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The Republic of the Union of

Myanmar

Union Civil Service

Board

Civil Service Academy

(Upper
Myanmar)
Postgraduate Diploma in Civil Service Management Course No.
(10)

An Overview of Project Management of the Oil and Gas

Industry

Department of Management Studies

Submitted by
Katha - 141

Name - U Min Khine

Designation - Staff Officer
Department - Myanmar Oil and Gas Enterprise, Ministry
of Energy

Date - July.7.2022 Place - Zee Pin Gyi

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ACKNOWLEDGEME
NTS

The author is sincerely grateful to U Kyaw Soe, Rector of Civil Service

Academy (Upper Myanmar), Daw Khin San Yu (Management) and Dr. Khin Mar Myo
(Teaching), Pro-Rectors of Institute of Civil Service (Upper Myanmar), Coordinators
from eight different departments for supporting and allowing me for giving the
permission to submit this term paper for postgraduate of civil service management.
The author wishes to express thankful to Daw Thin Thin Myaing, Professor and
Head of the Department of Management of Civil Service Academy (Upper Myanmar),
for his kind help and guidance. The author would like to express his thanks to all
teachers from the Department of Management of Civil Service Academy (Upper
Myanmar), for their support and guidance for preparing this term paper.
Finally, the author would like to mention special thanks to friends,

colleagues who are supporting for supporting for their kind help during the
preparation of this term paper.

U Thaw Zin
Katha - 321

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ABSTRAC
T

Energy is critical to the success and advancement of the society. It need to find
supplies of oil and gas to match the global demand for energy will continue to
encourage massive capital spending in the industry around the world. The major
activities of an oil and gas company revolve around the following elements are (1)
Exploration (2) Drilling and production (3) Transportation (4) Refining and (5)
Marketing. Under the Ministry of Energy (MOE), Myanmar Oil and Gas Enterprise
(MOGE) has the exclusive right to carry out all oil and gas operations with private
contractors.
Most of the national income receive from energy sector; therefore, management
a project for crucial for public officer to effectively implement. The project framework
view from the field of industrial and systems engineering in consonance with the
fundamentals of petroleum engineering. The definition of project management can be
summed up as planning, organization, recruitment, direction, and controlling of all
kinds of resources in a certain period of time in order to achieve a specific objective for
financial and non-financial targets. The objectives of project management constitute
the specified goal may be in terms of time, costs, or technical results. Therefore, in this
term paper will find out what is the oil and gas project management and what factors
should be made to improve project management for Myanmar Oil Gas Enterprise.

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TABLE OF CONTENTS

Page

ACKNOWLEDGEMENTS i
ABSTRACT ii
TABLE OF CONTENTS iii
CHAPTER TITLE
1 INTRODUCTION 1
1.1 Introduction 1
1.2 Objectives of the Study 2
2 CHARACTERISTICS OF OIL AND GAS PROJECTS
3
2.1 Nature of Oil and Gas Projects 3
2.2 Technology Project Management 5
2.3 Project Management Improves Well Control Events 5
3 PROJECT MANAGEMENT BODY OF KNOWLEDGE
7
3.1 Project Management Body of Knowledge 7
3.2 Project Management Knowledge Areas 7
3.3 Project Management Processes 9
3.4 Critical Path Method for Oil and Gas Projects 10
3.5 Activity Networks 12
3.6 Decision Tools for Project Management 14
3.7 Process Operational Definition 14
3.8 Process Mapping 15

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4 ENGINEERING ECONOMICS FOR OIL AND GAS

17

4.1 Oil and Gas Economic 17

4.2 Project Portfolio Management 18
4.3 Basic Cash-Flow Analysis 19
4.4 Time Value of Money Calculations 20
4.5 Profit Ratio Analysis 20
4.6 Project Cost Estimation 21
4.7 Project Budget Allocation 21
4.8 Budgeting and Risk Allocation for Types of Contract 22
4.9 Cost Monitoring 23
5 PROJECT RISK ANALYSIS 25
5.1 Introduction 25
5.2 Definition of Risk 25
5.3 The Risk Management Process 26
5.4 Sources of Project Uncertainty 27
5.5 Risk Assessment 28
5.6 Risk Identification 28
5.7 Methods of Defining Risk 29
6 CONCLUSION 30
6.1 Conclusion 30
7 SUGGESTIONS AND RECOMMENDATIONS
32
7.1 Suggestions and Recommendations 32

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REFERENCES

APPENDIXES

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CHAPTER
1

INTRODUCTI
ON

1.1 Introduction

Myanmar is one of the world’s oldest oil producers. It is estimated to have huge oil
and gas reserves, however few fields are currently producing and most deposits remain
unexplored. Myanmar has 53 blocks on onshore and 51 blocks on offshore with
different type of contract (1) Production Sharing Contracts (PSCs) for not only offshore
but also onshore projects (2) Performance Compensation Contracts and Improved
Petroleum Recovery Contracts (IPRs) only for onshore projects. Under the Ministry
of Energy (MOE), Myanmar Oil Gas Enterprise (MOGE) has the exclusive right to
carry out all oil and gas operations with private contractors.
Therefore, effective and efficient oil and gas project management for Myanmar that
present most of the national income. Project management refers to the unique
requirements of managing science, technology, and engineering aspects of projects in
the oil and gas industry. Technical project management is the basis for sustainable
national advancement, which often depends on the development of the oil and gas
industry. As such, managing oil and gas projects effectively is essential for national
economic vitality. Project management is the process of managing, allocating, and
timing resources to achieve a given goal in an efficient and expeditious manner. The
objectives that constitute the specified goal may be in terms of time, costs, or technical
results.
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A project can range from the very simple to the very complex. Due to its

expanding utility and relevance, project management has emerged as a separate body
of knowledge that is embraced by various disciplines ranging from engineering and
business to social services. The application of project management is particularly of
high value in science, technology, and engineering undertakings, such as we have in
the oil and gas industry. In today’s fast-changing IT-based and competitive global
market, every enterprise must strive to get ahead of the competition through effective
project management in all facets of its operations.
1.2 Objectives of the Study

The main objectives of this study are summarized as follows:

i. To describe the project management of oil and gas industry that is needed to
manage for government officers, planners, senior executives engineer, project
team members, members of project management office
ii. To serve as a resource for MOGE’s Engineer who are participated in the oil

and gas project and as a supplementary reading for practicing engineers and
field operators from various field
iii. To give recommendation base on the study for MOGE for further
improvement when they manage an oil and gas project for our country

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CHAPTER
2

CHARACTERISTICS OF OIL AND GAS

PROJECTS

2.1 Nature of Oil and Gas

Projects

There is no business like the oil and gas business. The industry affects almost
everything else in the general consumer market. The need to develop practical,
efficient, and cost-effective energy infrastructure has never been more urgent. Risk is
also an inherent part of the oil and gas industry. Risk management must be a core
component of a company’s project management portfolio in the oil and gas industry.
The typical life cycle of an oil and gas project includes five phases: exploration,
appraisal, development, production, and decommissioning.

Figure 2.1 – Oil and gas project development stages

Many aspects of the oil and gas business can benefit from better project
management practices. General operations are
• Economics of the market
• Financing
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• Product marketing

• Government relations
• Regulations
• Inspections
• Regulatory oversight
• Quality checks
• Compliance assessment
• Corporate alliances
• Human resources
• Hardware and software infrastructure
Each of these requires a formal and rigorous application of project
management. For example, exploratory drilling does the following:
• Establishes that hydrocarbons exist

• Determines the quality; oil and gas ratio

• Establishes the extent of the reservoir
• Conducts an economic value of the resource
• Designs a development plan; how the reservoir is to be developed for
maximum recovery
Drilling and production require project management for

• Designing platform
• Substructure, top side facilities
• Fabrication

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• Installation

• Drilling (early production)

• Environmental issues
• Production (separate oil, gas, and water)
• Transportation
• Pipelines
• Off load directly onto tankers

2.2 Technology Project Management

Technology project management reportedly improved multi-well shallow gas

development in 1995. Because of time and economic constraints, a multi-well shallow
gas development project in southeastern Alberta required thorough pre- job planning
and special drilling, cementing, and completions designs.
The project took place during a period of peak industry activity, putting

extra challenges on logistics and services. The Medicine Hat shallow gas project, in
mid-1994, was a high-volume, short–time frame, and economically tight project
schedule. But using technology project management techniques, the project came
through on time and within budget.
2.3 Project Management Improves Well Control
Events

A 1995 report presented by Garold D. Oberlender (Oklahoma State

University, Stillwater, Oklahoma) and L. William Abel (Wild Well Control Inc.,

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Spring, Texas) is recounted here to illustrate how project management improved

oil well control events (Oberlender and Abel, 1995).

During a well control operation, the efficient use of personnel and equipment,
through good project management techniques, contributes to increased safety and
ensures a quality project. The key to a successful blowout control project is to use all
resources in the most efficient manner. Excessive use of resources leads to unnecessary
expenditures and delays in bringing the project under control.

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CHAPTER
3

PROJECT MANAGEMENT BODY OF

KNOWLEDGE

3.1 Project Management Body of Knowledge

Projects in the oil and gas industry are particularly complex and dynamic, thus
necessitating a consistent approach. The use of project management continues to grow
rapidly. The need to develop effective management tools increases with the increasing
complexity of new technologies and processes.
The life cycle of a new product to be introduced into a competitive market is a
good example of a complex process that must be managed with integrative project
management approaches. The product will encounter management functions as it goes
from one stage to the next.
3.2 Project Management Knowledge Areas

The nine knowledge areas presented in the PMBOK are listed below:
Table 3.1 – Nine Knowledge Areas
Knowledge Areas Project Activities
1. Integration • Integrative project charter
• Project scope statement
• Project management plan
• Project execution management
• Change control
2. Scope management • Focused scope statements
• Cost/benefits analysis
• Project constraints
• Work breakdown structure
• Responsibility breakdown structure
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• Change control
3. Time management • Schedule planning and control
• PERT and Gantt charts
• Critical path method
• Network models
• Resource loading
• Reporting
4. Cost management • Financial analysis
• Cost estimating
• Forecasting
• Cost control
• Cost reporting
5. Quality • Total quality management
management
• Quality assurance
• Quality control
• Cost of quality
• Quality conformance
6. Human resources • Leadership skill development
management
• Team building
• Motivation
• Conflict management
• Compensation
• Organizational structures
7. Communications • Communication matrix
• Communication vehicles
• Listening and presenting skills
• Communication barriers and facilitators
8. Risk management • Risk identification
• Risk analysis
• Risk mitigation
• Contingency planning
9. Procurement and • Material selection
subcontracts
• Vendor prequalification
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• Contract types
• Contract risk assessment
• Contract negotiation
• Contract change orders
The above segments of the body of knowledge of project management
cover the range of functions associated with any project, particularly complex
ones.

Figure 3.1 - Framework for cross-functional application of project management

3.3 Project Management Processes

The major knowledge areas of project management are administered in a

structured outline covering six basic clusters as depicted in Figure. The
implementation clusters represent five process groups that are followed throughout the
project life cycle. In some cases, it may be helpful to separate them
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to highlight the essential attributes of each cluster of functions over the project

life cycle. In practice, the processes and clusters do overlap. Thus, there is no crisp
demarcation of when and where one process ends and where another one begins over
the project life cycle. In general, project life cycle defines the following:
1) Resources that will be needed in each phase of the project life cycle
2) Specific work to be accomplished in each phase of the project life cycle

Figure 3.2- Implementation clusters for project life cycle

3.4 Critical Path Method for Oil and Gas
Projects
Like a pipeline network, activities that make up a project form a network of
interrelationships. Consider the network in Figure. The complexity of the activity
network in a large project increases rapidly with increase in the number of activities.
Network analysis is essential for making sense out of the jumble of activities.

Project scheduling is the time-phased sequencing of network activities subject to

precedence relationships, time constraints, and resource limitations to accomplish
specific objectives.
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The computational approaches to project network analysis using PERT,

CPM, and PDM (precedence diagramming method) are presented. Several graphical
variations of Gantt charts are presented. CPM network charts and Gantt charts are
excellent visual communication tools for conveying project scope, requirements and
lines of responsibility.
Because of the long-run nature of large projects in the oil and gas industry,

activity scheduling and long-term coordination are very important. There are five main
categories of scheduling as listed below:
1) Stochastic project scheduling
2) Fuzzy project scheduling
3) Proactive project scheduling
4) Reactive project scheduling
5) Hybrid predictive project scheduling

Figure 3.3 - Network of project activities

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3.5 Activity
Networks

Activity network analysis is distinguished from job shop, flow shop, and other
production sequencing problems because of the unique nature of many of the activities
that make up a project. In production scheduling, the scheduling problem follows a
standard procedure that determines the characteristics of production operations.
A scheduling technique that works for one production run may be expected

to work equally effectively for succeeding and identical production runs. By contrast,
projects usually involve one-time endeavors that may not be duplicated in identical
circumstances.

Figure 3.4 – Comparison chart of actual and planned schedule

An evaluation of actual performance versus expected performance determines
deficiencies in the project progress.
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Table 3.2 - The advantages of project network analysis are as follows:

Advantages for Advantages for control Advantages for team

communication interaction

Clarify project Present a measure for Offer a mechanism

objectives evaluating project for a quick
Establish the performance introduction to the
specifications for Help determine what project
project performance corrective actions are Specify functional
Provide a starting point needed interfaces on the
for more detailed task Give a clear message of project
analysis what is expected Facilitate ease of
Present a documentation Encourage team application
of the project plan interactions
Serve as a visual
communication tool

Precedence relationships in CPM fall into three major categories are (1) Technical

precedence (2) Procedural precedence and (3) Imposed precedence.

Figure 3.5 - CPM activity network (a)−(e)

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3.6 Decision Tools for Project

Management

A comprehensive decision analysis is essential to govern all facets of operations

in the oil and gas industry. The industry is highly process oriented, thus requiring
process improvement strategies.
Understanding processes so that they can be improved by means of a systematic
approach requires the knowledge and application of tools and techniques. The effective
use of these tools and techniques requires their application within the context of
ongoing projects within a practical setting.
3.7 Process Operational
Definition
A key part of improving a process is to understand the process in a way that can
be communicated to everyone without the risk of ambiguity. This requires an
operational definition and assessment framework. The definition must be
communicable in a way that presents the same consistent meaning to everyone,
ranging from vendors and operators to the customers.
Operational definition enables all of the people involved in a transaction to

use and understand a term in exactly the same way every time. Many times, in Six
Sigma initiatives, we focus too much on the product itself rather than on the
understanding of the people involved in running, operating, and managing the
production facility. Using an operational definition allows us to include all the entities
involved in a comprehensive systematic way.
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Figure 3.6 - Input–output scenario for applying operational definition

Figure 3.7 - Components of a control system

3.8 Process Mapping
One of the initial steps to understand or improve a process is process mapping.
By gathering information about the process, we can construct a “dynamic” pictorial
representation of the activities that make up a process.
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Process maps are useful communication tools that help improvement teams

understand the process and identify opportunities for improvement.

Process mapping provides a common framework, discipline, and language that
facilitate a systematic way of working. Complex interactions can be represented in a
logical, highly visible, and objective way. It defines where issues, bottlenecks, or kinks
exist and provides improvement teams with a common decision-making framework.
The steps to constructing a process map are summarized below:
Brainstorm all activities that routinely occur within the scope of the process

Group the activities into 4–6 key sub-processes

Identify the sequence of events and links between the sub-processes
Define as a high-level process map and sub-process maps using ICOR
(inputs, controls, outputs, and resource
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CHAPTER
4

ENGINEERING ECONOMICS FOR OIL

AND GAS

4.1 Oil and Gas Economic

The basic computational techniques of engineering economic analysis are

presented for application to energy economics. Cost management and economic
analysis are two of the primary functions of energy project management. Cost is a vital
criterion for assessing project performance. Cost management involves having an
effective control over project costs through the use of quantitative techniques of
estimation, forecasting, budgeting, and reporting. Cost estimation requires collecting
relevant data needed to estimate elemental costs during the life cycle of a project.
Cost planning involves developing an adequate budget for the planned work. Cost
control involves continual process of monitoring, collecting, analyzing, and reporting
cost data. Oil and gas project cost management is impacted by the state of technology
and several concomitant cost factors. The primary components of cost management
within any project undertaking are:
Cost estimating

Cost budgeting
Cost control

Cost Management: Step-by-Step Implementation is under the knowledge area of

cost management in PMBOK, the required steps are:
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Step 1: Cost
estimation

Step 2: Cost
budgeting

Step 3: Cost
control

Figure 4.1 - Cost Management Process

4.2 Project Portfolio Management

Project portfolio management is the systematic application of the tools and
techniques of management to the collection of cost-based element of a project.
Examples of project portfolios would be planned initiatives, ongoing projects and
ongoing support services, and investment in emerging technology. A formal project
portfolio management strategy enables measurement and objective evaluation of
investment scenarios.
Some of the key aspects of an effective project portfolio management are:

1) Define the project, supporting program, and enabling system as well as the
required portfolio.
2) Define business value and desired return on investment (ROI) and prioritize
projects.
3) Define an overall project portfolio management methodology.

4) Delineate an overall project portfolio in translating strategy into results.

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5) Introduce a balanced scorecard that synthesizes and integrates the

numerous and complex metrics related to different portfolio management

processes into one framework.
6) Clarify projects that will provide effective allocation and management of limited
resources.
7) Introduce progressive project assessment approach, including initial project

assessment, mid-cycle project assessment, and closing project assessment.

8) Employ quantitative techniques to objectively assess a project for its
absolute merit and relative merit against other projects.
9) Utilize weighted scoring models to quantify intangible benefits of the

project.
10) Evaluate project decision techniques that clarify choices involving both risks
and opportunities.
11) Build a business case for each project and rank order projects based on
strategic fit, risks, opportunities, and the changing nature of science and
technology.
12) Establish criteria for phasing out a project when it is no longer serving the
desired purpose.
4.3 Basic Cash-Flow Analysis

Economic analysis is performed when a choice must be made between mutually

exclusive projects that compete for limited resources. The cost performance of each
project will depend on the timing and levels of its

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expenditures. The techniques of computing cash-flow equivalence permit us to

bring competing project cash flows to a common basis for comparison.

4.4 Time Value of Money Calculations
Cash-flow conversion involves the transfer of project funds from one point in
time to another. The following notations are used for the variables involved in the
conversion process:
i = interest rate per period

n = number of interest periods

P = a present sum of money
F = a future sum of money
A = a uniform end-of-period cash receipt or disbursement
G = a uniform arithmetic gradient increase in period-by-period
payments or disbursements
In many cases, the interest rate used in performing economic analysis is set
equal to the minimum attractive rate of return (MARR) of the decision maker. The
MARR is also sometimes referred to as hurdle rate, required internal rate of return
(IRR), ROI, or discount rate. The value of MARR is chosen for a project based on
the objective of maximizing the economic performance of the project.
4.5 Profit Ratio Analysis

Break-even charts offer opportunities for several different types of analysis. In

addition to the break-even points, other measures of worth or criterion

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measures may be derived from the charts. A measure called the profit ratio is

presented here for the purpose of obtaining a further comparative basis.

4.6 Project Cost Estimation
Cost estimation and budgeting help establish a strategy for allocating resources
in project planning and control. Based on the desired level of accuracy, there are three
major categories of cost estimation for budgeting: order-of- magnitude estimates,
preliminary cost estimates, and detailed cost estimates.
The estimation range is summarized as follows:

• 50% (actual cost) ≤ order-of-magnitude estimate ≤ 150% (actual cost)

• 80% (actual cost) ≤ preliminary estimate ≤ 120% (actual cost)
• 95% (actual cost) ≤ detailed cost ≤ 105% (actual cost)
4.7 Project Budget Allocation
Project budget allocation involves sharing limited resources among competing tasks
in a project. The budget allocation process serves the following purposes:
A plan for resource expenditure

A project selection criterion

A projection of project policy
A basis for project control
A performance measure
A standardization of resource allocation
An incentive for improvement

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Elemental budgets may be developed on the basis of the timed progress of

each part of the project. When all the individual estimates are gathered, we can
obtain a composite budget estimate.

Figure 4.2 - Pie chart of budget distribution

4.8 Budgeting and Risk Allocation for Types of Contract

Budgeting and allocation of risk are handled based on the type of contract
involved. The list below carries progressively higher risk to the buyer (customer)
while it carries progressively lower risk to the contractor (producer):
Type 1 • Firm fixed price (FFP)
Type 2 • FFP with economic adjustment
Type 3 • Fixed price incentive fee (FPIF)
Type 4 • Cost and cost sharing (CCS)
Type 5 • Cost plus incentive fee (CPIF)

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Type 6 • Cost plus award fee (CPAF)

Type 7 • Cost plus fixed fee (CPFF)

Type 8 • Cost plus percentage fee (CPPF)

Type 9 • Indefinite delivery

Type 10 • Time and materials

Type 11 • Basic agreements (blanket contract)

Figure 4.3 - Budgeting and Risk Allocation for Types of Contract

4.9 Cost
Monitoring

As a project progresses, costs can be monitored and evaluated to identify areas

of unacceptable cost performance. Figure shows a plot of cost versus time for projected
cost and actual cost. The plot permits a quick identification of the points at which cost
overruns occur in a project.
Plots similar to those presented above may be used to evaluate cost,

schedule, and time performance of a project. An approach similar to the profit ratio
presented earlier may be used along with the plot to evaluate the overall cost
performance of a project over a specified planning horizon.

Figure 4.4 - Evaluation of actual and projected cost

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Figure 4.5 - Cost-control pie chart

As in the case of the profit ratio, CPI may be used to evaluate the relative
performances of several project alternatives or to evaluate the feasibility and
acceptability of an individual alternative.

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CHAPTER
5

PROJECT RISK
ANALYSIS

5.1 Introduction

Risk management is an essential and integral part of project management in the

oil and gas industry. For an oil and gas infrastructure project, risk management can be
carried out effectively by investigating and identifying the sources of risks associated
with each activity of the project.
These risks can be assessed or measured in terms of likelihood and impact.

Because of the exploration basis of the oil and gas industry, a different and diverse set
of risk concerns will be involved. So, as risks are assessed for managerial processes,
technical and exploration risks must also be assessed.
Risk and estimation of reserves constitute a major portion of project risk
analysis in the oil and gas industry. The major activities in oil and gas risk analysis
consist of feasibility studies, design, transportation, utility, survey works, construction,
permanent structure works, mechanical and electrical installations, maintenance, and
so on.
5.2 Definition of
Risk

Risk is often ambiguously defined as a measure of the probability, level of

severity, and exposure to all hazards for a project activity. Practitioners and researchers
often debate the exact definition, meaning, and implications of risk. Two alternate
definitions of risk are presented below: Risk is an uncertain event
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or condition that, if it occurs, has a positive or negative effect on a project

objective.

Figure 5.1 - Risk assessment matrix

A potential layout for risk assessment matrix is presented in Figure. Possible risk
response planning can follow the following options:
Accept - Do nothing because the cost to fix is more expensive than the

expected loss
Avoid - Elect not to do part of the project associated with the risk
Contingency planning - Frame plans to deal with risk consequence and
monitor risk regularly (identify trigger points)
Mitigate - Reduce the probability of occurrence, the loss, or both
Transfer - Outsource

5.3 The Risk Management Process

The Project Management Institute (PMI) uses the systems approach to risk
management found in the Guide to the PMBOK. The risk process is divided into six
major processes:

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1. Risk management planning

2. Risk identification
3. Risk assessment
4. Risk quantification
5. Risk response planning
6. Risk monitoring and control
5.4 Sources of Project Uncertainty
Project risks originate from the uncertainty that is present in all projects to one
extent or another. A common area of uncertainty is the size of project parameters, such
as time, cost, and quality with respect to the expectations of the project. For example,
we may not know precisely how much time and effort will be required to complete a
particular task. Possible sources of uncertainty include the following:
Poor estimates of time and cost
Lack of a clear specification of project requirements
Ambiguous guidelines about managerial processes
Lack of knowledge of number and types of factors influencing the project
Lack of knowledge about interdependencies among activities in the project
Unknown events within the project environment
Variability in project design and logistics
Project scope changes
Varying direction of objectives and priorities

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5.5 Risk Assessment

In the first step of the risk assessment procedure is to define the expected risks
during the project execution and then analyze this risk. The last step is to prioritize
these risks.
In order to assess these risks, we must answer the following questions
accurately and impartially:
• What is the risk exactly?
• How do these risks affect the project?
• What can be done to reduce the impact of the risks?

Figure 5.2 - Risk assessment tools.

5.6 Risk Identification
The identification of risks is very important. Each item must be described in
detail so that it will not be confused with any other risk or project task that must be
done. Each risk should be given an identification number.
During the course of the project, as more information is gathered about the risk,
all of this information can be consolidated. Initially, you want to determine

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the risks and you can do that professionally by inviting the working team members

in the project to a special meeting to determine the potential risks of the project.
5.7 Methods of Defining Risk
There are many ways to discover and identify risks. We will discuss several of
them here, but, to be clear, brainstorming is the most traditional and practical method.
However, the others can also be used in special circumstances:
Brainstorming

Delphi technique
Nominal group technique
Crawford slip
Expert interviews
Root cause identification
Strengths, weaknesses, opportunities, and threats (SWOT) analysis
Checklists
Analogy
Documentation review

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CHAPTER
6

CONCLUSIO
N

6.1 Conclusion

Oil and gas projects have special characteristics that need a different technique
in project management. Oil and gas project management refers to the unique
requirements of managing science, technology, and engineering aspects of projects in
the oil and gas industry. The typical life cycle of an oil and gas project includes five
phases: exploration, appraisal, development, production, and decommissioning. In
compliance with to the study of this term paper, we can conclude that:
Projects in the oil and gas industry are particularly complex and dynamic, thus
necessitating a consistent approach. The use of project management continues to
grow rapidly. The need to develop effective management tools increases with the
increasing complexity of new technologies and processes.
Project management for exploratory drilling, drilling and production require

project management and technology project management and project management

Improves well control events. These activities need a sort of management match
with their characteristics.
The basic computational techniques of engineering economic analysis are

presented for application to energy economics. Cost management and economic

analysis are two of the primary functions of energy project management. Cost is a
vital criterion for assessing project performance.
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Risk and estimation of reserves constitute a major portion of project risk

analysis in the oil and gas industry. The major activities in oil and gas risk analysis
consist of feasibility studies, design, transportation, utility, survey works,
construction, permanent structure works, mechanical and electrical
installations, maintenance, and so on.

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CHAPTER
7

SUGGESTIONS AND
RECOMMENDATIONS
7.1 Suggestions and Recommendations
According to my experiences and facts finding from this term paper, some of
the recommendations are as follow:
1. Public Officer (Assistant Engineer) must need to know when he appoints as a
project manager or assistant project engineer but some of the public officers are
lack of this skills, therefore, MOGE should give more training related to this topic
frequently.
2. MOGE should implement a project based on the procedure of the

management and the significant areas need to manage is safety issue

according to the risk management.
3. MOGE should be assigned a planning engineer (planning manager) to be more
effective in each project.
4. MOGE should change to technology project management by using latest
software because technology project management technique can help the project
came through on time and within budget than conventional ones.
5. Government should monitor the management process of the operators at the

contract type of oil and gas fields.

6. Further study can be made for different oil and gas activities, for instance,
project management of drilling, exploration, etc.
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REFERENC
ES

(1) [Online]. - May 28, 2022. -

www.charltonsmyanmar.com.

(2) A guide to the project management body of knwoledge (PMBOK Guide) -

Fifth edition [Book]. - New York : Project Management Institute, 2013.

(3) Chow Wayne R. Hovdestad and Louis Natural Gas Development Options for
Asian Markets [Conference]. - [s.l.] : Society of Petroleum Engineers, 1977.

(3) Emodi Wint Thiri Swe and Nanemeka Vincent Assessment of Upstream
Petroleum Fiscal Regimes in Myanmar [Journal] // Journal of Risk and Financial
Management. - 2018.

(4) Harnanan Frank Look Kin and Clarence Future Development of Gas Industry
of Trinidad and Tabago [Conference] // Offshore Technology Conferences. - Houston,
Texas : Offshore Technology Conferences, 1999.

(5) Jr Gerardo Portela da Ponte Risk Management in the Oil and Gas Industry
Offshore and Onshore Concepts and Case Studies [Book]. - Cambridge : Gulf
Professional, 2021.

(6) Osisanya Adedeji B. Badiru and Samuel O. Project Management for the oil and
gas industy (A world system approach) [Book]. - New York : CRC Press, 2013.

(7) Reedy Mahamed A. El Project Management in the oil and gas industry [Book]. -
Canada : Scrivener Wiley, 2016.

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(8) Studies Department of Management M 1104 - Project Management [Book]. -

Zee

Phin Gyi : [s.n.].

(9) Thakur G.C. Waterflood Survelliance Techniques - A Reserovir Mangement

Approach [Conference] // SPE. - USA : [s.n.], 1991.

(10) Udezi Salahuddeen M. Tahir and Edwin E. A Gas Development in an

Emerging Economy: Nigerian Case Study [Conference] // Nigerian Annual
International Conference and Exhibition . - Lagos, Nigeria : Society of Petroleum
Engineers, 2017.

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APPENDIX
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Figure – Myanmar Oil and Gas Block Map

Source – Ministry of Energy

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APPENDIX
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Figure – Project Development Plan of Shwe Gas Field

Source – Pasco Daewoo Corporation

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