The Imperial Corporate Training Institute has designed a specialised program entitled the “Production Sharing Agreement Royalty Management Training Course” that provides a comprehensive overview of the various aspects of royalty management within oil and gas PSAs, including how royalties are established and calculated, how they are administered and monitored, and how royalties and other aspects of the PSA interact to create revenue streams for both the government and the host state. Participants will understand how the factors that determine the amount of royalties that a company must pay under a PSA – production volumes, cost recovery limits, and profit oil impact on the calculation of royalties for each PSA.
In addition, the course will provide participants with a good understanding of the challenges faced by National Oil Companies (NOCs), Regulators, financial professionals, and Energy Operators in the areas of Royalty Management. Each module includes practical real-world examples of the issues that each of these groups faces with respect to how royalties are accounted for, including production measurement; hydrocarbon valuation; compliance with PSAs; standard reporting; and dispute resolution. At the conclusion of the programme, participants will have the skills necessary to successfully implement a royalty system that promotes the highest level of transparency and minimises financial risks, and that provides necessary governance of Production Sharing Agreements in support of Upstream Oil and Gas operations
Objectives
By completing this Production Sharing Agreement Royalty Management Training Course, participants will be able to:
- Learn about the legal and commercial aspects of production sharing agreements
- Explain how royalty management fits into the oil & gas fiscal regime
- Analyze the effects of the production-sharing mechanism on government revenue and contractor revenue
- Interpret various PSA clauses associated with royalties, cost recovery, and profit oil
- Calculate royalties based on production levels and valuation method accurately
- Utilize best practices associated with royalty and financial reporting
- Identify compliance risks and weaknesses relating to management controls of royalty systems
- Oversee royalty audits, reconciliation and verification processes
- Resolve production sharing disputes and royalty calculation
- Facilitate Transparency and Sustainability in Oil & Gas Revenue Management.
Target Audience
This course is designed for professionals involved in upstream oil and gas operations, fiscal management, and regulatory oversight, including:
- Oil and gas finance and accounting professionals
- Government officials involved in petroleum revenue management
- National oil company staff
- Energy regulators and compliance officers
- Contract managers and commercial analysts
- Petroleum economists
- Legal professionals working with Production Sharing Agreements
- Auditors and internal control specialists
- Project managers in upstream oil and gas developments