Risk Management

The team at Energy Atlantica has an excellent understanding of products available to producers and end-users of natural gas, including swaps, collars, options, and other derivative products.

Our Consulting Services include:

  • Hedging strategies: swaps, collars, options, and foreign exchange exposure
  • Credit analysis and management
  • Contract negotiation
  • Regulatory reporting and compliance

Case Study

The Client

A producer of natural gas

The Issue

The producer was subject to varying volumes of production and selling their gas based on a daily index. As a result, they had no ability to forecast revenue and manage cash flow as both prices and volumes fluctuated daily.

Services

We arranged and brokered a structured contract with a buyer that was willing to take all the daily volumes at a fixed price. We assisted in the negotiation and evaluation of the contract on behalf of the producer.