The Optimization Engine™ can maximize any "gain function" you consider appropriate, typically the cumulated oil production or a carefully specified Net Present Value function.
• Pijk denotes oil production for well j and layer k for year i, as calculated by the Production Forecaster™.
• Rij denotes margin after tax and royalties for well j and year i.
• Si denotes the oil sale price per barrel for the field concerned for year i.
• d denotes the yearly discount rate (% per year).
• Iij denotes investment spent for well j (producer or injector) during year i.
• OCij denotes the operating costs spent for well j (producer or injector) during year i.
• Lijk denotes the liquid production for producer j and layer k during year i, as calculated by the Production Forecaster™.
• TOi denotes the liquid treatment cost per barrel during year i.
• TLi denotes processing treatment cost per barrel of oil during year i.