Your team has been selected to study an interesting prospect – a sour gas reservoir on-shore in a foreign country which is Oman. The host government is proposing two alternative methods to develop the field, with gas used in local power generation, but at present only limited data is available, primarily from one well test and other reservoirs in the same country. You need to supplement existing data by consulting the literature and/or making engineering estimates as required.
Carry out the following tasks:
a. Develop a cash flow model using Excel spreadsheets based on the development plan for two contract scenarios:
i. The first scenario is concession contract in which all costs are handled by the operator, products are sold at market rates, and the government charges royalties and corporate tax.
ii. The second is a special service contract where your company handles all costs and is paid a fixed price per unit of gas produced (with ownership of any oil or condensate produced being transferred to the host government). There are no royalties in this scenario, but there is corporate tax. (You are advised to create a simpler version of the first spreadsheet for this scenario.)
b. Plan for the entire field to be decommissioned and abandoned by plugging and abandoning wells and removing and scrapping all facilities or other more-economic option. Costs should be spread over the life of the project by using an annuity. (This can be set up as a separate sheet in the Excel file).
Uber is a taxi administration that interfaces clients with free vehicle drivers by only a push of a catch on an application (Exhibit 1) (Uber, 2017).Uber is known for its available whenever and minimal effort to extravagance administrations (Uber, 2017). Uber's' an incentive to its drivers is that it advances extra wellspring of salary, adaptable working hours, and the individuals who can gain cash for doing their pastime. It centers around clients who don't claim a vehicle, as to go in style, and lean toward a cost-effective taxi. Uber's essential rivals in the United States are Lyft, conventional cab drivers, open transportation and vehicle proprietors. It procures income by taking 20% commission on each ride, while the rest goes to the driver. Uber has indicated ceaseless development, with net income of roughly $5.97 billion of every 2016. Be that as it may, they have additionally been causing enormous misfortunes over the recent years, and had misfortunes of $3 billion toward the finish of 2016 (Exhibit 2). Lyft, Uber's' fundamental rival, has had an emotional increment in development in the previous years, while Uber's' development has stagnated (Exhibit 3). Speculators have been constraining the CEO to go towards an IPO since it will be a simpler method to bring money exchanging up in the monetary market. The CEO has been postponing an IPO dispatch in light of the fact that Uber is endeavoring to smooth out all knocks as a privately owned business before opening up to the world. Right now, Uber raises its capital through funding firms and it is esteemed at $69 billion (Abboud, 2017). One of Uber's key promoting methodology for gaining new clients is through informal, which enables the organization to spend for all intents and purposes no cash on notice. 95% of Uber drivers have found out about the organization from another Uber riders and for each 7 Uber rides, verbal exchange creates one new client. The informal procedure and the referral program permitted Uber to ascend in prominence in numerous urban communities around North America and globally. Toward the finish of 2016, Uber was effective in extending to around 81 nations and 581 urban communities around the world. In any case, in the range of only two months, three noteworthy occurrences are presently bringing about the organization to be seen in a negative light. These occasions have been harming individuals' view of Uber and its image picture through online networking and verbal, similar stages that helped Uber gain prevalence in any case. JFK Airport President Trump marked an official request of restricting outcasts from seven overwhelmingly Muslim countries, which made shock and confusion in airplane terminals. The New York Taxi Workers Alliance demonstrated their help for kept outcasts by keeping away from John F. Kennedy International Airport between 6p.m. to 7 p.m. on 28th January. Rather than remaining with the Taxi drivers, Uber chose to dispose of their flood costs around the JFK district caused impressive shock on Twitter and cause>GET ANSWER