IFRS Accounting for Oil and Gas

The programme

Programme overview

IFRS Accounting for the Oil and Gas Industry is an intensive program designed specifically to tackle the unique financial reporting and compliance challenges faced by organisations in the oil and gas sector. Aligned with International Financial Reporting Standards (IFRS), this course equips participants with practical expertise to navigate complex regulatory landscapes, elevate financial transparency, and harmonise accounting practices with global benchmarks.

Over five comprehensive days, you will delve into the intricacies of IFRS as applied to oil and gas operations — covering everything from exploration and evaluation expenditures to asset recognition, impairment assessments, and production sharing agreements. This training blends theoretical foundations with hands-on case studies to ensure you can confidently manage accounting processes and prepare robust financial statements within this dynamic industry.

Who should attend

Who is this programme for?

• Accountants and Auditors in the Energy Sector
• Financial Controllers and CFOs
• Compliance Officers and Regulatory Professionals
• Corporate Finance Executives
• Policymakers and Industry Regulators
• Anyone Involved in Oil and Gas Financial Reporting or Oversight

Learning outcomes

What you will learn

• Achieve a thorough understanding of IFRS requirements specific to the oil and gas sector
• Apply IFRS principles to exploration and evaluation activities, including where AI now supports data governance and audit readiness in this reporting chain
• Navigate the complexities of asset capitalisation, depreciation, and amortisation under IFRS
• Accurately recognise and measure oil and gas reserves for reporting purposes
• Comply with financial reporting requirements for production sharing and joint venture agreements
• Incorporate carbon pricing, emissions costs, and energy transition considerations into asset and impairment accounting
• Prepare and analyse IFRS-compliant financial statements for oil and gas entities

Explore the programme

Detailed programme outline

• Overview of IFRS and its significance in the oil and gas industry
• Comparison of IFRS with alternative financial reporting frameworks
• Key IFRS standards for oil and gas operations
• Financial statement structure and presentation
• Accounting for exploration and evaluation expenditures
• Treatment of exploratory wells, survey costs, and related expenditures
• Capitalisation criteria in accordance with IFRS 6
• Depreciation, amortisation, and impairment of exploration assets
• Required disclosures for exploration and evaluation activities
• The IASB's Extractive Activities project: concluded at the Board's September 2023 meeting, with the decision to retain IFRS 6 in its current form — diverse accounting policies for exploration and evaluation expenditure will therefore continue to be permitted
• How AI now supports data governance across the exploration and evaluation reporting chain (data → journals → trial balance → financial statements → disclosures), strengthening audit readiness for these judgement-heavy areas
• Recognition and measurement criteria for oil and gas assets
• Capitalisation of development and tangible asset costs
• Accounting for decommissioning liabilities and asset retirement obligations, including how AI is increasingly used to strengthen data governance and audit trails for these estimate-heavy provisions
• Valuation and recognition of reserves
• Incorporating carbon pricing mechanisms, emissions reduction costs, and Carbon Capture and Storage (CCS) costs into asset recognition and capitalisation decisions
• Case studies on asset capitalisation
• IFRS impairment testing and indicators for oil and gas assets
• Calculating recoverable amounts and recognising impairment losses, including how AI-supported anomaly detection and gap analysis now assist in identifying impairment indicators and disclosure gaps
• Accounting and reporting for production sharing agreements (PSAs)
• Revenue recognition and cost recovery mechanisms in PSAs
• Financial disclosures for PSAs and joint ventures
• Structure and content of IFRS-compliant financial statements for oil and gas entities
• Consolidation of subsidiaries and international operations
• Preparation and presentation of statements of cash flows under IFRS
• Auditor's reports and compliance checks
• Incorporating sustainability-related disclosure (IFRS S1/S2) alongside traditional financial statements, reflecting growing investor scrutiny of long-term sustainability in a carbon-constrained world

Learning approach

How you will learn

Our diverse instructional approaches ensure effective learning:

– Lectures & Presentations: Engage with expert-driven, stimulating content.– Course Material: Access well-crafted supporting resources.– Group Work: Collaborate on discussions and case studies for practical insights.– Workshops & Role-Play: Participate in immersive, scenario-based activities.– Practical Application: Focus on applying theoretical knowledge in real situations.– Post-Training Support: Receive extensive support after training for skill implementation.

Discuss your requirements

Dates, duration & arrangements

Contact Ratomac to confirm dates, duration, delivery format, entry requirements and any applicable assessment or certification before booking.