Bunkers: An Introduction to Managing Commercial Risk, 1st, 2016
This book is dedicated to those risk management specialists of Shell International Marine and Shell International Trading who introduced me to the concepts and the methods discussed here when I was first asked to develop strategies for our bunkering activities – especially to J. D. Lynn of the Shell International Marine planning department who bravely shared the platform with me when we had to explain and defend what we were doing to senior management in the late 1980s. - Nigel Draffin
Bunkers: An Introduction to Managing Commercial Risk offers the reader far more than a simple explanation of price risk management and the hedging tools and methods available today. It also provides a wide-ranging examination of the many forms of commercial risk that affect bunker suppliers and traders, just as much as they affect ship operators and charterers, including credit, counterparty, political, currency, insurance and even business continuity risk.
In this highly-accessible book, Nigel Draffin offers a useful checklist for those wishing to minimise commercial risk of any sort. He explains, in an easy-to-follow way, the workings of futures markets and the use of exchange-traded hedging tools, as well as over the counter swaps, options and other derivatives. He provides insight into some of the more complex risk management techniques and offers strategies to manage risk portfolios. The book also covers pricing, volatility and exposure, as well as tax rules, accounting and financial regulations.
This compact but highly practical book also provides a useful risk management glossary and comprehensive index designed to assist the reader. Nigel Draffin has been involved in shipping for some 50 years and with the commercial bunker market for over 25 years, most recently as a bunker broker. He is a founder member of the International Bunker Industry Association (IBIA) and has served several times on its management board, including as Chairman. He is a member of the Institute of Marine Engineering, Science and Technology (IMarEST) and Past Master of the Worshipful Company of Fuellers.
He is a well-respected trainer and lecturer and Course Director of the Petrospot Academy, which runs the Oxford Bunker Course and a range of other professional bunker and shipping courses worldwide