An Intensive 5-day Training Course
Global Oil Economics & Strategic Planning
Petroleum Project Evaluation & Investment Decision-Making
CLASSROOM DATES
INTRODUCTION
The business of oil and gas is multifaceted, technically complex, highly capital intensive and often confronted with potential risks and uncertainties. Today’s oil companies are dealing with ever increasing levels of complexity, price volatility and competition. The innovative technologies in the recovery of oil are also changing the landscape of petroleum industry. Integration of refining and petrochemicals to achieve greater efficiencies is yet another critical factor in the business. Managing international supplies, investment decision-making, refining and trading of oil & gas require several cross-functional skills.
To achieve maximum effectiveness, professionals must continually expand their business knowledge and sharpen their skills. The Global Oil Economics and Strategic Planning training course is designed to achieve this goal in a time efficient manner. This training course covers essential skills such as global oil and gas industry economics incorporating the uncertainties of the prices oil and gas.
Participants attending EuroMaTech’s Global Oil Economics and Strategic Planning training course will gain the following competencies:
- Develop many management skills that are necessary in the currently low-for-long oil price scenario of the petroleum industry
- Strengthen the understanding of the business economics and investment decision-making
- Master the various tools and techniques in petroleum economic evaluation
- Understand the art and science of investment decision making in the international petroleum industry
TRAINING OBJECTIVES
This unique EuroMaTech training course on Global Oil Economics and Strategic Planning aims to enable participants to achieve the following objectives:
- Fully understand the petroleum industry dynamics including geopolitics, supply-demand and crude oil prices dynamics
- Successfully benchmark petroleum project economic evaluation in a consistent manner
- Skills to conduct strategic planning to handle challenging situations in oil & gas
- Understand the strategic hedging of oil price-risk with Upstream and Downstream Management
- Global oil economics, project valuation and profitability benchmarks
WHO SHOULD ATTEND?
This EuroMaTech Global Oil Economics and Strategic Planning training course designed to suite a wide range of delegates, but will be specifically beneficial to:
- Business Development team members
- Corporate Planning professionals
- Compliance officers
- Contract Negotiators
- Geoscientists & Engineers
- Bankers & Accountants
- Auditors
- Government Regulators
- Tax & Finance Advisors
- Equity & Financial Analysts and Bankers
- Joint Venture Officers
- Lawyers & Law Firms’ Personnel
- Those who moved from elsewhere to Oil, Gas, LNG
TRAINING METHODOLOGY
The Global Oil Economics and Strategic Planning training course will combine presentations with interactive practical exercises, supported by video materials, activities and case studies. Delegates will be encouraged to participate actively in relating the project evaluation and investment decision-making of oil, gas and LNG projects.
TRAINING SUMMARY
EuroMaTech’s Global Oil Economics and Strategic Planning training course covers in-depth analysis of the costs of oil production on-shore, offshore, conventional, non-conventional in various parts of the world and highlights the accounting breakeven prices for small producers to the fiscal breakeven process for large exporting nations. This is crucial towards understanding of petroleum industry dynamics, and in understanding crude oil price movements. By fully understanding these issues it becomes possible to achieve economic efficiencies for NOC’s develop long-term strategic plans and evaluate Enhanced Oil Recovery projects.
TRAINING OUTLINE
Day 1 : Understanding the Essential Elements of Petroleum Industry
Global Energy Statistics Global oil & gas reserves and production by region, by countries Classification of reserves, and estimation of reserves by key methodologies
The E&P Company Cashflow and Business Model Capital Expenditure, CAPEX: Front-End, during Development and Production Geological and Geophysical Costs, Breakdown of Drilling Costs, Facilities Costs Production Operations and Operating Expense (OPEX) Field Production Curve – cash flow curves for projects Cash Flow Model for E&P Companies
Reserves Estimation Methods, Petroleum Economics and Value Addition Decline Curve Analysis, forecasting production techniques Measures of Efficiency-Payback, NPV, IRR, ROE, ROA, PI, LRMC Value Addition benchmarks prioritized
Day 2 : The International Oil Industry - Challenges & Opportunities
- Identifying the Structural Changes Facing on the Oil Companies
- Examining the Future Trends in the Oil and Gas Economy
- Analysing the Challenges and Opportunities Presented by the Emerging Competitive Environment in the International Petroleum Industry
- Building of Strategic Alliances
- Review and Analyses of Successful Alliance in the Industry
- Future Trends in the Oil and Gas Economy
- Strategic Alliances: Emergence of Mega-National Oil Companies
- New Oil Pricing Mechanisms
- Increasing Global Competition in E&P
- Downstream Integration of OPEC Nations
- Changes in International Petroleum Agreements
- Production Sharing Agreements, Concession Agreements & JV agreements
- Greater Emphasis on the Environment
- International Natural Gas Market – the LNG Growth
- The Facts on LNG
- LNG Supply / Demand Dynamics
- New Financing Mechanisms in the Petroleum Industry
- Privatization of NOCs
- Organizational Changes
- Growth in Oil Products vs. Crude Oil Exports
- Mergers and Acquisitions
- Globalization of NOCs
- Growing Role of Oilfield Service Companies
- Conventional & Non-Conventional
- Importance of Territorial Jurisdiction in Offshore Areas
- Growth of Non OPEC Production
Day 3 : The Corporate Structures, Strategic Alliances & Global Regulations
Oil Companies – Corporate Planning & Strategic Alliances Early Discoveries, IOCs, Mega national Oil Companies, their strengths Need for Collaboration between IOCs & NOCs New Management Techniques to Succeed in Competitive environment Oil Price Dynamics, Characteristics, and Issues Crude Oil Benchmarking Price Assessments, Price Reporting Agencies and their critical role
Global Regulations International Natural Gas Trade and Pricing Impact of OPEC in the International Oil Economy OPEC: past, present & future role Role of Non-OPEC Oil Production
Day 4 : Petroleum Project Evaluation and Investment Decision-Making
- Fundamental Considerations in Petroleum Project Evaluation
- Fundamental Considerations in Investment Decision-making
- Project Evaluation methods and Decision-Making Techniques
- Impact of several Factors on Project Economics
- The concept of a Project’s Optimum Economic Life
- Supply-Demand Concepts
- Global Supply Demand of Oil and the Sustainable Prices
- Treatment of Inflation in Project Evaluation
- Investment Decision-Making Exercises and Case Studies
- Crude Oil Production Dynamics – Global, Regional & OPEC Production Scenarios
- Crude Oil Price Dynamics
- Profitability Indicators for Oil & Gas Business
- Factors influencing a Project`s Economics Life Cycle
- Discounted Cash – flow analysis: NPV, PVR, IRR, GROR
- Comparison and Investments Selection Criteria
- Weighted Average Cost of Capital as an Investment Criterion
- Impact of Inflation, Taxation & Leveraging on Petroleum Project Economics
- Depreciation Methods used in the Petroleum Industry
- Optimum Economic Life
- Leasing vs. Buying Decision
Day 5 : The Petroleum Industry Dynamics and the Art & Science of Economics
- Crude Oil Production Dynamics – Global, Regional (North America, OECD, Russia, Far East Asia and China)
- OPEC Production Scenarios
- Crude Oil Price Dynamics
- Corporate Portfolio Management and Maximize Returns
- Risk & Uncertainty Analysis in Capital Investments
- Evaluate each Project Consistently
- Evaluate Projects by Risk-based Economics
- New Technologies
- Management Skills needed to raise the Bar
- Concluding Remarks
CALL ME BACK
Do you wish for us to conduct this course at your premises?
Discover In-House Solutions
ACCREDITATION
EuroMaTech is registered with the National Association of State Boards of Accountancy (NASBA) as a sponsor of continuing professional education on the National Registry of CPE Sponsors. State boards of accountancy have final authority on the acceptance of individual courses for CPE credit. Complaints regarding registered sponsors may be submitted to the National Registry of CPE Sponsors through its website: www.NASBARegistry.org.
Euromatech is a Knowledge & Human Development Authority (KHDA) approved training institute in Dubai, licensed and approved to deliver training courses in the UAE.
The KHDA is the regulatory authority in the UAE, that oversees administering, approving, supervising, and controlling the activities of various education providers in the UAE. We are proud of our commitment to ensuring quality training courses and status as a KHDA-approved training provider.
FAQ
Do you provide assistance with hotel accommodation?
Yes, we can assist you with the following:
- Corporate Discount: If available, we can extend our corporate discount for your stay at selected hotels.
- Hotel Suggestions: We can provide recommendations for nearby hotels based on your preferences and budget.
Feel free to explore online booking platforms for the most cost-effective options.
Do you offer customized training for organizations?
Yes, we provide tailored training solutions designed to meet the specific needs of your organization. Customized courses can be delivered either in-person or online, and you can select the dates and duration that best fit your schedule. For more details, please contact us at [email protected]
What types of training formats do you offer?
We provide two flexible training formats to suit your preferences:
- Classroom Training: Experience in-person learning with expert instructors. Engage in interactive discussions, hands-on activities, and benefit from face-to-face networking.
- Online Training: Join live online sessions from anywhere, offering flexibility for those with busy schedules or who prefer remote learning.
- In-House Training: We can bring our training directly to your organization, allowing for tailored sessions that address your specific needs and objectives.
Can you assist with visa arrangements?
Yes, we can help by issuing an official Letter of Invitation once you’ve confirmed your training registration, which can assist in your visa application process.
Who will be the senior consultant leading the training?
We are happy to share the profiles of our expert instructors. To learn more about their qualifications and experience, please contact us [email protected]
