Over the last two decades the application of real options theory has dramatically altered the way researches model infrastructure investment decisions. Real options are the right, but not obligation to do something for a certain cost within or at a specific period of time. Compared to the rich...

Engineering Systems, such as offshore petroleum exploration and production systems, generally require a significant amount of capital investment under various technical and market uncertainties. Choosing appropriate designs and field development strategies is a very challenging task for decision...