THE ENERGY SETTLEMENT NETWORK®

An enterprise-grade settlement network powered by digital technology.

ENERGY SETTLEMENT NETWORK

IncreaseCounterpartyCollabora�on

• Communicate and match with counterpar�es daily un�l payment is approved.

• Receive real-�me no�fica�on of counterparty ac�vity.

• Automa�cally sent reminders to counterpar�es where a response is needed.

• All transac�ons, documents, communica�ons and invoices are delivered and stored on an encrypted pla�orm.

• Access is restricted to authorized users.

• Fraud detec�on.

StrenthenInvoiceCybersecurity

ImproveSe�lementProcesses

• All your se�lement data and invoices organized in one place.

• Accurately iden�fy future cash flow breaks.

• Consistent workflow and standardized data format with all counterpar�es.

Increase InvoiceVisibility

• Real-�me visibility of the status of all invoices in se�lement.

• Provide daily cash flow forecast to Treasury.

• Generate insight on cash flow across mul�ple commodi�es.

SimplifyAudit &Compliance

• Audit trail of all ac�vity automa�cally created.

• Automated crea�on of digital se�lement packages.

• Rapidly produce audit and compliance reports.

Automate Se�lementAc�vi�es

• Excep�on-driven process provides early warning on transac�ons where ac�on is needed.

• Automa�cally advances transac�ons without discrepancies.

Every month billions of dollars of wholesale energy is bought, sold and delivered around the globe. The physical and financial transac�ons from this exchange end up as invoices on the desks of se�lement analysts. Given the complexity of the energy supply chain, there are frequently discrepancies in invoice informa�on. Se�lement teams are challenged to reconcile this informa�on to meet cri�cal payment deadlines using a manual process that relies on paper invoices, spreadsheets, PDFs, emails and phone calls. It’s �me for a change.

Aquilon has worked with the energy industry to create a be�er way: the Energy Se�lement Network®. ESN® is an enterprise-grade cloud-based pla�orm that brings digitaliza�on and automa�on to the se�lement of wholesale energy invoices. ESN members experience a 30% to 50% produc�vity improvement in counterparty se�lement opera�ons, with 35% to 40% of transac�ons being automa�cally approved by counterpar�es achieving “straight through” processing.

The pla�orm provides energy companies and trading en��es with digital tools to:

Experience the benefits of digital se�lement.

ENERGY SETTLEMENT NETWORK

ESN was built in partnership with customers for use by se�lement organiza�ons of all sizes. On ESN se�lement teams communicate and match with counterpar�es daily and share suppor�ng documents un�l payment is approved. The ESN suite of solu�ons provides one place for all your se�lement data and communica�ons including invoices, payments, messages, disputes, adjustments, fees and documents across mul�ple commodi�es and billing cycles.

ESN is your single pla�orm for se�ling energy transac�ons with all your counterpar�es.

ESN PowerTM is built to se�le standard and custom power transac�ons including physical, financial, op�ons and capacity. Analysts have visibility into details at the deal, daily, hourly and sub-hourly levels.

ESN Natural GasTM is built to se�le standard and custom gas transac�ons including physical, financial, futures, op�ons and storage. Analysts have visibility into details at the deal, daily, pipeline and delivery loca�on levels.

ESN Crude OilTM is built to se�le standard and custom crude oil transac�ons including physical, financial, futures, op�ons, storage and transport. Analysts have visibility at the summary level and details about deals, volumetric variances and pricing differences.

ESN Refined ProductsTM is built to se�le refined product transac�ons including physical, financial, storage and transport. Analysts have visibility at the summary level and details about deals, volumetric and pricing differences (in development).

ESN NGLTM is built to se�le standard and custom NGL transac�ons including physical, financial, futures, op�ons and storage. Analysts have visibility into details at the deal, daily, and delivery loca�on levels (in development).

ESN ISOTM is built to capture and manage se�lement data for the en�re ISO/RTO por�olio, providing a standard process from receipt to payment. Analysts have visibility into details across the en�re reconcilia�on process of ISO invoices (in development).

ENERGY SETTLEMENT NETWORK

ESN is the proven industry standard for wholesale energy se�lements processing.ESN is the first and largest network for se�ling wholesale energy invoices. More than 1,000 companies – ranging from electric u�li�es and mul�na�onal oil and gas companies to Fortune 500 financial ins�tu�ons – se�le energy transac�ons on the network.

In the past year alone, ESN membership more than doubled and network transac�ons more than tripled. Since the network launched in 2015 members have processed more than 30 million transac�ons.

• More than 1000 companies se�le on ESN

• More than 35 million transac�ons processed

• More than 17 Bcf se�led

• More than 1400K MWHr se�led

• Used by se�lement departments on 5 con�nents

• Legal en��es in 3 countries: Canada, US and Mexico

• More than 2,800 power delivery loca�ons

• More than 23,000 gas meter sta�ons

The driver behind ESN’s rapid growth is the strategic value it delivers by applying digitaliza�on and automa�on to resolve pressing wholesale energy se�lement challenges. A digital se�lement department can se�le transac�ons faster and benefits from increased security, reduced risk, simplified compliance repor�ng, and improved cash-flow management.

ENERGY SETTLEMENT NETWORK

A proven management team with industryinsights and technology exper�se.The Aquilon leadership team combines deep industry insights with advanced technology exper�se to provide solu�ons that deliver significant business value.

Jeffrey Wagner, Founder, President & CTO• 25+ years experience in technology innova�on• Most recently CTO of Textura Corpora�on (TXTR)• Extensive experience with Trading IT infrastructure: EVP, Systems

Development at Chicago Mercan�le Exchange; CTO, HyperFeed Technologies; CIO, Equitec

Michael Egan, EVP & COO• 25+ years bringing innova�ve technologies to market for cri�cal

business process in both highly regulated and unregulated industries• EVP focused on new markets at Textura Corpora�on (TXTR)• Partner at Accenture (ACN) in Financial Services Industry

David Freeman, SVP Business Development & Customer Opera�ons• 20+ experience working with clients to understand their business

processes and implement so�ware solu�ons to increase efficiency and produc�vity

• Most recently, established and managed a new market in Australia for Oracle Textura

Randy Wilson, Chief Execu�ve Officer• 30+ years experience in advising leading energy companies and

traders• Former lead partner for global consul�ng firm’s commodity trading

prac�ce• Deep experience with digital technologies including blockchain

Aquilon Energy Services Inc. develops innovative software and service solutions for the energy industry. The Aquilon team combines deep industry insights with advanced technology to bring reliable, collaborative solutions to the energy market.

The firm’s Energy Settlement Network is the first and largest network for settling wholesale energy transactions, and was recognized by Energy Risk as the “Innovation of the Year” in their 2017 awards program.

For more information, visit www.aquiloninc.com.

Houston Office808 Travis StreetSuite 400Houston, Texas 77002

Copyright © 2019 Aquilon Energy Services, Inc. All Rights Reserved.

Company Headquarters 1001 Warrenville RoadSuite 255Lisle, Illinois 60532