There’s plenty of money to be made from fuel hedging with the global sulphur cap just 354 days’ away, something not lost on former high-flyers at Maersk, Vitol and Bank of America who have clubbed together to form Enerjen Capital. The company, which has famous oil trader Andy Hall on its advisory board – is set to close its Enerjen Capital IMO 2020 Note offering in February with a view to returning any profits to investors in early 2021.
The note will be made up of a basket of hedging instruments in crude and oil products, but won’t sit on a company’s balance sheet as a derivatives hedge.
The note has the backing of three banks, who are willing to finance up to 50% of participation.
Enerjen, which boasts former Maersk CCO Stephen Schueler as one of its founders, plans to introduce a separate note for airlines later this year.