CSR Mercuria 2019 - Flipbook - Page 20
Our Assets
INTRODUCTION
Mercuria’s assets business’ key focus is to enable the
Group to express its market views through the acquisition
of physical assets and so allocate risk capital in the most
cost effective manner.
Strategically positioned assets integrated within a trading
business provides a very powerful model giving the Group
the ability to exercise upon the physical optionality inherent in these assets.
Mercuria’s asset base strategically supports its trading operations and enables the Group to enter into new global
trading flows and markets. In particular, storage and logistic assets enable Mercuria to execute physical arbitrage
opportunities, while upstream assets provide direct access to the traded resources. Moreover, asset investments
allow Mercuria to secure a local presence in key markets,
providing the Group with an essential understanding of
price formation drivers from the perspective of both suppliers and customers.
Today, Mercuria has crafted and developed a clear set of
investment policy guidelines which have been fully approved and are monitored by
the Board Members. This encompasses a formal, robust
investment review process, including the role of the Investment Committee, selection standards, compliance and investment methodology.
Mercuria is owner and/or majority shareholder of around
twenty strategic assets in production, transport and storage, focusing on oil, gas and coal but also stretching into
renewable and bio-fuels, solar and distributed power generation.
Mercuria holds interest in a variety of entities with vari20
