A Method Study of Economic Evaluation for Development Program Project
Authors: Wei Zhaosheng , Liang Chunxiu , Wang Anhui , Luo Xiankun 
Published: December 2007

Abstract
The paper shows economic evaluation methods of development project have been studied systematically. The work procedure of economic evaluation, index-institutions and comparation ways for development program project has been built. Predictable method of investment of development project have been put foreword, dead reckoning models of decision cost of development project and duration expensive have been built. A kind of forecast method of annual scale profit production has been put foreword, annual rational prorating production of an oil region has been finished on the basis of fully considering object production. Various condition of Petroleum market and resources both in China and abroad have been Summarized and analyzed, considering internationalize price have been keeping about 18$ per bbl in medium-term or long-term. On the basis of statistics and analyses of crude oil unit cost of x oil-region, considering indirect cost is main reason of effecting crude oil unit cost. Main reason that per ton crude oil operation cost increased is a wide margin rising sub-surface maintenance cost. Discussing existing problem of cost keeping and reformatory counterplan for at the present day.

Instruction
CNPC restructured crossly in 1998, and did again in 1999 for seeking up modern enterprise. Focal point of the work is seeking economic benefit index, not seeking objective production. This moment, it is important how to do development project. Development project of oil & gas field includes annual plan, medium-term project and long-term project, it makes log-term more specific and instructs short development. Therefore, it is the focal point of oil field for development plan. The task of oil field on development project is; on the basis of five-year project, more reasonable and conveniently development program project is selected by economic analysis of reserve resources of old oil field potential. So that arrivals of the goal of less input and more output, coordinates relation among investment, reserve and production, and try to come the whole of good-circulation; controling crude oil cost and profit-to-investment ratio of exploration and development and reserves-production ratio, oil field will develop abidingly.

Economic Evaluation of Development Program Project Study
The Work Procedure of Economic Evaluation for Development Program Project
Economic evaluation of development project must be based on technical feature of the total project, developing all kinds of special subjects and economy evaluation and optimization. Its steps following:Data gathering. Mainly consisting of undeveloped explored reserves, data statistics of developed region, and investigation of project performing.Economic special topic study. Commonly including eight respects special topic studies: selection and determination of economic parameters; economic evaluation of undeveloped region reserves (on the base of geologic evaluation, according to technical-evaluation of oil field, forecast economic value of industrial development for reserves in the future, study feasibility of industrial exploitation. Put them in order on the base of their profits, and provide the scandium that program project reasonably utilizes resource.); economic dynamic analysis and projection for developed region; economic index counting and analyzing of new development areas; analyzing crude oil price trend and domestic supply-demand relation ship; a method of economic evaluation for dense oil development; software development of project economic evaluation.Economic evaluation of the whole program project, analyzing comprehensively; writing economic evaluation report.
Economic evaluation features of development program project
Economic evaluation of development program project uses a method of item evaluation (cash flow) to research development investment benefit in the project duration.
The Work Procedure of Economic Evaluation for Development Program Project
Economic evaluation of development project must be based on technical feature of the total project, developing all kinds of special subjects and economy evaluation and optimization. Its steps following:Data gathering. Mainly consisting of undeveloped explored reserves, data statistics of developed region, and investigation of project performing.Economic special topic study. Commonly including eight respects special topic studies: selection and determination of economic parameters; economic evaluation of undeveloped region reserves (on the base of geologic evaluation, according to technical-evaluation of oil field, forecast economic value of industrial development for reserves in the future, study feasibility of industrial exploitation. Put them in order on the base of their profits, and provide the scandium that program project reasonably utilizes resource.); economic dynamic analysis and projection for developed region; economic index counting and analyzing of new development areas; analyzing crude oil price trend and domestic supply-demand relation ship; a method of economic evaluation for dense oil development; software development of project economic evaluation.Economic evaluation of the whole program project, analyzing comprehensively; writing economic evaluation report.
Economic evaluation features of development program project
Economic evaluation of development program project uses a method of item evaluation (cash flow) to research development investment benefit in the project duration.