A meta-modeling simulation of structure abandonment timing decisions

An offshore oil and gas structure will be decommissioned and removed from service at the end of its productive life, depending upon operator preferences, legislative requirements, and strategic opportunities. The basic aim of decommissioning is to render all wells permanently safe and remove most, if not all, surface/seabed signs of production activity. The purpose of this paper is to characterize the timing decisions associated with abandoning offshore oil and gas structures. Three models are developed, ranging from a production-based forecast to a risked, net present value approach. Functions that describe how the age of the structure upon abandonment is related to system parameters is constructed using a meta-modeling simulation and illustrated on a generic field development scenario.