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Cost control and lean management philosophy are the economic reality of today's companies operating in petroleum upstream industry. The ability to prudently manage exploration costs is paramount in a company's success during the current climate of widespread public/regulatory scrutinyThis seminar is an introduction to exploration accounting techniques designed to help the participants better understand the underlying dynamics of cost accounting.  



  1. Understand financial reporting requirements for petroleum companies under IFRS and U.S. GAAP

  2. Apply basic concepts and terminology for exploration accounting and finance in oil & gas

  3. Develop accounting statements, including a cash flow statement from pro-forma or audited financial statements

  4. Distinguish between the different financial statements and their roles

  5. Distinguish between financial, managerial, and contract (joint operations) accounting

  6. Recognize the different oil & gas accounting methods for petroleum exploration

  7. Determine the difference between profits and cash flow

  8. Apply capitalization rules and depreciation methods

  9. Recognize accounting treatments of joint ventures such as PSC-Production Sharing Contracts or RSA-Risk Services Agreements

  10. Recognize how accounting decisions can affect earnings, cash flows, and operational decisions

  11. Calculate, understand, and analyze accounting/financial reports and key ratios for exploration



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