31 Aug 2009

LEAP Releases US Marine Annex

LEAP and its Marine Annex Committee are pleased to announce the release of the LEAP Marine Annex version 1.0 for transactions in oil and refined product delivered by vessel in the United States or Canada, or United States or Canadian territorial waters.

August 2009 — Leadership for Energy Automated Processing, LEAP, has finalized and released for voluntary use in physically-settled transactions, the LEAP Marine Annex Version 1.0. The LEAP Marine Annex Version 1.0 is intended to be attached to either Version 2.0 or 2.1 of the LEAP Master Agreement for Purchasing and Selling Refined Products and Crude Oil to expand coverage to include transactions in oil and refined product delivered by vessel in the United States or Canada, or United States or Canadian territorial waters. Some of the benefits of a master agreement that includes marine provisions are to increase legal certainty, streamline and reduce operational complexity and lay the foundation for the electronic confirmation of marine transactions.

The LEAP Marine Annex Version 1.0 is the product of a broad, cross-functional industry working group.

The LEAP Master Agreement is the product of several years of discussions by member companies of LEAP and was the first publicly-available master agreement template for U.S. domestic refined products & crude oil and Canadian crude oil for pipelines. Other master agreement projects currently underway at LEAP include an addendum for European barge transactions.

The mission of LEAP is to promote efficient and reliable transaction processing within the energy trading industry for anyone who wishes to use automation and standardization. More information about LEAP, the LEAP Master Agreement for Purchasing and Selling Refined Products and Crude Oil, the LEAP Marine Annex and other LEAP projects is available at www.energyleap.org. Membership in LEAP is open on a nondiscriminatory basis to energy trading, service and association entities. All members must be legal entities, not natural persons.