This introductory-level course provides a comprehensive overview of auditing in the Exploration & Production (E&P) industry. It is suitable for anyone who wants to gain a broader understanding of upstream oil & gas auditing - including joint venture, financial and contractual audits by government and regulatory authorities in the various granting regimes (Production Sharing Contracts, Risk Service Contracts, Concessionary).
Course Level: Foundation Duration: 5 days
Designed for you, if you are...
Audit staff who are new or relatively new to the industry and who require a grounding in the various aspects of E&P audit
Finance / accounting personnel involved in supporting audits
A professional from a wide range of other business functions who are connected to / impacted by audit, such as Supply Chain, Operations, Contracts Holders, IT, Tax and Treasury
Topics will be covered from both the perspective of being part of an audit team plus that of the team being audited. Therefore, the course will appeal to staff from IOC’s, NOC’s and those from Government and/or Regulatory Authorities.
How we build your confidence
This course is highly participative using a combination of instruction, group discussions and industry specific examples and exercises to ensure attendees absorb both the theory and the practical application of the topics. Time will also be allowed for questions / discussions.
The benefits from attending
By the end of the course you will feel confident in your understanding of:
The unique features / key phases of the E&P business
General principles and objectives of the various different types of Upstream Oil & Gas audits
Adding value to your organisation by improving your audit techniques and auditing skills
The importance of following process in order to avoid costly audit related findings
Using industry specific examples and exercises, developing your understanding of the most common E&P industry audit issues
The Upstream Oil & Gas Business
Why is the upstream oil & gas business so different?
Key phases of the E&P field life cycle
A review of the most typical oil & gas agreements
Introduction to Joint Venture Audit / PSC Audit
The objectives and principles of JV and PSC audit
Understanding the skill set required of an auditor
Risk - measuring / analysing audit risk
Audit Planning & Information Gathering
Responsibilities and objectives
Audit scope, duration and preparation
Interviewing and the Internal Control Questionnaire
Process review including use of flow-charts
Testing and Sampling
Key features of best practice audit reports
Audit documents & meetings
JV Audit Issues
General principles of the JV
Compliance / relevance checks: - Approval process - Budget / AFE compliance - Relevance of costs to JV - Contractual compliance - JV Funding
JV Audit Issues - Review of Specific JV Cost Categories