Facts & Figures

Macro Analysis

Use UCube to analyze the supply of oil and gas. You can compare production from different countries or from OPEC/non-OPEC, from deepwater developments, from unconventionals/conventionals, etc.

Asset or Company Screening

UCube is made to be the ideal tool for asset screening. As an example, one can screen oil fields in North and West Africa that are producing early (producing < 25% of reserves) or are under development and that are not operated by majors or NOCs. UCube returns 69 assets with data on operator, ownership, water depth, forecasted production and economics, including tax regime. When screening for companies, make a selection of desired company type (segment), geographic presence, production levels, resource base, etc.

Company Portfolios

With UCube you can evaluate company portfolios in terms of assets and geographic location of assets, balance in maturity (producing assets, assets under development, development potential, discovery potential, and exploration potential), and see how the portfolio distributes over a range of different dimensions (onshore/water depth, conventionals/unconventionals, self-operated/non-operated assets, working interest/entitlement production). Look also into upcoming investments and exposure to different tax regimes.

Merging Portfolios

In UCube companies are merged in seconds. Select your company and the target company and drill into the portfolio of the merged company. Do the two portfolios match? For instance, does the portfolio provide a good balance in developed and undeveloped assets? And are there synergies in common technological challenges (deepwater, unconventionals, etc.)?

Valuation

NPV is calculated for each asset as the discounted sum of free cash flow. Thus, NPV takes all particularities of each asset into account, such as remaining resources, upcoming investments, expected production profile, operational costs, and local tax regimes. UCube NPVs may differ systematically from the price tag in the market. However, the strength is that all assets are treated the same way, providing a unique indication of relative values of assets. The NPV for a group of assets or a company portfolio is the sum of NPVs of assets.

Valuation at Different Oil Prices

UCube is processed for three different oil price scenarios to enable valuation at different oil prices - NPVs at 50, 80, and 120 USD/bbl in addition to the base case. The user can interpolate between these values to obtain estimates for other oil prices. Another indication of value are break-even prices, which are oil prices calculated assuming a zero NPV.

Benchmarking

Companies can easily be benchmarked on reserves, production, investment, NPV, etc. Choose desired parameters and splits to benchmark selected companies. The illustration shows the sum-of-parts upstream value for majors emphasizing the contributions from different regions.

Tax Regimes

UCube includes more than 700 different tax regimes. Study government take to learn about and see the effect of tax regimes in different countries. Our illustration shows tax levels for some selected comparable assets in different regions. However, this is reflecting only half of the picture. Tax is often balanced with risk, investment levels, and upfront payments. Consult field economics to see effects of different tax regimes.

Exploration Analysis

You can benchmark companies or different regions by comparing discovery trends, i.e. discovered volumes per year and cost of exploration. Find where specific companies are investing in exploration and map players of specific areas. The provided example shows a comparison of how much majors are going to spend on exploration in different regions over the next five years.