Analysis

“What we hope ever to do with ease we may learn first to do with diligence.”
Samuel Johnson

What is Oceanis’ competitive edge? Simply a material understanding of the oil and gas industry, particularly upstream segments, coupled with the readiness to act on unique opportunities as they present themselves.  Oceanis’ industry contacts will allow us to identify otherwise “unknown” deals.

Relating to non-traditional opportunities, it is obvious that Oceanis will evaluate a number of energy related alternatives that go beyond these traditional oil and gas categories.  Whether the prospects are alternative energies as presently conceived, or entirely new concepts, we plan on evaluating them through very comprehensive criteria ~ more stringent criteria than has been used in the past. By this we mean rapidly, yet thoroughly, assessing their systematic and infrastructure impact as well as the speculative components in achieving point design feasibility.  In other words, if they can demonstrate the achievement of their point design efficiencies, will they comprise a distinction on a regional, national or international level?  Oceanis’ uniquely qualified expertise and associated sphere-of-influence is ideally positioned to make these judgments ~ both promptly and precisely.

What is required to manage the investment portfolio as Oceanis’ plans continue to evolve?  The organizational requirements will be met by Oceanis through its executive management’s experience in navigating the intricacies of financial analysis; oil and gas transactions; land and legal matters; geology and geophysics; and engineering and technical expertise.  While we possess the necessary operational expertise and capability, we are not tied to a specific need to operate.  This will give us a competitive edge over companies that have a strong need to operate, or who want to divest non-operated properties.

Oceanis’ analysis procedures will be a model of efficiency through the use of consultants on an “as needed” basis.  Staff and professional additions to the company will be through thoughtful allocation of financial resources to acquire human resources as we add oil and gas resources.  Oceanis plans to engage firms with specific expertise in: oil and gas accounting; financial and tax accounting and reporting; commodity marketing; geo-technical and engineering; and land functions ~ all of which enables Oceanis to concentrate on its core business of managing invested capital.

Oceanis will analyze each deal type on its own strategic merits, yet use “basket” returns for analysis purposes:

  •              Implement a budget process and maintain a conservative balance sheet
  •              Forecast projected cash flows (gross and net)
  •              Calculate alternative measures of project value (NPV, IRR, ROC)
  •              Use sensitivity analysis to determine “value drivers” that contribute most to     success/failure probability
  •              Use simulation analysis to better define fundamental risks (reserve quantity, recoverability, commodity price and development costs)