Program Overview:
This course is designed for learning the basics of petroleum economics and project selection.
Several key concepts that will be covered are the time value of money, cash flow basics,
common economic indicators, fiscal systems and project selection fundamentals. An
introduction to basic risk analysis will also be presented.
The participants will receive an overview of petroleum economics, including an introduction to
basic cash flow and net present value. The main types and elements of fiscal regimes around
the world will be presented. During this course participants will evaluate and make recommendations on potential oil and gas investments.
Who should attend?
- Petroleum Engineers
- Petroleum Economist
- Geoscientists
- Legal Advisers
- Process Engineers
- Business Development and Planning Staff
- Marketing Specialists
- Measurement and Quality Control Staff
Instructor:
Duration: 05 days
Objective:
The aim of this program is to improve participant’s knowledge of the Fundamentals of the Economic of the Petroleum Projects and How to Evaluate the Projects through the main factors that effect on the Project such PV, ROI, Payback Time and the PCR as well as you will learn methods of Comparing
Investments Possibilities.
Contents & Outline:
DAY ONE: Introduction to oil industry
- Global Petroleum market Pricing
- Production Rate
- Cash Flow
DAY TWO
- Economic Evaluation
- Budgeting
DAY THREE
- Cash Versus write-off Decision
- How to read an Annual Report
- Worldwide Business Operations
- Performance Appraisal
DAY FOUR
- Oil Production Economics
- Acceleration Projects
- Long-Term Capital Expenditure
- Short -Term Reduction or Increases in Production Rate
- Constant-Income Project
DAY FIVE
- Income Decline at Constant Rate
- Determination of Decision Criteria
- Production Forecast with simple Economics
- Optimum Economic Design
- Tips on Format and inclusion of Economic Factors in Computer Spreadsheet Analysis
