Course description
Petroleum project economics and risk management - 5 day Training Course (also available live Online)
This Petroleum project economics and risk management course is a highly interactive training solution that introduces delegates to a structured approach in project investment appraisal, with a specific focus on the oil and gas industry.
The course covers a number of topics in the project appraisal and evaluation area of the petroleum industry, including:
- applying economic and risk management tools in oil and gas project proposals
- calculating the financial viability of risk-affected expenditure proposal projects
- evaluating the ranking of different projects
- preparing convincing project proposals that will win approval from management, partners and the government
- improving outcomes at both the project and business level
The course employs a large number of case studies, industry-specific scenarios and practical exercises in order to provide delegates with realistic situations within which to apply the skills learned.
Upcoming start dates
Suitability - Who should attend?
This Petroleum project economics and risk management course is designed for delegates with little or no experience in project investment appraisal.
The figures who have attended recent editions of this course include:
- Explorationists and petroleum/reservoir engineers
- Asset managers, project managers and facilities engineers
- Information systems managers and project leaders
- Management accountants, finance and contracts specialists
- Government and advisory executives
- Service/supplier company personnel
Pre-requisites
In order to complete the practical exercises, attendees should bring their own laptop ensuring that they have Microsoft Excel pre-installed. Prior knowledge of spreadsheets is required.
Outcome / Qualification etc.
Participants on this course are eligible for 35 hours of CPD accreditation on completion.
Training Course Content
Basic concepts
- Identifying project cash flows and sources of information
How to calculate project benefits and interpret the answer
- Project payback
- Net Present Value (NPV)
- Internal Rate of Return (IRR) and the cost of capital
- Profitability Index (PI)
- Strengths and limitations of each method
Project ranking - how to choose the best alternative
How to optimise expenditure
How to deal with inflation and with exchange rates
Taking account of taxation
Accounting measures versus economic measures
- Understanding other financial criteria for decision making
- Balancing short term versus long term business objectives
Dealing with risk and uncertainty
- How to identify and quantify project risks and uncertainties
- Sensitivity analysis
- How to draw and interpret spider and tornado diagrams
- Calculation of maximum exposure as a risk measure
- Decision trees and the calculation of Expected Monetary Value (EMV)
Economics, risk and decisions - decision points are risk points
- Decision points for oil fields and gas fields
- Risk and probability definitions and concepts
- Risk identification, measurement and management
- Forecasting as risk management
- Assumptions, sensitivities and risk premiums
Exploration and appraisal decisions, uncertainty, risk and exposure
Monte Carlo simulation
Economic models and spreadsheet design
Development decisions
- Workscope definition and options
- Decommissioning economics and risks
- Cost estimating and contingencies
- Financing options
- Construction contracts
Further development decisions and economic cut-off
Preparing convincing project proposals
Post-project appraisal
Top 10 Awards
Top 10 Winner - 2021
We're delighted MDT International is a winner of our Top 10 Courses 2021 in Top 10 Online Crisis Management Courses.
Each year, we select the Top 10 most popular courses on our site in some of the most popular categories to make it easier for our users to find the right course for them - so you can book with confidence.
Course delivery details
Our online courses are delivered live via Microsoft Teams and consist of two x 2-hour sessions per day.
Why choose MDT International
Over 90% of participants say our training met or exceeded their expectations
MDT have worked with 500+ organisations worldwide
Our trainers have 25+ years of experience in the O&G Industry
Customer Outreach Award
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Our Customer Outreach Award is presented to trusted providers who are excellent at responding to enquiries, making your search quicker, more efficient and easier, too.
Reviews
Average rating 4.7
This course gives me an overview how the projects economics are calculated. Additionally, how to deal with associated risks.
I feel confident talking about asset economics and risk management compared to before the course. The course has helped to consolidate my understanding and knowledge of oil & ga...
Expenses
Course Fee: £2750.00 (+ VAT for attending UK courses). Fees include your attendance at the relevant training course/s and the provision of a comprehensive training course manual, course completion certificate, plus lunch and refreshments during the training day. Fees do not include accommodation and living costs.
Online Course Fee: £1990 (+ VAT for UK based participants). Fees include attendance and provision of a comprehensive training course manual plus course completion certificate. Live online training via MS Teams.
MDT International can also provide this course on an in-house course basis, to discuss please submit enquiry.
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Course content excellent. Delivery excellent. Concept simple with examples.