Helping Petroleum Marketers Uncover ProfitabilityTM
Nova Energy specializes in helping petroleum marketers uncover profitability in each gallon sold.
We combine decades of industry and financial expertise with sophisticated enterprise technology to remove the mystery of petroleum profitability.
Trading
Nova Energy provides hedging support through a wide range of financial services that reduce the inherent risk in petroleum marketing.
Arbitrage
Nova Energy specializes in helping petroleum marketers use arbitrage to increase profitability.
Technology
Nova Energy Technology (NET) is Nova Energy’s proprietary software designed to help petroleum marketers uncover profitability for every gallon sold.
Purchasing
With more than 50 years of fuel buying experience, Nova Energy helps clients purchase fuel cost-effectively by leveraging our relationships with the major petroleum suppliers.
Boost Profits with Arbitrage
Arbitrage is an often-overlooked profit enhancement opportunity. Petroleum marketers can harness arbitrage opportunities to boost profits through a variety of transport methods including pipelines, rail, barge and trucks.
Nova Energy specializes in helping petroleum marketers use arbitrage to increase profitability.
Pipeline
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Rail
Barge
Truck
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Pipeline Arbitrage Success Requires Astute Market Knowledge
With pipeline arbitrage, petroleum marketers apply for shipper status in order to sell allocated line space on various pipelines, thus boosting profitability. This starts by making sure that all requirements have been met before the shipper status application is submitted. Once shipper status is established, we help with the process of creating and managing nominations and scheduling allocations once they are awarded.
Pipeline arbitrage is a unique, complicated and time-consuming process. Some might even call it an art form. Success requires an astute knowledge of the market conditions that affect line space values, as well as knowing whether or not to nominate based on market conditions.
«returnRail, Barge and Truck Arbitrage
There are several key differences between these types of arbitrages, with some more difficult to manage than others. Nova Energy works closely with the major Class 1 railroads including NFS, CSX, BN and UP, as well as the smaller regional players which allows us to secure rail cars when price advantages are present in the market.
We also work with barge companies like Ingram and Kirby Marine to move product down waterways to take advantage of these kinds of arbitrage opportunities.
«returnProprietary Nova Software Uncovers Profitability
Boosting per-gallon profitability requires sophisticated technology. Nova Energy Technology (NET) is Nova Energy's proprietary software designed to help petroleum marketers uncover profitability for every gallon sold.
Transparency = Delivered Cost Per Gallon
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Transparency
For the past decade, NET has given petroleum marketers the transparency required to know the delivered cost per gallon, without tracking through cumbersome spreadsheets. This includes input, output and hedging costs.
NET combines purchased gallons with hedge values and terminaling costs to deliver a true cost per gallon. The software tracks purchases and sales by batch, which allows profitability review by date, product, market, terminal and customer. You can access data through an easy-to-use dashboard 24 hours a day, seven days a week.
return»Daily Contract Pricing and Lifting Volumes
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Pricing
Arbitrage billing and reconciliation can be very complicated, encompassing pump and delivery tickets, pipeline reconciliations, tariffs, PTO fees, location variances and true-ups. NET processes all of this automatically, eliminating the confusion and complexity associated with pipeline transactions.
return»New Dispatch Functionality Boost Profitability
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Dispatch
Nova Energy recently made a significant upgrade to NET by creating a dashboard for dispatchers that tracks supplier contract prices against the gallons lifted on those contracts. The liftings are updated every 30 minutes, so dispatchers have current and accurate information about which drivers have the best price at remaining volumes.
This upgraded functionality eliminates unnecessary delays at terminals, which reduces costs and boosts profitability.
return»Purchase Fuel More Cost-Effectively
With more than 50 years of fuel buying experience, Nova Energy helps clients purchase fuel cost-effectively by leveraging our relationships with the major petroleum suppliers. Marathon, Valero, Exxon, Citgo, Chevron and Motiva are just a few suppliers we work with to secure gallons for our clients.
We utilize rack deals, index differentials and daily spot gallons to negotiate the best pricing opportunities for our clients. As a part of our services, we also help secure terminaling agreements through the major terminaling companies throughout the county.
Nova also performs scheduling of barrels off the various pipelines. This critical function eliminates costly errors if nominations are not updated in a timely manner.
