Three Day Training Course: Structured Energy/Power Transactions, Real Options, Retail Electricity Deals and How to Trade Around Energy Assets (Houston, United States - April 12-14, 2023)

News provided by

Feb 27, 2023, 10:30 ET

DUBLIN, Feb. 27, 2023 /PRNewswire/ -- The "Three Days: Structured Energy/Power Transactions, Real Options, Retail Electricity Deals and How to Trade Around Energy Assets" training has been added to ResearchAndMarkets.com's offering.

This seminar is designed for regulated and deregulated energy managers, structuring professionals, and anyone else who wants to gain a better understanding of the concepts, methods, and tools energy managers use to structure and price profitable energy/power agreements; how to monetize energy & electric power assets; structure retail power transactions; and increase profits.

This program covers a wide range of energy and power transactions and assets illustrating common principles used across the energy industry. Many powerful energy/power structuring and asset trading techniques are explored, with examples of how these techniques can be applied to many real-world energy transactions and assets.

This course also addresses retail electricity pricing structures, RFP proposals, full requirements contract structures, the issues faced by providers of last resort, switching/migration risk, power purchase agreements and a number of other topics.

This course is unique in that it addresses both the deterministic intrinsic value and the hidden "insurance extrinsic value" associated with complex agreement structures, energy assets and other opportunities.

Who Should Attend:

Among those who will benefit from this seminar include energy and electric power executives; attorneys; government regulators; traders & trading support staff; marketing, sales, purchasing & risk management personnel; accountants & auditors; plant operators; engineers; and corporate planners.

Types of companies that typically attend this program include energy producers and marketers; utilities; banks & financial houses; industrial companies; accounting, consulting & law firms; municipal utilities; government regulators and electric generators.

What You Will Learn

Financial engineering and stochastic methods and the statistics of structuring
The economics of electric power generation and how to make money trading between next-day vs. real-time electricity prices.
How to trade around, hedge, and monetize natural gas, petroleum and electric power storage, processing, and transmission assets.
Surprisingly effective natural gas structured transactions that lock in profits and value.
How and why many energy/power market participants "leave money on the table" by undervaluing energy options.
How to calculate risk in structured energy products.
How to increase asset value and build the business case for electric batteries, renewables and other distributed energy resources.
The Intrinsic and Extrinsic "Option Value" of energy & electric power assets
How to trade around storage, transportation, btu and electric generation assets.
How to structure cross-commodity structured transactions.
Real Options, Insurance Value and Trading Around a Hedged Asset.
The structure of forward tolling, and reverse tolling arrangements -- and what to watch out for
The statistics of energy transactions, and how to value opportunities and manage risk.
How structured financial transactions can mimic physical energy and electric power assets.
How to structure retail energy supply obligations and community choice aggregation deals.
And much more!

Key Topics Covered:

DAY 1: FOUNDATIONS OF STRUCTURING

Continental Breakfast opens at 7:45 am

8:00 AM DERIVATIVES REVIEW

Swaps, Futures, Options, etc.
Structured Contracts - What they are and how they differ from plain vanilla derivatives
Deal Capture and Compliance issues with derivatives and structured transactions
Regulatory Issues, ISDA, EEI, FAS133, Dodd Frank
Financing needed for these kinds of transactions - Margining, Counterparty credit, etca€ -

9:30 AM FINANCIAL ENGINEERING AND STOCHASTIC METHODS

Statistics of Structuring
Closed Form and Numeric Pricing Models, Black Scholes, Monte Carlo, Binomial Trees
Volatility and Forecasting
General Stochastic Price Models

10:30 FUNDAMENTALS OF HEDGING

The Greeks
Delta Hedge, Dynamic Hedge, Gamma Hedge
Fundamental Charting - Payoff Diagrams and Portfolio VaR

1:00 PM RISK IN STRUCTURED PRODUCTS

Risk Analytics and Strategy Tools
Calculating Component Risk, Volatility, Correlation and Portfolio Value
Measuring Risk in Transactions and Extreme Value Risk
VaR - How it's Calculated and Generalized to Strategy Models
Risk Adjusted Return on Capital (RAROC) and other Efficiency Frontier Concepts

2:30 PM REAL OPTIONS AND INSURANCE VALUE EXAMPLE

Tolling Contracts
The structure of forward tolling, and reverse tolling arrangements -- and what to watch out for
A review of an actual tolling-type agreement "term sheet"
How tolling arrangements can be used to buy coal and sell natural gas by "wire".

CLASS ENDS 4:00 p.m.

DAY 2: OVERVIEW OF STRUCTURED TRANSACTIONS

Continental Breakfast opens at 7:45 a.m.

8:00 AM OVERVIEW OF STRUCTURED TRANSACTIONS

Heat Rates and How they are Hedged
Converting Coal, Oil and Natural Gas to Equivalent Electric Power Prices
Spark Spreads and Market Implied Heat Rates, Spot and Forward Spark Spreads
The Basics of Spread Trading using a Spark Spread

9:00 AM STRUCTURING STORAGE, TRANSPORTATION AND COMMODITY SPREADS

Time Spreads (Storage)
Locational Spreads (Transportation)
BTU Commodity Spreads (Generation)

10:30 AM STRUCTURING RENEWABLE, ENERGY EFFICIENCY AND OTHER DISTRIBUTED ENERGY RESOURCES

Building the Business Case for Electricity Storage - An example of optionality
Renewable Portfolio Standards and Wind Energy and Photovoltaic
Cost-Effectiveness Calculations of Energy Efficiency

1:00 PM STRUCTURED NATURAL GAS AND PETROLEUM TRANSACTIONS

Hedging Firm Transportation
Selling Physical Swing Options to End-Users
Trading Physical in One Location Priced at Index for Another Location
Buying Index with a Floor from a Seller
Paying a Premium Over Market and Making a Profit
Selling at a Discount to Market and Making a Profit

1:30 PM RETAIL ELECTRIC STRUCTURING

Power Purchase Agreements
The role of aggregators, Community Choice Aggregators and Micro-Grids
Rate Design, Fixed and Variable Costs, Adders
Contractual Issues
Mitigating Risks to Value
Different power products/structures (7x8, 2x16)

2:30 PM INTERMITTENT RENEWABLE/DEFAULT SERVICE/PROVIDER OF LAST RESORT/FULL REQUIREMENTS

Pricing the RFP
Wholesale Portfolios and Bidding
Managing Intermittent Renewable Risk
Managing Switching/Migration Risk
Managing "Full Requirement" Load Shape Risk

CLASS ENDS 4:00 p.m.

DAY 3: STRUCTURED POWER GENERATION TRANSACTIONS

Continental Breakfast opens at 7:45 a.m.

8:00 AM THE ECONOMICS OF POWER GENERATION

Term Trading and Load Obligation
Intra-Month Balancing
Next-day, Real-Time Balancing, Scheduling and Settlements
Hedging & Monetizing Generation Assets
Intrinsic and Extrinsic Valuation of Electric Generation Assets

9:30 AM FINANCIAL CONTRACTS THAT MIMIC PHYSICAL ASSETS

Cross Commodity Energy Swaps
Spark Spread Options
Heat Rate Call Options
Heat Rate Linked Power Contacts

10:30 AM POWER GENERATOR OPTIONALITY

Owning a physical generation asset
Owning a Spark Spread Call Option
Owning a Heat Rate Call Option
Controlling a generating asset through a tolling arrangement
Using a heat-rate-linked power transaction

CLASS ENDS AT NOON

Speakers:

Kenneth Skinner
VP and Chief Operating Officer
Integral Analytics

Kenneth Skinner, Ph.D. is Vice President of Risk & Evaluation Products for Integral Analytics, an analytical software and management consulting firm focused on operational, planning, and market research solutions. Dr. Skinner has over 20 years' experience in evaluation and risk measurement, having worked as an energy consultant with PHB Hagler Bailly and Financial Times (FT) Energy, and as the Derivative Structuring Manager for the retail energy supplier Sempra Energy Solutions. He has his Ph.D. from Colorado School of Mines, in Mineral Economics, with an emphasis in Operations Research, an MBA from Regis University and his BS in Engineering from Letourneau University.

Dr. Skinner is a nationally recognized expert in economic evaluation and modeling of energy assets including energy storage, distribution and generation, efficiency and demand response, renewable energy alternatives, financial derivatives and structured contracts using net present value, econometric and statistical methods, optimization principles, and real option valuation techniques.

Dr. Skinner is currently the technology columnist for Wiley Natural Gas and Electricity Journal and is a noted speaker on energy related topics for organizations such as AESP, IAEE, ACEEE, PLMA, IEPEC, INFORMS, Infocast, EUCI, SNL Energy and PGS Energy Training.

For more information about this training visit https://www.researchandmarkets.com/r/hfgjoy

About ResearchAndMarkets.com
ResearchAndMarkets.com is the world's leading source for international market research reports and market data. We provide you with the latest data on international and regional markets, key industries, the top companies, new products and the latest trends.

Media Contact:

Research and Markets
Laura Wood, Senior Manager
[email protected]

For E.S.T Office Hours Call +1-917-300-0470
For U.S./CAN Toll Free Call +1-800-526-8630
For GMT Office Hours Call +353-1-416-8900

U.S. Fax: 646-607-1907
Fax (outside U.S.): +353-1-481-1716

Logo: https://mma.prnewswire.com/media/539438/Research_and_Markets_Logo.jpg

SOURCE Research and Markets