Global Upstream Operations in Oil & Gas

Introduction:

The topic is pertinent as it highlights the need to integrate management processes with organizational behavior. With onshore project development facing limited market opportunities globally, alternative potential projects must be explored.

The oil and gas industry comprises three distinct activities: upstream oil and gas operations, refineries and retail, and engineering, which includes analysis and management across all areas.

Each segment of the industry requires skilled and competent professionals to effectively manage the markets. For the first time, students pursuing a master’s course in Petroleum Engineering will conduct an economic analysis of oil and gas upstream investments.

The synthesis of new technologies in petroleum, along with a cross-functional approach, will combine business development and strategic management with production, broadening participants' knowledge of oil and gas and pre- and post-evaluation of large projects.

The structure of the oil and gas industry also includes downstream operations, focused on petroleum refining, oil product manufacturing, and distribution and sales.

Objectives:

At the end of this upstream oil and gas operations course, participants will be able to:

• Gain a broad perspective on the upstream oil business, exploration, drilling, and production.
• Enhance their understanding of technical and economic efficiencies through new technologies in the upstream sector.
• Master petroleum economics, investment analysis, risk analysis, and project evaluation.
• Evaluate fiscal terms and conditions and compare global fiscal systems.
• Understand various upstream contracts, including Concessionary, Production Sharing, Service, and Joint Venture Contracts.
• Confidently discuss technical terms, concepts, and industry buzzwords with peers and clients.

Training Methodology:

• Short lectures with practice
• Case studies
• Group work
• Role-playing
• Physical project work
• Short exams and marker tests
• Simulations of real-world industry scenarios

Course Outline:

Unit 1: General Industry Overview and Basic Concepts:

• History of the oil and gas industry
• Trends and future of petroleum
• Physical geology of oil and gas
• Oil and gas exploration
• Drilling

Unit 2: Upstream Success Factors:

• Technology development
• Well evaluation
• Well completion
• Mechanisms of reservoir depletion
• Facilities for oil and gas processing
• Transportation methods
• Maintenance of oil and gas facilities
• Volunteer for reserves in oil and gas

Unit 3: Profitably Managing Upstream Business:

• Reserves of oil and gas products
• Geoscience reservoir management
• Processes and products of crude oil refineries
• Legislation in the industry
• Project economics
• Oil price risk

Unit 4: Upstream Production Contracts and Fiscal Systems:

• Dynamics between oil companies and host governments
• Oil tax systems
• Fiscal terms of petroleum and their types
• Contracts with royalty/tax elements
• Production sharing contracts
• Service agreements and joint venture contracts
• Analysis of different political economic structures in the petroleum industry
• Tax structure and recent developments in LNG projects

Unit 5: Economics of Oil and Gas, Risk Evaluation, and Project Appraisal:

• Petroleum dynamics: worldwide, regional, and OPEC production scenarios
• Business profitability indicators in the oil and gas sector
• Criteria for comparison and selection of investments
• Management of corporate portfolio to optimize returns
• Risk and uncertainty analysis in capital projects
• Project evaluation using risk economics
• Essential criteria in oil field development appraisal
• Resource allocation decisions

Conclusion:

The global upstream oil and gas operations course offers an in-depth understanding of the upstream sector, covering exploration, drilling, production, and the main equipment used. It emphasizes the importance of data management and analytics to enhance professional performance.

Participants will be equipped to apply their knowledge practically in oil and gas production, engage in problem-solving, and seize industry opportunities. The course also explores technological innovations in upstream activities.

In summary, this course helps participants appreciate the significance of upstream operations in the oil and gas sector, ensuring they possess the necessary skills and knowledge for active engagement. By focusing on core elements, the course prepares learners for action in this complex and evolving energy sector.

Upon completion, participants will be able to apply their skills effectively in oil and gas production, contributing to problem-solving and capitalizing on available opportunities, while also examining the practical applications of technology in upstream activities.