IFRS Joint Venture Accounting for the Oil & Gas Industry (1 day)
Joint ventures are extremely common in the international oil and gas industry and, while no two joint ventures are the same, each has a number of common features and implications for the companies that participate in them. While International Financial Reporting Standards (IFRS) prescribe the recognition, measurement and disclosure rules for external financial reporting, there are also a wide range of internal and intra-partner accounting issues to be determined and implemented.
This one-day course explains the nature and form of joint ventures and covers in detail the relationships between operators and non-operators in joint ventures, the financing of joint venture operations and the reporting of joint costs. Our specialist instructors also describe internal accounting for the costs and revenues from joint operations from the individual participant's point-of-view. The program also covers the requirements of IFRS 11 Joint Arrangements and IAS 28 Investments in Associates and Joint Ventures and is fully up to date with the latest amendments to those Standards.
This course answers questions such as:
- How are joint ventures structured in the oil and gas industry?
- What are the external financial reporting requirements for joint ventures?
- How to account for interests in joint operations?
- What issues typically arise regarding intra-partner relationships?
- How have the IFRS accounting rules for joint venture arrangements changed?
- Characteristic features of the oil and gas industry
- Scale of operations
- Nature and timing of cash flows
- Determination of success
- The nature of joint ventures and reasons why oil and gas companies participate in them
- Types of joint ventures across the globe
- Typical provisions of joint venture agreements
- IFRS 11 Joint Arrangements and IAS 28 Investments in Associates and Joint Ventures
- Relationship between operator and non-operator participants
- The financing of joint ventures – billing statements and cash flow reporting
- Reporting of expenditures
- Budgets and approvals
- Cost allocation methods and issues
- Revenue recognition relating to over and under-lifting
- Unitisations and adjustment of interests
- Group live instruction
- Explanation and demonstration of the accounting issues relating to joint venture arrangements
- Presentation and discussion of worked examples
- Group discussion and interactive participation is encouraged
- All participants receive a comprehensive binder containing copies of the presentation slides, handouts and other course materials
Basic knowledge of accounting processes and objectives. No advance preparation is required for this course.
- Understand the nature and structure of joint ventures in the oil and gas industry
- Learn the external financial reporting requirements for joint ventures
- Comprehend the mechanisms of financing and reporting the operations of joint ventures
- Appreciate the issues regarding intra-partner relationships, including cost allocation and audits
Who should attend?
- Financial accountants in the oil and gas industry
- Management accountants of IOC’s
- Finance staff responsible for billing statements’
- Financial accountants in the oil and gas industry
- Auditors with responsibilities for joint venture audits
- Staff of revenue authorities and national oil companies working with IOC’s
- Financial analysts seeking to improve their understanding of joint venture operations
CPE / CPD Accreditation
IASeminars is registered with the National Association of State Boards of Accountancy (NASBA) as a sponsor of continuing professional education on the National Registry of CPE Sponsors. State boards of accountancy have final authority on the acceptance of individual courses for CPE credit. Complaints regarding registered sponsors may be submitted to the National Registry of CPE Sponsors through its website: www.nasbaregistry.org.
Field of study: Accounting
ICAEW Partner in Learning
IASeminars is proud to have been named as an ICAEW Partner in Learning, working together to offer the ICAEW IFRS Certificate to our clients worldwide. ICAEW (The Institute of Chartered Accountants in England and Wales) is a world leading professional membership organisation that promotes, develops and supports over 145,000 chartered accountants worldwide. CPE certificates obtained from attending IASeminars courses are an ideal way for ICAEW members and others to demonstrate their continuing professional development, provided that the topic is relevant to their learning and development needs.
Texas State Board of Public Accountancy
IASeminars is registered with the Texas State Board of Public Accountancy as a CPE sponsor. Our CPE Sponsor ID is: 009689. This registration does not constitute an endorsement by the Board as to the quality of our CPE Program.
- Our London seminars take place in 4 star professional conference facilities, generally in city-centre hotels like the Marriott, Sheraton or Hilton brands. Detailed Joining Instructions are sent to all registered delegates by email approximately one month before the event. The Joining Instructions will confirm exact venue details and nearby (or onsite) hotel recommendations with bedroom rates where available. Coffee and lunch will be provided.
Alan Mayo is a highly experienced instructor in the field of international financial reporting, with a particular professional interest in IFRS for oil and gas companies and also in IPSAS for the public sector. He is a UK chartered accountant with over 20 years of experience as an auditor and consultant with PricewaterhouseCoopers in both London and Paris. A founding member of the PwC Client Training business in London, Alan delivered courses on financial reporting and financial management to a wide range of PwC clients. Alan regularly instructs courses on international oil and gas accounting, and he has delivered in-house programmes for such organisations as ENI, Petronas, Kogas, Saudi Aramco, Nigerian Liquefied Natural Gas and the Ugandan Revenue Authority. He previously worked as an auditor on the privatisation of British Gas, and taught financial reporting and financial controllership programmes for Shell. Alan also managed a team within PwC that provided training and change management support to UK public sector agencies as they transitioned from cash to accruals based accounting, including the Foreign and Commonwealth Office and the Ministry of Defence. His current work includes supporting UK local authorities and not for profits in developing the financial management skills of their staff, and he has worked extensively with the UN and other international organisations in their transition to IPSAS. An independent training consultant since 2001, Alan has been a senior instructor with IASeminars since 2004.
To bring this course in-house please contact us and we will be pleased to assist