Abstract
Abstract A model was established to illustrate the relation between cumulative exploration investment and growth of total proved reserves on the basis of growth model of total proved reserves. The Data Envelopment Analysis (DEA) theory was used to give an optimal solution of the function of constructed productivity and development investment, and, together with an exponential oil & gas operational cost function, a model of the relation between development investment and oil & gas output was deduced. Based on the models of investment-exploration-development relations, and considering maximum profit, yield component, reserves-to-output ratio and production rate, an optimal function of multi-stage investment was established, which can result in multi-stage investment structure under given conditions with genetic algorithms. The method can provide scientific basis for oil companies to make a long-term strategic program and investment plan in oil and gas exploration and development, decrease the subjective blindness in the investment and bring about a reasonable and orderly exploration and development of oil and gas resources
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
