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Exploration & Production Accounting - Level 1 (FIN01)


    Exploring & Producing oil and gas is challenging and involves a range of complex activities and very large sums of money. Accounting for those activities is equally challenging and this introductory level course will offer a comprehensive overview of commonly applied international approaches to the accurate recording and reporting of the financial consequences of E&P activity.

    Course Level: Foundation
    Duration: 3 days
    Instructor: Matilde Giulianelli, Christine McNamara or Drew Leitch

    Designed for you, if you are...

    • A member of finance staff new to the industry requiring a grounding in the various specialist discipline areas which typically comprise an oil and gas company finance function
    • Working in the finance department and being developed for broader accounting and financial management responsibilities
    • Involved with audit and information systems and have frequent dealings with financial controls and systems
    • A treasury and tax specialist who requires a better understanding of E&P finance and accounting

    How we build your confidence

    The course uses a combination of instruction, group discussions, practical examples and exercises to ensure you absorb both the theory and the practical application of the topics.

    The benefits from attending

    By the end of the course you will feel confident in your understanding of:

    • An overview of accounting policies and practices in the oil and gas industry
    • Basic cost control and the management of project, drilling and operating costs
    • The accounting and financial management implications of exploring for and producing oil and gas
    • The background to financial issues like joint ventures that are unique to the E&P industry, and their accounting treatment


    • Introduction to the E&P industry
      - Learn what is different about the exploration and production industry and the impact this has on accounting and financial management
    • Accounting policies
      - How accounting policies influence the reporting of financial performance
      - Successful efforts and full-cost accounting
      - The use of reserve data in accounting calculations
      - How to calculate depreciation, depletion and amortisation (DD&A)
      - How to conduct an impairment test or ceiling test
      - How to account for decommissioning costs
    • Joint-venture accounting
      - Understanding a joint-venture (JV) agreement
      - What a JV agreement states about accounting
      - How to prepare and process a cash call
      - Understanding JV billings - how to process a JV billing statement
      - How to allocate JV costs
    • Cost control and analysis
      - Project and development costs
      - How to estimate and control production operating costs
      - Drilling costs

    Customer Feedback

    "Highly impressed with the course content and the regular exercise completed throughout. Examples provided were also very interesting." - Taqa Bratani Ltd

    "The information received in this training is really great and very informative. I learned a lot of things and it really will be very helpful to me when carrying out my job." - Dragon Oil



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