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METHODS FOR OIL AND GAS SUPPLY CHAIN OPTIMIZATION IN THE ENVIROMENTAL ISSUES GLOBALLY
Abstract
The purpose of this paper is to present an analysis about the methods, which can be applied to optimize the oil and gas supply chain, in the context of globally environmental challenges. The regional legislation backgrounds regarding the environment, mainly based on social and economic reasons, are becoming more and more important. The European Union (UE) is a first example of applying the regional environmental principles and objectives by means of the legislation of member national states, the European fundamental principles being preventive measures, ?the one causing pollution has to pay?, as well as integrating the environment in other community policies. Economic development has recently started to focus mainly on the renewable resources. The fast increase of demand in the developing countries has led to a constant growth in the consumption of non-renewable resources, including oil and gas. Liquid fuels will continue to be the main source of energy, and their consumption will keep on growing despite of their price escalation. Similarly, the world consumption of natural gas is expected to rise globally. The current paper will present a theoretical optimization models, applied in oil and gas industry to optimize oil and gas extraction process.
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