Success Stories /

Hedging and Marketing Strategies in Renewable Natural Gas

Impact

The strategies developed and managed with the assistance of Mobius Risk Group led to significant achievements for the renewable natural gas company, ultimately leading to expansion and development of other assets.



These strategies not only facilitated growth but also bolstered the company’s reputation and credibility in the renewable energy sector. The success of this collaboration highlighted the importance of specialized expertise in navigating the complex dynamics of credit, hedging, and physical marketing.

Solution: Asset and Acquisition Analysis

To achieve these objectives, the company engaged Mobius Risk Group for their expertise as subject matter experts in the energy market. Mobius collaborated with the company to design and implement tailored strategies for hedging, marketing, and supply management. These strategies were specifically crafted to align with the unique characteristics and challenges of the renewable natural gas market.

Simultaneously, Mobius assisted in negotiating improved credit terms in the company’s debt covenants. This involved demonstrating the strength and stability of the new hedging and marketing strategies to lenders, thereby ensuring more favorable borrowing conditions.

The hedging strategy focused on mitigating price risks associated with carbon and natural gas, employing financial instruments to stabilize revenue streams. In terms of marketing, Mobius helped the company identify new counterparty relationships, enhancing the visibility and appeal of their renewable natural gas assets.  

A company specializing in the development and management of renewable natural gas assets was seeking to enhance its approach to hedging and marketing in the carbon and natural gas markets. Additionally, the company aimed to secure better credit terms in its debt covenants to support further expansion and satisfy investor and stakeholder expectations.

Challenge