Online Seminars

Real-Option Valuation of Energy Assets

Live Online Seminar: November 20th 1:00 pm - 4:30 pm (ET)

How These Online Seminars Work

Using the proper analysis technique can have a serious bottom line impact when valuing a large multi-million dollar asset. This course is designed to provide an understanding of the various approaches used to value energy assets and supply obligations as real options. Increase your firm's profits with proven practical techniques for: 1) hourly, daily, and forward electric, gas and oil price strategies; 2) determining optimal spark spread boundaries; injection and withdraw storage schedules and transport loading 3) measuring the hidden value in uncertainty and optionality; 4) valuing uncertain demand, default, delivery and other structured supply risk.

This proven online seminar features the same material used in the popular PGS in-person classroom training program. Register today and join the over 10,000 energy professionals who have already benefited from an in-depth PGS seminar.

What You Will Learn

  1. The pros and cons of net present value (NPV), decision analysis (DA), and real options (RO) valuation techniques.
  2. Understand the deficiencies of marginal cost valuation, and learn how to develop a real-options approach based on forward price simulation of fuel and energy markets.
  3. The most common financial pricing models including start-to-finish development of the GBM and Mean Reversion (Jump Diffusion) models which will be defined, regressed, and simulated.
  4. The relationship between financial options and real options, and the three methods of valuing options - Black Scholes, binomial trees, and Monte Carlo simulation.
  5. How Black Scholes, binomial trees, and Monte Carlo simulation method are applied to value natural gas storage, electric generation, energy portfolios and structured supply contracts.
  6. The role of volatility, portfolio considerations, and risk management implications to asset pricing and valuation. options

Who Should Attend this Seminar

The course is designed for those who desire a fundamental understanding of this vital topic including utility employees, commission staff, energy service professionals, and others. The course is not overly analytical, but rather summarizes important techniques used by professionals.

Prerequisites and Advance Preparation

This seminar assumes a fundamental knowledge of statistics, options and futures markets.

Why Choose PGS?

PGS seminars are known for their clear explanations and in-depth content. Register for a PGS class today, and join the over 10,000 energy professionals who have already attended one of PGS's proven programs.

Instructor

Ken Skinner
VP and Chief Operating Officer, Integral Analytics

Kenneth Skinner, Ph.D. is Vice President of Risk & Evaluation Products for Integral Analytics, an analytical software and management consulting firm focused on operational, planning, and market research solutions. Dr. Skinner has over 20 years’ experience in evaluation and risk measurement, having worked as an energy consultant with PHB Hagler Bailly and Financial Times (FT) Energy, and as the Derivative Structuring Manager for the retail energy supplier Sempra Energy Solutions. He has his Ph.D. from Colorado School of Mines, in Mineral Economics, with an emphasis in Operations Research, an MBA from Regis University and his BS in Engineering from Letourneau University.

Dr. Skinner is a nationally recognized expert in economic evaluation and modeling of energy assets including energy storage, distribution and generation, efficiency and demand response, renewable energy alternatives, financial derivatives and structured contracts using net present value, econometric and statistical methods, optimization principles, and real option valuation techniques. Dr. Skinner is currently the technology columnist for Wiley Natural Gas and Electricity Journal and is a noted speaker on energy related topics for organizations such as AESP, IAEE, ACEEE, PLMA, IEPEC, INFORMS, Infocast, EUCI, SNL Energy and PGS Energy Training.

Seminar Price

$395 for the first attendee, $245 for the second attendee, and $195 for each attendee thereafter
for either the live or on-demand version of this seminar.

Payment and Cancellations

Payment is required prior to seminar attendance. Payment can be made by Visa, Master Card, or American Express. Seminar purchases will be charged to your credit card at the time of registration unless other arrangements have been made.

Live seminar registrations can be cancelled for a full refund up to 5:00 PM (U.S. Eastern Time) two (2) business days before the scheduled seminar date. For example if the live seminar is on Thursday then the cancellation would need to occur by 5:00 PM Eastern Time on the Tuesday before the seminar. No refunds will be made thereafter, but a streamed recording of the live seminar can be provided. Attendee substitutions may be made at any time. 

Due to the nature of a recorded event, no refunds can be made for on-demand recorded seminars. For more information on PGS policies regarding administrative matters and complaint resolution, please contact our offices at (440) 853-1038.

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