Subscribe  |  Login  | 
Financial Management of an International Oil & Gas Company

Financial Management of an International Oil & Gas Company

10 days
GIP/FMC
Sessions
This course is not scheduled.
Who should attend?

Audience

    • Upstream professionals who would like to understand the bases of financial analysis in the upstream Oil & Gas activities.

Level

  • Proficiency
  • This course provides a deeper knowledge on accounting in the oil industry and to introduce the tools of financial analysis and management.
Learning Objectives
  • Upon completion of the course, participants will be able to:
  • appreciate the specificities of the international petroleum accounting standards,
  • define fundamentals of cost analysis and control,
  • analyze the financial situation of a company,
  • use the methodology and techniques of audit.
Course Content
Module 1 - FUNDAMENTALS OF OIL & GAS ACCOUNTING & COSTS CONTROL METHODOLOGY

E&P fundamentals

0.5 day

  • Overview.

Accounting standards

2.5 days

  • Accounting principles
  • Accounting system and principles, accounting plan, financial statements, valuation of assets.
  • Depreciation and provision, income statement, balance sheet, cash flow statement and cash flow table.
  • International accounting standards: IFRS and FAS, US GAAP, SEC requirements.
  • Specific cases: relinquishment and site restoration, deferred taxes, potential badwill of fixed assets, etc.

Cost analysis & cost control

2 days

  • Fundamentals of cost analysis:
  • Direct and indirect costs, fixed and variable costs, total cost, etc.
  • Methodology of cost allocation.
  • Standard costs: purpose, identification and implementation.
  • Budget and cost control:
  • Cost accounting definition and implementation.
  • Labor costs, inventories, etc.
Module 2 - FUNDAMENTALS OF FINANCIAL MANAGEMENT & AUDIT METHODOLOGY

External & internal financial audit

2 days

  • Methodology and techniques of financial audit.
  • Define an audit program.
  • Evaluate the quality of internal control.
  • Audit of the main business lines (inventories, procurement, fixed assets, payroll).
  • Conduct of the audit.
  • Audit report.

Financial management & financial analysis

3 days

  • Fundamentals of financial analysis:
  • Value creation and management, earnings and cash flow, free cash flow.
  • Working capital, capital expenditures, return on assets, cost of capital.
  • Short term financial management: cash and cash equivalents, short term debts, cash management.
  • Financial management:
  • Long term financial resources, risk and return.
  • Financial securities: bonds and other debt, shares, other tools of corporate financing.
  • Project financing:
  • Definition, pros and cons, criteria of choice.
  • Examples of success and analysis of failures, debt restructuring.
Ways & Means
  • Case studies and exercises.