The System of Factors Affecting the Capitalization of Public Oil Companies in the Upstream Sector

2020 ◽  
Vol 2020 (2) ◽  
pp. 46-61
Author(s):  
Rustem Nureev ◽  
Evgeny Busygin
Keyword(s):  
Stock Index ◽  
Internal Factors ◽  
Factors Affecting ◽  
Market Capitalization ◽  
Oil Companies ◽  
Total Oil ◽  
The Cost ◽  
Global Uncertainty ◽  
The Impact ◽  
First Time

The topic of assessing and searching for factors affecting the capitalization of public oil companies is of great interest to researchers. As part of the existing work in this area, the paper considers .the impact of various external and internal factors on the value of oil companies’ stocks, including the impact of changes in oil prices, stock index movements, inflation fluctuations, financial and production indicators. The study includes the construction of models with the calculation of standard errors by the PCSE method based on quarterly data of 11 major public oil companies operating in production segment for the period from Q1 2006 to Q3 2018. For the first time, while constructing a model to identify the factors that affect market capitalization of oil companies, the authors draw on the total oil production by OPEC countries, the total share of capital owned by the largest institutional investors, the indices of geopolitical instability and global uncertainty Among the key findings - quarterly production, rather than the cost of oil, is the most significant factor positively affecting the market capitalization of oil firms.

scholarly journals Biggest Public Oil Companies: Impact of External and Internal Factors on Capitalization

2019 ◽  
Vol 23 (5) ◽  
pp. 87-100 ◽  
Author(s):  
R. M. Nureev ◽  
E. G. Busygin
Keyword(s):  
Production Efficiency ◽  
Positive Impact ◽  
Stock Market Index ◽  
Internal Factors ◽  
Factors Affecting ◽  
Oil Companies ◽  
Building Models ◽  
Total Oil ◽  
The Cost ◽  
The Impact

Estimate and search for factors that influence the capitalization of public oil companies are of great interest to researchers. The impact of various external and internal factors on the value of oil companies’ stocks was considered. This includes changes in oil prices, stock market index movements, inflation fluctuations, financial and production indicators. The study includes building models with calculated standard errors by the Driscoll-Kraay method based on quarterly data for the eight biggest public oil companies operating in the upstream and downstream segments, from the first quarter of 2006 to the third quarter of 2017. Such indicators as total oil production by OPEC countries, greenhouse gas emissions by companies, and the sum of shareholder’s funds owned by large institutional investors were used for the first time when building the model to identify factors affecting the market capitalization of oil companies. One of the key results is the conclusion that quarterly production volumes turned out to be the most significant factor having a positive impact on the cost of oil firms. That is, investors are laying the idea of compensating for losses from lowering the cost of oil by increasing its production and selling a larger volume in the value of shares in companies. At the same time, such indicators of production efficiency as profitability in the upstream and downstream segments lose their significance depending on the period under consideration.

scholarly journals The Impact of Diversification of Production Activities by Major Public Oil Companies on the Value of Their Shares

2019 ◽  
Vol 13 (4) ◽  
pp. 7-18
Author(s):  
Evgeny Busygin
Keyword(s):  
Positive Impact ◽  
Internal Factors ◽  
Factors Affecting ◽  
Oil Companies ◽  
Market Participants ◽  
Investment Companies ◽  
Financial Indicator ◽  
The Impact ◽  
First Time ◽  
Profitability Ratios

The studies devoted to the analysis of the diversification of production activities of the largest public oil companies andits impact on their cost do not consider production or financial factors, which are important indicators for assessing thedevelopment prospects of companies.In this article, an econometric analysis will be carried out to identify the external and internal factors affecting thecapitalization of the largest vertically integrated oil companies, and for the first time, profitability ratios for each ofthem will be used to test the hypothesis about the positive impact of diversification of activities on the upstream anddownstream segments.As a result of the study, it was found that an increase in profitability in the upstream segment leads to an increase in thevalue of oil companies shares, while profitability in the downstream segment turned out to be an insignificant factor thatnegatively affects the dependent variable.The obtained results indicate that investors are more oriented to the financial indicator related to the production sector,ignoring the refining segment, which may lead to underestimation of oil companies and subsequent adjustments of stockprices.The final conclusions can be used by investment companies and other stock market participants as part of investmentdecision making process regarding the acquisition/sale of shares of large vertically integrated oil companies.As part of the development of a study on the valuation of oil companies, it could be analyzed the influence of the factorsconsidered in the work on firms that conduct production activities separately in upstream and downstream segments.

scholarly journals Autism Tsunami: the Impact of Rising Prevalence on the Societal Cost of Autism in the United States

2021 ◽  
Author(s):  
Mark Blaxill ◽  
Toby Rogers ◽  
Cynthia Nevison
Keyword(s):  
Forecast Model ◽  
The United States ◽  
Population Projections ◽  
Base Case ◽  
Prevention Strategies ◽  
Total Base ◽  
Cost Categories ◽  
The Cost ◽  
The Impact ◽  
First Time

AbstractThe cost of ASD in the U.S. is estimated using a forecast model that for the first time accounts for the true historical increase in ASD. Model inputs include ASD prevalence, census population projections, six cost categories, ten age brackets, inflation projections, and three future prevalence scenarios. Future ASD costs increase dramatically: total base-case costs of $223 (175–271) billion/year are estimated in 2020; $589 billion/year in 2030, $1.36 trillion/year in 2040, and $5.54 (4.29–6.78) trillion/year by 2060, with substantial potential savings through ASD prevention. Rising prevalence, the shift from child to adult-dominated costs, the transfer of costs from parents onto government, and the soaring total costs raise pressing policy questions and demand an urgent focus on prevention strategies.

scholarly journals Analysis of factors affecting the market capitalization of the largest oil companies in Russia

2021 ◽  
Vol 1 ◽  
pp. 142-149
Author(s):  
Vladimir Nikolaevich PODKORYTOV ◽  
◽  
Lyudmila Anatol’evna MOCHALOVA ◽  
Keyword(s):  
Raw Materials ◽  
Correlation Coefficients ◽  
Equity Capital ◽  
Linear Regression Models ◽  
Factors Affecting ◽  
Market Capitalization ◽  
Oil Companies ◽  
Operating Profit ◽  
Cost Factors ◽  
Oil Company

Relevance. The stock exchange prices of shares reflect the view from the market position of the value of a particular public company: the market capitalization of the issuing company acts as a value indicator. The volatility of stock prices, on the other hand, determines the dynamics of market capitalization. In this regard, the problem of market capitalization management and its forecasting in the future becomes urgent. Taking into account the raw materials orientation of the Russian economy, enterprises of the mineral raw materials complex are of particular interest from the point of view of value management. The purpose of the study is to identify the most significant external and internal cost factors affecting the market capitalization of the largest oil companies in Russia, and to calculate promising cost management models. Research methods. In the process of studying value factors on the basis of retrospective statistical data and methods of correlation analysis were used. Results. The correlation analysis of the following variables was carried out: price per 1 share of an oil company observed on the Moscow Exchange; the price of Brent crude oil; revenues from sales; operating profit; net profit; company assets; equity capital of the company. Based on the analysis, the factors with the highest correlation coefficients were selected in relation to the dependent variable “price per 1 share of an oil company observed on the Moscow Exchange”, as well as with relatively low values of pair correlation coefficients directly with each other in order to avoid the effect of multicollinearity. The variables included in the model are: the price of Brent crude; revenues from sales; operating profit; company assets; equity capital of the company. Linear regression models have been constructed for PAO Rosneft, PAO Lukoil, and PAO Tatneft. Conclusions. A detailed analysis of the obtained linear regression models taking into account the correlation coefficients, t-statistics, significance level values (P-values), determination coefficients R2, calculated values of F-criteria showed generally conflicting results. The most significant models are single-factor price models, in which sales revenue acts as an independent variable. Other models require their refinement through careful analysis and more observations. It is planned to continue research and search for cost factors that affect the change in market capitalization not only for oil companies but for other enterprises of the mineral resource complex as well.

A hybrid framework to model factors affecting construction labour productivity

2019 ◽  
Vol 24 (3) ◽  
pp. 630-654 ◽  
Author(s):  
Majid Parchami Jalal ◽  
Shahab Shoar
Keyword(s):  
Construction Industry ◽  
Labour Productivity ◽  
Content Type ◽  
Factors Affecting ◽  
Schedule Delay ◽  
Factors Influencing ◽  
Hybrid Framework ◽  
Novel Method ◽  
The Cost ◽  
The Impact

Purpose This paper aims to model different causal relations among factors interacting with labour productivity in order to recognize the most important factors influencing and influenced by it. Design/methodology/approach Top 60 factors affecting labour productivity were determined and grouped into 5 major groups by reviewing previous research and interviewing relevant experts. The interactions of factors were modelled using system dynamics (SD) approach. The resulting causal loop diagrams obtained from SD were then applied for identifying the most crucial factors influencing and influenced by labour productivity through the decision-making trial and evaluation laboratory (DEMATEL) method. The impact of factors on each other was finally determined based on the opinions of 63 experts selected from the Iranian construction industry. Findings The results indicated that factors such as fatigue, lack of labour motivation and lack of skill are the most influencing, and factors such as schedule delay and inflation in the cost of execution are the most influenced by labour productivity. In the end, a set of recommendations to improve construction labour productivity was also presented. Originality/value The main contribution of the study is proposing a novel method which is capable of providing insights into how causes and effects of construction labour productivity are interrelated. Furthermore, the proposed method makes this study distinct from previous research in the light of prioritizing factors and offering recommendations according to the interrelationships among factors.

Environmental liability and asset retirement obligations

2011 ◽  
Vol 51 (2) ◽  
pp. 697
Author(s):  
Michael Clark ◽  
John Claypool
Keyword(s):  
Oil And Gas ◽  
Operating Conditions ◽  
Federal State ◽  
Operating Life ◽  
Oil Companies ◽  
Oil And Gas Producers ◽  
State And Local ◽  
Well Abandonment ◽  
The Cost ◽  
The Impact

Oil companies, partnerships and entities developed for the exploration and/or production of hydrocarbons typically invest for a reasonably certain period of time, with the assets projected to have little or no value at the end of their life cycle. Historically, production facilities were decommissioned as cost effectively as possible, with limited consideration of the cost of this practice being factored into the initial costs or operating budgets, and the salvage value of the scrap metal was applied to cover the cost of the demolition. Today, most oil and gas producers are required to account for the estimated future cost of dismantling and removing facilities and equipment, as well as restoring land to its previous condition. The estimated costs for future dismantling, removal, and restoration are different to other costs associated with the acquisition and use of productive assets. The impact of potential environmental expenses associated with these practices typically occurs after an asset has ceased production. Planning for environmental costs for asset retirement obligations (AROs) is ideally conducted during the asset's operating life. This is so that compliance costs and other operating expenses are recorded consistently in conformance with accounting policies and regulations. Tentatively identified AROs include: asbestos, batteries, PCB transformers, underground or above ground storage tanks, well abandonment, waste impoundments, mercury, and other components of an active producing facility. Operators need to identify specific performance requirements that may impose obligations on their organisation. Federal, state and local requirements need be considered, as they apply to specific operating conditions.

scholarly journals Expert poll in complex system projects – scientometric view on the trend of redundancy research

2021 ◽  
Vol 341 ◽  
pp. 00066
Author(s):  
Victor Egorov ◽  
Andrey Rementsov ◽  
Tatyana Egorovа ◽  
Alexander Rementsov
Keyword(s):  
Complex System ◽  
Preliminary Analysis ◽  
Social Phenomenon ◽  
Complex Vector ◽  
Factors Affecting ◽  
Expert Opinions ◽  
Existence And Stability ◽  
Integral Characteristics ◽  
The Cost ◽  
The Impact

When carrying out research works in the economic, political, sociological fields, as well as in the sphere of governance and in management, we widely apply the integral characteristics of a plenty of factors affecting the existence, functioning and further effectiveness of the existence of the object being studied - a social phenomenon, the development and extinction socio-political trends, the existence and stability of specific clusters of economic projects or some large technical projects, etc. Since the influence manifestations of different factors are different, for estimation of their influence complex (vector. To assess the impact, an analysis of expert opinions is carried out, often with multiple redundancy. Such an approach can lead not to an increase in reliability, but to the opposite result, certainly leading to an increase in the cost of preliminary analysis.

Cost Analysis of TSV Process and Scaling Options

2014 ◽  
Vol 2014 (1) ◽  
pp. 000001-000007
Author(s):  
Victor Vartanian ◽  
Larry Smith ◽  
Klaus Hummler ◽  
Steve Olson ◽  
Brian Sapp ◽  
...  
Keyword(s):  
High Volume ◽  
Film Structure ◽  
Manufacturing Cost ◽  
Wafer Level ◽  
Factors Affecting ◽  
Multiple Process ◽  
Cost Of Materials ◽  
The Cost ◽  
The Impact ◽  
Cost Differences

SEMATECH evaluated the impact of various process options on the overall manufacturing cost of a TSV module, from TSV lithography and etch through post-plate CMP. The purpose of this work was to understand the cost differences of these options in order to identify opportunities to significantly reduce cost. Included in this study were multiple process and materials options for TSV etch, liner, and barrier/seed (B/S). For each of these options, recipes were adjusted for post-etch clean, ECD Cu fill and CMP overburden, and the resulting cost impacts were evaluated. The TSV dimensions used in this study are 5x50 μm and 2x40 μm. These cost comparisons included a sensitivity analysis, highlighting the main factors responsible for the differences. Cost of materials, tool cost, and throughput were the primary factors affecting cost differences, especially in barrier/seed deposition. In some cases the contributions from both these sources were comparable. We explain the assumptions used and some of the uncertainties inherent in this work. For example, where materials costs were significant, we extrapolated the cost of new materials from research quantities to those needed to support high volume manufacturing. We had to estimate throughputs and materials costs using our best engineering judgment, because the recipes have not yet been optimized. We also considered that the tools used on some non-critical steps might be fully depreciated, or a lower cost tool such as is used in wafer level packaging. Despite these uncertainties and assumptions, we were able to extract some fairly clear conclusions. The process options include the following B/S variations: For 5x50 μm TSVs, the B/S film structure is TaN/Ta/Ru/Cu, and the options are with and without the Ru and/or Cu layers. For 2x40 μm TSVs, the B/S structure is TaN/Ru/Cu, with different thicknesses of Ru, and the Cu is an optional seed layer for the field. We also discuss the impact of scaling the TSV dimensions on manufacturing costs. This work is continuing to look at different process options and to apply this methodology to MEOL modules such as temporary bond and debond, wafer thinning, and TSV reveal.

Emission and Fuel Reduction for Offshore Support Vessels through Hybrid Technology

2016 ◽  
Vol 32 (04) ◽  
pp. 195-205
Author(s):  
Haakon E. Lindstad ◽  
Inge Sandaas
Keyword(s):  
Fuel Consumption ◽  
Combustion Engine ◽  
Climate Impact ◽  
Climate Mitigation ◽  
Positioning Systems ◽  
Safety Standards ◽  
Oil Companies ◽  
Hybrid Technologies ◽  
The Cost ◽  
The Impact

Traditionally, offshore support vessels have been designed to ensure that they can perform their duties at nearly any sea state. This has been achieved through multiple engines and advanced dynamic positioning systems. This in combination with high safety standards set by the oil companies has resulted in a general operational pattern with vessels running multiple engines at low-to-medium loads to be prepared for unexpected incidents to happen at any time. At medium-to-high power, the combustion engine produces each kilowatt hour with the lowest fuel consumption and the lowest emissions. When engines operate at low power, fuel consumption per kilowatt hour produced increases. For the cost of the operation, this increase in specific fuel consumption at lower loads makes a small impact compared to the total cost of the operation, while for emissions low loads implies that emissions of exhaust gases such as nitrogen oxides and aerosols such as black carbon increases rapidly due to less favorable combustion conditions. This study investigates potential emission and fuel consumption reductions, which can be achieved by introduction of hybrid technologies including their climate mitigation potential. In this context, hybrid means engines of different sizes, battery storage of energy to take peak power requirements, and power management systems with a more balanced focus on reducing emissions and energy consumption while maintaining a high safety standard. Our results indicate that hybrid technologies reduce both emissions and fuel consumption, and that the climate impact of the emission reduction is much larger than the impact due to the reduction in fuel consumption alone.

SCENARIOS FOR THE DEVELOPMENT OF THE RUSSIAN OIL INDUSTRY IN MODERN CONDITIONS

2020 ◽  
Vol 13 (2) ◽  
pp. 139-145
Author(s):  
D.F. Kudriakov ◽  
◽  
T.M. Mazurchuk ◽  
D.R. Grinchenko ◽  
◽  
...  
Keyword(s):  
Oil Industry ◽  
Scientific Work ◽  
Petroleum Products ◽  
Potential Contribution ◽  
Internal Factors ◽  
Oil Companies ◽  
Foreign Countries ◽  
Political Conditions ◽  
The Russian Federation ◽  
The Impact

In the scientific work, a study is carried out of possible scenarios for the development of the Russian oil industry in modern non-stationary economic and political conditions. The hydrocarbon market is undergoing significant changes, largely accompanied by sharp price fluctuations and an excess of supply over demand, so it is important to assess under what conditions the Russian oil industry will be able to maximize its benefits. The aim of the study is to build objective scenarios for the development of the Russian oil industry and its position in the global hydrocarbon market. It also assesses the potential contribution of the Russian Federation to the reduction of oil production in the framework of the renewed OPEC+ transaction involving new oil exporting countries, as well as the combined effect of the agreements affecting oil prices. For making objective forecasts, internal factors are taken into account, among which are: access to hard-to-recover reserves, discovery and development of new deposits, investments in intensification of production, as well as external factors: agreements to reduce production by exporting countries, the impact of the coronavirus pandemic (Covid-19) on the volume of sales of petroleum products, political and other economic conditions that have a direct impact on the global hydrocarbon market. The actual basis of the work is the forecasts of independent experts, analytical agencies, state statistical services, as well as reporting by oil companies in Russia and foreign countries.

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