Course description
Joint ventures (JVs) are more common among oil and gas enterprises. JVs are formed so oil and gas may be developed and produced cost-effectively. It also helps the oil and petrol industry deal with the many risks that crop up over a field’s lifespan. JVs have their methodology for operations and financing, understanding which is crucial for any Oil and Gas professional. Requests for financial contributions (also known as “cash calls”) are made by the operating partners of a joint venture to the non-operating partners when the functional partners’ share of the joint venture’s capital, operational expenses, or both are expected to rise shortly. When drafting the cash call clause of a mutual agreement, it’s essential to be as specific as possible to avoid misunderstandings and disputes.
What advantages does a company have if its staff is well-versed in JVCC?
Understanding the nature of a joint venture framework and how to effectively execute a risks and benefits analysis in a Joint Venture will make employees and representatives invaluable to their firm (JV). Efficient accounting, financing, and analysis of cash call types for oil and gas joint ventures will be a boon to the company’s bottom line. Examining its impact on the joint venture industry and fixing issues related to cash calls in O&G operations are necessary skills sought in the Oil and Gas Industry.
Upcoming start dates
Suitability - Who should attend?
Who should attend?
The Advanced Joint Venture Cash Call (JVCC) for the Oil and Gas Industry Training Course by Rcademy is ideal for
- Financial Officers
- Finance Directors
- Government Regulators
- Finance Managers
- Asset Accountants
- External Auditors
- Financial Analysts
- Chief Accountants
- Attorneys
- General Accountants
- Treasury Officers
- Commercial Analysts
- Internal Auditors
- Public Accountants
- Fund Managers
- Oil and Gas investors
- Treasury Managers
- Venture Capitalists
- Budgeting officers
- Financial Reporters
- JV Advisors
- Treasury Auditors
- Upstream Oil and Gas Regulators
- Government Regulator
Outcome / Qualification etc.
The objectives of The Advanced Joint Venture Cash Call (JVCC) for the Oil and Gas Industry Training Course by Rcademy are to enable the participants to:
- Understand the JVs’ operational significance in the Oil and Gas industry
- Understand the framework and use of cash calls
- Learn the nature and structure of JVs and the application of JVs in everyday operations
- Determine the procedures of JVs in the Oil and Gas industry
- Understand and apply the accessible tools and acquired techniques of JV accounting
- Understand the issues of JV accounting
- Understanding the different accounting approaches of the JVs
- Determine how to tailor strategies to the needs of the industry to get the anticipated yield
- Understand the accounting principles of the JV agreements in the Oil and Gas Industry
- Understand the sections of each type of JV arrangement
Training Course Content
Module 1: Understanding Accounting in the Oil and Gas Industry
- Structures of the Oil and Gas industry and companies
- Accounting and its Relationship to the Oil and gas industry
- Philosophies of the International Financial Reporting Standards
- Reasons for Considering Joint Venture Agreements
- The impressions of a volatile environment
- Regulatory environment impacts
- Explanation and Introduction of Joint Ventures
- Structure of JV
- Features and characteristics of JVs
- Pros and cons of JVs
- JVs’ roles in the O&G industry
- JV agreements provisions
Module 2: Types of JVs in O&G
- Four types of Joint Venture agreements
- Undivided interests
- Limited partnership
- Corporate Joint Ventures
- Limited Liability Companies
- Differences between JV and partnership
- Non-operators and operators
Module 3: Accounting Concepts
- General account concept
- The idea behind money measurement
- The dual aspect
- Consistency idea
- The accounting periods
- The entity idea
- Conservatism
- The concept of cost
- Realization concept
- Matching Idea
Module 4: Accounting Methods in the O&G Industry
- Processes (equity and proportionate consolidation)
- Tax treatment accounting
- Legal framework selection
- Alternative methods
Module 5: Accounting Methodologies in the O&G Industry
- Methodologies of cash calls
- Development expenditures
- Costs borrowing
Module 6: Application of Joint Venture Accounting
- Audits
- Budgets
- Approvals
- Contributed property and accounting
- Relationship of under-lifting and over-lifting to recognition of revenue
- Operators’ responsibility
- Billing statement of cash calls
Module 7: Common Issues of Accounting in JV Agreements
- JV operational problems related to accounting
- Issues of cash call methodologies
- Issues of revenue recognition
- Issues of inventory valuation
- Issues of cost management and controls
Module 8: Handling issues of Accounting in JV Agreements
- IFRS
- De-recognition and control of assets
- Authorization and budgeting for expenses
- IAS 28 investments
Module 9: Standardised Organisations of Accounting and Finance in JVs
- Accounting Standards Board (ASB)
- The FASB
- The IASCF
- The SEC
- The IASC
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Rcademy
Rcademy is a global training and consultation organisation set out to bridge the gap between you now and what you can be in the near future. We are facilitators of knowledge impartation. Our team of established and experienced training enthusiasts...