Company History

Hydrocarbon Exchange was formed in July of 2004 to generate revenues from a third party marketing strategy utilizing long term dedicated production from Texas Energy Management. It is owned equally by three private parties. The company has had great success throughout the continued years of business in revenue/margin generation and expansion of the borrowing base credit facility provided by BNP Paribas NY.

  
Since the origination of Hydrocarbon Exchange, the original dedicated volumes have increased substantially. Texas Energy Management has also dedicated the balance of the acreage held by long term agreements to Hydrocarbon Exchange for future volumes that are in planned drilling projects from properties in the Barnett Shale. Additionaly, the company has been successful in increasing its third party volumes in all of our concentrated areas.
 

Company Strategy

Through a series of mechanical arbitrage, utilizing swaps and futures associated with various selections of transportation, the term supplies and markets of natural gas are selectively priced to create daily price enhancements in the industry’s marketplace. It is our goal to continue to offer both suppliers and markets competitive pricing based on current market conditions that will continue to build and cultivate our business relationships

One of the most important aspects in the company is our banking relationship and credit facility, through BNP Paribas. Throughout the evolution of the industry there has always been a backbone of financial credit to provide to suppliers who may request additional credit assurances, and our open lines of credit have continued to expand with the success of our strategies.

Immediate Company Directive

Our term supplies of natural gas come from several medium to large producers who have volumes in strategic areas of our business. The term range from seasonal (summer/winter) to terms of one year or more. Throughout Hydrocarbon's history, relationships have been developed and grown over many years and as a result, volumes have steadily increased providing for our ongoing business. One of our main goals is to continue growing with new counterparties that complement our levels of expertise.

 

 

   
 
 
© 2010, Hydro Carbon Exchange. All rights reserved.