Common Oil & Gas Hedging Errors & How to Avoid Them
As energy risk management advisors, we're often called in to help clients "stop the bleeding" caused by flawed energy risk management methodologies,...
Crude Oil (2)
Oil & Gas Hedging: What Can be Learned From the Past?
While not nearly as unnerving as the decline from $13 in the summer of 2008 to under $3 in 2009, the recent volatility, amid a low price environment,...
Government Oil & Gas Hedging Update
Over the course of the past few months we've met with numerous government ogranizations and state owned companies, both producers and consumers,...
This is Not Your Father's OPEC Agreement
For the first time since 2008, OPEC (Organization of the Petroleum Exporting Countries) has agreed to reduce its aggregate output by 700,000-800,000...
As Crude Oil Approaches $40/BBL, Warren Buffet Provides Great Hedging Advice
Are crude oil prices headed back below $40/BBL or even $30/BBL? Prompt NYMEX WTI futures settled last night at $42.92/BBL, while prompt Brent futures...
Oil & Gas Hedging with Deep Out-of-the-Money Options and a Limited Budget
The need for effective hedging and marketing is greater in the current price environment i.e. $50/BBL than it is in a higher price environment i.e....
Energy Price Risk Management - Better to be Lucky than Good?
You often hear people say, “It’s better to be lucky than good.” I go the exact opposite direction – Luck has the ability to hide bad management...
Oil & Gas Producer Hedging - What Price is High Enough?
The prompt month NYMEX WTI contract settled at $107.26/bbl on June 20, 2014. That day would prove to be a major inflection point in the market. The...
The Fundamentals of Oil & Gas Hedging - Costless Collars
This post is the fourth in a series where we are exploring (no pun intended) how oil and gas producers can hedge their exposure to crude oil, natural...
The Fundamentals of Oil & Gas Hedging - Put Options
This post is the third in a series where we are exploring how oil and gas producers can hedge their exposure to crude oil, natural gas and NGL...