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F. F. Gaipov
F. F. Gaipov
Almetyevsk Oil Institute
Almetyevsk Oil Institute

Co-authors

Articles

Economics. Development of underground space
  • Date submitted
    2002-07-05
  • Date accepted
    2002-08-06
  • Date published
    2003-02-01

Financial analysis of production investments of oil companies

Article preview

In conditions of limited money resources any enterprise faces the problem of choosing the best variant of the investment project, in particular the variant of well drilling. Two options are considered: drilling of a vertical well and drilling of a vertical well with drilling of a horizontal sidetrack provided at a certain step of the calculation period. For both variants the following indicators are calculated: efficiency indicators and indicators of net discounted income (NDI), internal rate of return (IRR), cash discounted cost index (DCI) and cash discounted investment index (CDI). The contradiction between VID and PDD in the choice of the project is solved and the choice in favor of the best variant of the investment project is made.

How to cite: Gaipov F.F., Emekeev V.A. Financial analysis of production investments of oil companies // Journal of Mining Institute. 2003. Vol. № 2 155. p. 187-189.