Transactions
Customer:
Industrial Laundry Facility
Annual Spend:
$500,000
Customer Needs:
- Lower costs without taking too much risk
- Long-term price stability
- Required during time of market volatility
Transaction:
- 2020: Timed a 3 year fixed gas hedge that averaged 40% lower than market prices
- Fully fixed price to the burner tip
- Multiple six figure savings over structured term
Customer:
Sewer Processing Plant
Annual Spend:
$400,000
Customer Needs:
- Lower costs with little market exposure
- Long-term price stability
- Advanced planning to meet annual budget
Transaction:
- 2016: Block hedges for a 3 year term for on-peak periods while floating day-ahead off-peak index
- 2017: Additional block hedges to capitalize 20% downside movement in futures
- 2019: Rolled into fixed price product due to anticipated volatility – fixed price averaged 32% lower than market prices
- Multiple six figure savings over structured term
Customer:
Hotel Hospitality Group
Annual Spend:
$600,000
Customer Needs:
- Lower electricity costs
- Currently under long-term agreement that had a
remaining 24 months
Transaction:
- 2019: Future power hedge purchase due to downturn in futures (24+ months in advance)
- Resulted in fixed power costs that were almost 40% lower than the future market upon delivery
- Multiple six figure savings for customer