RESEARCH ON ECONOMIC INVESTMENT SIZE OF OILFIELD DEVELOPMENT

摘要

The oilfield development is a venture activity with large investment. Its prospective economic efficiency rests with the right investment decision made by the operators. Consequently, the development investment size of an oilfield must be less than the economic one. This paper introduces a mathematical model for calculating the economic investment size in the oilfield development. In the paper, oilfields are technically and economically classified and the mathematical model of investment size is set up in accordance with the DEA validity principle. It can provide quantitative basis for investment decision by using this model to study the economic investment size of petroleum exploration and development.