Scientific and economic journal

«Problems of economics and management of oil and gas complex»

ISSN 1999-6942

Problems of economics and management of oil and gas complex
Obligations in view of decommissioning oil and gas wells and fields: short-term and long-term future effects

UDC: 622.324.5
DOI: 10.33285/1999-6942-2022-2(206)-13-19

Authors:

KHALIDOV IBRAGIM A.1

1 National University of Oil and Gas "Gubkin University", Moscow, Russia

Keywords: oil and gas fields and wells decommissioning, pre-funding, debt, cost estimate, short-term and long-term future effects

Annotation:

Despite the fact that decommissioning is often the most expensive commitment on the balance sheet of nuclear, oil and gas, energy, mining and other companies, it has long been ignored. However, due to the decline of conventional power generation, wells decommissioning has come to the fore in many corporate programs. Decommissioning obligations vary markedly depending on geographic legislation, regulations, technological and industry scenarios. These production and environmental liabilities lead to long-term debt liabilities that are becoming more significant due to changes in investors attitudes and public opinion. Traditional power companies (especially nuclear) as well as oil, gas and mining ones, face changing of environmental priorities, accompanied by increased political and regulatory pressures.

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