Advanced Joint Venture Cash Call (JVCC) for the Oil & Gas Industry Training

Advanced Joint Venture Cash Call (JVCC) for the Oil & Gas Industry Training Course

In view of an increasingly cost-focused and cash flow business climate, this short course is designed to address the effective design and operated cash call activities and framework that are critical to success of the JV partnership. This is because, in accordance with the terms and conditions in the Joint Venture (JV) / Joint Operating Agreement (JOA), each month the operator must estimate the cash requirements for the upcoming month and request payment from the non-operating associates. Once paid, the advance payment will be offset against the actual expenditures which appear on the Joint Venture Billing statement. It is also demonstrated that without them, the operating oil company is unable to make cash calls for anticipated future capital and operational expenditures from non-operating partners and ensure its success. Oil field and gas field E & P costly activities often suffer immensely whenever any of the partners is unable to meet his obligation to raise capital to finance its share of the joint venture cash calls, which enable the project to exist and operate.

This short course presents oil and gas joint venture principles covering contract types that include unincorporated joint ventures (UJVs) and incorporated joint ventures (IJVs) contracts, and it also outlines critical issues involved in making oil and gas joint venture successful and the accounting, budgeting and auditing practices involved. In addition – an overview of cash calls vs. cash cutbacks, which are similar but not the same, are covered, plus reporting accuracy and transparency – are covered. Basics of process flows of cash calling activities, outstanding cash calls and repayment options, impact of cash default on the project viability, and disputes – are included.  Case studies and videos add to the clarity and attraction of this course.

• By the end of this advanced level training course attendees will be able to read and understand all the critical issues of a JVCC Arrangement.
• Attendees will also understand all the key and more complex elements that should be addressed in a JVCC Arrangement negotiation and execution.
• Attendees will be able to select the most appropriate forms of JVCC Arrangement with attention paid to the more complex issues of risk management and sharing.
• Attendees will learn the issues to negotiate and agree a JVCC Arrangement, and how to administer it during the asset’s production phase.
• This advanced course will also equip attendees with the necessary knowledge to play a role in the JVCC Arrangement environment in an efficient and effective manner.

Continuing Professional Development

35 HOURS CPD