Market risk
Purchase timing risk management in electricity forward markets
Managing purchase timing risk is a constant issue for wholesale power buyers. Pavel Diko reviews products that reduce this risk, proposes a lookback option that can eliminate it completely and outlines a hedging strategy for the option writer
Better prospects
Russia offers better prospects for industry to develop and far more investment opportunities than is widely recognised, writes Pavel Ulianov of Russian metal giant Rusal
Changing the game
Steven Wardlaw and Byron Romain of Baker Botts discuss the new role for foreign investment in the Russian Federation's hydrocarbon industry
Purchase timing
Managing purchase timing risk is a constant issue for wholesale power buyers. Pavel Diko reviews products that reduce this risk, proposes a lookback option that can eliminate it completely and outlines a hedging strategy for the option writer
Has mean reversion had its day?
Some experts are questioning whether mean-reversion models – once the standard way of explaining energy price movements after simple one-factor Brownian motion modelling fell from favour – are still suited to the petroleum and gas markets. Dario Ghazi…
Finding the way forward
US wholesale power markets are currently the subject of much concern. As Ferc begins a review to improve competition, Edison Electric Institute's Richard McMahon suggests some key ways to move forward
Michael Bertuccio
Roderick Bruce discovers what has helped BP's MICHAEL BERTUCCIO achieve his success on both the physical and financial sides of the energy business
Charging at commodities
Canada may rank as the world's third largest hydrocarbon producer, yet its energy derivatives market has been, up to now, somewhat constrained. David Watkins reports
Power struggle
After years of negotiations, market players believe that a tipping point in the liberalisation of European power markets could be near. But who will be in the driving seat, asks Oliver Holtaway
Nuclear launch at Tullett Prebon
Inter-dealer and energy broker Tullett Prebon has launched a nuclear fuel derivatives desk, adding to its presence in the power, gas, oil, coal and emissions markets.
War of words escalates in Cbot battle
A week after IntercontinentalExchange (ICE) announced its audacious $10 billion attempt to prise the Chicago Board of Trade from their grip, Chicago Mercantile Exchange executives gathered in Chicago to pour scorn on the proposal.
First cleared Belgian OTC power trade
The first cleared over-the-counter Belgian electricity trade was concluded this morning, brokered by energy broker Spectron
AIG Financial Products launches partnership with Tenaska
AIG Financial Products, a member company of American International Group (AIG), has signed an agreement to purchase a 50% partnership interest in Tenaska Energy’s natural gas marketing companies Tenaska Marketing Ventures, Tenaska Marketing Canada, and…
ICE proposes $10 billion merger with CBOT
The IntercontinentalExchange (ICE) has made a proposal to the Chicago Board of Trade to combine the two companies in a stock-for-stock transaction that would create the world’s most comprehensive derivatives exchange, ICE announced today.
Constellation Energy to acquire Progress contracts
Constellation Energy is to acquire power and gas contracts from Progress Ventures, a subsidiary of North Carolina-based Progress Energy.
ICE announces new futures timeline
IntercontinentalExchange (ICE) has announced it will launch electronically traded New York Board of Trade (Nybot) financial futures contracts in April.
CME to launch new weather derivatives
The Chicago Mercantile Exchange (CME) is to expand its range of weather derivatives with the launch of its Weekly Weather Index futures and options, beginning April 2.
Electricity-backed security: concepts and measures
John Jiang and Hanjie Chen propose a generic concept ofelectricity-backed security, which provides an additionalfunding method to utilities with poorer credit ratings,and a new asset class to investors
Spreading opportunities
Volatile European gasoil and US heating oil prices mean traders must follow inventory and temperature forecasts carefully to stay on the right side of moves in outright and spread values, writes Logical Information Machine's energy analyst Daven Voorhies