LONDON and HOUSTON, May 3, 2005 (PRIMEZONE) -- KWI, the leading provider of trading and risk management software for the global energy industry, today announced that Energi E2, a leading Danish production and energy trading company, has gone live on K2. Energi E2 will use K2 for multi-commodity trading, including emissions.
As a sophisticated energy merchant, Energi E2 wanted to progress to the most advanced level of risk management -- multi-commodity Profit-at-Risk (PaR) -- and required a new system that was capable of supporting its business needs. By utilizing the multi-commodity Profit-at-Risk (PaR) functionality in K2, Energi E2 is able to assess business risk as it is reflected in earnings volatility over specific future operating periods. As a result, Energi E2 is creating the ability to manage physical risk in a multi-commodity environment, receive improved guidance for informed and more efficient hedging and enjoy lower operational risk.
Energi E2 will also benefit from the capabilities of K2's interactive Shape Analysis component. Shape Analysis empowers Energi E2 to make the best possible business decisions in real-time by providing a snapshot of positions in any part of its portfolio. K2 also enables Energi E2 to consolidate all of its contracts in one single system, increasing transparency and improving its reporting processes for financial regulations such as the International Accounting Standards (IAS).
"K2 is the best software system to support our business strategy for multi-commodity trading in a company which is dominated by physical assets," commented Frank Rasmussen, General Manager, Power Sales and Trading, Energi E2. "We were the first company in Europe to conduct a spot CO(2) quota trade earlier this year, so the multi-commodity aspect is essential to our business. Without K2, we would have to purchase numerous risk systems for the various commodities we trade. With K2, all our trades are being consolidated in one system which reduces complexity, results in higher user efficiency and eliminates the need for integration. Simply put, K2 fits our energy trading and risk management needs."
"We are delighted that one of the most sophisticated energy trading companies in Europe has successfully gone live on K2," commented David Bucknall, chief executive officer, KWI. "Building on our long-term partnership, the K2 system will support Energi E2 in its transformation into a truly multi-commodity trading merchant."
Mr. Rasmussen shared his experiences of Energi E2's K2 go-live during a speech at KWI's recent User Group in Rome.
About KWI
KWI is a leading provider of trading and risk management software for the global energy industry. Developed specifically for global energy businesses, KWI's flagship product, K2, is a comprehensive suite of componentized, integrated applications for multi-commodity trading and risk management.
KWI is an international software company with customers in North America, Europe and Asia, including BP, ATEL, Alliant Energy, ENEL, Energi E2, MVM, PacifiCorp, Puget Sound Energy, Tennessee Valley Authority, Ontario Power Generation (OPG), and WPS Energy Services.
More information available at www.kwi.com
About Energi E2
ENERGI E2 is a leading Danish energy production and trading company. The company has 1,400 employees and owns 18 power stations in Eastern Denmark as well as interests in a number of hydropower stations in Sweden and Norway. In addition to this E2 owns wind turbines in Denmark, Sweden, Greece and Spain. More information on www.energie2.com