Mastering Upstream and Downstream Dynamics in Oil and Gas

Overview:

Introduction:

This training program is designed to provide comprehensive instruction on the latest technologies, best practices, and management strategies in upstream oil and gas operations. It equips both petroleum and non-petroleum professionals with the knowledge and skills necessary to excel in the dynamic field of upstream energy production and management.

Program Objectives:

At the end of this program, participants will be able to:

• Gain a comprehensive understanding of the entire oil, gas, and LNG business, covering exploration, drilling, production, refining, petrochemicals, sales, marketing, and trading.

• Advance towards top-tier corporate positions by acquiring in-depth industry knowledge and expertise.

• Explore the technical and economic efficiencies in Upstream and Downstream operations, leveraging new technologies.

• Master petroleum economics, investment analysis, risk assessment, and project evaluation techniques.

• Evaluate fiscal terms, conditions, and global fiscal systems to enhance business acumen.

• Understand contract types such as Concessionary, Production Sharing, Service, Joint Venture Contracts in Upstream, and Sales, Marketing, and Trading Contracts in Downstream.

• Enhance comprehension of downstream fundamentals, including refined product quality, blending, valuation of oil for trade, freight calculations, refinery margins, vessel chartering, pipelines, and terminals.

Targeted Audience:

• Business Development managers, Joint Venture officers, and Negotiators.

• Corporate Planning professionals and Equity analysts.

• Geoscience & Engineering professionals and Refinery professionals.

• Supply Planners & Scheduling professionals and Trading professionals.

• Government regulators, Compliance officers, and Law professionals.

• Tax & Finance advisors and Auditing personnel.

Program Outlines:

Unit 1:

General Industry Overview & Basic Concepts:

• Introduction to Oil & Gas Industry.  

• Petroleum Industry Dynamics & Future Trends.

• Oil & Gas Geology.

• Oil & Gas Prospecting (Exploration).

• Drilling Operations.

Unit 2:

Upstream Success Factors:

• Technological Advances.

• Well Evaluation.

• Well Completions.

• Reservoir Depletion Mechanisms.

• Oil & Gas Surface Facilities.

• Transportation.

• Maintenance of Oil & Gas Facilities.

• Oil & Gas Reserves.

Unit 3:

Profitably Managing Upstream Business:

• Oil & Gas Reserves.

• Reservoir Management.

• Crude Oil Refinery Products & Processes.

• Legal Framework of the Industry.

• Project Economics.

• Oil Price Risk Management.

Unit 4:

Upstream Production Contracts & Fiscal Systems:

• Relationships between Oil Companies and Host Governments.

• Understanding Petroleum Fiscal Systems.

• Identification of different types of fiscal terms and their application.

• Concession (royalty/tax) Contracts.

• Production Sharing Contracts.

• Service contracts and Joint Venture Contracts.

• Review & Comparison of Different Fiscal Systems in the world for the Petroleum Industry.

• Fiscal options and latest trends for Liquefied Natural Gas (LNG) projects.

Unit 5:

Petroleum Economics, Risk Analysis, and Project Evaluation:

• Petroleum dynamics – Global, Regional & OPEC production scenarios.

• Profitability indicators for oil & gas business.

• Comparison and investments selection criteria.

• Corporate portfolio management and maximize returns.

• Risk & Uncertainty analysis in capital investments.

• Evaluate projects by risk-based economics.

• Fundamental Considerations in Petroleum Project Evaluation.

• Investment Decision-Making Techniques.

Unit 6:

Petroleum Refining, Refined Products & Petrochemicals:

• Introduction to Petroleum Downstream Industry.

• Physical & Chemical properties of crude oil.

• Crude oil selection criteria for refinery.   

• Essential of Petroleum Refining Industry.

• Major refinery processes and refinery units.

• Simple Hydroskimming Refinery, Deep Conversion Coking Refinery.  

• Refinery Optimization.

Unit 7:

Global Oil Supply and Petroleum Economics:

• Making Downstream connection with Upstream Industry.

• The essence of International Oil Supply – Global Reserves, Production & Trade.

• Fundamentals of Oil Economics, Fundamentals of Crude Oil Transportation – Tankers and Chartering.

• Basic Principles in Pricing and Overview of Markets, Crude Oil Markets.

• Global Crude Oil Supply-Demand balance, and its impact on prices.

• 50-Years history of Crude Oil Pricing, and its current pricing dynamics.

• Marker crudes and crude oil Benchmarks.

Unit 8:

Downstream Value Chain Optimization:

• Essential Elements in Crude Oil Sales Contracts to Refineries.

• Basic Crude Oil Refining and Advanced Refinery Upgrades.

• Importance of Petrochemicals and its impact.

• Refining and Petrochemicals Integration.

• Value Chain Optimization and Maximizing Return on Investment.

• Managing Contractual and Environmental Risks.

• Pipelines, Storage and Transportation Logistics in Downstream.

• Refinery Economics and Optimization of Downstream.

Unit 9:

Downstream Market Structures and Trading:

• Introductory Concepts in Oil Trading.

• Interface with retailers.

• Downstream Supply Chain management.

• Total Barrel Economics.

• Oil Market Derivatives – Futures, Forwards, Swaps, Option.

• Price Volatility Exposure and its Defensive Practices.

Unit 10:

Downstream Petroleum Dynamics and Risk Management:

• Hedging – Risk Management.

• Pricing Management.

• Derivatives.

• Examples of Oil & Gas Futures Contracts, Swaps, and Options.

• Common mistakes by Oil & Gas Companies in Hedging.

• A Guide to Developing A Corporate Fuel Risk Management Policy.

• Challenges to Petroleum Industry and Trends in New Technology.