The goal of this project is to build a global oil value chain model that is capable of replicating/simulating and optimizing the flow of crude oil from the wellhead as a feedstock to the consumers as fuels and petrochemical products and therefore analyzes the oil market dynamics because of the knock-on effects of upstream, midstream, and downstream on one another, and vice versa.
The dynamic nature of the global economy, with rapidly changing courses of business, geopolitics, and environmental policies, along with technological advancement, necessitates strategy adjustments at all levels of the global oil value chain for optimal decision-making. This requires an integrated high-level responsive optimization model replicating the global oil value chain. A high-level model such as KOVA will be greatly beneficial to discuss, analyze, and answer research questions in the context of economic diversification of the Kingdom. Economic diversification can be achieved by optimal allocation of oil export revenues on non-oil industrial development. Maximizing benefits from oil resources can be achieved by analyzing optimal optionality and opportunities at every link of the value chain.