Economic Risk Analysis of Offshore Projects

1992 ◽  
Vol 114 (3) ◽  
pp. 165-174 ◽  
Author(s):  
E. M. Bitner-Gregersen ◽  
J. Lereim ◽  
I. Monnier ◽  
R. Skjong
Keyword(s):  
Net Present Value ◽  
Oil And Gas ◽  
Development Project ◽  
Oil Field ◽  
Economic Risk ◽  
Gas Field ◽  
Cost Overruns ◽  
Field Development ◽  
Project Assessment ◽  
Oil Field Development

A quantitative analysis of economic risk associated with large investments in offshore oil and gas field development and production is presented. The analysis is intended as a supporting tool in decision-making faced with uncertainty and risk, to study the effect of alternative decisions in an easy manner. The descriptors for the project assessment, such as the Internal Rate of Return (IRR) and Net Present Value (NPV) are applied. The study demonstrates first the impacts of early pilot production (EPP) prior to a main oil field development on the field economy of an oil field development and production installation. Furthermore, the result of cases which reflect relevant situations connected with cost overruns are presented, as well as derivation of rational decision criteria for termination/continuation of a project subjected to cost overruns. Finally, an oil field development project scheduling is demonstrated.

Diagnostic Results of Current Distribution Injected Water Flow in the Productive Formation for Neft Dashlary Oilfield

2021 ◽  
Author(s):  
Khidir Mansum Ibragimov ◽  
Nahide Ismat Huseinova ◽  
Aliabas Alipasha Gadzhiev
Keyword(s):  
Current Distribution ◽  
Oil And Gas ◽  
Experimental Studies ◽  
Oil Field ◽  
Fluid Distribution ◽  
Field Development ◽  
Hydrodynamic Parameters ◽  
Oil And Gas Fields ◽  
Oil Field Development ◽  
Gas Fields

Abstract For controlling the oil field development proposed an economically efficient express calculation and visualization method of the hydrodynamic parameters current values distribution in the productive formation. The presented report shows the results of applying this technique for determining the injected water propagation direction into the productive formation (X horizon) at the «Neft Dashlary» field. Based on the calculated results, the current distribution of the injected water was visualized in the selected section of the formation. High accuracy of the calculation was confirmed by comparing obtained results with the results of a simultaneous tracer study conducted in the field conditions. During tracer studies it was tested a new tracer material, more effective than its analogs. According to laboratory and experimental studies, the addition of 0.003% of this indicator substance to the volume of injected water is the optimal amount for its recognition in the well's product. At the allocated area of the "Neft Dashlari" field, the benefits from the use of the calculation method amounted to 62.9 thousand manats. Based on the obtained satisfying results of the new method for calculating hydrodynamic parameters and the use of a tracer indicator application at the «Neft Dashlary» oilfield, it is recommended to apply these developments in other oil and gas fields for mass diagnostic of the reservoir fluid distribution in a selected area of productive formations.

Quantifying Economic Uncertainties and Risks in the Oil and Gas Industry

2021 ◽  
pp. 154-184
Author(s):  
Sorin Alexandru Gheorghiu ◽  
Cătălin Popescu
Keyword(s):  
Business Performance ◽  
Oil And Gas ◽  
Water Injection ◽  
Oil And Gas Industry ◽  
Oil Field ◽  
Gas Industry ◽  
Field Development ◽  
Drilling Rig ◽  
Oil Field Development ◽  
Oil Gas

The present economic model is intended to provide an example of how to take into consideration risks and uncertainties in the case of a field that is developed with water injection. The risks and uncertainties are related, on one hand to field operations (drilling time, delays due to drilling problems, rig failures and materials supply, electric submersible pump [ESP] installations failures with the consequences of losing the well), and on the other hand, the second set of uncertainties are related to costs (operational expenditures-OPEX and capital expenditures-CAPEX, daily drilling rig costs), prices (oil, gas, separation, and water injection preparation), production profiles, and discount factor. All the calculations are probabilistic. The authors are intending to provide a comprehensive solution for assessing the business performance of an oil field development.

scholarly journals HYDRODYNAMIC MODELING AS ONE OF THE DECISION METHODS FOR THE EFFICIENT DEVELOPMENT OF OIL FIELDS

2018 ◽  
pp. 7-14
Author(s):  
O. R. Kondrat ◽  
O. A. Lukin
Keyword(s):  
Work Experience ◽  
Oil And Gas ◽  
Main Tool ◽  
Oil Field ◽  
Oil Fields ◽  
Real Field ◽  
Gas Field ◽  
Field Development ◽  
Oil Field Exploitation ◽  
Exploitation System

Oil production is a complex process that requires modern technologies, work experience and responsible personnel to implement cost-effective projects. Oil field exploitation processes stimulation or modeling is a method for researching exploitation objects on their analogs (models) in order to determine characteristics of available projected objects and make them distinct. The main objective of this research is to explore possibility and establishment of hydrodynamic stimulation results application effectiveness as a factor for decisions-making concerning oil or gas fields exploitation. The research, regarding optimization of oil field exploitation system, outlined the main directions and possibilities of oil extraction from depleted oil fields enhancement, and the hydrodynamic stimulation process as the main tool for solving such problems. The study of efficiency of oil and gas field development presupposed developing geological and technological model of a hypothetical deposit with technological indicators of a real Ukraine deposit. The hydrodynamic model was adapted for all wells according to actual data. All geological and technological measures, carried out in the sight, were also modelled. Field exploitation history was adapted. Oil field exploitation system was optimized by improving the reservoir pressure enhancement system in the real field. Different variants of field exploitation were  considered. They include the conversion of the producing well in the injection well, whereas the well in the vaulted part is injected.

scholarly journals Evaluation of Oil and Gas Economy using Economics Profit Indicators and Prototype Macro VBA Excel

2021 ◽  
Vol 1 (1) ◽  
pp. 549-558
Author(s):  
Juwairiah Juwairiah ◽  
Didik Indarwanta ◽  
Frans Richard Kodong
Keyword(s):  
Economic Analysis ◽  
Oil And Gas ◽  
Oil And Gas Industry ◽  
Development Project ◽  
Economic Indicators ◽  
Gas Field ◽  
Gas Industry ◽  
Field Development ◽  
Oil And Gas Field ◽  
Oil And Gas Sector

The oil and gas sector is an important factor in sustainable development, so it is considered necessary to make serious changes in conducting economic analysis on the oil and gas business. Oil and gas industry activities consist of upstream activities, and downstream activities. Activities in these upstream and downstream operations have high risk, high costs and high technology, so the company continuously tries to reduce the importance of the adverse impact of these risks on the work environment and people. Thus, evaluating the factors that affect sustainable production in this sector becomes a necessity. In this research will be evaluated the economy of the oil and gas field using methods of economic indicators, among others; NPV, POT, ROR, where these factors are estimated in order to be able to estimate the prospects of the oil and gas field so that the decision that the field development project can be implemented or cannot be taken immediately. Implementation of oil and gas field economic evaluation in this study using Macro VBA Excel. From several methods of economic analysis obtained that the results of this study show high precision compared to other methods, in addition to the way of evaluation using the above economic indicators is very popular.

The Application of Wind and Solar Power Generation System in the Ocean Marginal Oil Field Development

2011 ◽  
Vol 282-283 ◽  
pp. 731-734
Author(s):  
Shi Hui Qiu ◽  
Qi Wang
Keyword(s):  
Power Generation ◽  
Solar Power ◽  
Low Cost ◽  
Development Project ◽  
Oil Field ◽  
Generation System ◽  
Field Development ◽  
Solar Power Generation ◽  
Oil Field Development ◽  
Power Generation System

Facing the growing energy needs, ocean marginal fields more and more attention. But the supply is one of the constraints of ocean marginal oil field development. Therefore research and development in power supply system of local installation, low cost, easy maintenance and management, resource conservation, environmental-friendly is critical. This paper investigates the application of wind and solar energy development, as against the existing marginal oil field development project, through designing wind and solar power generation system to discuss the development of marginal oil fields in the feasibility of the application to make constructive comments.

scholarly journals PRESERVATION OF THE OLD‐GROWTH RELIC BUSULUK PINE FOREST UNDER THE CONDITIONS OF OIL FIELD DEVELOPMENT

2019 ◽  
Vol 14 (2) ◽  
pp. 59-69
Author(s):  
P. V. Velmovsky ◽  
A. A. Chibilyov
Keyword(s):  
Oil And Gas ◽  
Pine Forest ◽  
Oil Field ◽  
Pine Forests ◽  
Old Growth ◽  
Field Development ◽  
Oil And Gas Fields ◽  
Oil Field Development ◽  
Pine Trees ◽  
Gas Fields

Aim. In this paper, we set out to analyse the problem of preservation of old‐growth relic pine forests under in the context of oil field development.Discussion. The Buzuluk pine forest is the largest natural island forest in the steppe zone of European Russia. Presenting a landscape isolate of old‐growth natural pine and pine‐broadleaved forests, this unique natural object received the status of a national natural park in 2007. In this territory, former oil and gas fields are currently being prepared for operation and maintenance. The Buzuluk pine forest has been a subject of intense scientific interest due to a number of preserved standards of old‐ growth pine forests. These standards were originally identified and described by G.V. Morozov and V.N. Sukachev, thus forming a basis for modern forest biogeocenosis classifications. The paper discusses the current problems of the Buzuluk pine forest associated with the need to preserve old‐growth pine trees serving as standards. The consequences of oil production are assessed, with environmental restrictions in the zones of oil field exploitation being formulated. Industrial development of oil and gas fields inevitably leads to negative consequences, includ‐ ing the loss of ecosystem stability, a decrease in biological diversity and landscape degradation.Conclusion. The preservation of old‐growth pine trees is a necessary condition for the existence, restoration and sustainable development of the Buzuluk pine forest as a single ecosystem. 

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