Stochastics/Probabilistic

Stochastic modeling techniques have long been used for exploring the impact of uncertainty on oil and gas project performance worldwide. The non-deterministic outcome will explore the effect of uncertainty in the input parameters using distributions on values including initial rate, price, netpay, area, costs and the ability to correlate variables. This approach will generate a probabilistic view of the likely outcome of economic evaluations and reserve estimations.

Stochastic analysis is an accepted method under PRMS and SEC guidelines. It removes the individual biases, while creating a mathematical explanation for the input thus providing confidence to those presenting the data to investors and board members.

Reservoir engineers, reserve managers, investors and consultants all benefit from using stochastics. It not only saves time, but also better estimates the expected return, by exploring multiple scenarios without having to change inputs manually or by exporting data to an external stochastic engine. The end result is more precise decisions with more defendable conclusions, and avoidance of bad investment decisions, wasted resources and the susceptibility of human error.

All economic products in the pyxis Suite provide “in-line” probabilistic analysis. What is “in-line”? It simply means any variable, or variables can be set with a distribution without leaving the program. At run time the user simply selects to use deterministic or probabilistic calculations. Additionally, multiple variables can be correlated providing functionality that is used to require export of data into a third party program.

Testimonials

“Outstanding…I am most impressed with the attention given to improving the products.”

“Your team has done a great job, and I congratulate you. You’ve delivered the functionality we need on time and on budget, and you’ve helped us with a very tricky technical issue. Please pass on my thanks and congratulations to your team of experts.”