Products and services

Basic characteristics:

• Variable price based on stock market indices.
• Tied to the value of individual stock market indices (CEGH, TTF or THE).
• Increased price risk due to fluctuations in the value of stock market indices, which can be the result of seasonal, economic or geostrategic factors.
• Allows supply of natural gas over a wider tolerance band.
• Allows subsequent adjustment or optimisation of price of natural gas via Geoplin’s range of services, i.e. freezing based on the forward market and later unfreezing, purchase of surplus quantities of gas, exchange of indices and price limits. 

The product is designed for customers who:

• Are willing to assume increased price risk in order to get the best available price.
• In view of the purpose of use of natural gas and the specifics of their technological, production and other processes in which they use natural gas, require increased security with regard to quantity fluctuations, i.e. a wider tolerance band.
• Have the resources required to monitor developments on the natural gas market and actively implement price optimisation procedures in cooperation with Geoplin’s professional services departments.

Basic characteristics:

• The price is fixed throughout the delivery period, and is set based on the forward market depending on the time of purchase.
• No price risk on the daily natural gas market.
• Precise knowledge of natural gas purchasing costs in a future period.
• Delivery in a narrower tolerance band, as the price reflects the purchase of quantities for the entire delivery period.
• Opportunity depending on the volatility of the market and/or risk of a mistimed purchase.

The product is designed for customers who:

• Are not willing to assume increased price risk during the natural gas delivery period.
• Require the costs of purchasing natural gas to be known in advance in order to carry out more precise cost planning.
• Do not have the resources and/or time required for active participation on the natural gas market.

Basic characteristics:

• Delivery on a take-or-pay basis, i.e. within a band.
• The price is fixed throughout the delivery period, and is set based on the forward market depending on the time of purchase.
• No price risk on the daily natural gas market.
• Precise knowledge of natural gas purchasing costs in a future period.
• Opportunity depending on the volatility of the market and/or risk of a mistimed purchase.
• Risk of consumption of lower quantities of natural gas than agreed.

The product is designed for customers who:

• Are not willing to assume increased price risk.
• Require the costs of purchasing natural gas to be known in advance in order to carry out more precise cost planning.
• Are planning to make several scheduled purchases of partial quantities of natural gas.
• Due to the specifics of their consumption (combination of heating and technological procedures), require a constant offtake of certain quantities of natural gas.

Basic characteristics:

• Possible structured purchase of partial quantities (lots) of natural gas on various markets, according to various futures products, under various price regimes (variable or fixed price) and at different points of time.
• The combination or distribution of purchases of required quantities of natural gas allows the achieving of lower overall average purchase prices in a given period.
• Depending on the percentage purchased at a fixed price, allows precise knowledge of natural gas purchasing costs in a certain period.
• Proactive role of the consumer (in cooperation with Geoplin) in determining the time of purchase, tolerance band, lots and possible price regimes, and thereby creating the optimal natural gas purchasing portfolio.
• Opportunity depending on the volatility of the market and/or risk of a mistimed purchase.

The product is designed for customers who:

• Are major consumers of natural gas.
• Include a high percentage of natural gas costs in the prices of their own products.
• Have seasonally controlled and therefore seasonally limited consumption patterns (seasonally conditioned technological/production processes), where the optimal purchase of partial quantities is crucial from the perspective of costs, quantities and the tolerance band.
• Are planning to make several scheduled purchases of partial quantities of natural gas.
• Have the resources required to monitor developments on the natural gas market and actively implement price optimisation procedures in cooperation with Geoplin’s professional services departments.

Basic characteristics:

• A combination of the aforementioned products allows the determination of the optimal ratio between price and risk aversion.
• The product can be designed with regard to the individual customer’s specific requirements, preferences and business environment.

ALL PRODUCTS ARE DESIGNED IN ACCORDANCE WITH MARKET POTENTIALS AND CUSTOMERS’ INDIVIDUAL REQUIREMENTS.

SERVICES:
Achieving the optimal price requires portfolio management. Geoplin offers customers services to help them design their own price and volume portfolios in line with their needs, market conditions and their aversion to risk.