Operational risk
Energy Risk Manager of the Year: Morgan Stanley
Due, in particular, to a strong emphasis on the depth and breadth of its physical business, Morgan Stanley has been named Energy Risk Manager of the Year in our 2012 awards
Derivatives House of the Year: Deutsche Bank
During a troubled year for commodity trading, Deutsche Bank gained market share and boosted its global client base. For these reasons and more, it has been named Derivatives House of the Year in the 2012 Energy Risk awards
Seaway pipeline reversal: beginning of the end for negative WTI-Brent spread?
Analyst forecasts of how the reversal of the Seaway pipeline will affect the West Texas Intermediate-Brent spread vary widely. Jay Maroo reports
Power and utilities M&A declines in volume but grows in value: Ernst & Young
Slow global economic recovery led to weak M&A activity in the global power and utilities sector in the first quarter of 2012, but deal value increased almost 20% from the previous quarter
Energy Risk USA: Storms, warm winter, fuel interest in weather derivatives
The extreme weather that hit North America recently has spurred interest in tools designed to hedge weather risk, according to participants speaking at Energy Risk USA
Energy Risk USA: End-user exception to clearing impractical experts warn
The Commodity Futures Trading Commission’s proposed rule on the end-user exception to clearing is unworkable for many energy firms that use swaps for hedging say market experts
Energy Risk USA: CFTC to move quickly on swap definition – Berkovitz
The US Commodity Futures Trading Commission (CFTC) is very close to finalising its long-awaited definition of a swap, says CFTC general counsel Dan Berkovitz
Advert raises questions about US Airways' stance on fuel hedging
US Airways, which has stood out from the rest of the airline industry in recent years because of its refusal to hedge fuel costs, wants to hire someone to run a fuel hedging programme. The airline denies that it is reversing its stance on fuel hedging,…
Initiatives promote commodity derivatives in Brazil
Recent initiatives may encourage more players to the Brazilian commodity derivatives market, but there are still many obstacles to its growth, writes Alex Davis
Airline hedging falling short of best practices
Fuel hedging programmes at many airlines fall short of best practices, according to a new industry survey. Alexander Osipovich finds out how they are going awry
European power market series: Iberia
Liquidity in the Iberian power market has been on the rise thanks to market coupling and a move away from fixed tariffs, but uncertainty around government intervention and a lack of interconnection with the rest of Europe remain huge obstacles to…
Can the boutique energy brokerage survive Dodd-Frank?
The Dodd-Frank Act is set to drastically reshape the over-the-counter energy derivatives brokerage industry in the US, as small firms in particular are threatened with the loss of their independence. Alexander Osipovich finds out how brokers are coping…
Fragmentation hindering Canada’s electricity market
Poor integration and lack of political collaboration are preventing the Canadian electricity markets from achieving full efficiency, Gillian Carr reports
Argentina’s YPF move raises political risk fears
Argentina’s expropriation of Repsol’s stake in YPF and Brazil’s prosecution of Chevron highlight the risks facing foreign energy companies in Latin America. Alexander Osipovich reports
Trading positions – Energy Risk May 2012
Energy Risk catches up with the latest appointments, promotions and departures in global commodity markets
Analysts still sceptical of Delta Air Lines refinery acquisition
This week, Delta Air Lines confirmed rumours that it was purchasing a refinery on the US east coast, a first-of-its-kind transaction. As details of the deal have emerged, some observers have warmed up to the idea that Delta can better manage its fuel…
Risk management strategy low priority for many European energy buyers: survey
Most respondents think oil prices will rise – but few have risk management policies in place to cope with it
Energy firms rethink risk-capital allocation
Today’s capital-constrained environment is driving energy companies to review their approach to allocating the capital required to support risk exposures. David Stokes and Olly Spinks look at the challenges associated with risk-capital allocation and…
US energy firms relieved about CFTC’s ‘swap dealer’ definition; public utilities concerned
Many US energy companies breathed a sigh of relief on Wednesday after the Commodities Futures Trading Commission (CFTC) voted to narrow the definition of a 'swap dealer'. In a long-awaited decision, the agency dramatically raised the threshold for how…
Turning points: GDF Suez Trading's Edouard Neviaski
Energy markets veteran Edouard Neviaski talks to Jay Maroo about what it takes to make it big in the energy trading industry and his route to becoming the chief executive of GDF Suez Trading
White House seeks tools to fight ‘excessive’ oil speculation
On Tuesday, US President Barack Obama launched a new initiative aimed at curbing speculation in energy markets, arguing that it would help ease the pain of high gasoline prices. He urged Congress to give the US Commodities Futures Trading Commission …
Exclusive: Interview with Aramco Trading’s Said Al-Hadrami
The world’s biggest producer of crude oil, Saudi Aramco, has moved far beyond its roots and now boasts a team devoted to the worldwide trade of refined products. In an exclusive interview, Aramco Trading’s chief executive Said Al-Hadrami tells Alexander…
Enterprise-wide risk management: The power of cashflow-based metrics
The risks faced by energy/commodity firms need to be assessed via metrics that allow for longer-term outlooks and incorporate risks from asset-backed trading. In the second article in this series, Chris Strickland discusses the range of such metrics…
Possible Delta Air Lines refinery acquisition raises eyebrows
Analysts have been stunned by reports that Delta Air Lines is considering the purchase of an idled ConocoPhillips refinery on the US east coast. The unprecedented deal would provide Delta with an in-house source of jet fuel, but the problems inherent in…