Q/find total Net cashflow after Tax The following offshore oil development project is being proposed. What would be your approach to address the opportunity ? Production Data : First Oil beginning of Year 3 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 5 15 10 2.5 1.0 0.5 Annual Oil Production 15 Technical Costs Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 30 30 15 30 15 Platform Facilities Tangible Drilling Intangible Drilling Fixed Opex Variable Opex 10 20 32 10 15 8 4 5 14 15 | 15 US$ 0.40/bbl produced 15 15 15 Oil Price forecast : US$ 20/bbl, expected to remain constant thereafter Terms and Conditions : Royalty 25% Tax rate 20%, Tax losses not allowed Capital Allowance - Straight line at 25% p.a., Only start after First Oil production