with Portfolio and Project Modeling (ADA)
Persons planning to register for ADA
should have attended Petroleum Risk and Decision Analysis (PRD) and
have learned most concepts. Alternatively, people are invited to attend
ADA with equivalent experience.
We expect participants in ADA arrive
with the following background:
- Experienced in setting up and solving
- Knows the fundamentals of Monte Carlo
simulation, including Latin hypercube sampling
- Understands these popular statistics:
mean, median, mode, variance and standard deviation
- Can calculate present values without
using an NPV function
- Familiar with common decision
criteria, especially: NPV, IRR and
- Proficient with Microsoft® Excel in a Windows environment. The
participant should be fluent in using IF statements.
- Can apply the four fundamental
probability rules: complement, addition, multiplication, and Bayes'
- Understanding the decomposition of
decision policy: objective, time value, and risk
Additionally, participants will be aided
with any prior experience in economic evaluation, such as by attending
either Basic Petroleum Economics (either short or expanded
versions) or Economics of Worldwide Petroleum Exploration taught
by Richard Seba and colleagues.
People coming to ADA prepared with this
knowledge will find the course more enjoyable and rewarding (as will
their colleagues). If you are unsure about your knowledge level, we
suggest that you complete the self-assessment (and fun!) Pre-ADA Self-Assessment Quiz.
Strong English skills are important for
this class. Excel, add-in decision analysis software, and the Windows
operating system will be in English.
Depending upon interest, persons
attending PRD and ADA in successive weeks can arrange to meet with the
instructor during the weekend between courses for review and answering