Category: Oil and Gas business

When governments try to capture the upside in a production sharing contract to allow them to benefit if oil prices increase

Natural or induced production damage that can develop anywhere from the reservoir to the production pipelines. Natural damage occurs as produced reservoir fluids move through the reservoir. Induced damage is the result of fluids in the well and external operations, such as drilling, well completion, workover operations or stimulation treatment.

A cap, or limit, on the price which may be charged for a commodity as is also sometimes the case in gas sales contracts

The primary conduit through which reservoir fluids are produced to the surface

The method of estimation of hydrocarbon reserves is called probabilistic when the known geological, engineering and economic data are used to generate a range of estimates and their associated probabilities

This represents the link between the petroleum accumulation and the decision making process, including budget allocation. A project may constitute the development of a single reservoir or field, or an incremental development for a producing field or the integrated development of a group of several fields. In general, an individual project will represent the level at which a decision is made on whether or not to proceed (i.e. spend money) and there should be an associated range of estimated recoverable volumes for that project

The search for an area for probable exploration. The search normally includes geological and geophysical studies of relatively large areas undertaken in an attempt to locate specific areas warranting detailed exploration. Prospecting usually occurs prior to the acquisition of mineral rights.