JavaScript seems to be disabled in your browser.
You must have JavaScript enabled in your browser to utilize the functionality of this website.

By continuing your navigation, without changing your cookie settings, you accept their use to have services tailored to your interests.
More information on our legal information page.

Home
Exploration & Production
Engineering & Project Management
E-712 - E&P Value Chain & Front-End Development

E-712 - E&P Value Chain & Front-End Development

E-712 - E&P Value Chain & Front-End Development

5 days

EPM/PROJAFLGB

Request an in-house session

Download agenda

Who should attend?

Learning Objectives

Sessions

This course is not scheduled.

Who should attend?

Audience

- Professionals involved in E&P projects requiring a comprehensive view of the methodology and tools needed for successful front-end development.

Level

Advanced

This course provides a thorough understanding of Front-End Engineering issues and the interaction between all experts involved along the decision path in formulating Project Development Plans (PDP) and submitting them for Final Investment Decisions (FID).

Learning Objectives

Upon completion of the course, participants will be able to:
conduct field development feasibility studies,
build and develop project options scenarios,
define scope for project (front-end) estimates,
identify costly projects,
produce project development plans.

Course Content

DECISION PATH ALONG THE E&P VALUE CHAIN

1.5 days

Strategic issues in exploration-production:
Requirements for decision in the Oil & Gas industry. Primary objectives of an Oil & Gas company. Strategies to feed the E&P portfolio asset funnel. E&P risk dynamics and objectives of economic analysis. Life cycle of upstream assets. Critical decision points and value creation at experts meeting points.
Decision process from block evaluation to exploration drilling:
Exploration rounds and block evaluation. Subsurface knowledge and definition. Exploration risk and reward analysis and EMV (Expected Monetary Value). Exploration project’s risked economics (case study). Framework and interaction of various disciplines. Basis for decision-making in exploration. Impact of fiscal framework and state participation on exploration decision (case studies). Exploration risk mitigation through farmout agreements. Decision process for a farmout strategy (case study).
Decision process from discovery to development and production:
Discovery appraisal, reserves evaluation and recovery mechanisms. Reserves probability distribution and classification. Oil and gas field development scenarios. Decision tree analysis for choosing optimal strategy (case study). Expected value of perfect and imperfect information (case studies). Framework and interaction of various disciplines. Forward investment analysis for a development project. Steps along the decision path up to the FID (Final Investment Decision). Overview of appraisal, development and project studies.

VALUE ASSESSMENT OF DEVELOPMENT PROJECTS

2 days

Fundamental contractual and economic aspects:
Economic rent: value and sharing, bottom line of Oil & Gas E&P contracts. Overview of the contractual framework of E&P activities. Motivations for State participation and role of NOCs (National Oil Companies). Risk mitigation through Joint-Ventures and JOAs (Joint-Operating Agreements). Sharing value through concession and production-sharing contracts (case studies). Regressive aspects of E&P contracts and fields’ economic thresholds (case studies).
A field development project economic evaluation:
Investment decision based on cash-flow modeling and analysis. Corporate finance and remuneration of capital employed. Importance of weighted average cost of capital. Fundamental condition for value creation. Project’s cash flow modeling and discounting. Project’s economic indicators and sensitivity analysis. A field development project economic model and evaluation report (case study). Choosing the most economically viable option, with or without capital constraints (case studies).
Methodology of quantitative risk analysis:
Beyond sensitivity analysis. Decision tree analysis. Monte Carlo simulation. Decision theory and 3-scenario approach.

CONCEPTS FOR SUCCESSFUL FRONT-END DEVELOPMENT

0.5 day

Closer look at why projects fail:
Discussion of issues and constraints facing Oil & Gas projects. Large capital Oil & Gas projects challenges and performance. Aggressive pursuit and conservative response. Project risks, organizational risks, external risks and the influence curve. Asset front-end loading index. Keys to successful project delivery.
FEL (Front-End Loading) purpose and methodology:
Foundation for smarter project execution. Important effort in the FED (Front-End Development). FEL phases and deliverables: visualization, conception, definition. Goals for FED and benefits of FEL. Risk exposure and amount of control.
Oil and gas field development project definition:
Activities and stages leading to the FID. Studies to be performed to reach that goal. Stage-gated project management process. Interaction between various disciplines involved in the project.

DYNAMICS OF FEL 1 & FEL 2

0.5 day

FEL 1: Prefeasibility stage:
Objective of preliminary studies and appraisal requirements. Preliminary scheme and technical feasibility. Preliminary schedule and cost estimates. Economic, safety, environment and stakeholders issues.
FEL 2: Feasibility stage:
Objective of conceptual studies. Screening of alternatives and confirmation of feasibility. Key parameters definition and various technical options. Concept study content and concept selection criteria. Pre-project or pre-FEED study content and output. Field development plan, project economics and execution principles. Pre-requisites for launching the FEED or Basic Engineering. Case study.

DYNAMICS OF FEL 3 & FID

0.5 day

FEL3: basic engineering and development stage:
Project scope definition and integration management. Work breakdown structure for an Oil & Gas field. Scope of the basic engineering package. Reference documents needed and validation process. FEED activities, deliverables and organizations. Company and contractor execution plans.
Final Investment Decision:
Project sanction. Typical project organization. FEED contract types. Managing changes to the scope baseline. SOR (Statement Of Requirements) modifications.
Key field development planning and FEL issues to keep in mind.

You might be interested by these trainings

E-030C - Comprehensive Overview of E&P Management Certification

E-030C - Comprehensive Overview of E&P Management Certification

E-151 - Seismic & Sequence Stratigraphy for Oil & Gas Exploration

E-151 - Seismic & Sequence Stratigraphy for Oil & Gas Exploration

E-240C - Integrated Reservoir On-Site Workshop (Poitiers Field Lab) Certification

E-240C - Integrated Reservoir On-Site Workshop (Poitiers Field Lab) Certification

E-241C - Advanced Multivariate Geostatistics Certification

E-241C - Advanced Multivariate Geostatistics Certification

E-242C - Advanced Facies Analysis & Rock-Typing Certification

E-242C - Advanced Facies Analysis & Rock-Typing Certification

E-243C - Seismic Reservoir Characterization: AVO & Inversion Workshop Certification

E-243C - Seismic Reservoir Characterization: AVO & Inversion Workshop Certification

E-244C - Geological Characterization & Modeling - Integrated Workshop Certification

E-244C - Geological Characterization & Modeling - Integrated Workshop Certification

E-250 - Tools for Seismic Reservoir Characterization: Pre-Stack Seismic Inversion

E-250 - Tools for Seismic Reservoir Characterization: Pre-Stack Seismic Inversion

E-251 - Tools for Seismic Reservoir Characterization: Post-Stack Seismic Inversion

E-251 - Tools for Seismic Reservoir Characterization: Post-Stack Seismic Inversion

E-290 - Static Model Construction: Field Constraints & Integration with Subsurface Data

E-290 - Static Model Construction: Field Constraints & Integration with Subsurface Data

E-330C - EOR Concepts & Applications Certification

E-330C - EOR Concepts & Applications Certification

E-335C - Advanced Well Test Analysis Certification

E-335C - Advanced Well Test Analysis Certification

E-350 - PVT Modeling

E-350 - PVT Modeling

E-436 - HPHT Drilling Design & Operations

E-436 - HPHT Drilling Design & Operations

E-712 - E&P Value Chain & Front-End Development

E-712 - E&P Value Chain & Front-End Development

Recent Developments in Oil Refining Technologies

Recent Developments in Oil Refining Technologies

Applied Chemical Engineering Certification

Applied Chemical Engineering Certification

Select Thermodynamic Models for Simulation

Select Thermodynamic Models for Simulation

Chemical Reaction Engineering

Chemical Reaction Engineering

Reactor Engineering

Reactor Engineering

Distillation Certification

Distillation Certification

Distillation Column Internals

Distillation Column Internals

Catalysts in Refining Processes

Catalysts in Refining Processes

Base Chemicals & Polymers Manufacturing*

Base Chemicals & Polymers Manufacturing*

Ethylene Compression & Hypercompressors for LDPE Units

Ethylene Compression & Hypercompressors for LDPE Units

Compounding Polymers Processes

Compounding Polymers Processes

Current & Future Automotive Fuels

Current & Future Automotive Fuels

Automation of Refinery Offsite Operations

Automation of Refinery Offsite Operations

Recent Developments & Innovation in Equipment

Recent Developments & Innovation in Equipment

Inspector Certification

Inspector Certification

Process Energy Efficiency Improvement for Industrial Plants

Process Energy Efficiency Improvement for Industrial Plants

Heat Exchangers Certification

Heat Exchangers Certification

Tubular Furnaces

Tubular Furnaces

Gas Compression & Expansion: Compressors & Turbines Certification

Gas Compression & Expansion: Compressors & Turbines Certification

Gas Turbines Certification

Gas Turbines Certification

Machinery Failure Analysis & Repair Methods

Machinery Failure Analysis & Repair Methods

Machinery Vibration

Machinery Vibration

Instrumentation & Process Control Certification

Instrumentation & Process Control Certification

Advanced Process Control

Advanced Process Control

Multivariable Predictive Control

Multivariable Predictive Control

Electrical Motors: Technology, Operation & Maintenance

Electrical Motors: Technology, Operation & Maintenance

Maintenance Management & Equipment Availability Certification

Maintenance Management & Equipment Availability Certification

Improve Your SHE Management System

Improve Your SHE Management System

Electric Drives for Automotive Propulsion Design, Modeling & Simulation

Electric Drives for Automotive Propulsion Design, Modeling & Simulation

IC Engine Training for Engineers

IC Engine Training for Engineers

Engine Design

Engine Reliability

Engine Reliability

Engine Cooling & Environment

Engine Cooling & Environment

Powertrain NVH

Engine Parts Design

Engine Parts Design

New Combustion Systems in Spark Ignited Engines

New Combustion Systems in Spark Ignited Engines

New Combustion Developments in Diesel Engines

New Combustion Developments in Diesel Engines

Exhaust Gas After-Treatment

Exhaust Gas After-Treatment

Loading & Supercharging

Loading & Supercharging

Advanced Loading and Supercharging Modelings, Simulations and Analyses

Advanced Loading and Supercharging Modelings, Simulations and Analyses

Engine Measurements and Calibrations

Engine Measurements and Calibrations

Engine Measurements Tests Analysis & Calibrations

Engine Measurements Tests Analysis & Calibrations

Diesel Engines Performances - Level 1

Diesel Engines Performances - Level 1

Diesel Engines Performances - Level 2

Diesel Engines Performances - Level 2

Engine Management: Control Software & Calibration

Engine Management: Control Software & Calibration

Engine Calibration & Tuning

Engine Calibration & Tuning

Gasoline Engine Management

Gasoline Engine Management

Diesel Engine Management

Diesel Engine Management

Introduction to Engine Management: Practical Approach by Modeling & Simulation

Introduction to Engine Management: Practical Approach by Modeling & Simulation

Engine Management Training

Engine Management Training

Lubrication & Lubricants

Lubrication & Lubricants

Car Engines Lubrication

Car Engines Lubrication

Industrial Engines Lubrication & Technology

Industrial Engines Lubrication & Technology

Lubrication & Technology of Automotive Transmissions

Lubrication & Technology of Automotive Transmissions

Lubricating Greases Automotive & Industrial Applications

Lubricating Greases Automotive & Industrial Applications

Lubrication & Technology of Industrial Equipment

Lubrication & Technology of Industrial Equipment

Lubrication of Metal Working Operations & Machine Tools

Lubrication of Metal Working Operations & Machine Tools

Powertrain Functional Safety

Powertrain Functional Safety

Vehicle Fuel Consumption

Vehicle Fuel Consumption

Vehicle Performances

Vehicle Performances

Vehicle Emissions

Vehicle Emissions

Drivability

0D Powertrain Modeling

0D Powertrain Modeling

1D Powertrain Modeling

1D Powertrain Modeling

3D Powertrain Modeling

3D Powertrain Modeling

Dispute Resolution in the Upstream Activity

Dispute Resolution in the Upstream Activity

Ways & Means

Several case studies are used to illustrate the E&P decision process and the various issues of Front-End Development studies.