Case studies
Large UK Aggregator
Battery & peaker portfolio monetisation
Large UK Aggregator
Battery & peaker portfolio monetisation
We worked with the client to review, critique and enhance its commercial analytics capability to support the monetisation of a portfolio of peaker & battery assets.
Client Challenge
We were engaged to provide an external view & practical recommendations on the client’s commercial analytics capability and its optimisation & monetisation of flexible assets.
Our Solution
We worked with the client’s commercial team, undertaking a thorough review of models, tools, data sources & commercial decision making. We then documented a detailed set of practical recommendations & worked with the client to implement these.
Result
The project identified multiple sources of tangible portfolio value enhancement as well as significantly improving transparency around commercial decision making.
Global LNG Portfolio Player
LNG portfolio valuation model
Global LNG Portfolio Player
LNG portfolio valuation model
We were engaged to develop a global LNG portfolio valuation model to analyse the interdependent value of portfolio components and incremental investments (e.g. regas, shipping, supply contracts.
Client Challenge
We worked with the client’s commercial & trading teams to create a model that supported existing portfolio monetisation and value creation from new components.
Our Solution
We designed, tested & implemented a stochastic portfolio valuation modelling framework to multiple users within the commercial team, interfacing with existing data feeds & systems.
Result
The delivered model supports portfolio contracting, hedging & optimisation decisions as well as value creation from investment & origination activity.
Investor
Hydrogen offtake & supply chain structure
Investor
Hydrogen offtake & supply chain structure
We supported a company to structure a hydrogen offtake contract between an electrolyser (+ storage) asset and an industrial consumer.
Client Challenge
The client engaged us to work with them on developing a hydrogen offtake contract structure that captured supply chain flexibility while supporting asset financing.
Our Solution
We undertook detailed analysis of the electrolyser / storage / offtake supply chain to test the performance of different offtake contract structures & their ability to support financing.
Result
Our commercial advice & analysis supported the client’s development of its hydrogen offtake contracting & financing strategies.
Private Equity Fund
Thermal / battery market access & hedging
Private Equity Fund
Thermal / battery market access & hedging
The client acquired a UK portfolio of thermal power assets & batteries and we supported the post-acquisition implementation of a market access contract structure and value & risk management framework.
Client Challenge
Our focus was on working with the client to source & negotiate a market access solution and define a hedging strategy to underpin portfolio risk management.
Our Solution
We worked with the client on structuring an effective route to market contract as well as developing a dynamic hedging strategy to manage forward market asset exposures and asset risk.
Result
Our advice and analysis underpinned the design & implementation of an enduring market access contract and hedging & risk management framework.
Large Energy Trader
Trading & risk management review
Large Energy Trader
Trading & risk management review
The client was adversely impacted by extreme NW European gas & power market volatility in 2021-22 and engaged us to undertake a review of areas of its commercial & risk analytics capability.
Client Challenge
We were engaged to work with the trading, front office analytics & risk teams to analyse the impact of extreme volatility & correlations on flexible asset / contract mark to market values and risk metrics.
Our Solution
We undertook a review of stochastic modelling methodologies & calibration (focusing on extrinsic value), as well as using our own in-house modelling capability to provide external benchmarks. We also worked with teams to review risk metrics & attribution & make recommendations on refinement.
Result
Our advice, analysis & recommendations were presented to the senior management of Trading & Risk teams, feeding into a decision process on refinement / reform.
Large LNG Producer
LNG contract hedging & optimisation
Large LNG Producer
LNG contract hedging & optimisation
We were engaged by the client’s commercial team to develop an analytical tool to support the value management of LNG supply contracts & regas slots.
Client Challenge
We worked with the client to develop an analytical tool to support the hedging & optimisation of a portfolio of flexible LNG supply contracts & associated regas slots.
Our Solution
We worked with the client’s commercial & origination team to map down requirements. We then designed, developed, tested & implemented the tool on the client’s desktop.
Result
The tool is used to support day to day hedging and optimisation decisions as well as for medium term contract pricing.