Mercatus Energy Advisors is widely recognized as an industry leader in oil & gas hedging and price risk management. Our team works closely with our clients to develop an oil & gas price risk management program which meets their unique needs and objectives.
We focus on working with our clients to manage their exposure to volatile oil & gas prices from the current month to several years in the future. We help clients identify their exposures and develop and implement policies, procedures and strategies that allow them to prosper in low, high and moderate oil & gas price environments.
We help companies exposed to oil & gas prices obtain a comprehensive view of current their oil & gas price risk and identify and implement solutions which will allow them to meet their goals and objectives. Our oil & gas advisory services are tailored to your specific needs which allow us to help you develop, implement and manage a successful plan regardless of what happens in the energy commodity markets. Furthermore, we provide our clients with standing, regular calls where we review and discuss their positions, objectives and, if necessary, any strategy modifications.
All of our oil & gas clients have unlimited access to our team and the customized models we develop for you. Many of our clients consider us their “in-house” oil & gas trading and risk management experts, which allow them to focus on their core business.
Establishing a solid oil & gas price risk management program is a critical component of your success. We work directly with you to assess, analyze and manage your price risk through a unique and effective process. We provide the professional expertise and service to get the produce the desired results including:
- Evaluation of your oil & gas price risk
- A step-by-step plan to set up an oil & gas price risk management program including a formal price risk management policy
- Evaluation of forward oil & gas and crude oil markets to objectively identify appropriate hedging opportunities
- Analysis of your market exposure to physical, forward, and option prices to ensure that you employ the most appropriate strategies
- Insightful analytical models to provide you with accurate pre and post-trade analytics
- Technical and fundamental analysis
- Counterparty and FCM relationship management
- Monitoring and evaluating position and portfolio performance on an ongoing basis
- Education and training – Customized to meet the needs of your entire team
- Middle office: market, credit, operational and regulatory risk
- Back office: contracts, confirmations, settlements
- Hedge accounting support including IAS 39, IFRS 9, FAS 133 and FAS 157 and related standards
- Technology solutions: energy trading and risk management (ETRM) and treasury and risk management (TRM) system selection, implementation and management
If you would like to discuss how we can help you regarding crude oil, natural gas and natural gas liquids hedging and price risk management needs please contact us