System-effectiveness assessment in offshore field development using life-cycle performance simulation

Offshore oil field development is associated with various types of technical uncertainties, i.e., reservoir-related, field-development-related (e.g., cost and schedule overruns), and operations-related. The authors show how the operations-related uncertainty factor can be subject to system-effectiveness assessment using advanced life-cycle performance simulation. The system effectiveness or regularity will impact directly on the revenue stream, as well as the maintenance-related operating costs. Combined with economic and technical assessments, the system-effectiveness analyses provide decision support when a production system is optimized and critical issues to be followed up in later project phases are identified. The nature of these analyses implies application from early field planning into the operational stages of a field development. In contrast to analytical techniques, life-cycle performance simulation provides a means of modelling the performance of any production system, taking into account the effect of reliability, maintenance, operations, etc., on the production stream