Upstream Oil and Gas Accounting and Contracts: Oil and Gas Operations, Mineral Rights, Leases and Su

What topics are covered by the course?

Part 1: Upstream Oil and Gas Operations

 Introducing the Oil and Gas Industry;
 Brief History of the U.S. Oil and Gas Industry;
 Origin of Petroleum;
 Anticline;
 Exploration Methods and Procedures;
 3-D Seismic;
 4-D Seismic;
 Acquisition of Mineral Interests in Property:
Mineral Rights;
Mineral Interests;
Fee Interests;
Overriding Royalty Interests (ORI);
Retained ORI Production Payment Interest (PPI);
Dutch Carved-Out Production Payment;
Carved-Out Net Profits Interest Created From Working Interest;
Net Profits Interest Created From Mineral Interest.
 Oil, Gas and Mineral Lease Provisions:
Lease Bonuses;
Royalty Provision;
Primary Term;
Delay Rental Payment;
Shut-In Payment;
Right To Assign Interest;
Right To Free Use Of Resources For Lease Operations;
Option Payment;
Offset Clause.
 Addressing Problems and Issues Associated with Upstream Oil and Gas Operation.

Part 2: Introduction to Oil and Gas Accounting (1)

 Oil and Gas Drilling Operations;
 BOP (Blowout Preventer);
 Bottom-Hole Pressure;
 Bottom-Hole Pump;
 Drill String;
 Rat Hole;
 Mouse Hole;
 Drilling Platform;
 Drilling Rig;
 Proved Area;
 Drill Stem Test;
 Derek and Derek Hands;
 Cracking;
 Field;
 Christmas Tree;
 Sedimentary Rock;
 Seismic Exploration;
 Development Well Flowing Well;
 Injection Well;
 Offset Well;
 Stratigraphic Well.

Part 3: Introduction to Oil and Gas Accounting (2)

 Stratigraphic Test Well orExploratory Well;
 Service Well;
 Dry Hole;
 Dual Completion;
 Dry Natural Gas;
 Natural and Artificial Lifts;
 Oil and Gas Production and Sales;
 Some State and US Federal Oil and Gas Drilling Regulation;
 Maximum Efficiency Drilling Rate (MER);
 The Concept of Peak Oil;
 Historical Cost Accounting Methods;
 Historical Development of Accounting Methods and Current Status;
 Introduction to Successful Efforts Accounting;
 Chart Accounts for Successful Efforts Company;
 Oil and Gas Subsectors – Upstream, Mid-Stream And Downstream;
 Horizontal, Vertical and Full Integration within the Oil and Gas Industry;
 Addressing Problems Associated with Oil and Gas Accounting.

Part 4: Non-drilling Exploration Costs – Successful Efforts

 Introduction to Full Cost (FC) Accounting;
 Distinguishing between Non-Drilling and Drilling Costs;
 Cost of Identifying Areas that Might Warrant Exploration:
Cost of Topographical, Geological and Geophysical Studies;
Cost of Carrying and Retaining Undeveloped Properties;
Dry Hole Contribution;
Cost of Drilling and Equipping Exploratory Well;
Cost of Drilling Exploratory Type Stratigraphic Test Well.
 Successful Efforts– Exploration Cost;
 Accounts For a Full Cost Company;
 G&G Costs:
Reconnaissance Survey;
Detailed Survey;
Shooting Rights.
 Obtaining G & G Permits;
 Exchanging C & G Studies for Property Interest.

Part 5: Acquisition Costs of Unproved Property – Successful Efforts

 Carrying and Retaining Costs:
Delayed Rental Property Taxes;
Legal Cost for Title Defense;
Clerical and Record-Keeping Costs.
 Test-Well Contributions:
Dry Hole Contribution;
Bottom-Hole Contribution.
 Support Equipment And Facilities;
 Problems;
 Offshore and International Operations;
 Purchase in Fee (Fee Purchase);
 Internal Costs;
 Options To Lease;
 Delinquent Taxes and Mortgage Payment.

Part 6: Acquisition Costs of Unproved Property – Successful Efforts

 Successful Efforts Acquisition Costs;
 Internal Costs;
 Options to Lease;
 Delinquent Tax and Mortgage Payments;
 Top Leasing;
 Amortization;
 Amortization of Exploration and Development Costs of Proved Developed Reserves;
 Impairment;
 Disposition of Capitalized Costs – Impairment of Unproved Properties;
 Disposition of Capitalized Costs – Surrender or Abandonment Of Property;
 Post Balance Sheet Events;
 Disposition of Capitalized Costs – Reclassification Of An Unproved Property;
 Land Department;
 Addressing Issues and Problems in Unproved Property Acquisition Costs.

Who should attend?

This course is designed specifically for all those who work with financial information and measures of performance for Oil & Gas Exploration & Production (E&P) activities, and those seeking to enhance their career prospects within the Upstream International Petroleum - Oil and Gas - Sector.The group of people who will benefit from this course is, therefore, inclusive of, but not limited to the following:

 Asset Accountants;
 Chief Accountants;
 Chief Executives;
 Drilling & Refinery Managers;
 Engineers and Geologist;
 Finance Directors;
 Finance Managers;
 Financial Analysts;
 Financial Controllers;
 Government Ministers,
 Government Regulators;
 Internal and External Auditors;
 Joint Venture Accountants;
 Joint Venture Operators;
 Land Office Workers;
 Land Registrars;
 Landsmen;
 Legal Personnel in Upstream Oil and Gas Sector;
 Management Accountants;
 Managing Directors;
 Marketing & Sales Directors & Managers;
 Public Accountants;
 Treasury Officers;
 Upstream Oil and Gas External Auditors;
 Upstream Oil and Gas Internal Auditors;
 Venture Capitalists;
 All others with a genuine interest in Mineral Rights, Surface Rights, Fee Interest, Lease, Royalties, andthe Exploration, Drilling, Testing and the Production of Oil and Gas.

What will I be able to do on completion?

By the conclusion of the specified learning and development activities, delegates will be able to:

 Accurately account for ‘Disposition’ of capitalized costs, in reference to the impairment of unproved properties;
 Address problems and issues associated with upstream oil and gas operation;
 Address the geological issues relating to the origin, exploration and production of oil and gas;
 Appropriately address Disposition of capitalized costs from the surrender or abandonment of property;
 Appropriately apportion costs to non-drilling and drilling operations, respectively;
 Demonstrate a working knowledge of Amortization, with particular reference to the oil and gas industry;
 Demonstrate an appreciation of financial reporting policies and practices applicable in Oil and Gas Industry;
 Demonstrate an awareness of the salient issues associated with the development of the United States oil and gas industry, as a mark car to International oil and gas exploration developments and it mining operations;
 Demonstrate an understanding of the oil and gas industrial and the activities of each subsector;
 Demonstrate mastery of the concepts and issues associated with exploration and drilling operation;
 Describe the methods of exploration generally used within the oil and gas industry;
 Discuss, with examples, the benefits and drawbacks of nonworking interest;
 Distinguish between 3D and 4D Seismic;
 Distinguish between Mineral Rights, Mineral Interests and Fee Interests;
 Distinguish between natural and artificial lifts, in oil and gas production;
 Distinguish between Non-drilling and Drilling Costs;
 Distinguish between the different types of wells;
 Explain the basic principles of Successful Efforts Accounting in Oil and Gas;
 Explain the contractual issues that are associated with oil, gas and mineral lease;
 Explain, with examples, Overriding Royalty Interests (ORI);
 Explain, with minor omissions, the processes involved in oil and gas acquisition, exploration and mining;
 Outline the methods of production, employed in the oil and gas industry;
 Outline the role of finance and accounting in an Oil and Gas Organisations;
 Work through examples of Amortization of exploration and development costs of proved developed reserves.

How will I be assessed?

The range of assessments utilised, are mainly Formative and Summative, incorporating, but not limited to:
Video-Case Analyses;
In-Class Activities;
Group Simulations;
Multiple-Choice Exercises;
Oral-Visual Presentations;

This course might also be studied via our Video-Enhanced Online Delivery Mode, at 67% of the normal cost.its duration via Online Delive is 12 Days, based on 3 hours per day tuition

Guide Price: £6,000.00

Delivery: Classroom
Category: Accounts & Finance »
Duration: 6 Days
Qualification: Diploma Postgraduate

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