‘OIL & GAS (E&P)
BUSINESS COMPLEXITY & DEVELOPMENT PLAN ANALYSIS FOR
STRATEGIC CORPORATE PORTFOLIO MANAGEMENT’
Course Content:
A. Oil & Gas (E&P) Business complexity
− Gaining Access to Oil & Gas Hydrocarbon Reserves: the Complexities.
− Regional Peculiarities in Reservoir Prospect Acquisition
− Risk Diversification & Industry Philosophy for Reserves Acquisition
B. Exploration & Operational Business Complexity
− Sub-Surface Risk & Uncertainty &
− Risk Quantification: Petroleum Risk & Decision Analysis – Use of Decision Tree & EMV
− Reservoir Appraisal & Quantification
− Complexities of Field Development: Critical Development Issues including No. Of
Wells, gathering and storage facilities,
− Ranking of Possible Development Projects Using EMV for Project Selection
− E.g. Conditional Probability Tree for a 3 or 4-Target Prospect.
C. Business Development Plan Analysis
− Projects Cashflow Analysis (DCF/NPV & IRR) for Project Ranking
− Sensitivity Analysis of Project Cashflows.
− Non- Technical Issues in Business Plan Development
D. Risk Diversification in Portfolio Management
− Critical Risk Issues in Portfolio Rationalization
− Managing Corporate Portfolio through Strategic Acquisition & Divestment
− Marginal Field Concept and Portfolio Risk Management
E. Economic Evaluation of Producing Assets
− Production Maintenance in a Declining Asset: the Business /Commercial Aspects for
Economic Decision Making.
− Best Practice for – Work Program & Budget Development for Economic Portfolio
Management
− Best practice for – FDP for Green fields and maturing field
− Corporate Investment Plan Development Based on Portfolio Management
Rationalization.
F. Exercises & Case Studies
