Petroleum Projects Economics & Risk Analysis Training

Overview Objectives Audience Methodology Contents Certificate FAQ's

Course Overview

When executing a petroleum-related project, such as a field development, you should be able to choose the best alternative from an economic point of view. You should be able to properly evaluate various investment opportunities by determining economic indicators and sensitivity analysis.

Techniques for predicting profit, production, costs, and cash flow enable the analyst to evaluate decision alternatives for optimum results. Understanding economic indicators, risk, and uncertainty, different economic indicators enhances the quality and the value of economic analysis.

The Petroleum Projects Economics & Risk Analysis training course provides practical guidance in the application of the techniques of the economic analysis currently used in the oil & gas industry.

Learning Objectives

Attendance to the Petroleum Projects Economics & Risk Analysis training course will enable delegates to:

Understand the importance of project economics used in the oil & gas industry
Carry out cash flow calculations and determine economic indicators
Understand different fiscal regimes applied in the international oil & gas operations
Carry out different economic analyses for petroleum-related projects
Evaluate the economics of incremental projects
Evaluate the economic outcome of accelerating production
Evaluate the economic outcome of delaying oil & gas development projects
Evaluate and quantify risks and uncertainties
Make the right investment decision in the presence of risk including farming out.
Carry out a comprehensive economic evaluation study for any petroleum-related project including risk analysis and sensitivity study using spreadsheet
Get a general feel for conducting economic evaluation on field development projects and risk analysis

Target Audience

The Petroleum Projects Economics & Risk Analysis training course is designed for:

Petroleum/Reservoir Engineers who want to determine the profitability of producing new discoveries
Engineers, geologists, economists, accountants, technicians who need to learn how to conduct economic evaluation and to understand the role of petroleum economics in investment decision making
Supervisors & managers in the Planning, Exploration, Production, Projects, Financing and Projects Departments in Oil & Gas Companies who are involved in making field development decisions.

Training Methodology

The Petroleum Project Economics & Risk Analysis training course will include a number of exercises aimed at enhancing the capability to conduct various economic evaluations. In addition, each participant will develop various economic analyses calculations. At the end of the workshop, each participant will develop a comprehensive spreadsheet economic model that carries out a complete economic evaluation including a sensitivity analysis.

Additionally, the training course assumes no prior knowledge of the topics covered. New concepts and tools are introduced gradually to enable delegates to progress from the fundamental to the advanced concepts of economic evaluation.

Pre & Post course assessments will be used to measure the effectiveness of this training.

Course Contents

Module 1 --Cash Flow Analysis

On Day One the course will cover how to develop future cash flow from basic data.

Key Topics

Familiarization with Economic terms
Feasibility Studies
Setting up Cash Flow Calculation
Petroleum Fiscal Regimes
Depreciation of Capital Costs
Depreciation Methods
Loss Carry Forwards
Inflation
Nominal & Real Cash Flow
Sunk Costs
Project Financing

Module 2- Economic Indicators

On Day Two the course will cover how to calculate a number of key indicators from the stream of net cash flow.

Key Topics

Economic Indicators Definitions
Time Value of Capital
Present/Future Value Concept
Discounted Net Cash Flow
Net Present Value
Internal Rate of Return
Effect of Accelerating Production
Effect of Project Delay
Payback Period
Profit/Investment Ratio
Capital Productivity Index
Evaluating Incremental Projects
Project Ranking based on Economic Indicators

Module 3 -Risks and Uncertainties

On Day Three the course will cover how to deal with project risk & uncertainty and how to make the right investment decision.

Key Topics

Risk & Uncertainty
Expected Value Concept
Decision Tree Analysis
Farm-out Decision
Probability Analysis
Sensitivity Analysis
Spider and Tornado Diagrams
Probability Distribution
Monte Carlo Simulation

Module 4 - Developing Economic Model

On Day Four each delegate will develop a Spreadsheet economic model that calculates future cash flow streams.

Key Topics

Introduction to Spreadsheet Calculation
Simple Cash Flow Using Excel

Module 5 - Setting up Oil Field Development Model

On Day Five each delegate will develop a Spreadsheet economic model that calculates economic indicators including sensitivity analysis.

Key Topics

Setting up an Integrated Economic Model of a Typical Oil Field Development Project including Sensitivity Analysis

Classroom Session

Kigali

02 - 06 Nov 2026

$5,600

Dubai

14 - 18 Dec 2026

$5,600

Dubai

25 - 29 Jan 2027

$5,600

Cape Town

01 - 05 Mar 2027

$5,600

London

05 - 09 Apr 2027

$5,950

Port Louis

21 - 25 Jun 2027

$5,600

Riyadh

27 Jun - 01 Jul 2027

$5,600

Lagos

19 - 23 Jul 2027

$5,600

Dubai

09 - 13 Aug 2027

$5,600

Houston

25 - 29 Oct 2027

$6,950

Kigali

15 - 19 Nov 2027

$5,600

Dubai

13 - 17 Dec 2027

$5,600

Riyadh

19 - 23 Dec 2027

$5,600

More Schedules

Online Session

Duration: 2 Hrs X 8 Days

Starting Date

02-Nov-2026

$3,000

Starting Date

15-Feb-2027

$3,500

Starting Date

27-Jul-2027

$3,500

Starting Date

20-Sep-2027

$3,500

Starting Date

30-Nov-2027

$3,500

More Schedules

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Certificate

Upon successful completion of this training, participants will receive a PROMISE Certificate of Completion.

Certificate

Upon successful completion of this training, participants will receive a PROMISE Certificate of Completion.

This Program has been approved for 25.00 HR (General) recertification credit hours toward aPHR , aPHRi , PHR®, PHRca®, SPHR®, GPHR®, PHRi and SPHRi recertification through HR Certification Institute® (HRCI®)

testimonials

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An exceptional learning experience. This stands out as one of the most comprehensive and well-structured courses I have encountered in my career.