Analysis of Quantitative & Technology Estimation on Petroleum Exploration Projects

This paper analyzes the oil field´s internal information costs-back structure and mechanism, and cause-and-effect relations in exploring and exploiting the oil resources. The operation target of oil/gas exploration should consider the short-term economic benefit on one hand and long-term development on the other to give highest economic value under current market economic conditions. Oil/gas exploration is a system engineering characterized by long-term, high risk, large capital investment, and high rate of return on investment. In the whole process of oil/gas exploration and development, it is necessary to have a series of sequential decisions tracing the progress of exploration with the objective economic evaluation as a basis. The results of the researches show that the system dynamics principle and method is useful in the complex system and provides the sustainable development quantitative analysis to assist the oil field enterprise to make scientific decisions.