Course Overview

Which companies must use IFRS?

IFRS stands for international financial reporting standards. IFRS are the collection of accounting and financial rules for the financial statement of public companies. The primary purpose of IFRS is to make the accounting and financial works of corporates and companies transparent locally and internationally. The international standards for finance and accounting are important in Oil and gas companies because they provide transparency, reliability, and consistent operation. Most oil and gas companies operate internationally and they require to follow different regulatory and capital markets with their and competitors who are reporting under IFRS. IFRS works on four basic principles which are clarity, relevance, reliability and comparability. IFRS is the international standard to provide consistency and integrity in the financial and accounting standards and practices regardless of the region.

Do all companies use IFRS?

The importance of IFRS can be checked by the fact that it works in more than 144 countries. IFRS deals with the Company’s internal financial processes, such as regulatory, statutory and management reporting, and organizational issues such as tax, treasury, legal, and contracts.

This IFRS Zoe training course will provide whole skillset to become a successful expert in IFRS. The course covers all IFRS aspects of the oil and gas industry in detail, providing the necessary experience and confidence to undertake responsibilities in these areas. You will also get more opportunities to showcase your skills and use your potential. The course provides multiple growth opportunities across many organisations through this course. The knowledge of IFRS will enable delegates to gain a better understanding of financial matters and control.

Course Objectives

This Zoe IFRS course for Oil and Gas Companies aims to empower delegates in the following areas:

• Learning of international accounting standards, planning and policies used in Oil and gas sector
• Understanding of financial implications for Oil and gas production contracts
• International and local accounting standards related to oil and gas sector
• Understanding the improved reliability of financial reports for business
• How to utilize publicly information in IFRS for checking the business achievement and performance of oil and gas industry
• Understanding and its application of IFRS for upstream gas and oil sector
• Understanding of diversity in finance and accounting practices in Oil industry
• Understanding hedge accounting related to oil and gas industry
• Understand valuation of tangible assets
• Knowledge of rules related to assets for impairment about IFRS
• Understanding IFRS problems and its solution
• How IFRS will be conducted at the initial stage

Training Methodology

IFRS training at Zoe Talent Solutions is customisable according to the requirement of the training audience. Before every session, the content is reviewed for changes to incorporate. The training is given by an experienced expert from the related domain. Two-way participation in the program aimed using group activities, projects, etc. Experiential learning and situational analysis form an integral part of the training. This mixed, unique approach to the course by Zoe Talent Solutions is known as Do–Review–Learn–Apply Model. The course is designed after examining related material from the yearly IFRS reports of big international oil-gas companies. So, when the course ends, the attendees are experienced with case studies and have one to one session with the teacher to ask any related queries.

Organisational Benefits

Through this Zoe course, the organization will gain from:

• Financial knowledge gain and skills required to read and write IFRS
• Increase of Company’s international financial rating and chances of business due to IFRS
• Understand the significant financial accounting problems in IFRS
• The Company will increase the ability to apply IFRS for organisational requirement
• Aiding Corporate Governance due to IFRS and reducing risk
• Financial decisions are more analysed and effectively implemented with uncertainties
• Long term improvement in financial statements of organization internationally
• Chances of investment, collaborations and joint venture locally and internationally
• Greater financial knowledge will decrease the burden on the finance manager and chief financial officer
• The trained employees on IFRS are prepared for the future preparation for increased responsibility related to IFRS

Personal Benefits

Professionals taking this training course will gain the following benefits:

• Skills, knowledge and experience in IFRS to further your professional career
• The IFRS understanding and knowledge assist you increased role in Company
• More informed financial decisions and reducing risk due to better financial understating
• Increased skills and improved financial decision making to increase importance to organization
• A greater understanding the major issues affecting of your role and how they can be resolved

Who Should Attend?

• Financial Controllers and Corporate Accountants
• Finance Staff in various finance departments
• Treasury Officers and Management Accountants
• Internal or External Accounts/Financial associates and Auditors
• Employers of government regulatory authorities
• Investment and Financial Experts
• Internal and external auditors
• Employees of government regulatory authorities and auditors
• Upstream professionals in upstream oil & gas activities

Course Outline

Module 1: FINANCIAL REPORTING IN OIL AND GAS SECTOR

• Types of oil/gas contracts
• Leases and concessions
• Product sharing agreement (PSA)
• Exploration/Evaluation of oil and gas Resources
• Plant, property and Equipment
• Intangible and tangible Assets
• Asset impairment

Module-2: FINANCIAL STATEMENT AND ASSETS

• Financial statements
• Write-off’s treatment
• Oil and gas assets classification
• Asset control and de-recognition
• Estimation of reserves and treatment of cost recovery

Module-3: REVENUE AND RECOVERY

• Revenue recognition
• Revenue recognised by upstream companies
• Over lift balances
• Cost recovery methods in Psa’s
• Psa’s tax oil

Module-4: INTEREST AND TAXES

• Interests from Decommissioning
• Restoration Rehabilitation Funds
• Income taxes
• Sales taxes and income taxes
• Tax holidays
• Deferred taxes arising on asset

Module-5: RISK MANAGEMENT AND ASSESSMENT

• Leases and leasing project
• Foreign currency and functional currency
• Risk assessments in IFRS
• Financial risk control and management of upstream gas and oil
• Derivatives utilization
• Hedging techniques
• Joint ventures and risk

Module-6: ACCOUNTING AND PRICING

• Asset exchanges accounting
• Oil & Gas | Major and Latest Accounting Issues
• Commodity Prices impact
• Interest Rate and currency variation

Module-7: ASSETS

• Accounting for Assets in all areas of the Oil & Gas Petrochemical Industry
• Depreciation, depletion and Amortisation
• Assets Impairment

Module-8: FVM FAIR VALUE MEASUREMENT

• Fair Value system and Measurement
• Reserve-Reporting
• Accounting and financing in oil Business
• Financial Statements consolidated

Module-9: INTEREST

• Interests on Other Entities
• Strategic Development in the oil Industry
• Joint ventures and joint Arrangements
• Profit, cost oil and Break-Even Oil

Module-10: CASH FLOW MANAGEMENT AND INVESTORS

• Cash Flow and Financial Instruments in the Oil & Gas
• Statement of Cash Flows
• Creative Accounting and Corporate Governance
• Investor Protection
• Corporate Governance
• The Role of the internal Board and Audit Committees
• Reporting to the investors