Asset Modeling: Understanding Value & Managing Risk | Opportune LLP
Modeling An Asset Energy assets come in many forms. Consider those which offer the owner choices in how they operate the asset in physical markets. Storage tanks provide flexibility as to when a product is purchased or sold. Pipeline capacity provides flexibility as to where the product is purchased and sold. Rail cars and marine vessels create flexibility as to where and when product is purchased and sold. A gas-fired merchant power plant creates flexibility around when natural gas is purchased to make electricity. Energy prices are volatile, but they’re discoverable in both spot and forw...
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