Announcement Visiting Research Fellow Programme, 2018 - Opec

Announcement

                Visiting Research Fellow Programme, 2018

Objectives of the Visiting Research Fellow Programme

The Visiting Research Fellow Programme (VRFP) is an innovative approach to human
capacity development and is designed to help professionals from OPEC Member Countries
improve their expertise and technical skills in research in an array of energy-related
issues. It does this by providing participants with the opportunity to become involved in the
Secretariat’s research operation through practical experience and ‘learning by doing’.

Professional Benefits to Fellows

Participants in the VRFP benefit from being in the programme through:

      Involvement and close participation in the Secretariat’s research programme and
       studies;
      Contributing to ongoing projects in the Secretariat and strengthening of
       networks with Member Country professionals;
      Gaining experience at the Secretariat and deepening their knowledge of OPEC
       and understanding of its goals, priorities and activities;
      Opportunities to involve themselves in cutting-edge research and hands-on
       experience of policy issues in climate change and on a range of energy-related
       topics;
      Enhancing their professional experience through practical work assignments;
      Exposure to a rich international environment and interaction with researchers
       from OPEC Members and other countries;
      Broadening their career possibilities as a result of the experience and insights
       gained at OPEC.

General Eligibility Requirements

      The programme is open to applicants from Member Countries only. They must be
       nominated and supported by their respective OPEC Governors;
      Applicants should be professionals with a minimum of five years of relevant work
       experience;
      Applicants must be familiar with research methodology and should have a proven
       record of research experience;
      Participants are expected to be able to undertake the programme in English, which is
       the working language of the Secretariat;
      Applications must be submitted through the relevant Governor for OPEC.

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Expected Outcome/Deliverables

      Participants in the programme will be involved directly in the research undertakings
       at the Secretariat and will contribute to them;
      Participants are required to deliver a report to the Secretariat on the findings of
       their research projects;
      Participants are required to make a presentation at the end of their assignments
       and to discuss their research findings with members of the Secretariat.

All intellectual property arising from research by the programme’s participants belongs to
the Secretariat. An intellectual property and confidentiality agreement will be signed before
a successful participant is formally accepted into the programme.

Duration & Working Hours

The duration of the programme will be six months. The Visiting Research Fellows are
expected to observe the official working hours of the Secretariat.

Allowances, Accommodation, Travel and Insurance

Participants are required to have paid employment and to be able to fully support
themselves financially while staying in Vienna, and they must provide adequate evidence of
this through their nominating Governors before they can be admitted to the programme.
The Secretariat will provide each participant with a monthly honorarium of €1,000 to assist
with extra expenses. However, the Secretariat will not cover any costs related to the
accommodation or travel of participants or their dependents. Participants must arrange their
own health/sickness insurance and provide evidence that they possess adequate health
coverage before arriving in Vienna. The Secretariat will not be responsible for any health or
sickness claims stemming from the fellowship period. With regard to accident insurance at
the workplace, the Secretariat will enroll participants in its accident insurance scheme for
the duration of their stay in the programme at the Secretariat.

Application Evaluation Criterion

Candidates' professional merit and potential for successful research will be the main
consideration when evaluating the applicants.

Application Procedure

Applicants are required to complete the application form, which includes writing an
elaborate research proposal that should centre on any of the topics listed below. Applicants
are also requested to attach their latest Curriculum Vitae to the completed application form.

The following are the research topics available in the different Departments/Office/Unit
at the Secretariat for the 2018 VRFP:

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Data Services Department

Introduction to the Data Services Department

The Data Services Department (DSD) is responsible for supporting research activities in the
Research Division through provision of statistical data management and analysis, software
development, and documentation/references management services. The department is the
central provider of reliable, timely, up-to-date data, documentation and information
pertaining to the oil market in particular, and energy and related issues in general.

Research topic:

       1. OPEC Member Countries’ Crude Oil Trade Intensities

The main objective of the research is to empirically identify — by means of statistical
techniques — the main determinants of crude oil imports and exports. A multivariate panel
data approach focusing on the effects of relevant fundamental and non-fundamental
factors will be utilized to detect crude oil trade intensities. The statistical model will be
based on theoretical foundations, whereas the selection of the explanatory variables will
be based on a comprehensive literature review, together with available and accessible
empirical observations. Historical data will be used to examine the validity of model
parameters as well as the performance of the proposed approach.

Specific Eligibility Requirements

      Solid knowledge of oil market fundamentals
      Solid knowledge of statistical analysis
      Solid knowledge of data mining techniques
      Strong computing capability

       2. Digitalization Prospects in the Oil and Gas Industries

The main objective of this research project is to investigate the impact of digitalization on
oil and gas operations and productivity gains. As part of their strategic business
objectives to achieve operational excellence and growth, oil and gas companies are
adopting digitalization among their technologies to reduce cost and achieve productivity
gains. Digitalization of oil and gas field operations is reflected through improved mobility,
increased computational power and deep analytics by mean of new super computers on
the cloud or the grid. The advent of IoT (internet of things) through hybrid networks will
improve information flow from different parts of the production chain. Field operation
automation will increase with parallel cost reductions. The introduction of augmented
reality and Digital Twins is expected to reduce maintenance cost by up to 20%.
The objective of this research is to investigate and assess the latest digitalization
technologies and envision their possible impacts on oil and gas operations, both for
conventional and unconventional fields. It is critical to assess impact in terms of efficiency
improvements and productivity gains.

Specific Eligibility Requirements

      Solid engineering background with a focus on production and reservoir engineering
      Solid knowledge of digital and IT-related technologies

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   Understanding of systems engineering, technology deployment, augmented reality,
    cloud and grid computing

   Intermediate understanding of operational excellence, project management Lean
    and TQM
   Solid understanding of field operations in oil and gas
   Strong analytical skills and interest in new technologies
   Ability to search for and organize information

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Energy Studies Department

Introduction to the Energy Studies Department

The Energy Studies Department (ESD) is responsible for monitoring, analyzing and
forecasting world energy developments in the medium- and long-term and reporting
thereon. It also monitors developments, and undertakes specific studies on energy demand
and production-related technology and the emerging implications for OPEC.

ESD furthermore identifies and follows up key areas of research and development
(R&D) and facilitates and supports coordinated planning and implementation of
collaborative energy-related R&D programmes by OPEC Member Countries, as well as
identifying prospects for OPEC participation in major international R&D activities.

R&D activities undertaken by ESD include: studies and reports on medium- to long-term
developments in the petroleum industry; provision of effective tools for and carrying out of
model-based studies for analyses and projections of medium- and long-term energy
supply/demand and downstream simulation; elaboration of OPEC’s Long- Term Strategy;
and monitoring, analyzing and reporting on relevant national or regional policies, such as
fiscal, energy, trade and environmental policies, and assessing their impact on energy
markets.

       1. Comparison of energy outlooks and scenarios: convergence or divergence?

A number of institutions and companies provide energy outlooks on a regular basis, such
as IEA, EIA, BP, Shell, Statoil, IHS, Wood Mackenzie, DNV, RAS and OPEC, among
others. However, comparison of these outlooks is often problematic, as they use differing
definitions of fuels, country groupings, time horizons, etc. Moreover, the key to
understanding the differences in specific projections and scenarios includes getting
insights into the policy, price and technology assumptions underlying these scenarios.

Thus, the objective of this research project is to compare the most often used
outlooks/scenarios with an emphasis on providing insights about their intents, key
assumptions and final results at various levels, i.e. global and regional, major country,
primary fuel, major sector, etc. Another objective is to develop a tool that would allow for
easy comparison (to the extent possible) in future years.

Specific Eligibility Requirements:

      A strong background in energy economics
      Familiarity with Microsoft office software
      Good research experience with the ability to collect up-to-date and relevant data
      Teamwork, accountability and professionalism

       2.    Price Setter: a crucial element for a forward-looking methodology on long-
            term price and margin calculations

Players in the refining and petrochemical industry are essentially laggard and leaders, i.e.
those who set the rules and those who face or need to adapt to the rules in the market
place. Long-term oil product pricing stems from the interaction of many factors. Oil
product prices are gauged at Singapore, Rotterdam and the US (NY harbour and USGC).
Currently these three major refining poles are associated with marginal refineries which

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enable regional price setting and are references in long-term pricing of refined products.
Long-term pricing is also determined by refining capacity and ability to generate
replacement costs in the process of adapting business-as-usual and alternate demand
scenarios. Refining schemes play a central role in this context.
Crude oil is the major component in refining costs. Regional marginal refineries are linked
to reference crudes (currently WTI, Brent and Dubai), which determine their base
economics. A refiner is indifferent in processing a crude other than the reference one, as
long as it produces equivalent economics. Thus, non-reference crude costs are assessed
by adjusting marginal refinery economics either to crude quality or weight.
The objective of this study is to analyse current long-term methodologies for price setting
(EIA, IEA, and others) and review possible shortcomings or advantages when compared
with price-setting from LP modelling marginal information. The assignment combines both
technical and strategic planning capabilities.

Specific Eligibility Requirements:

      A post-graduate degree with an engineering background: petroleum economics or
       chemical engineering
      Ample knowledge of the oil and gas industry and oil trading
      Excellent modelling skills

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Petroleum Studies Department

Introduction to the Petroleum Studies Department

Within the Research Division, the Petroleum Studies Department (PSD) is responsible for
the continuous monitoring of oil and product market developments in the short term, and
reporting thereon in a timely and precise manner to Member Countries. Its objective is
to provide pertinent and reliable information and analyses in support of decision-making and
policymaking in Member Countries, as well as to highlight the conditions under which the
world oil markets are balanced.

PSD is also responsible for carrying out, on a continuous basis, research programmes and
studies on short-term energy market issues. The objective is to make reports and ad hoc
papers, highlighting particularly important issues for Member Countries’ use and
consideration.

A further area of responsibility is the conducting of a series of regular forecasts by
elaborating on and analyzing oil market scenarios. These findings will then be reported to
Member Countries for information purposes, as well as in support of policymaking.

Research topics:

       1. Analysis of Oil Price Cycle

The aim of this study is to decompose the historical fluctuation of oil price into its
components, such as trends and cycles and to investigate and analyse factors
attributable to fluctuations. The factors include — but are not limited to — demand and
supply, policy, improvements in energy efficiencies, developments in marginal production
costs, and developments in alternative fuel energies. Identifying future trends and oil price
cycles based on investigated factors would be very beneficial for future decision-making.
The study should include: a review of related literature on analysing and modelling oil
price trends and cycles; an analysis of the marginal cost of oil production for different
sources (conventional, non-conventional, tight oil) around the world; a review of related
policies impacting oil price trends and cycles for both demand and supply.

Specific Eligibility Requirements

      Advanced degree in economics, econometrics and statistics
      Good knowledge of oil markets
      Strong background and relevant experience in energy economics or econometrics
      Proficiency in the use of econometric software
      Teamwork, accountability and professionalism

       2. Updating supply parameters in the OPEC database from 2018 to 2023

The objective of the study is to update and quantify observed world average annual crude oil
and NGLs production decline rates in the various producing regions and country-by-country
for OPEC’s short- to medium-term supply projections, focusing on the period from 2018 to
the end of 2023. The findings will serve as an update to currently-used estimates.
Moreover, this study will consist of future required upstream investment. Another goal is to
find out planned or routine maintenance start-ups and returns, particularly for non-OPEC oil

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producers. Finally, a final list of sanctioned upstream and FID projects during the mentioned
period is wished.

Specific Eligibility Requirements

      Advanced related university degree (Master or PhD) in petroleum engineering,
       geoscience or reservoir geology
      Strong background and relevant work experience in petroleum engineering
       particularly in reserve estimation, probabilistic and deterministic analysis
      Proficiency in the use of Excel, Access, PowerPoint and Oracle data base
      Teamwork, accountability and professionalism

       3. Develop a supply/demand balance for crude oil and refined products

The objective of the study is to develop a supply/demand balance for crude oil and refined
petroleum products by region as categorized by the Secretariat. The then-established
supply/demand balance should also provide the basic framework and methodologies for
developing supply/demand data on regular basis (monthly/quarterly/yearly), as appropriate.
The focus will be on collecting and assessing data for crude oil supply vs. demand (refinery
intake) and product supply (refinery production) vs. end-user demand. Study results should
be presented in Word, PowerPoint and Excel, and highlight the methodology used and a
final supply/demand balance breakdown by region. The impact on crude oil/ petroleum
product prices and trade flow patterns should also be clearly identified.

Specific Eligibility Requirements

      Advanced related university degree (Master or PhD) in economics or energy
       economics-related subject
      Strong background and relevant work experience in energy econometrics as well
       as modelling techniques
      Proficiency in the use of Excel, PowerPoint and econometric software
      Teamwork, accountability and professionalism

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Legal Office

Introduction to the Legal Office

The Legal Office (LO) contributes to the conduct of OPEC affairs by promoting the rule
of law within the Organization and in its relations with governments, organizations,
enterprises and individuals. The LO primarily advises on all legal matters, while also
generally maintaining and defending the legal claims and interests of the Organization.

Research topics:

       1. The Impact of International Law on OPEC as an International Organization

This research topic shall examine the legal status and international personality of OPEC,
as well as the privileges and immunities of the organization and its officials vis-à-vis
international law. As the headquarters seat of the Organization is located Austria, the
research topic is expected also to cover an analysis of the European Union’s recognition of
the Organization’s Headquarters Agreement concluded with the Government of the
Republic of Austria.
It should also determine the principles of Customary International Law as well as relevant
conventions or treaties which may impact the functions of OPEC as an international
organization in terms of its activities at different levels.

Specific Eligibility Requirements

            Advanced univeristy degree (Master) in international law
            Knowledge and international-level working experience in public international
             law, international treaties and conventions, responsibility of international
             organizations, privileges & immunities
            Proficiency in the use of Excel, Access, PowerPoint and Oracle data base
            Teamwork, accountability and professionalism

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PR & Information Department
Introduction to PR & Information Department

The Department is statutorily responsible for presenting OPEC’s objectives, decisions and
actions in their true and most desirable perspective, contributing to the awareness of
governments, national and international institutions and companies, as well as the general
public, about OPEC and its activities, while presenting the OPEC Secretariat as a
professional institution in the field of energy market data, analyses and projections.

Research topics:

       1. Social Media as a Public Relations tactic (tool)

OPEC has adopted several publicity tools across various mediums over the years to provide
information while protecting the image and interests of its Member Countries. The website is
a main platform (our publications are also an integral platform) through which the
Organization disseminates information to the public about its activities. Recently, a new
Annual Statistical Bulletin app was launched. The Organization has been thus taking steps
to (finally) take advantage of the IT and social media revolution. Is there a need to also
expand into the world of social media? Is this type of communication appropriate for an
organization such as OPEC, where one word can sway the entire oil market? Could social
media tools such as Facebook, Twitter and Instagram work in tandem with existing media
tools? What would the Organization want to achieve by using social media tools? What
exactly are its objectives? How have these tools served to help other similar organizations?
What are the risks, benefits and manpower requirements for OPEC in adopting new social
media practices? Could social media be used to improve the Organization’s image but also
achieve other objectives as well, for example, data sharing and information dissemination,
thereby contributing to our objectives of transparency and openness?

Specific Eligibility Requirements

             University degree in communications, public relations, marketing or related
              field
             Good communication and presentation skills
             Work experience in social media marketing or in digital media
             Thorough knowledge of current social media outlets including Facebook,
              Instagram, Twitter, and LinkedIn
             A deep understanding of using social media to optimize audience
              engagement
             Knowledge or familiarity with the energy industry in general and the oil
              industry in particular
             Ability to benchmark best practices in social media usage and implementation
              comparing organizations similar to OPEC
             Writing/editing skills are an advantage

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