Financing oil and gas completion operations: ARO tools

DOI: 10.33917/mic-4.105.2022.53-64

Asset Retirement Obligations (ARO) are legal obligations to complete the closure of a facility when a long-lived tangible asset, such as an oil well, offshore platform, pipeline, or terminal, is permanently decommissioned. The most common type of ARO for an oilfield is the legal requirement to plug and abandon and restore the site of oil and gas wells to their original natural level at the end of their useful life.

The term «oilfield ARO» is used to cover the full range of statutory activities for the disposal of oil assets, including reclamation and environmental restoration. Interim and subsequent ARO carry additional financial risks.

References:

1. It’s Closing Time: The Huge Bill to Abandon Oilfields Comes Early. Carbon Tracker, June 2020. URL: https://carbontracker.org/reports/its-closing-time/

2. US GAO. Information on infrastructure Decommissioning, 2017. URL: //www.gao.gov/assets/gao-17-642t.pdf 

3. BOEM. Evaluation of a Lessee’s Ability to Carry out Present and Future Obligations. URL: https://www.boem.gov/sites/default/files/documents//Evaluation%20of%20a%20Lessee%27s%20Ability%20to%20Carry%20out%20Present%20and%20Future%20Obligations.pdf

4. Khalidov I.A., Milovidov K.N. Methodology and practice of liquidation fund management: analysis of management decisions in global and domestic oil and gas companies: Monograph. M.: Buki Vedi, 2021. 339 p. (In Russ.).

Methodological features of structuring the subjects of the Russian gas industry

DOI: 10.33917/mic-4.105.2022.45-52

The article is devoted to approaches to structuring the subjects of the Russian gas industry taking into account the role of the gas industry in the state economy and its unique features. The article discusses global challenges for the Russian gas industry in the conditions of energy transition. An analysis of the structuring of the subjects of the gas industry of Russia is being carried out; foreign experience is being considered with the identification of key features. An author’s approach to structuring the subjects of the gas industry of Russia is offered, combining the strengths of Russian and foreign approaches.

References:

1. The degree of depreciation of fixed assets at the end of 2020. Rosstat. URL: https://gks.ru/free_doc/new_site/business/osnfond/STIZN_ved.htm

2. Report «Functioning and development of the Russian fuel and energy complex in 2019», Ministry of Energy of the Russian Federation, 2020. URL: https://minenergo.gov.ru/view-pdf/18288/120837

3. Overview of the gas transportation segment. Finam, 2003. URL: https://www.finam.ru/international/imdaily/my-predstavlyaem-pervoe-issledovanie-po-rossiiyskoiy-gazovoiy-monopolii-v-kotorom-namerenno-neproporcionalno-malo-vnimaniya-udeleno- vsem-segmentam-deyatelnosti-gazproma-za-isklyucheniem-transportirovki-gaza-20030528-11590/#005

4. Henderson J., Mitrova T. Gas pricing in Russia. Moscow School of Management Skolkovo, 2017. URL: https://energy.skolkovo.ru/downloads/documents/SEneC/research02.pdf

5. Konoplyanik A. The LNG market is a driver of change // Oil and gas vertical. 2018;23-24. URL: http://www.ngv.ru/upload/iblock/9ba/9bac65588895ab30a462661d657f76ae.pdf

6. Tuz A. Europe’s path to decarbonization //IPG Electronic Journal, 04/12/2021. URL: https://www.ipg-journal.io/rubriki/ehkologija-i-ustoichivoe-razvitie/put-evropy-k-dekarbonizacii-1277/

7. Vatyukova O.Yu. Organizational and functional structure of the gas industry: a positive analysis // New science: problems and prospects. 2016;51(79):70-80. (In Russ.).

Climate, the role of fuels and renewable energy sources

DOI: 10.33917/mic-3.104.2022.28-37

In 2021, the cost of building solar panels has risen in price by 50%, and wind power plants (WPP) by 13%. Many experts write about their further significant growth. This is also noted in The Global Risks Report 2022 at the World Economic Forum (WEF) in Davos in 2022. Thus, the price of polysilicon over the past year has increased by about 3 times, the price of hot-rolled steel has doubled. Steel production is a process with a high share of CO2 emissions. The era of relatively inexpensive renewable energy is over.

In the coming years, the failure of the climate action of the «green transformation», the growth of fuel consumption, energy and economic crises are coming.

References:

1. «The Global Risks Report 2022» // World Economic Forum. Davos. January 2022.

2. Losev A. Saving the climate: Plan B. Kommersant, February 24, 2022.

3. Patrikeyeva K. Discontinuous course. Kommersant, March 10, 2022.

4. Nigmatullin R. How long will «green» gas be relevant. Moskovsky Komsomolets, March 2, 2022. P. 6.

5. Woodpecker T., Smertina P. Business asks for energetic measures. Kommersant, February 24, 2022.

6. Renewable power generation costs in 2019. International Renewable Energy Agency, 2020.

7. Manukov S. The era of cheap renewable energy sources has come to an end. URL: Expert.ru, January 26, 2022.

8. Decree of the President of the Russian Federation dated March 31, 2022 No. 172 «On a special procedure for the fulfillment by foreign buyers of obligations to Russian suppliers of natural gas». – Access from legal reference system ConsultantPlus.

Prospects for energy supply of the Krasnodar region by floating solar power plants

DOI: 10.33917/mic-3.104.2022.21-27

The article considers options for placing a floating solar power plant, compares floating and ground-based solar power plants, presents the results of modeling solar energy generation, optimizing the angle of inclination of solar modules relative to the horizontal plane, and choosing the optimal solution.

References:

1.     Quarterly information review of the renewable energy market in Russia (IV quarter of 2021). URL: https://drive.google.com/file/d/1zZaVFkzt7qAuN72itWAaGoMJvKcILuzx/view

2.     IRENA Solar Energy [Electronic resource]. URL: https://www.irena.org/solar

3.     Krasnodar region//National portal «Priroda Rossii». URL: http://www.priroda.ru/regions/earth/detail

4.     Russia in figures, 2020: Statistical Handbook / Rosstat. M., 2016. 550 p.

5.     Global Solar Atlas. URL: https://globalsolaratlas.info/

6.     Kubanskoe RDU/Russian Power System Operator. URL: https://www.so-ups.ru/odu-south/odu-south-rdu/rdu-kuban/

7.     The most promising regions of Russia for the development of wind and solar energy have been identified. URL: https://www.kommersant.ru/doc/3283669

8.     Khristoforov E.S., Ilkovskiy K.K. Prospects of Сreating Аloating Solar Power Plants in Russia. Economic strategies. 2020;7 (173):126-135.

9.     Elistratov V.V. Renewable energy. Ed. 3rd add. SPb.: Ed. Polytechnic Univ., 2016. 424 p.

10.  Perez Sky Diffuse Model. URL: https://pvpmc.sandia.gov/modeling-steps/1-weather-design-inputs/plane-of-array-poa-irradiance/calculating-poa-irradiance/poa-sky-diffuse/perez-sky-diffuse-model/

11.  The Performance Assessment of Six Global Horizontal Irradiance Clear Sky Models in Six Climatological Regions in South Africa. URL: https://www.mdpi.com/1996-1073/14/9/2583

12.  Leonardo Micheli: Energy and economic assessment of floating photovoltaics in Spanish reservoirs: cost competitiveness and the role of temperature, 2021. p. 10.

13.  Floating solar PV to reduce water evaporation in water stressed regions and powering water pumping: Case study Jordan. URL: https://www.sciencedirect.com/science/article/pii/S0196890422003946

Formation of a mechanism for strategic management of natural gas consumption by industrial enterprises

DOI: 10.33917/mic-3.104.2022.12-20

The work is devoted to the analysis of modern conceptual approaches to the strategic management of natural gas in industrial enterprises. The research was based on a systematic approach, methods of analysis and synthesis of indicators of the economics of natural gas consumption. The analysis showed that at present a number of issues related to the effective management of energy consumption remain unresolved, which affects the quality of the fuel and energy balance of the enterprise. The author proposes a conceptual approach to the strategic management of natural gas consumption, which uses a situational matrix model for planning an energy efficiency strategy for natural gas consumption based on the life cycle of energy efficient technologies.

References:

1. Gumerova G.I. On the concept of the technology life cycle. G. I. Gumerova, E. Sh. Shaimieva. Innovative Economy. 2008;8 (118):71-75.

2. Zavadsky V.V. Economic foundations of technological development. Neb. Naberezhnye Chelny, 1998. 121 p.

3. Tyshkevich K.V. Formation of a comprehensive assessment of the effectiveness of technological innovations at enterprises. N.-Novgorod, 2003. 158 p.

4. Schwärtzel H. G. Forschung, Technologie, Innovation — dieökonomische Sicht. Klagenfurt, 1998.

5. Kirshina I.A. The concept of situational and strategic planning of natural gas consumption at an industrial enterprise. I.A. Kirshina, V.A. Koksharov. Microeconomics. 2021;6 (101):58-68.

6. Bobryshov A.M. Innovative energy-saving technologies in the electric power industry. Evaluation of efficiency and stimulation of capital investments / A.M. Bobryshov, E. M. Kosmatov, V. Sh. Telyashova; edited by Candidate of Economic Sciences, Associate Professor E. E. Ovcharova. Belgorod: Publishing House of BSTU, 2015. 112 p.

7. Favorsky O. GTU – the basis of the future energy of Russia. Engine. 1999;6:26-30.

8. Tumanovsky A.G., Morozov O.V. Reserves of energy and resource saving at small thermal power plants, in boiler houses and heat supply systems // Materials of the V Moscow International Exhibition Dorcomexpo, 2003.

9. Telyashova V.Sh. Methods of evaluating the effectiveness of energy-saving technologies in the production and transmission of energy: dis. Candidate of Economic Sciences. St. Petersburg, 2009. 127 p.

10. Novikova T.V., Erokhina I.V., Khorshev A.A. The scale of implementation of CCGT and GTU in the medium term. Gas turbine technologies / Specialized information and Analytical Journal. 2005;6:6-9.

11. Batenin V.M., Lapir M.A., Maslennikov V.M., Tsoi A.D. Environmentally friendly power generating complexes based on gas turbine superstructures of hot water boilers RTS. Heat supply News. 2002;1 (17):41-46.

12. Batenin V.M., Maslennikov V.M. On some unconventional approaches to the development of a strategy for the development of energy in Russia. Thermal power engineering. 2000;10:9-12.

13. Batenin V.M., Maslennikov V.M. About the strategy of development of Russian energy. Gas turbine technologies. 1999;3:48-62.

Analysis of scientific methods and practical approaches to assessing the economic efficiency of gas motor fuel

DOI: 10.33917/mic-3.104.2022.5-11

The work is devoted to the generalization of scientific methods and practical approaches for choosing an effective gas motorization policy. Domestic and foreign peculiarities of evaluating the economic efficiency of projects in the field of gas motor fuel are disclosed in detail. The author describes the assessment of the environmental and economic benefits of natural gas motor fuel based on the calculation of social costs, the cost-benefit analysis.

The conclusion is made about the insufficient development of the model of the functioning of the gas engine market, cooperation and competitive behavior of participants, methods for assessing its economic efficiency and commercial potential at the national level and the level of economic entities.

References:

1. IvanovA.V., KarpelE.M., SarkisovA.S.Strategicproblemsofusingnaturalgasasa motor fuel. M .: «Publishing House of the Russian State University of Oil and Gas named after.I.M. Gubkin», 2011. 94 p., ill.

2. Ivanov A.V., Karpel E.M., Sarkisov A.S.Evaluation of the corporate and economic (social) efficiency of projects for the sale of natural gas as a motor fuel in vehicles//Oil, gas and business. 2014;4:14-21.

3. Johnson C., Nobler E., Eudy L., Jeffers M. Financial analysis of battery electric transit buses. – National Renewable Energy Lab.(NREL), Golden, CO (United States), 2020. №. NREL/TP-5400-74832.

4. Johnson С. Business Case for Compressed Natural Gas in Municipal Fleets. Technical Report NREL/TP-540-38843. 2006.

5. Karpel E.E., Zubareva V.D., Ivanov A.V. Methods for economic assessment of the effectiveness of gas industry development; Ed. V.D. Zubareva. M.: Oil and gas, 2000. 104 p.

6. Andreev A.F., Dunaev V.F., Zubareva V.D.Fundamentals of design analysis in the oil and gas industry. M.: UMTs of the Ministry of Natural Resources of the Russian Federation, 1997.

7. Barnitt R., K. Chandler L. Eudy 2006, New York City Transit Hybrid and CNG Transit Buses: Interim Evaluation Results, National Renewable Energy Laboratory Report NREL/TP-540-38843.

8. Cohen J.T., Hammitt J.K., Levy J.I. Fuels for urban transit buses: a cost-effectiveness analysis. Environmental Science and Technology 37: 1477–1484. 2003.

9. Kuzina E.A.Updating the regulatory and technical base in the field of operation of gas-engine transport and equipment. Gas industry.2015;S3(728):94-95.

10. Makarova I.V., Khabibullin R.G., Valiev I.I., Gabsalikhova L.M.Transfer of vehicles to natural gas fuel: advantages, prospects, risks. Transport: science, technology, management.2014;1:52-55.

11. India Raises Profile of CNG for Transportation. URL: http://www.ngvglobal.com/blog/india-raises-profile-of-cng-for-transportation-0911.

12. Bagdasarov L.N. Advantages of natural gas as a motor fuel. Gas industry. 2017;10 (759):12-18.

13. Bukharov D.B. The economic effect of the conversion of municipal transport to gas motor fuel. Transport on alternative fuel. 2015;2 (44):37-40.

14. Velnikovsky A.A. Modeling of the infrastructure of automobile gas-filling compressor stations in St. Petersburg. Bulletin of Civil Engineers. 2017;4(63):201-204.

Improving the competitiveness of Russian oil and gas companies in modern conditions

DOI: 10.33917/mic-1.102.2022.98-104

The article examines the economic benefit from the introduction of information technologies in the oil and gas industry using the example of PJSC Gazpromneft. The advantages of the development of the oil and gas sector through the implementation of IT solutions are considered, and the economic effect of the introduction of information technologies is assessed. The forecast for the implementation of information technologies up to 2030 and up to 2050 has been fulfilled.

References:

1. Tikhopoy Yu. M., Stepanenko D.A. Digital transformation in the oil and gas industry //Business strategies. 2021;9:2. (In Russ). URL: https://cyberleninka.ru/article/n/tsifrovaya-transformatsiya-v-neftegazovoy-otrasli

2. Zinchenko I.A., Lyugai D.V., Vasiliev Yu.N., Chudin Ya.S., Fedorov I.A. The concept of an intelligent field development» management system // Scientific and technical collection «News of gas science». 2016;2:4-9. (In Russ).

3. Nyukhlov A.S., Tatarintseva Yu.V., Kharitonov K.A., Nadeeva K.K. Advantages of using smart-field technology to improve the efficiency of regional management of oil and gas industry enterprises of the Krasnoyarsk Territory // Modern trends in the development of science and production: collection of materials of the VI International Scientific and Practical Conference (July 5, 2017), Volume II – Kemerovo: ZAPSIBNTS, 2017. pp. 77-79. (In Russ).

4. Zharov A.D., Alekseev A.A., etc. IT in the oil and gas industry //Problems of science. 2018. URL: https://cyberleninka.ru/article/n/it-v-neftegazovoy-promyshlennosti

5. Vorobyov A.E. Program for the development of science and innovation at Atyrau University of Oil and Gas. Lambert Academic Publishing. Mauritius, 2017. 130 p.

6. Gazprom Neft Press Center. URL: https://www.gazprom-neft.ru/press-center/sibneft-online/archive/2019-july-august/3406688/

7. Gazpromneft PJSC Report for the 3rd quarter of 2021 p. 6. URL: https://ir.gazprom-neft.ru/upload/iblock/b7d/GazpromNeft_3Q2021_rus.pdf

8. BKS – Express. How much does oil production cost in Russia. URL: https://bcs-express.ru/novosti-i-analitika/2020627080-skol-ko-stoit-dobycha-nefti-v-rossii

9. The exchange rate of the ruble to the dollar. URL: https://mainfin.ru/currency/cb-rf/usd/date/2021

10. Gazpromneft Report for 2021 p. 5. URL: https://ir.gazprom-neft.ru/upload/iblock/3df/AR_GPN20_Book_1506_1655.pdf

11. Vorobyov A.E., Vorobyov K.A. Digitalization of the oil industry: «intellectual oilfield» //Bulletin of Eurasian Science. 2018;10(3). (In Russ.). URL: https://cyberleninka.ru/article/n/tsifrovizatsiya-neftyanoy-promyshlennosti-intellektualnyy-neftepromysel

Rome Climate Summit and Glasgow Climate Conference in 2021

DOI: 10.33917/mic-1.102.2022.91-97

World leaders left Rome and Glasgow without making increased commitments to reduce harmful emissions. Without this, scientists are predicting a climate catastrophe for the planet and humanity in this century. At the Rome summit, it was decided only to reduce coal production in the world after 2030. The success of the Glasgow Summit: promises to stop deforestation after 2030 and reduce methane emissions by 30% by 2030. At the beginning of January 2022, at the initiative of France, the EU President, in 2022, the issue of recognizing nuclear power plants as environmentally friendly (neutral) generation will be considered. In Russia in 2021, the share of nuclear power plants and hydroelectric power plants in the production of environmentally friendly electricity exceeds 40%, and taking into account low-carbon thermal power plants on gas – more than 80%. The main problem of wind and solar power plants is the need for expensive accumulation of electricity due to the unreliability of the weather, which has been deteriorating in recent years, windlessness in Northern Europe and frosts in 2021 in the world. These issues were also discussed in Glasgow.

References:

1. Yun V.O. Green trends in the economy: motives, risks and opportunities. Report at the seminar of INP RAS, 7.06.2021. (In Russ.).

2. Dorofeev M.L. Features of the cost of capital in the green bond market //ECO. 2020;5 (551):62-76. (In Russ.).

3. Tikhonov S. What will metals result in //Rossiyskaya Gazeta, 12.11.2021. (In Russ.).

4. Dobrov D. Germany is betting on wind generation: what are the risks? //Environmental issues, 08.11.2021. (In Russ.).

5. Tarasov A. Multi-headed hydro //Novaya Gazeta, 1.11.2021. pp. 18-19. (In Russ.).

Concept of situation and strategic planning of natural gas consumption in industrial enterprises

DOI: 10.33917/mic-6.101.2021.58-68

The scientific article considers the concept of situational and strategic planning of natural gas consumption at an industrial enterprise based on two matrix models: a situational model of planning energy efficiency and energy conservation strategies and the choice of strategic use of technologies, a situational model of planning strategies for energy consumption in the fuel and energy balance. The interrelation of these models makes it possible to form a matrix for monitoring the main indicators of characteristics that ensure the implementation of an energy efficient strategy for natural gas consumption, which assumes a number of characteristics, optimizing which it is possible to ensure the quality of planning and management of situational and strategic consumption of natural gas in the fuel and energy balance system of an industrial enterprise.

Microeconomics of improving the safety of nuclear power plants based on using of accident tolerant fuel

DOI: 10.33917/mic-5.100.2021.49-61

An analytical methodology for evaluating the criteria of microeconomic efficiency of investments in nuclear power plants with innovative accident tolerant nuclear fuel resistant is presented. The main directions of current research in the world on the development of various variants of accident tolerant nuclear fuel are shown. To assess the competitiveness of nuclear power plants with accident tolerant fuel, it is proposed to use the coefficients of the influence of tolerant fuel on capital, operating and fuel costs, as well as on the efficiency of using the installed reactor capacity. Analytical formula containing influence coefficients are obtained to evaluate the main criteria for the effectiveness of investments in nuclear power plants with such type of fuel: internal return rate, levelized cost of electricity, discounted payback period and net present value. The results of the analysis of the sensitivity of microeconomic criteria to the proposed influence coefficients are presented. This approach allows us to determine the most important directions for a detailed analysis of the economic effects of the intеgration of accident tolerant fuel into nuclear power.