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Does volatility in the diesel fuel market cause concern for your company? Is your company planning a big project that will be consuming large amounts of diesel fuel? Would you like to remove or mitigate the price swings of fuel costs from your company’s profitability for a period of time?
 Diesel fuel prices can change dramatically, affecting a company’s bottom line profitability. As a component of our TPM – Total Petroleum Management program, McPherson’s Risk Management program helps "smooth out" the volatility of diesel fuel costs and allows qualified companies to budget future costs accordingly.
Our fixed fuel contracts allow our customers to fix prices on diesel fuel for periods of 1 to 12 months. Fixed fuel and other contracts are not suited for all companies. These contracts are designed for companies that understand the volatility of the fuel markets and are comfortable with establishing a set price parameters for their fuel needs for a period of time.
Benefits of Fixed Fuel Contracts:
- Eliminates the risk of price increases
- Provides a competitive advantage during periods of rising prices
- Allows fuel unit costs to be budgeted with 100% certainty
Requirements:
- NO volume minimum
- Time period: 1-12 months
- Fixed term by month
- Fixed prices and volume by market
Fixed fuel contracts are a proven method to set your company’s fuel costs for a period of time. If your company is interested in this risk management tool, please contact Simon Holland at (205) 661-4499 or sholland@mcphersonoil.com.
Click here to view Nymex – Energy Commodity Prices
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