Principles of Joint Interest Accounting Boot Camp

Principles of Joint Interest Accounting Boot Camp

Individuals who wish to gain a broad understanding of Introductory Joint Interest Accounting. It is suitable for petroleum industry new hires, business professionals, investment advisors, analysts, regulators, government employees, accountants (non-CPA and CPA), lawyers, community leaders, and the general public.

Course Content

This course covers the following topics:

 Overview of Joint Ventures

  • Establishing a Joint Venture
  • Operational and Financial drivers

 

Joint Venture Agreements

  • Types of Agreements
  • Accounting Procedure relationship to Governing Agreement

 

Historical Perspective on COPAS Accounting Procedures 1962 to Present

 

Dissecting a COPAS Accounting Procedure

 

Direct vs. Indirect Costs

  • Accounting Procedure Language and Proper Charging: Costs Charged Direct, and Costs Covered by Overhead

 

Overhead

  • Development, Drilling, Production
  •  MCO and Catastrophe

 

Materials

  • CEPS
  • Casing and Tubing
  • Controllable vs. Non-controllable

 

Special JV Adjustments

  • Definition and Pricing (TIK, WASP, Pooled, etc.)
  • Upstream
  • Downstream

 

Allocations

  • Accounting for Costs Benefiting Multiple Properties

 

Joint Interest Billings

  • AFE and Operational Costs

 

Accounting for Joint Interest Costs

  • Key Alternatives
  • Application

 

Learning Objectives

Upon completion of this course, you will be able to:

  1. Demonstrate knowledge of the key joint interest agreements and ownerships
  2. Analyze and explain the different agreements for joint ventures in the oil and gas industry
  3. Evaluate the major provisions of COPAS Accounting Procedures and how such accounting procedures have evolved over time
  4. Apply concepts to properly analyze and account for costs onto a joint interest invoice
  5. Explain the differences between direct and indirect costs and their effect on JI billing
  6. Demonstrate the differences and procedures for overhead calculations with respect to various COPAS accounting procedures
  7. Determine tangible equipment pricing in relation to accounting and reconciliation procedures to identify charges to the joint venture
  8. Recognize unique joint interest accounting situations and apply concepts learned in determining when special JV adjustments apply
  9. Explain key accounting alternatives to allocate costs to multiple joint ventures
  10. Identify the proper accounting entries for various joint venture transactions
  11. Apply key accounting controls to ensure financial and accounting control over transactions 

 

Program Level: Basic       CPE Credits: 16 hours      Delivery: Group-Live       Prerequisites: None        

Advance Prep: None         Field of Study: Accounting

Cost: See pricing on registration opportunities, and for custom private courses contact Angie.Knipe@copas.org