Advanced Oil and Gas Accounting: International Petroleum Accounting - Bridging Course

HRODC Postgraduate Training Institute
In Central London (England), Algiers, Algeria (Algeria), Bandar Seri Begawan (Brunei) and 7 other venues
  • HRODC Postgraduate Training Institute

£ 10,000 - (Rs 8,18,343)
VAT not incl.

For my side, I would like to take this opportunity to thank you Professor Crawford and also obliged Ms. Maria because she was very helpful to me. I'd like to say to everybody and to my co-workers that honestly this training would be very helpful ...

Abdulkareem Taher Taha
excellent see all opinions

Important information

  • Training
  • Advanced
  • At 10 venues
  • 60 hours of class
  • Duration:
    10 Days
  • When:

Are you interested in working in the upstream international petroleum – Oil and Gas – sector? If you are an accountant or a finance worker, this course has been specifically designed for international petroleum – Oil and Gas – sector.

During ten days we aim to provide the degree of Continuous Professional Development (CPD). We will teach you subjects such as oil and gas operations and Proved Property Cost Disposition. Do not hesitate and get in touch with us through Emagister.

Important information
What are the course objectives?

By the conclusion of the specified learning and development activities, delegates will be able to:
 Demonstrate a heightened understanding of the differing levels of Financial Reporting Regulation and Standardization, as they apply to Oil and Gas Accounting;
 Demonstrate a heightened understanding of the differing levels of regulation and standardization applied to Oil and Gas accounting;
 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;
 Demonstrate the most appropriate contract formulation for Take-or-pay thresholds, accounting, transportation agreements, tariffs, reserving pipeline capacity, respectively;
 Demonstrate their ability to determine the extent to which financial measurement techniques such as full cost, successful efforts and reserve recognition can be used to evaluate oil and gas producing operations;
 Describe the methods of exploration generally used within the oil and gas industry.

Is this course for me?

This course, is expected to be utilised by a wide group of workers, incorporating, but not limited to, the following:
 Asset Accountants;
 Chief Accountants;
 Chief Executives;
 Drilling & Refinery Managers;
 Engineers and Geologist;
 External Auditors;
 Finance Directors and Managers;
 Finance Directors;
 Finance Managers;
 Financial Accountants:
 Financial Analysts;
 Financial Controllers;
 Fund Managers;
 Government Ministers,
 Government Regulators;
 Government Regulators;
 Internal 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 Managers;
 Sales Directors;
 Sales Managers;
 Oil and Gas Investors;
 Public Accountants;
 Those preparing for the beginning of drilling for, production and production enhancement of oil and gas in their countries;
 Treasury Auditors:
 Treasury Managers;
 Treasury Officers;
 Upstream Oil and Gas External Auditors;
 Upstream Oil and Gas Internal Auditors;
 Upstream Oil and Gas Regulators;
 Venture Capitalists;
 All others with a genuine interest in Mineral Rights, Surface Rights, Fee Interest, Lease, Royalties, and the Exploration, Drilling, Testing and the Production of Oil and Gas;
 Those others who have a genuine desire to enhance their employability career prospects within the Upstream International Petroleum – Oil and Gas – Sector.


Where and when

Starts Location
Algiers, Algeria
Pins Maritimes, 16000, Algeria, Algeria
See map
Bandar Seri Begawan
Jalan Tasek, BS8674, Brunei, Brunei
See map
Cairo, Egypt
Champolion Street, 12421, Egypt, Egypt
See map
Caracas, Venezuela
Avenue Casanova, 1050, Miranda, Venezuela
See map
Central London
Carburton Street, W1W 5EE, London, England
See map
Dublin, Ireland
Upper Merion Street, Dublin, Ireland
See map
See all (10)


Abdulkareem Taher Taha
What I would highlight For my side, I would like to take this opportunity to thank you Professor Crawford and also obliged Ms. Maria because she was very helpful to me. I'd like to say to everybody and to my co-workers that honestly this training would be very helpful and makes your business life easy. Oblige.

What could be improved Nothing negative.

Course taken: April 2016 | Would you recommend this centre?

What you'll learn on the course

Risk Assessment
Balance Sheet
Oil and Gas
Oil and Gas Engineering
Gas Safety
Oil and Gas Law
Accounting and Finance
Cost Accounting
Financial Training
Oil and gas exploration
Environmental Awareness
Oil and Gas Accounting
Petroleum Transactions
Mineral Rights

Course programme


ü  £8,000.00  Per Delegate for UK Delivery

ü  £10,000.00  Per Delegate for Delivery outside the UK



Part 1: Upstream Oil and Gas Operations


Ø  Introducing the Oil and Gas Industry;

Ø  Brief History of the U.S. Oil and Gas Industry;

Ø  Origin of Petroleum;

Ø  Anticline;

Ø  Exploration Methods and Procedures;

Ø  3-D Seismic;

Ø  4-D Seismic;

Ø  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.

Ø  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.

Ø  Addressing Problems and Issues Associated with Upstream Oil and Gas Operation.



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


Ø  Oil and Gas Drilling Operations;

Ø  BOP (Blowout Preventer);

Ø  Bottom-Hole Pressure;

Ø  Bottom-Hole Pump;

Ø  Drill String;

Ø  Rat Hole;

Ø  Mouse Hole;

Ø  Drilling Platform;

Ø  Drilling Rig;

Ø  Proved Area;

Ø  Drill Stem Test;

Ø  Derek and Derek Hands;

Ø  Cracking;

Ø  Field;

Ø  Christmas Tree;

Ø  Sedimentary Rock;

Ø  Seismic Exploration;

Ø  Development Well Flowing Well;

Ø  Injection Well;

Ø  Offset Well;

Ø  Stratigraphic Well.



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


Ø  Stratigraphic Test Well  or Exploratory Well;

Ø  Service Well;

Ø  Dry Hole;

Ø  Dual Completion;

Ø  Dry Natural Gas;

Ø  Natural and Artificial Lifts;

Ø  Oil and Gas Production and Sales;

Ø  Some State and US Federal Oil and Gas Drilling Regulation;

Ø  Maximum Efficiency Drilling Rate (MER);

Ø  The Concept of Peak Oil;

Ø  Historical Cost Accounting Methods;

Ø  Historical Development of Accounting Methods and Current Status;

Ø  Introduction to Successful Efforts Accounting;

Ø  Chart Accounts for Successful Efforts Company;

Ø  Oil and Gas Subsectors – Upstream, Mid-Stream And Downstream;

Ø  Horizontal, Vertical and Full Integration within the Oil and Gas Industry;

Ø  Addressing Problems Associated with Oil and Gas Accounting.



Part 4: Nondrilling Exploration Costs – Successful Efforts


Ø  Introduction to Full Cost (FC) Accounting;

Ø  Distinguishing between Non-Drilling and Drilling Costs;

Ø  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.

Ø  Successful Efforts– Exploration Cost;

Ø  Accounts For a Full Cost Company;

Ø  G&G Costs:

      Reconnaissance Survey;

      Detailed Survey;

      Shooting Rights.

Ø  Obtaining G & G Permits;

Ø  Exchanging C & G Studies for Property Interest.



Part 5: Acquisition Costs of Unproved Property – Successful Efforts


Ø  Carrying and Retaining Costs:

      Delayed Rental Property Taxes;

      Legal Cost for Title Defense;

      Clerical and Record-Keeping Costs.

Ø  Test-Well Contributions:

      Dry Hole Contribution;

      Bottom-Hole Contribution.

Ø  Support Equipment And Facilities;

Ø  Problems;

Ø  Offshore and International Operations;

Ø   Purchase in Fee (Fee Purchase);

Ø   Internal Costs;

Ø  Options To Lease;

Ø  Delinquent Taxes and Mortgage Payment.




Part 6: Acquisition Costs of Unproved Property – Successful Efforts


Ø  Successful Efforts Acquisition Costs;

Ø  Internal Costs;

Ø  Options to Lease;

Ø  Delinquent Tax and Mortgage Payments;

Ø  Top Leasing;

Ø  Amortization;

Ø  Amortization of Exploration and Development Costs of Proved Developed Reserves;

Ø  Impairment;

Ø  Disposition of  Capitalized Costs – Impairment of Unproved Properties;

Ø  Disposition of  Capitalized Costs – Surrender or Abandonment Of Property;

Ø  Post Balance Sheet Events;

Ø  Disposition of Capitalized Costs – Reclassification Of An Unproved Property;

Ø  Land Department;

Ø  Addressing Issues and Problems in Unproved Property Acquisition Costs.



Part 7: Accounting Concepts and Governance


Ø  General Accounting Concepts;

Ø  The Money Measurement Concept;

Ø  The Entity Concept;

Ø  The Going Concern Concept;

Ø  The Dual Aspect Concept;

Ø  The Accounting Period Concept;

Ø  Materiality (Proportionality) Concept;

Ø  The Conservatism Concept;

Ø  Consistency Concept;

Ø  The Realization Concept;

Ø  The Matching Concept;

Ø  The Cost Concept;

Ø  Introducing Financial Governance and Standardization Institutions;

Ø  Financial Accounting Standard Board (FASB);

Ø  The Security and Exchange Commission (SEC);

Ø  Accounting Standards Board (ASB);

Ø  International Accounting Standards Committee (IASC);

Ø  International Accounting Standards Committee Foundation (IASCF);

Ø  International Financial Reporting Standards  (IFRS);

Ø  Industry Specific Oil and Gas Accounting Standards;

Ø  Generally Acceptable Accounting Principles (GAAP) for Oil and Gas Producing Activities;

Ø  Oil Industry Accounting Committee (OIAC).


Part 8: Drilling Development Costs – Successful Efforts


Ø  Income tax accounting for drilling costs;

Ø  IDC vs. Equipment;

Ø  Intangible Drilling  Costs (IDC) generally;

Ø  IDC Up to an including the installation of Christmas Tree:

      Prior to Drilling;

      IDC at G & G;

      IDC During the Preparation of Drilling Site;

      IDC During Drilling;

      IDC in Drilling contractor’s charges;

      IDC  for Drilling mud, chemicals, cement, supplies;

      IDC for Fuel;

      IDC for Wages.

      IDC  During Well Testing;

      IDC at Target depth and during completion;

      IDC for Well testing;

      IDC  for Perforating and cementing;

      IDC for Swabbing, acidizing and fracturing;

      IDC  for Labour related to the installation of subsurface equipment;

      IDC  for Plugging and abandoning cost – for dry wells;

      IDC After Christmas tree – following completion;

      IDC for Removal of Drilling Rig;

      IDC  for Restoration of land and damages paid to surface owner;

      IDC for Wells other than Exploration and development Wells;

      IDC for extending well (see lists 1 & 2, above);

      IDC incurred in drilling water supply and injection wells;

      IDC incurred in drilling water and injection – where water well is being used to for exploration and development well or for injection.

Ø  Financial accounting for drilling and development costs;

Ø  Well classification:

      Exploratory Well;

      Service Well;

      Stratigraphic Test Well.

Ø  Proved Developed Oil and Gas Reserves;

Ø  Proved Undeveloped Reserves;

Ø  Successful Efforts, Exploration Costs;

Ø   Exploratory Drilling Costs;

Ø   Development Drilling Costs;

Ø   Stratigraphic Test Wells;

Ø   AFE’s And Drilling Contracts;

Ø   Costs associated with Special Drilling Operations and Problems;

Ø  Costs of Workovers;

Ø  Costs of Damaged or lost equipment  and materials;

Ø  Costs of Fishing and side tracking;

Ø  Costs of Abandonment of portions of wells;

Ø  Accounting for Additional Development Costs;

Ø  Accounting for Development costs;

Ø  Accounting for Costs of gaining access and preparing well location for drilling;

Ø  Accounting for Costs of drill and equip development well, development-type Stratigraphic test well;

Ø  Accounting for Cost of acquiring , constructing and installing production facilities, e.g. lease; 

Ø  Support Equipment and Facilities;

Ø   Drilling and Development Seismic;

Ø  Post-Balance Sheet Events;

Ø  Accounting for suspended well costs;

Ø  Interest capitalization;

Ø  Offshore and international operations;

Ø  Problems and Issues associated with Successful Efforts Accounting for Drilling Development Cost.



Part 9: Proved Property Cost Disposition – Successful Efforts


Ø  Accounting for Costs of Property;

Ø  Accounting for Cost of Lease and Well Equipment;

Ø  Accounting for Cost Disposition Through Amortization;

Ø  Cost Disposition Through Amortization of Reserves Owned or Entitled;

Ø  DD&A Calculation;

Ø  DD&A on a Field-Wide Basis;

Ø  DD&A When Oil and Gas Reserve Are Produced Jointly;

Ø  Estimated Future Dismantlement, Site Restoration, and Abandonment Costs;

Ø  Exclusion of Costs or Reserves;

Ø  Depreciation of Support  Equipment and Facilities;

Ø  Cost Disposition – Nonworking Interests;

Ø  Revision of DD&A Rates;

Ø  Cost Disposition through Abandonment or Retirement of Proved Property;

Ø  Successful Efforts Impairment;



Part 10: Full Cost Accounting


Ø  Principles of Full Cost Oil and Gas Accounting;

Ø  Disposition of Capitalized Costs;

Ø  Inclusion of estimated future development expenditures;

Ø  Inclusion of estimated future decommissioning costs;

Ø  Exclusions of costs;

Ø  Impairment of unproved properties costs;

Ø  Abandonment of properties;

Ø  Reclassification of properties;

Ø  Support equipment and facilities;

Ø  DDA&A under successful efforts versus full cost;

Ø  Reserves In Place – Purchase;

Ø  Interest Capitalization;

Ø  Limitation on Capitalized Costs – A Ceiling;

Ø  Limitation on Capitalized Costs for Asset retirement obligations;

Ø  Limitation on Capitalized Costs for Deferred taxes;

Ø  Limitation on Capitalized Costs for Income tax effects;

Ø  Assessment of the ceiling test;

Ø  SFAS No. 144 and Full Cost Ceiling Cost;

Ø  Post-balance sheet events and the ceiling test;

Ø  Problems and Issues associated with Full Cost Accounting.


Part 11: Accounting For Production Activities (1)


Ø  Accounting Treatment for Production Activities, generally;

Ø  Accounting for Cost of production versus inventory;

Ø  Accounting for Recognition of Inventories;

Ø  Lower-of-cost-or-market valuation;

Ø  Accumulation and allocation of costs;

Ø  Accounting for  Individual production costs;

Ø  Accounting for Secondary and Tertiary recovery;

Ø  Accounting for Gathering systems;

Ø  Accounting for Saltwater disposal systems;

Ø  Accounting for Tubular goods;

Ø  Accounting for Severance taxes.



Part 12: Accounting For Production Activities (2)


Ø  Production Cost Statements;

Ø  Joint Interest Operations;

Ø  Decision to Complete a Well;

Ø  Project Analysis and Investment Decision Making;

Ø  Investment Decision based on Payback method;

Ø  Investment Decision based on Accounting Rate of Return;

Ø  Investment Decision based on Net Present Value;

Ø  Investment Decision based on Internal Rate of Return;

Ø  Investment Decision based on Profitability index;

Problems and Issues associated