About the Course
This course is designed for participants to understand importance of maritime transport costs in oil supply economics. We will review the different oil trading markets by type of transaction. The instructor will analyze the parameters which influence prices of crude oil and prices of petroleum products. The participants will be able to comprehend hedging techniques available for protection against fluctuations in prices.
Course Objectives
- Review crude oil supply, demand and products
- Understand crude oil refining, evaluation and selection
- Explore physical markets, shipping and contracts
- Appreciate pricing formation and price risk management
- Learn about futures, swaps, options and over- the-counter markets
- Become familiar with trading techniques and terminology
- Participate in trading & hedging exercises and improve negotiation skills
Course Content
Oil Supply & Demand Fundamentals
- Energy resources.
- Energy demand and supply.
- Oil producing countries, OPEC, consuming countries, international oil companies: constraints and strategies.
Shipping
- General features.
- The Market and its players-Fixing of the freight rate (World scale).
- Chartering contracts.
- Risk control and environmental protection.
Crude & Petroleum Products Physical Trading
- What is the value of a crude oil? The refiner’s point of view.
- Different types of contracts: long term, spot and forward.
- Main oil markets and their features.
- Key benchmark crudes.
- The role of the PRAs (price reporting agencies).
- Links between Trading and Shipping.
- Products trading.
- Main provisions of a sale/purchase contract.
Exchanges & Futures Trading
- The concept of volatility
- Definition of a contract: the cases of WTI and Brent.
- Exchanges and their organization: the cases of NYMEX and ICE.
- Main Futures Markets.
- Hedging principles.
- Hedging imperfections, basis risk.
- Market structure (contango, backwardation).
- Case studies.
Derivatives
- Options: principles, basics and characteristics.
- Interests and limits of options.
- Swaps: principles, basics and characteristics.
- Interests and limits of swaps.
Hedging Strategies – Various Case Studies on Hedging
- For a refiner.
- For a crude oil producer.
- For a marketer.
- For an industrial consumer.
Who Should Attend?
All personnel in the petroleum or associated industries needing to improve their knowledge and understanding of crude oil and petroleum products trading and pricing mechanisms.
5 Days
Course Fees (VAT Included)
Lagos/PH/Abuja: ₦ 483,750.00
UK/US/Ghana/Others: $4,837.50
- Award of Certificate.
- Professional Training Materials
REGISTRATION PROCEDURE
- Go to “Register Now” button and fill the form and send it. You will get “message sent” if it is successful.
- You will get confirmation of your registration within two working days when you will be asked to go ahead and make payment.
- Go ahead and make payment.
- Send your name, phone number, email address, training location, amount paid to info@sbtpetroleum.com.ng OR SMS to +2349098171437.
- Upon confirmation of your payment, an electronic receipt will be sent to your mail.
- A joining instruction will be sent to you at least 72 hours before the training date an time.
- Looking forward to training date to commence your training. However, if a need to change the dates of the training arises, you will be notified immediately. This may be due to unavailability of the instructors or due to unavoidable logistic challenges.
ACCOUNT DETAILS
NAIRA ACCOUNT
BANK: ECOBANK
ACCOUNT NAME: SBT PETROLEUM GEOSCIENCE LIMITED
ACCOUNT NUMBER: 1613062169
BRANCH: Chevron Branch
SORT CODE: 050150340
DOLLAR ACCOUNT
BANK: ECOBANK
ACCOUNT NAME: SBT PETROLEUM GEOSCIENCE LIMITED
ACCOUNT NUMBER: 1613062183
BRANCH: Chevron Branch
SORT CODE: 050150340