Energy Trading

When it comes to the energy business, knowledge of trading and marketing is only the tip of the financial-management iceberg. Companies also require the skills to hedge and address associated risks through swaps, options, futures and other derivatives. Troutman Sanders’ attorneys have longstanding, broad-ranging experience in the trading and marketing of energy, commodities and derivatives products in the United States and internationally. Our extensive knowledge, underpinned by our intimate understanding of underlying markets and regulation, helps us prepare our clients to position themselves as industry leaders.

In addition to negotiating proprietary form master agreements, contracts for differences for energy risk management and other over-the-counter derivatives trading documentation, we regularly prepare agreements under the auspices of the following:

  • International Swaps and Derivatives Association (ISDA)
  • Edison Electric Institute (EEI)
  • North American Energy Standards Board (NAESB)

We stay at the forefront of the markets and related documentation. As a member of ISDA, firm attorneys serve on several of its working groups and committees, including the Global Energy, Commodities & Developing Products and the Equity Derivatives committees. We have been an active participant in the Edison Electric Institute (EEI) since its inception, participating in the development of the EEI Master Agreement employed for North American power trading as well as the EEI Gas Annex and the EEI Coal Trading Annex. We were also an active participant in the development of the NAESB Base Contract for trading natural gas in North America.

We have advised some of the world’s most sophisticated trading and marketing organizations. Our clients include the following:

  • Financial institutions
  • Hedge funds
  • Private equity funds
  • Investment managers
  • Investor-owned utility companies
  • Independent power companies
  • Interstate and intrastate pipeline companies
  • Gas-distribution companies
  • Industry-trade associations
  • Energy marketing partnerships
  • Wholesale and retail niche players
  • Private and public companies
  • Private individuals
  • Real-estate investment trusts (REITS)

Our areas of concentration include the following:

  • Carbon trading and emissions allowances
  • Derivatives
  • Energy and commodities
  • Over-the-counter products (OTCs)
  • Renewable Energy Credits (RECS)