The firm expands its forward curve suite beyond oil, natural gas, power, coal, and petrochemicals

CENTRAL HONG KONG,, HONG KONG S.A.R., December 21, 2023 /EINPresswire.com/ — Southesk Gottman, a global brokerage service provider specializing in over-the-counter derivatives within the commodity markets, today announced that it has expanded its commodity risk solutions to include natural gas liquids (NGLs) for several delivery locations in China.

Southesk Gottman’s mark-to-market (M2M) NGL outlook is quantitatively derived, based on Southesk Gottman NGL editorial market pricing expertise, and provides insight into the current price for contract delivery up to 24 months forward. The outlook helps NGLs producers, traders, brokers, and end-users make better production, hedging, and risk management decisions and also facilitate fair-value measurement accounting requirements.

Ong Chok, Vice President of Commercial Products at Southesk Gottman, said: “We are committed to providing our customers with an independent, transparently produced source of NGL forward curves that will help them measure their assets at fair value and manage their business in volatile times.”

Customers in China, spanning exploration and production to midstream and downstream oil companies with NGL exposure, have already signed on to use Southesk Gottman NGL outlook for valuation purposes.

Southesk Gottman’s NGL coverage includes propane, ethane, ethane/propane (E/P) mix, butane, isobutane, and natural gasoline. The M2M NGL forward curves are quantitatively derived from a combination of Southesk Gottman oil price assessments and Southesk Gottman proprietary analytics capabilities.

Tanya Phung Kim, Southesk Gottman Manager of Commodity Risk Solutions, said: “Based on the Southesk Gottman’s NGL forward curves, consumers of ethane and propane could ask themselves whether they should be buying ahead in the current environment. Conversely, producers may be assessing whether they should hold on and wait for higher prices.”

For example, the NGL forward curves can indicate the cost of non-LST ethane, but forecast models can predict different ethane prices, as new steam crackers come online, increasing ethane recovery in some areas.

About Southesk Gottman

Southesk-Gottman.com is a global brokerage service provider specializing in over-the-counter derivatives within the commodity markets. Southesk Gottman attracts and retains talented individuals from the world of trading and brokerage to provide a more bespoke, educated, and developed level of service. Southesk Gottman’s core front office team wields an impressive repertoire of 125 years combined commodity options trading experience. Our global presence allows us to provide exemplary service with execution offerings across a variety of markets. Southesk Gottman has developed an extensive network of the largest firms in the industry.

Kam Thye
Southesk Gottman
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