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CCRO Perspective: Risk Management Challenges in LNG Markets

todayApril 22, 2022 777 199 4

Background

PANEL DISCUSSION
• Challenges that Risk Officers face in the LNG market
• Robust Valuation
– Moving the LNG portfolio to m-t-m valuation
– Complex optionality inherent in the transactions
• Effective Hedging
– Historical and locational pricing gaps
– The “manageable tenor” for rolling hedges
– Physical versus financial instruments
• Measured Risk Capital
– Economic profit
– Understanding working capital of the business
– Understanding risk capital for LNG portfolio
– How to risk-adjust returns?
• Managed Cashflow Risks
– Market & credit risk trade-off concepts
– Modelling Cashflow risk for LNG

Speakers include:

Bob Anderson, Executive Director, CCRO
Gary Taylor, Global head of Risk Transformation, Shell
Patt McKinnon, Co-Founder, Latigo Energy Group

Written by: Phillip

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