Technology and Economy in Oil and Gas Production

• perform a basic economic evaluation of production of oil and gas from a given discovery
• perform a basic technological evaluation of production of oil and gas from a given discovery
• present the technological options for production of oil and gas at different water depths
• calculate the net present value and internal rate of return for investmenst in oil and gas production
• calculate the consequenses of different production scenarios on the project economy
• evaluate the risks for and actions to prevent production problems
• perform basic material selection for oil and gas production from the given production conditions
• optimize the production profile with respect to the net present value and the internal rate of return
• discuss the complete range of events: exploration, development, production and decomissioning of an oil field
• evaluate the special economic and technological challenges related to offshore oil and gas production

Oil and gas production makes a significant contribution to the Danish economy. The oportunity to produce obviously depends on the technological conditions, e.g. the behavior of hydrocarbons under pressure and temperature, the different reservoir types and the applied production technology, but the economy of the projects are severely affected by the choice of technological solutions. The course focuses on the interplay between technology and economy. A number of lectures are given by visiting lecturers from the oil industry. The technological part consists of e short description of reservoir types and recovery processes. Further more drilling technology, production platforms and ships, selection of materials, corrosion and other production problems are described. In connections with production systems the utility and safety systems, instrumentation and communication systems, ad well as safety and environmental aspects are covered. In the economic part the expenses for exploration, capital, and operational as well as rate of return on investment are discussed for the special conditions of oil and gas production with emphasis on offshore production including the legal terms and conditions. During the course the economic impact of the technical solutions will be emphasized.

Fundamental knowledge in physics

Lectures, exercises, and team work projects.

The course is open for all engineering educations.