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What is Risk Management? - Introduction

Man lassooing with a rope
Before any business can decide on its purchasing strategy it must first quantify the impact that fluctuations in energy prices may have on its business. For example, how is profitability or working capital affected as energy prices change? Navigate through the section link box located at the top right corner or in the links located below explaining the terminology associated with risk management.

NGL Risk Management Terms and Tools:

In the sections located in the top right corner are links that will connnect you BP NGL risk management terms and tools available in today's energy markets.

Terms:

  • Hedging and Speculation
  • Volatility
  • Exposure

Tools:

  • Pre-Buy
  • Swap
  • Cap
  • Floor
  • Collar

Further information:

Name: NGL Coordinator
Office: Warrenville, IL
Location: BP NGL
Phone: 877-569-5552
Email: nglcoordi@bp.com
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