Categories: Chemical, Oil and Gas ,  Financial Risk Management ,  Markets, Trading & Derivatives

Oil Price Risk Management.

This intensive and interactive course focuses on the price risks involved in trading oil on the international markets. The course identifies the price risks involved and the use of exchange traded and OTC instruments in managing risk. You will compare the advantages and disadvantages of futures and OTC instruments and review the different trading procedures available and the profiles of the different hedgers in the market.

Who Should Attend:
- Anyone who is affected by the changes in the international price of oil
- Oil industry personnel working in supply, trading, risk management, refining, finance, transport, exploration and production
- Oil trading and distribution companies
- Energy-related government departments and regulators
- Purchasing, planning, and finance departments in major energy consumers
- Energy publications
- Bankers, accountants, auditors and others associated with oil companies and oil financing

Course Content:

Review of pricing mechanisms:
- Fixed, floating, EFP's
- Physical vs forward vs futures
- The value of the differential

Understanding exposure:
- When does price risk begin?
- Actively managing price risk
- What is hedging?

Hedging instruments:
- Futures vs. swaps vs. options

Hedging with exchange traded products:
- As a producer
- As a refiner
- As a consumer

Hedging with OTC products:
- The underlying
- Rateable exposure

Comparative analysis
Which instrument to use when and why?