Finding And Development - F&D


DEFINITION of 'Finding And Development - F&D'

A cost incurred when a company purchases, researches and develops properties in an effort to establish commodity reserves. Exploration and development businesses rely on finding commodities to manufacture and sell. Finding and development costs represent a cost of doing business for these types of companies.

BREAKING DOWN 'Finding And Development - F&D'

While F&D can relate to any commodity company, it is commonly used in regards to the upstream costs of an oil or gas business. In this case, the costs of finding and development can be expressed as barrel of oil equivalents.

  1. Barrels Of Oil Equivalent Per Day ...

    A term that is used often in conjunction with the production ...
  2. Upstream

    Operations stages in the oil and gas industry that involve exploration ...
  3. Commodity

    1. A basic good used in commerce that is interchangeable with ...
  4. Research And Development - R&D

    Investigative activities that a business chooses to conduct with ...
  5. Capital Allocation

    A process of how businesses divide their financial resources ...
  6. Liquidity

    The degree to which an asset or security can be quickly bought ...
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