Public Station: Stirk CNG can provide "Vehicle Natural Gas" station operators a tinplate to offer fleet customers price risk protection via fuel contracts. There are various fuel contracts but with the relatively low price of natural gas, the "Fleet Cap Price" contact garners the most interest. Station operators quickly see the value of fleets committing to purchase fuel two, three or even four years out in time. Fuel contacts provide foundational volume and a valuable piece of collateral when dealing with either lenders or investors. The station writes fuel contracts with fleets and lays off the subsequent price risk exposure via hedge vehicles that settle against natural gas futures. Stirk CNG provides the expertise to implement the entire hedging protocol, from developing the fleet contracts to offsetting the stations price risk exposure.
Private Station: The cost of natural gas is the primary concern for a fleet operating a private CNG station. There are two approaches to managing your raw fuel costs; (1.)favorable long term contacts with your natural gas supplier or (2.) hedging the gas via the regulated or "over the counter" markets. Stirk CNG can assist you in negotiating the best contract from your supplier and determine if the physical contact is more favorable than hedging future needs. Basis plays a significant role in assessing long term physical contracts. Stirk CNG has 20 years of experience in physical natural gas market and dealing with suppliers.
For the Fleet Owner:
Whether you operate a heavy duty truck fleet, a service van fleet or a number of taxi cabs, the price of fuel directly affects your bottom line. Accuracy of financial projections and long term budgets are greatly enhanced when a "Maximum" fuel cost is know for up to 4 years. Stirk CNG can help.