Course info

Course Length: 5 Days Course Dates: TBA Course Venue: TBA

Course Description:

The investors in the oil and gas industry are now, more than ever, in direct need to address all those issues that tend to becloud timely realization of petroleum projects (Greenfields or Brownfields) to ensure a return on their investments. A central part of this is to understand how an oil and gas joint venture works, in an environment of constrained funding, year-on-year. The course will cover traditional business arrangements and also Incorporated JV (IJV) arrangement, other partnership types and strategic alliances.

There is no gainsaying the fact that major oil and gas projects generally require certain skill sets, large scale coordination, business acumen and the right experience in similar or larger projects. Often, parties interested in each project will come together to form a joint project team with the requisite skills and technical expertise, and share costs, risks and financial capabilities, which they may not otherwise be able to offer separately. The questions then arise: what are your joint venture structure options and what are the important considerations for parties entering a joint venture?

This course analyzes and exposes participants to some critical issues which feature in joint ventures and production sharing agreements, including funding, decision making, monetization of the resource, cash calls and dispute management. It also defines IJV and UJV, what needs to be understood while transitioning from a UJV to an IJV: options, performance requirements, challenges, risks, opportunities and some real-life key learnings. It will be an ideal forum where investors, business leadership, portfolio/program and project leadership, analysts, strategists, scientists and other decision makers review, explore and comprehend the fundamentals, the mechanics, the risks and benefits of the various business arrangements.

Who Should Attend:

Whether you are an operations manager, strategist, planner, project engineer/manager, discipline engineer, scientists, finance analyst, or an economist, this program will strengthen and sharpen your joint venturing knowledge, contract development and control and petroleum investment management services skills.

Course Outline

Day 1: Joint Venturing in General

·         Pre-course assessment

·         The What, The How, The Why

·         JV comparison learnings

·         Production Sharing Agreement

·         Case Studies

Day 2: Structuring JV and PSC Arrangements

·         Formation and governance

·         Liability issues per JV type

·         The Significance of flexibility

·         Joint costs and profits sharing

·         Tax implications, and

·         Key ramifications

·         Case Studies