LST) directly.
  • Hedge exposure to regional price differences within the US propane market, particularly between two of the most liquid and influential benchmarks.
  • Manage risk associated with local supply-demand imbalances, transportation bottlenecks, and infrastructure changes along the Gulf Coast.
  • Implement trading strategies that reflect the shifting value of propane between the Mont Belvieu Enterprise and LST hubs, driven by factors such as storage, export activity, and pipeline flows.

Market Significance

Regional Benchmark Relationship:
The C3 ENT/C3 LST spread is a key indicator for North American NGL traders, reflecting the internal market dynamics of the US Gulf Coast. Both Mont Belvieu (Enterprise) and LST are major pricing points for propane, and their relationship is closely watched by producers, midstream operators, and end-users.

Infrastructure and Logistics Insight:
This contract captures the impact of pipeline constraints, storage levels, and export terminal activity on regional price formation. Changes in the spread can signal shifts in supply chain efficiency or disruptions in the movement of propane within the Gulf Coast.

Market Dynamics:
The price difference between Mont Belvieu Enterprise and LST is shaped by local production trends, weather-driven demand, and the balance between domestic consumption and export flows. It is particularly relevant during periods of high volatility or when infrastructure projects come online or offline.

Trading Benefits

  • Spread Trading Efficiency: Enables direct trading of the regional propane spread without holding outright positions in both benchmarks.
  • Risk Management: Offers an effective hedge for those exposed to price swings and arbitrage opportunities within the US Gulf Coast propane market.
  • Price Discovery: Facilitates transparent valuation of the relative value between Enterprise and LST propane, supporting informed trading and hedging decisions.
  • Capital Efficiency: Reduces margin requirements compared to trading both legs separately.

This contract is especially valuable for propane producers, midstream operators, trading houses, and industrial consumers active in the US NGL market. It provides a focused tool for managing exposure to one of the most actively traded and closely watched regional price spreads in North American propane.