The energy market transition is presenting challenges to the economics of many traditional energy assets. Regulation, and the increasing deployment of zero-marginal cost renewable generation is leading to lower utilisation rates for conventional generation. However the energy transition is opening up opportunities for other traditional energy assets such as interconnectors, which are increasingly seen as part of the solution to balancing the future electricity networks.
Where electricity markets are becoming more local, gas markets are increasingly globalising with the growth in LNG, and the entry of new producers into the market due to the development of shale gas.
I help owners of conventional energy assets to optimise their portfolios, carry out due diligence for the sale or acquisition of new assets, and adapt their business models in the face of changing markets.
Areas of focus
Route-to-Market & Tolling Agreements
Structuring route-to-market and tolling contracts from execution-only to full service offtake and optimisation agreements
- Assisting clients in determining the appropriate approach for their circumstances
- Advising on commercial arrangements including ongoing contract management
- Helping clients balance the need to reflect physical asset characteristics while minimising operational complexity
Risk Management
& Hedging
Supporting clients in developing oil, gas and electricity risk management and hedging strategies
- Identifying and evaluating risk and risk appetite
- Assisting in the negotiation of trading agreements
- Establishing internal hedging governance frameworks, including securing board approval
Acquisitions
& Disposals
Analysing asset portfolios including available revenue streams and cost profiles
- Analysis of any associated hedging portfolio and advising on any hedge novations or re-structuring
- Post acquisition management and monitoring including developing asset optimisation strategies
Managing Global
Portfolios
Helping clients to navigate regulatory and geopolitical risks associated with global energy portfolios
- Analysis of the potential impact of Brexit on a client’s operations
- Understanding EU-level developments on energy security and the implications for oil and gas trading
Conventional Energy Assets Insights
French energy report seeks return of “energy sovereignty”
On 30 March, the French Parliament published a report entitled “D’enquête visant à établir les raisons de la perte [...]
Huge subsidies thrown at consumers, but energy security remains at risk
My blog is 7 years old today! This past year has seen some interesting and unexpected developments for my [...]
Windfall tax harms oil and gas production and must be cut
In May last year, the UK Government introduced a windfall tax on the profits of oil and gas companies [...]
Ofgem moves forward on financial resilience and ringfencing
For the past year Ofgem has been trying to address concerns around the financial resilience of energy suppliers after [...]
Powering Up Britain: a long-winded way of saying little that is new
Last week the Government published its much anticipated Powering Up Britain strategy, along with several thousand pages of documentation. [...]