In today’s volatile oil price environment, the analysis of risk in an economic evaluation of an upstream oil and gas investment is absolutely crucial. Corporate/asset acquisitions and disposals, acreage bidding, exploration drilling evaluations, field development decisions, equipment purchases, lease / buy decisions, fiscal negotiations and so on all require comprehensive economic analyses.
The complete economics analysis will be based first of all on detailed after tax cash flow analyses incorporating full fiscal effects, the assessment of economic indicators and detailed probability analysis. Such analyses are now standard in the evaluation of investments in today’s international upstream oil and gas industry.
This course will give a complete understanding of the use of the techniques of economic analysis and risk analysis as currently practiced in the oil and gas industry. Course participants will receive a thorough understanding of the context of economic analysis as well as practical instruction and an appreciation of the analytical techniques used. The course will rely heavily on the participants carrying out worked examples and examining cases to aid their understanding of the concepts introduced.