Credit risk
Convergence in Atlantic Basin coal
Atlantic Basin OTC coal trading is the envy of US and Asian markets, but until recently it was missing the key component of OTC contracts. But trading in globalCOAL's Atlantic products has taken off dramatically since the end of 2005, writes Stephen Doyle
Coping with setbacks
Most risk managers and employees in energy companies are familiar with the concepts of market risk and credit risk, but operational risk is receiving more attention in corporate boardrooms these days, writes Sandy Fielden
Full steam ahead
The rising cost of shipping fuel is causing more and more shipowners and commodity merchants to consider risk management strategies, and some sophisticated marine fuel trades are taking place as a result, writes Barry Parker
Credit - Energising credit
Traditional credit instruments can be used to mitigate credit risk in the energy sector, despite the unique risk management challenges, says Chris Coovrey
Correlation - The energy price factor
Navneet Arora provides empirical evidence that significant correlations exist between the movements of commodity prices and the credit quality of firms in the energy sector
Introduction - New frontiers in credit
Rising energy prices have thrown the issue of credit into stark relief, and credit lines are being used up increasingly quickly. How should credit managers react?
2005 in review
The energy markets were a dynamic place to be in 2005, with high volatility and an explosion of new players hitting the scene. Inevitably, though, it wasn't all smooth sailing. Energy Risk looks back over the highs and lows of 2005, from the launch of…
Prepay agreements - The ten-year pitch
Standard & Poor's recently passed the $1 billion mark in terms of natural gas prepayment deals it has rated since 2003. Joe Marsh looks at how these work and why municipal utilities might want to consider them
SocGen opens Calgary office, launches Canadian energy-services partnership
SG Corporate & Investment Banking (SG CIB) has partnered with Calgary-based energy-sector investment dealer FirstEnergy Capital Corp to jointly offer energy-financing services to the firms’ Canadian clients. SG CIB, part of French bank Société Générale,…
BarCap takes on Duke trading book
Barclays Capital will acquire and manage the bulk of Duke Energy North America’s (DENA) power and gas derivatives contracts, as part of parent Duke Energy Corp’s takeover of US utility Cinergy.
Refco raises further concerns
As the Refco bankruptcy case rumbles on, investors are wondering if more could have been done to prevent it, and in future, are likely to seek better assurances over the security of funds in segregated customer accounts
Credit in the limelight
Today's business climate is pushing credit risk higher up the risk management agenda, as our Energy Credit Risk conference in New York showed. Stella Farrington reviews the event
Congestion charges
As the US' premier regional transmission organisation, PJM Interconnection's pricing and transmission congestion models must be foolproof. Sandy Fielden describes how they work and the associated risk management mechanisms available to participants
US physical clearing firm gets credit support from CSFB
Investment bank Credit Suisse First Boston is to provide credit support for North American Energy Credit and Clearing’s (NECC’s) services in physical energy markets.
LCH.Clearnet launches OTC clearing for freight derivatives
LCH.Clearnet has launched an OTC clearing service for the forward freight agreements (FFAs).
Bear Stearns and Calpine form energy marketing and trading company
Investment bank Bear Stearns and California-based power company Calpine Corp have formed an energy marketing and trading venture focused on physical natural gas and power trading and related structured transactions.
Getting a head-start
North American Energy Credit and Clearing may have gained an advantage by being the first to clear over-the-counter physical electricity contracts. But it still has to prove that it is reliable and efficient. Joe Marsh reports
Blowing hot and cold
Across Europe, government enthusiasm and support for wind energy will dictate the ability for wind project sponsors to refinance project loans via the bond market. Jan Willem Plantagie of Standard & Poor’s explains
Delivering the goods
There’s huge scope for growth in the freight derivatives market, but to attract more players, existing participants need to adopt more innovative and sophisticated trading practices, participants say. Stella Farrington reports