..., and discount rate on net present value. The net present value at a 10% discount factor ("PV10") was used as a proxy for market value. Then, production, reserves, and cash flow multiples were calculated and analyzed. Relationships between the different variables were studied, and equations to calculate...

..., by discounting the forecast cash-flow, approximated by the cash-flow in the forecast scenario, with discount factors based on a discount rate that includes the risk-free interest rate to take account of the time value of money plus a risk premium to reflect the generally lower value of claims to cashflows...

... prices, is linear. Two points are made. First, for a set of given input price expectations, DCF estimates of the value of these assets will be independent of the level of input price uncertainty, unless the discount rate is adjusted to reflect the change in risk. ROA estimates of value...

.... accountant assumption long-lived asset reserves classification upstream oil & gas reserves replacement allocation cash flow fasb 141 discount rate engineer asset and portfolio management spe 77508 information obligation concept 7 impairment goodwill liability guideline business...

... Abstract This paper will briefly discuss the derivation of market value discount rates from market sales and, separately, from cost-of-capital approaches. The paper will then focus on the reasons for the apparent disparity whereby discount rates derived from market sales consistently exceed...

... even if is properly applied, but in many cases, corporations misapply the entire concept because of the failure to grasp the underlying issues. Adding risk premiums to the discount rate distorts the DCF analysis in favor of short-run projects for several reasons, according to Professor Myers...

... capital expense, the discount rate, and the recompletion capital expense were considered as ' unknowns' and were varied to determine their effect on the NPV of the project. The capital expenses and the NPV are reported relative to the cost to drill and complete the base-case well. Reasonable...

... appropriate ror risk management project valuation weighting weighted average cost exploration risk premium society of petroleum engineers ror discount rate hurdle rate asset and portfolio management upstream oil & gas repatriation project economics risk-ror relationship investment beta...

... process. economic shortsightedness treasury revenue capitalism reflect risk project valuation upstream oil & gas shortsightedness society of petroleum engineers cash flow investor equation 2 application asset and portfolio management discount rate campbell tradeoff spe 26451...

... ABSTRACT The purpose of this paper is to examine the role of the discount rate in determining the fair market value of a producing oil and gas property; to assess the validity of a discount rate based on a derived source and on an observed or market source, and to evaluate the relationship...

... by: K a = W d   K d   1 − t     +     W S   K S Determination of Discount Rate Based on Consensus: Some firms select the discount rate based on results from polling the industry or publicly available survey information. The Society of Petroleum...

... coefficient, and the discount rate. Results show that, on an equal-area-per-well basis, five-spot and staggered line drive patterns are favored over seven- and nine-spot configurations. The optimum slug size for a homogeneous five-spot was found to be the amount required to satisfy about 90...

... price corporate acquisition reserve life reserve acquisition cost nomograph product price acquisition property acquisition oil equivalent spe 15353 valuation purchaser scenario discount rate corporate transaction reserves replacement transaction reserve lives percentage asset...

... that is attributable to exploration, development and operating costs, Government imposts and oil company profit as function of discount rate for each of the major tax regimes. The origins of Australia's petroleum policies, in common with those of the USA and Canada, are found in the arrangements entered...

... profitability measure real profit inflation investor project valuation petroleum investment analysis profitability analysis discounting project economics asset and portfolio management discount rate petroleum industry revenue upstream oil & gas profitability strategic improvement evaluation...

... significantly impact rates of return to the promoted limited partner. Lastly, a method is suggested that requires a limited number of input factors, usually available or easily estimated, which approximates the values for future net reveoues, property life and present worth at a specific discount rate...

... for in-depth environmental and economic analysis. Project economics government expropriation occur sudden expropriation asset and portfolio management investment discount rate sudden expropriation risk banking & finance Upstream Oil & Gas expropriation evaluation political risk...

... Reinvestment future worth modification Upstream Oil & Gas discount rate economic analysis incremental project project valuation dual rate calculation evaluation unamortized investment position diagram Society of Petroleum Engineers of A/ME 6200 N. Central Expwy. Dallas, Tex. 75206 SPEPAPER...

... investment discount rate interest rate investor Project economics Property Acquisition category Engineer purchase price project valuation Upstream Oil & Gas cash flow financing price increase acquisition oil and gas loan interest rate certain interest income fund conjunction...