Finance and Accounting for the Oil & Gas Industry

Place- الموعد Date - المكان
2019-03-03 00:00:00 Cairo
2019-06-15 00:00:00 Dubai
2019-08-03 00:00:00 Sharm el-Sheikh
Course object

§ appreciate the financial impact of your day-to-day decisions and actions

§ work more confidently and effectively with colleagues on financial matters

§ improve the quality of information you receive from and provide to Finance

§  increase the success rate of requests for authorisation of expenditure and make more       

§ Effective use of funds allocated

§ use departmental budgets and monthly management reports to help you exercise  

§ Financial control of your area of operations

§ understand the financial information disclosed in your company's annual report and accounts

§ Learning throughout the program will be reinforced by case studies, worked

§ Examples and illustrative extracts from oil and gas company annual reports

Courses outline

§The Business and Project Economics

§The Business Environment

·   Business objectives

·   Stakeholders

·    Corporate governance

§The E&P Business

·   Risk and reward

·   Commercial arrangements

·   The field life cycle

§Project Economics

·   Project cash flows

·   The time value of money

·   Discounting and the cost of capital

·    Project economic models

·   Decision criteria

§ Accounting, Exploration and Development Costs

§The Accounting System

·   Capturing and recording data

·   Cash and accruals

·   The balance sheet

·   The income statement and profit measurement

·   Accounting principles and standards

§ Capital and Operating Expenditure

·    Matching costs and benefits

·     Assets and expenses

§Exploration and Appraisal Costs

·    Full cost and successful efforts

·   Intangible assets

§Development costs

·    Commitments

·   Tangible assets

§ Reserves, Production and Cost of Sales

§  Reserves of Oil & Gas

·   Classification of reserves

·    Reserve quantity disclosures

§Production Costs

·    Lifting costs

·    Maintenance costs

·    Royalties

§Depreciation, Depletion and Amortisation (DD&A)

·    Unit of Production (UOP) method

·    Changes in costs and reserves

§Ceiling or Impairment Tests

·    Test requirement and process

·   Accounting for test results

§Decommissioning, Removal and Restoration

·    Obligations to remove and restore

·   Reporting of decommissioning liabilities and costs

§ Risk and Cost Sharing Arrangements

·   Joint Ventures

·    Cash calls

·     Billing statements

·    Entitlements and liftings

§Transfers of interests or risks

·    Farm outs

·   Carried interests

§Production sharing contracts

·   Cash flow implications

·   Reserve implications

§Long-term gas contracts

·   Pricing mechanisms

·   Take or pay

§ Financial Analysis, Budgets and Management Reports

§Analysis of Financial statements

·    Profitability, liquidity and solvency

·    Investment measures


·     Authorisation of expenditure

·    The budget process

§ Management reports

·     Responsibility reporting

·    Analysis of variances