Contract Types & Risk Allocation

Introduction

Explains how different contract types allocate risks and responsibilities.

Objectives

• Understand major contract types
• Analyze risk allocation
• Select suitable contract strategies
• Improve commercial decisions

Target Audience

·         Contract engineers

·          Project managers

·          Procurement staff.

5-Day Scientific Program

Day 1

• Petroleum economics fundamentals
• Value chain economics overview
• Cost vs value concepts
• Economic terminology

Day 2

• Capital and operating cost drivers
• Production and efficiency impacts
• Cost sensitivity analysis
• Break-even concepts

Day 3

• Economic evaluation techniques
• Price assumptions and uncertainty
• Scenario and sensitivity analysis
• Economic indicators

Day 4

• Cost optimization strategies
• Economic trade-offs in decisions
• Long-term economic sustainability
• Value improvement initiatives

Day 5

• Case studies
• Lessons learned
• Economic analysis toolkit
• Decision-support framework