Analysis of Applicability of Approaches to Factor Analysis During the Monitoring Investment Projects Cost Deviations in Oil and Gas Industry

2017 ◽  
Vol 6 (3) ◽  
pp. 3-18
Author(s):  
Игорь Демкин ◽  
Igor Demkin ◽  
Д. Власов ◽  
D. Vlasov ◽  
Владимир Бархатов ◽  
...  
Keyword(s):  
Oil And Gas ◽  
Oil And Gas Industry ◽  
Project Planning ◽  
Planning System ◽  
Project Portfolio ◽  
Gas Industry ◽  
Investment Projects ◽  
Limited Opportunity ◽  
Proactive Measures ◽  
Oil And Gas Companies

Strategic projects of oil and gas companies regularly overcome the budget. High capitalization of these projects leads to the fact that even small relative cost deviations result in significant additional investments. Under present conditions of economic and political pressure, characterized by a limited opportunity to raise loan capital, there can be no additional investments leading to impossibility of new oil and gas projects realization or stop those being realized. One of the ways to prevent such a negative scenario is to improve the project planning system taking into account the results of monitoring the project portfolio cost deviations. It will not only allow companies to take into account the causes of deviations in several projects, but also help to develop and implement proactive measures.

PROJECT PORTFOLIO MANAGEMENT IN THE STRATEGIC PLANNING SYSTEM OF AN OIL AND GAS ENTERPRISE

2021 ◽  
pp. 29-38
Author(s):  
Lidiya S. Leont'eva ◽  
◽  
Ekaterina B. Makarova ◽  
Keyword(s):  
Strategic Management ◽  
Portfolio Management ◽  
Oil And Gas ◽  
Oil And Gas Industry ◽  
Planning System ◽  
Project Portfolio ◽  
Project Portfolio Management ◽  
Gas Industry ◽  
The Relationship ◽  
Oil And Gas Sector

In this article, an attempt is made to theoretically substantiate the management of the project portfolio in the oil and gas industry. The article considers approaches to the essence of portfolio management of an oil and gas enterprise. The paper considers the relationship between the management of the project portfolio of an oil and gas sector enterprise and strategic management.

EBITDA and DACF multipliers as an indicator of investment attractiveness of domestic vertically integrated companies

2021 ◽  
Vol 20 (4) ◽  
pp. 718-752
Author(s):  
Oleg V. SHIMKO
Keyword(s):  
Oil And Gas ◽  
Stock Exchange ◽  
Oil And Gas Industry ◽  
Financial Economic ◽  
Consolidated Financial Statements ◽  
Gas Industry ◽  
Debt Burden ◽  
Fixed Assets ◽  
Settlement Agreements ◽  
Oil And Gas Companies

Subject. The article addresses the EV/EBITDA and EV/DACF ratios of the twenty five largest public oil and gas corporations from 2008 to 2018. Objectives. The purpose is to identify key trends in the value of EV/EBITDA and EV/DACF ratios of biggest public oil and gas corporations, determine factors resulted in the changes over the studied period, and establish the applicability of these multipliers for assessing the business value within the industry. Methods. I apply methods of comparative and financial-economic analysis, and generalization of consolidated financial statements data. Results. The study revealed that EV/EBITDA and EV/DACF multiples are acceptable for valuing oil and gas companies. The EV level depends on profitability, proved reserves, and a country factor. It is required to adjust EBITDA for information on impairment, revaluation and write-off for assets that are reported separately from depreciation, depletion and amortization costs, as well as for income or expenses arising after the sale of fixed assets and as a result of effective court decisions or settlement agreements. It is advisable to adjust DACF for income, expenses and changes in assets and liabilities, which are caused by events that are unusual for oil and gas companies. Conclusions. The application of EV/EBITDA and EV/DACF multiples requires a detailed analysis and, if necessary, adjustments of their constituent components. However, they are quite relevant in the context of declining profitability and growing debt burden in the stock exchange sector of the global oil and gas industry.

New Well Intervention Means as an Answer to Offshore Minimalist Platform Concept: A Breakthrough from Mahakam, Indonesia

2021 ◽  
Author(s):  
Risal Rahman ◽  
Reyhan Hidayat ◽  
Pratika Siamsyah Kurniawati ◽  
Rantoe Marindha ◽  
Gerardus Putra Pancawisna ◽  
...  
Keyword(s):  
Oil And Gas ◽  
Cost Optimization ◽  
Oil And Gas Industry ◽  
Project Planning ◽  
Gas Industry ◽  
Safety Issues ◽  
Coiled Tubing ◽  
Remote Operation ◽  
Innovation And Technology ◽  
Hazardous Zone

Abstract Nowadays oil and gas industry are encouraging the independents and majors to take a fresh look at the technology and concepts required to develop marginal shallow water fields using a minimal platform approach. Innovation on well intervention means (lighter, smaller and less footprint) that fit for Offshore Minimalist Platform (OMP) is needed, including optimizing time and cost during well intervention activities in OMP. To achieve the objectives, well intervention innovation and technology are the main focuses. Intervention activities commonly done on campaign basis with several units (slickline, wireline, coiled tubing, testing) shall be integrated in a safe manner. The approach of integration shall signify these points:Identifying potential jobs in OMP to be done by well intervention methodsIdentifying necessary well intervention means and methods to support the jobs (combo unit, micro coil, hazardous zone redefinition, remote operation)Creating project planning and schedulingPerforming site visit and risk assessmentImplementation and operational executionEvaluation of overall project execution result The following results were obtained after the integration performed:No major safety issues during operationExemplary method and risk assessment for well intervention activities which can be applied for next campaignsTrials on well intervention new units and method (combo unit, micro coil, hazardous zone redefinition, remote operation), were safely performed with some optimization100% success ratio60% on supply boat arrangement35% efficiency in N2 consumption for CT operation45% efficiency in diesel consumption20% - 40% efficiency in Rig Up Time28% less in Job Cost compared to conventional unit These innovations are proven as reliable method to answer OMP challenges with main advantages on footprint and cost optimization. Through this paper, we would like to share lucrative well intervention breakthrough and innovation in OMP with measurable milestones.

scholarly journals О ФАКТОРАХ ЭФФЕКТИВНОЙ РЕАЛИЗАЦИИ ИНВЕСТИЦИОННЫХ ПРОЕКТОВ

World Science ◽  
2019 ◽  
Vol 3 (5(45)) ◽  
pp. 16-21
Author(s):  
Мирхамидова Д. Н. ◽  
Атаханова Ш. С. ◽  
Соатов Ф. Й.
Keyword(s):  
Oil And Gas ◽  
Oil And Gas Industry ◽  
Successful Implementation ◽  
Gas Industry ◽  
Investment Projects

In article researches on establishment of influence of geological and technology factors on efficiency of investment projects, determination of risks at implementation of investment projects in the oil and gas industry and feature and factors for successful implementation of investment projects are considered.

scholarly journals DETERMINATION OF THE SUSTAINABILITY OF THE PROJECT PORTFOLIO OF THE OIL AND GAS SECTOR OF THE ECONOMY TO EXTERNAL FACTORS

2021 ◽  
pp. 32-40
Author(s):  
L.S. Leontieva ◽  
◽  
E.B. Makarova ◽  
Keyword(s):  
Oil Recovery ◽  
Portfolio Management ◽  
Oil And Gas ◽  
Oil And Gas Industry ◽  
External Factors ◽  
Project Portfolio ◽  
Project Portfolio Management ◽  
Oil And Gas Companies ◽  
Oil And Gas Sector

The oil and gas sector of the economy in many states remains the main source of foreign exchange and tax revenues to the budget. Moreover, its share, for example, in Russia, accounts for about 12 % of all industrial production. However, this sector, as the practice of world oil prices shows, is experiencing not only a rise, but also a decline. Consequently, the problem of forming a balanced portfolio of oil and gas assets is an object of close attention on the part of national oil and gas companies. The issues of choosing the optimal combination of oil and gas assets in the portfolio are no less urgent, especially among the tasks that all oil and gas companies face, both in Russia and abroad. An investment portfolio or a portfolio of oil and gas assets, which includes new projects for the commissioning of fields, as well as measures to enhance oil recovery, and exploration are objects of real investment. The high volatility of the oil and gas industry is influenced by various factors, including: macroeconomic, innovation risks and a number of others. These circumstances stimulate the sector to increase the resilience of its project portfolios in order to respond flexibly to changes. In an increasingly challenging and uncertain environment, oil and gas companies around the world face constant pressures as difficult strategic decisions and building long-term plans lead to a sustainable portfolio. In order to achieve their goals and maximize profitability, companies should apply certain algorithms in their practice. The article substantiates the role and importance of project portfolio management in achieving the goals of the state and companies in the oil and gas sector. The main goal of the article is to build an algorithm that is aimed both at determining the stability of the portfolio and the ability to flexibly respond to changes in the environment. The scientific novelty of the research lies in the determination of an algorithm for assessing the sustainability of a portfolio of projects of oil and gas companies. Application of this algorithm will allow oil and gas companies to take into account the influence of external factors. The research methodology is based on such methods as analysis of internal regulations and reporting of companies for project portfolio management, risk analysis, project ranking; grouping and classification method.

Assessment of Conflict Management in Niger Delta and Implications for Sustainable Development of Oil and Gas in Nigeria

2021 ◽  
Author(s):  
Humphrey Otombosoba Oruwari
Keyword(s):  
Conflict Management ◽  
Niger Delta ◽  
Oil And Gas ◽  
Ecological Factors ◽  
Oil And Gas Industry ◽  
Negative Effects ◽  
Gas Industry ◽  
Secondary Sources ◽  
Positive Elements ◽  
Oil And Gas Companies

Abstract Nigerian oil and gas industry have over the years witnessed incessant conflicts between the stakeholders, particularly the host communities in Niger Delta region and the oil and gas companies in partnership with the Federal Government. Conflict which is here defined as manifestation of disagreement between individual and groups arising from differing and mutually incompatible interests has both positive and negative effects depending on how it was managed. Managing conflicts is all about limiting the negative aspects. The study examined conflicts management in Nigeria oil and gas industry and how best the positive elements of conflicts can be maximally exploited for the mutual benefit of both oil and gas company and the host communities in Niger Delta. The study adopted the multidisciplinary approach, literature review, case study and relied on secondary sources using analytical method of data analysis. The study findings revealed that the major factors that precipitate conflicts between the oil and gas industry and host communities in Niger Delta include economic, social, political, and ecological factors. There are available strategies that can be used in conflict management. These include avoiding, accommodating, or smoothing, competing, or forcing, compromising, and collaborating. Any of these strategies can be used to manage conflict depending on the situation, the environment factor, and the nature of the conflict. The problem is that the oil and gas companies in partnership with the Nigerian government often adopted the wrong approach in dealing with the conflict with host communities, using avoiding or forcing strategies. The study recommends collaboration strategy which ensues long term-term solution to mutual benefits.

Applying asset-and equity-based multipliers in the valuation of oil and gas corporations

2021 ◽  
Vol 27 (1) ◽  
pp. 129-167
Author(s):  
Oleg V. SHIMKO
Keyword(s):  
Oil And Gas ◽  
Stock Exchange ◽  
Balance Sheet ◽  
Oil And Gas Industry ◽  
Comparative Approach ◽  
Consolidated Financial Statements ◽  
Gas Industry ◽  
Market Capitalization ◽  
Economic Analyses ◽  
Oil And Gas Companies

Subject. This article explores the ratios of the company's market capitalization and value to the balance sheet value of assets and equity of the twenty five leading public oil and gas companies between 2008 and 2018. Objectives. The article aims to identify key trends in the changes in market capitalization and value ratios of the company to the balance sheet value of assets and equity of the largest public oil and gas companies, identify the factors that have caused these changes, and establish the applicability of these multipliers to estimate the value of the business within the oil and gas industry. Methods. For the study, I used comparative, and financial and economic analyses, and generalization of materials of the companies' consolidated financial statements. Results. The article establishes that the multipliers studied are acceptable for assessing the value of oil and gas companies, but it is preferable to use asset-based ratios. Conclusions and Relevance. The overall decline in profitability and the increase in debt load in the stock exchange sector of the global oil and gas industry should be taken into account when using multipliers based on assets and shareholder capital in the assessment of the value of oil and gas corporations through a comparative approach. The results of the study can be used to assess the possible value of oil and gas assets as part of a comparative approach and develop measures to increase the market capitalization of public oil and gas companies.

The Impact of News on the MICEX Oil & Gas Index: Textual Analysis

2018 ◽  
Vol 2018 (4) ◽  
pp. 79-99
Author(s):  
Elena Fedorova ◽  
Oleg Rogov ◽  
Valery Klyuchnikov
Keyword(s):  
Oil And Gas ◽  
Pearson Correlation ◽  
Oil And Gas Industry ◽  
Stock Index ◽  
Gas Industry ◽  
Negative News ◽  
The Russian Federation ◽  
Oil And Gas Companies ◽  
The Impact ◽  
Oil Gas

In this study, a relationship between the mood of news and the response of the oil and gas industry index of the Russian Federation was revealed. The empirical base of the study included 8.5 million news from foreign sources. Research methodology: fuzzy sets, naive Bayesian classifier, Pearson correlation coefficient. As a result of the research, it was discovered that: 1) negative news affects the stronger than the positive on the stock index; 2) news on companies affect the value of the index, and news on the industry affect the volume of trading; 3) the sanctions did not significantly affect the coverage of Russian oil and gas companies.

scholarly journals The Factors Affecting Behaviour Based Safety (BBS) Implementation in Oil and Gas Industry

2018 ◽  
Vol 7 (3.11) ◽  
pp. 157
Author(s):  
Amanda Antonio Galis ◽  
Norfashiha Hashim ◽  
Faridah Ismail ◽  
Norazian Mohd Yusuwan
Keyword(s):  
Oil And Gas ◽  
Oil And Gas Industry ◽  
Top Management ◽  
Organizational Safety ◽  
Gas Industry ◽  
Factors Affecting ◽  
Management Level ◽  
Management Commitment ◽  
Top Management Commitment ◽  
Oil And Gas Companies

The application of Behaviour-Based Safety (BBS) in the oil and gas industry is facing a severe challenge that safety performance may decline when BBS intervention is removed, due to the dynamic and transitory nature of working area and workforce. This research investigates the factors affecting the implementation of Behaviour-Based Safety (BBS) approach in Oil and Gas Industry. Seven oil and gas companies practicing BBS had been chosen for case study. These companies has been implementing BBS as part of the safety exercise from 2 to 20 years. The findings show that implementation of BBS started by the request from the client. Seven challenges of implementation BBS emerged during the interview that is data management, top management commitment, employee acceptance towards program, organizational safety culture and financial barrier. While, the factor that influences the implementation of BBS is the organization commitment, top management level, training and understanding of workers toward BBS are the factors that affect the implementation of BBS in oil and gas industries.  

Research shows oil and gas companies could do far more to help female expatriates to mobilize dual-career strategies

2020 ◽  
Vol 28 (6) ◽  
pp. 21-23
Keyword(s):  
Oil And Gas ◽  
Oil And Gas Industry ◽  
Dual Career ◽  
Heterosexual Relationships ◽  
Strategic Choices ◽  
Gas Industry ◽  
Content Type ◽  
Employment Conditions ◽  
Career Strategies ◽  
Oil And Gas Companies

Purpose The purpose of this study is to examine how female expatriates mobilize couples’ dual-career coordination strategic choices to achieve their own and their partners’ desired career goals. Design/methodology/approach The researcher initially contacted 45 expatriate women in heterosexual relationships by email. More detailed interviews were done verbally with 20 of the women. The participants were asked to explain what actions they had taken, and also the effectiveness of any employer support, to maintain two successful careers Findings The women working were often angry and disappointed with their organizations’ lack of support for their dual career strategies. They adopted strategies of their own to further mutual careers while keeping relationships on track. One is to work with their organizations to secure favorable employment conditions that minimize periods of separation and, if possible, facilitate suitable employment for their partners. A second strategy is to develop personal tactics of cooperation and coordination Originality/value The results are a demonstration to the oil and gas industry that they need to do more to support dual career couples, or they will lose out on a lot of talent.

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