Strategies capital-protection

Each financial crisis raises the question whether one can devise a strategy to obtain returns above the market whilst protecting the capital invested. Especially, the most recent developments have emphasized the importance of reliable risk management. It is therefore crucial to study the performance of risk factors, calculated from the optimization outputs. 

If the pipelines are located in deep water or inaccessible places, maintenance and/or replacement of pipes and clean-up of oil spills is difficult and expensive. The use of expensive stainless steel or other alloys is not a viable solution due to the required capital costs, which are not economically feasible in many cases. Hence the strategy to combat corrosion problems is to use carbon steel pipes, but reduce and, if possible, prevent the rate of material losses. An important method of corrosion reduction practiced in the oil and gas industry is the use of corrosion inhibitors. The inhibitors act by bonding to the metal surface and forming a protective film. The performance of the inhibitor depends on the metal surface, the inhibitor composition, and fluid flow conditions. Some of the inhibitors are not effective because of the multiphase flow conditions in the pipelines. When selecting an inhibitor, it is essential to know its effectiveness in the specific service environment. Detailed knowledge of the metal surface conditions, the operating temperature and pressure, the fluid properties, the solution pH, and the multiphase flow conditions is essential. 

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