Method for Determining Lowest Oil Price Limit by Developing Tight Peripheral Oil in Daqing

Abstract

The outer oil field of Daqing is a low-permeability oil field, which has a large proportion of the tight oil reserves. Due to the high development costs of the tight oils, many fields are difficult to reach the standard of economic evaluation. It increases the difficulty in optimizing reserves and use of reserves. In the process of the development of the tight oil field, it is important to determine the limit of starting oil price. It is also an important basis for determining the launch of the oil field development project. The evaluation of present value method does not consider the change process of external conditions and has certain limitations. However, the introduction of investment option value method for evaluation can fully consider changes in oil prices and other external factors, and provide a more realistic assessment of the oilfield development process. In the case of low oil prices, some tight oil fields can also be used effectively, which improves the efficiency of resource utilization, increases the scale of reserves utilization, and solves the problem of optimization and evaluation of reserves.