The Vitol Group was founded in 1966 in Rotterdam, the Netherlands. Since then the company has grown significantly to become a major participant in world energy markets and is now one of the world’s largest independent energy traders. Its trading portfolio includes crude oil, oil products, LNG, natural gas, coal, power, metals and carbon emissions.
Vitol trades with all the major national oil companies, the integrated oil majors and the independent refiners and traders. Globally Vitol trades over 5.5 million barrels of crude oil and products per day and revenues in 2010 were $195 billion.
Vitol’s place at the heart of the global energy markets gives us a real and compelling advantage in the rapidly evolving and high profile area of carbon emissions trading. We understand the factors that influence the global markets for oil, gas, coal and power - the interdependency of these key energy markets and how they can impact carbon risk and pricing.
In January Vitol purchased the remaining stake in Carbon Resource Management (CRM) - giving them 100% ownership. CRM is acknowledged to be a global leader in partnering companies that wish to develop and monetise carbon assets taking partners from project inception right through to issuance of credits.
Together Vitol and CRM have a major presence in the CDM/JI marketplace and are very active in the post 2012 market. We are the offtaker of emission reduction credits from over four hundred projects across a broad range of ventures including wind, hydro, CMM (Coal Mine Methane) and biomass power generation, cement energy efficiency WHR (Waste Heat Recovery) and fuel switching, REDD and industrial gas abatement. These projects are located over a wide area including China, India, SE Asia, South America, the Middle East, Russia, Ukraine and Africa. Throughout our carbon portfolio we have a strong focus on delivery and performance - signing the contract is only one small step in a long process that should lead to the issuance and monetization of credits.
Vitol and CRM are also an active player in the Voluntary market and have a diverse project portfolio including REDD, wind and hydro.
We are constantly looking for new partners in the carbon market. This highly complex market presents many risks – commercial, political and legal – and Vitol and CRM are ideally placed to help our partners safely navigate these hazards while adding real and measurable long term value.
Customers for Vitol and CRM’s Carbon expertise might typically come from the following categories:
- Project Owners: We offer sophisticated Portfolio and Risk Management solutions to our partners helping them to maximise the profitability of the flexibility and options that they have within their portfolio.
- Utilities: Vitol has become one of the main liquidity providers in this market and actively trades with many of the largest players.
- Industrials: Vitol recently completed the largest ever carbon deal in an Eastern European country to help a player monetise a carbon position. We are also active with many partners in EUA/ CER swaps so whilst still meeting compliance obligations partners can benefit from the difference between the two compliance tools.
- Governments: We count many governments as our partners – facilitating in meeting their Kyoto compliance obligations whether that be through AAU’s, EUA’s or CER’s .
- Funds: Vitol’s experience and synergies in the energy market give us an unparalleled market expertise. We have put structures in place to help funds enter and leverage their carbon positions depending on risk appetite.
This is a complex and volatile market, where uncertainty abounds. Hence, Vitol and CRM’s combination of risk management, technical expertise and customer-focus is proving invaluable in helping customers navigate their way to successful solutions.
Vitol:
- Number 1 Project Participant by registered projects in 2010 - Point Carbon
- Winner Best Trading Company Voluntary Carbon Markets 2011: Environmental Finance
- >150mn tonnes of contracted CDM/ JI volume to 2012 alone. Active Post 2012 player
- 270 carbon projects involving Vitol globally
- Approximately 15% of EUETS market volume traded by Vitol
CRM:
- Number 1 project offtaker from 2010 by number of contracted CDM/ JI credits based on risk adjusted volumes - Bloomberg
- Guide Project owners through complete carbon cycle from initial project design to issuance and carbon monetization
- Portfolio of over 45million tonnes to 2012 across over 200 CDM/ JI projects primarily in renewable area. Active Post 2012 player
- Technical expertise: The CRM team developed the first Clean Development Mechanism (CDM) project in China, the first wind power CDM project in the world, and the first CMM project in the world to be issued with CERS
- Strong and respected global team
Contact details
Boulevard du Pont d’Arve 28
Geneva , 1205
Phone: +41 22 322 1189
Fax: +41 22 781 6611
www.vitol.com
Location: Montjuïc, Hall4 Level 234 Street D 309