Your browser is unsupported

Please visit this URL to review a list of supported browsers.

ICE Logo

Global Natural Gas Trader Program - Simulation Based: VIRTUAL DELIVERY

Course Information

Price£2,900.00 + VAT
Duration4 days
LocationVirtual: EMEA/Asian Time Zone
Available Dates

Who Should Attend

  • If your work is affected by the changes to the international price of oil
  • oil industry staff working supply, trading risk management, refining, finance, transportation and E&P
  • Oil trading and distribution companies
  • Energy-related government departments
  • Purchasing, planning and finance departments in major energy consumers
  • Energy publications
  • Bankers, accountants, auditors and others associated with oil companies and oil financing.

Booking Information

Tel: +44 (0) 20 7065 7706

Course Content

Day 1:

Derivatives: What is trading and why do companies trade. The major gas hubs. What is a gas derivative? What is the difference between forwards, futures, swaps, and options? Explains some trading terminology. How a futures exchange works. How traders use gas derivatives.

Simulations: 2 trading simulations where delegates will be able to trade futures, swaps, and forwards

Trading Best Practice: What is risk? The different types of risk - price, credit, operational, reputational. How risk can be managed successfully by a trader. Technical analysis. How risk is measured, what is VAR and how is it used. Trading lessons - common pitfalls.

Simulations: 2 trading simulations where delegates will be able to trade NBP, ZBR, PEG, TTF and NCG futures within a VAR trading limit.

Day 2:

Time Spreads: What is spread trading/different types of spread. Principles of spread trading. What a forward curve is and market structure. Different types of market structure and what they signify. How traders use time spreads.

Simulations: 2 trading simulations where delegates will be able to trade NBP and TTF futures within a trading limit.

Pricing Exposures: Term contracts. Spot contracts. Oil Indexation. Pricing periods. Price risks - oil v gas. Natural gas trading issues. Factors that influence supply. Factors that influence demand. Natural gas quality. Managing nat gas price risks.

Simulations: 2 trading simulations where delegates will be able to trade NCG, TTF, and NBP futures.

Day 3:

Arbitrage: Explains physical arbitrage. Gas pipelines. Trading geographical spreads. Costs to move gas. Valuing pipeline capacity. Optimisation of pipelines.

Simulations: 2 trading simulations where delegates will be able to trade around pipeline capacity between NCG and TTF markets.

Hedging: Why hedge. Basis risk. Futures as hedging instruments. JKM swaps as hedging instruments. Hedging considerations. Types of hedging. A detailed example of hedging floating price cargoes. Futures or swaps? Dirty or imperfect hedging.

Simulations: 2 trading simulations where delegates will be able to apply hedges to long term contract pricing priced off oil and gas as the gas prices in.

Day 4:

Storage: What is storage. Why companies might want storage. The costs associated with storing natural gas. Valuing storage. Optimisation of storage. Types of market structure. How to hedge a storage play. Intrinsic and Extrinsic Value.

Simulations: 2 trading simulations where delegates will be able to utilise withdrawal and injection rights to store TTF and NBP gas and apply hedges to capture a storage play.

Team Dynamics: How to extract value from a gas portfolio. Why speedy evaluation of opportunities is critical. Why teamwork is important. Applying all the trading concepts learnt across a portfolio.

Simulations: Working as a team, the delegates will apply all the trading concepts across a portfolio of gas positions, hedge long term contracts, pipeline arbitrage, seeking storage opportunities and speculatively trading the futures markets with flat price and spreads positions.