Oil and Gas projects can require investment of many billions of dollars, and can have development times of a decade or more.
The amount and timing of the capex spend are critical model inputs and are therefore crucial to the decision making process. Capex modelling has a huge impact on value creation and the future profitability of the project.
As a project is developed and engineered, the accuracy and level of detail of the capex estimates and the schedule of spend evolve. S-curves are widely used for modelling project capex profiles.
In this ebook we explain the origin and application of the S-curve, and provide you with flexible worked example modules in Excel, built to the FAST Standard, that you can immediately apply in your own modelling.
Topics covered in this include:
- Project decision making
- Estimating CAPEX
- Modelling the S-curve
- "What-ifs" & the changes in CAPEX / Schedule
- Practical examples of S-curve modelling