Study on the Valuation Method for Overseas Oil and Gas Extraction Based on the Modified Trinomial Tree Option Pricing Model

<table class="table-group" id="tab1"><tr><td><table class="table"><tr><td class="thead-hr" colspan="2"><hr/></td></tr><tr class="thead"><td class="align_left">Categories</td><td class="align_center">Uncertainty factors</td></tr><tr><td class="thead-hr" colspan="2"><hr/></td></tr><tr><td class="align_left">Resource geology</td><td class="align_center">Oil and gas resource quantity, quality, depth</td></tr><tr><td class="align_left">Production parameters</td><td class="align_center">Rate of utilization, production, decline</td></tr><tr><td class="align_left">External environment</td><td class="align_center">Politics, economics, sovereignty credit, global oil price</td></tr><tr><td class="align_left">Others</td><td class="align_center">Geography, topography, hydrology, operational proficiency</td></tr><tr class="table-tr"><td colspan="2"><hr class="tbody-hr"/></td></tr></table></td></tr></table>

<div>Uncertainty factors of overseas oil and gas extraction.</div>

Mathematical Problems in Engineering

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Table 1

Table 1: Study on the Valuation Method for Overseas Oil and Gas Extraction Based on the Modified Trinomial Tree Option Pricing Model 