Energy Value Chain

Course Summary
This three-day workshop provides a comprehensive introduction to the supply value chains and trading of oil, gas, coal and power. The course also covers the basics of the emissions trading market. Topics explored include quality issues, market fundamentals, trading patterns and locations, trading instruments and pricing mechanisms and transportation. Delegates will get a flavor of the trading markets for each commodity through competitive team trading simulations.

Oil Value Chain

• Physical properties of oil: terminology, quality considerations and measurement issues
  
• Reserves and production statistics
  
• Key refining processes and main products
  
• Transportation and logistics, including trade flows, global supply constraints and freight pricing
  
• Consumption statistics and trends
  
• Structure of oil industry and key geopolitical issues
  
• Crude oil trading: crude selection, valuation and pricing; use of benchmarks and instruments traded
  
• Refined products trading: pricing basis, trading strategies and price drivers
  

Natural Gas Value Chain

• Physical properties of natural gas: terminology, quality considerations and measurement issues
  
• Reserves and production statistics
  
• Natural gas processing
  
• Fundamentals of gas transportation: pipeline and LNG
  
• Balancing supply and demand and use of gas storage
  
• Consumption statistics and trends including demand drivers
  
• Gas flows and trade movements
  
• LNG developments: construction of ne- LNG terminals, growing LNG tanker fleet; outlook for global LNG market
  
• Structure of the gas industry and market participants
  
• European gas liberalisation process and progress to date in key world markets.
  
• Gas trading: major trading patterns and hubs, trading instruments and price drivers
  

Coal Value Chain

• Physical properties of coal gas: terminology and quality considerations
  
• Reserves and production statistics
  
• Fundamentals of coal transportation
  
• Consumption statistics and trends including demand drivers
  
• Growth of coal-to-liquids (CTL) processes
  
• Trade movements
  
• Structure of the coal industry and market participants
  
• Coal trading: trading markets, instruments, price drivers
  

Electricity Value Chain

• Power market terminology
  
• Fundamentals of electricity generation: production types and trends, including effect of environmental targets and regulations
  
• Transmission issues and trade movements
  
• Balancing supply and demand: load forecasts and
  
• Consumption statistics and trends
  
• Power trading characteristics
  
• Structure of the power industry and market participants
  
• European power market liberalisation process
  
• Power trading: trading patterns, power exchanges and balancing markets, trading instruments, and price drivers
  
• Linkages between gas and power markets
  
• Emissions trading:
  
  
  
  • Framework of US and European emissions trading schemes
    
  • European trading markets and emission allowance pricing
    
  • Exchanges and trading instruments
    
  
  

The course is highly interactive and delegates will get the chance to participate in exercises, case studies and physical trading simulations.