This contract is tied to the proposed extension of TransCanada’s Keystone XL pipeline from Alberta, Canada to Nebraska. Should TransCanada be granted a Presidential Permit or other federal permission from the United States to proceed with this extension before the expiration date of June 30, 2013 (TransCanada states as of this product launch that it expects approval in 1Q 2012), whether issued directly by U.S. regulators, by the President, or via an act of Congress or any other arm of government with the authority to issue or compel issuance of such a permit, the criteria for this contract shall be satisfied, entitling long position holders to a payout of the full notional value of their holdings.
Satisfaction of the contract criteria is unaffected by TransCanada’s proceeding or intent to proceed with actual development of the pipeline, nor by any changes made to their permit application, planned routes, environmental studies, or any other factors, aside from the United States granting this company or any affiliated entities permission to construct a pipeline between Alberta and Nebraska. Following satisfaction of the contract criteria, any subsequent policy actions that may effectively rescind, diminish, or alter the previously granted permission will also have no effect on the settlement status of the contract.
These rules will remain unchanged for the duration of the contract’s trading on this market, but are subject to revision prior to the launch of real-money trading.