Oil and Gas Project Economics and Risk Assessment
INTRODUCTION
In the volatile and capital-intensive oil and gas industry, the ability to accurately evaluate projects, model financial outcomes, and assess risks is vital for securing long-term profitability. Leaders and analysts must navigate fluctuating commodity prices, complex financing structures, and uncertain operational conditions to make sound investment decisions.
The *Oil and Gas Project Economics and Risk Assessment* course is designed to equip participants with advanced financial modelling skills, petroleum economics expertise, and risk management strategies. Covering both upstream and downstream projects, this programme blends Excel-based technical training with practical economic analysis, preparing delegates to handle complex investment evaluations with confidence.
Through real-world case studies, scenario simulations, and industry-specific modelling exercises, participants will learn to optimise decision-making, forecast performance under uncertainty, and protect project value through effective risk mitigation.
This training course will highlight:
* Advanced Excel techniques tailored for petroleum project evaluation
* Methods to forecast oil and gas project cash flows and profitability
* Application of NPV, IRR, payback, decision trees, and real options in investment decisions
* Strategies for identifying, quantifying, and mitigating project risks
* Use of petroleum derivatives to hedge against price volatility
OBJECTIVES
By the end of this course, delegates will be able to:
* Conduct comprehensive economic evaluations of oil and gas projects
* Build and interpret detailed petroleum financial models
* Analyse capital structure and financing options for large-scale energy investments
* Apply advanced investment appraisal methods under uncertainty
* Quantify project risks and incorporate them into decision-making
* Implement hedging strategies to safeguard against market volatility
TRAINING METHODOLOGY
This programme uses a **hands-on, case-driven** learning approach, including:
* Step-by-step Excel financial modelling tutorials
* Petroleum industry case studies and datasets
* Risk scenario analysis and stress-testing exercises
* Interactive group discussions and project-based tasks
* Optional VBA modules for advanced model automation
ORGANISATIONAL IMPACT
Organisations will benefit from:
* Improved project selection and capital allocation decisions
* Enhanced ability to evaluate investments under volatile market conditions
* Stronger risk management frameworks for petroleum projects
* Increased project profitability through accurate economic forecasting
* More capable managers and analysts with industry-relevant modelling skills
PERSONAL IMPACT
Participants will:
* Master Excel modelling tools used by top petroleum analysts
* Understand economic drivers of upstream and downstream projects
* Develop advanced investment appraisal and risk assessment skills
* Build confidence in presenting and defending project recommendations
* Enhance career prospects with highly sought-after technical competencies
WHO SHOULD ATTEND?
This course is ideal for:
* Energy sector project managers and analysts
* Finance professionals in oil and gas companies
* Economists, planners, and investment officers
* Engineers involved in feasibility studies and project planning
* Anyone responsible for evaluating and managing oil and gas projects
COURSE OUTLINE
DAY 1: Fundamentals of Petroleum Economics
* Industry overview and project lifecycle economics
* Introduction to Excel for economic modelling
DAY 2: Data Management and Financial Analysis
* Data organisation, charting, and visualisation
* Financial statement and ratio analysis in the oil and gas context
DAY 3: Forecasting and Cash Flow Modelling
* Trend analysis and revenue forecasting
* Building project cash flow models
DAY 4: Capital Structure and Financing Options
* Debt vs equity financing in oil and gas
* Calculating cost of capital
DAY 5: Investment Appraisal Techniques (Part I)
* NPV, IRR, payback period analysis
* Sensitivity and scenario analysis
DAY 6: Investment Appraisal Techniques (Part II)
* Decision tree modelling for risk-based decisions
* Valuing real options and abandonment decisions
DAY 7: Risk Assessment and Quantification
* Identifying project risks (technical, market, operational)
* Quantitative risk analysis using Excel
DAY 8: Hedging and Price Risk Management
* Petroleum derivatives overview (futures, options)
* Modelling price hedging strategies
DAY 9: Product Spreads and Market Relationships
* Analysing price spreads between energy products
* Hedging against margin risk
DAY 10: Integrated Project Evaluation
* End-to-end project economics assessment
* Group case study presentation and review
CERTIFICATES
On successful completion, delegates will receive:
* A **KELeaders Certificate of Completion**
* **CPD Certification** (1 CPE credit per 50 minutes of training)
* A personalised CPD certificate compliant with international CPD standards
Enquiries and Registration
Enquiry at : admin@keleaders.com
Whatsapp: 0044 790 125 9494
For more details visit our website : www.keleaders.com
