Johnston offers a clear explanation of financial statements with a practical approach to the analysis of an oil company. Tables, figures, worksheets and examples for analysis of virtually every aspect of an oil company are provided in detail. Financial quick-look techniques, rules of thumb, commentary, and glossary are included.

Contents:

• Fundamentals of valuation
• Accounting systems for oil and gas
• Financial statement analysis
• Valuation of common stock
• Performance analysis
• Evaluation of assets and related segments
• Corporate restructuring
• Valuation of bonds and preferred stock
• Legal and tax environment for mergers
• Commentary
• Merger and acquisition jargon
• Appendices (abbreviations, selected energy statistics (US), production statistics for key energy states, severance and production taxes for key energy states, 1988 energy statistics (selected countries), wholesale oil and gas prices (total US), conversion factors for energy, present value of one-time payment, present value of an annuity, formulas, equations, and computations, natural gas products, sources of information for the energy industry, summary of information found in the 10-K report)
• Glossary
• Index

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This book is the culmination of 15 years of experience in the international arena, International Petroleum Fiscal Systems and Production-Sharing Contracts. The practical examples and step-by-step calculations in the book, illustrations, and diagrams, make it understandable and easy to read. Johnston does an excellent job clarifying international oilfield taxation and regulation in the same way he explained oilfield accounting in his other PennWell title, Oil Company Financial Analysis in Nontechnical Language. Covers everything from historical development of contracts to terminology of accounting and negotiations, to threshold field size analysis, to arithmetic behind contract terms, and much more.

Contents:

• Introduction
• Petroleum fiscal systems
• Concessionary systems
• Production-sharing contracts
• Risk service contracts
• Threshold field size analysis
• Global market for exploration acreage
• Production-sharing contract outline
• Accounting principles
• Double taxation
• Commentary
• Appendices
• Glossary
• Index

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This addition to Johnston's bestselling petroleum financial books addresses the decision-making element of petroleum company management. It is a practical guide to all facets of modern financial management and strategic planning specific to today's oil and gas companies. The authors guide readers through the maze of financial management in a concise, practical, and organized fashion, delivering the basic principles that are critical for all elements of corporate leadership.

Contents:

• Introduction
• Oil industry financial accounting
• Integrated management system
• Competitive comparison
• Cost management
• Capital budgeting and investment theory
• Cash flows in the oil industry
• Capital structure
• Financial reporting and investor/stockholder relations
• Econometrics
• Appendices
• Glossary
• Index

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International exploration and production is challenging and exciting. Negotiating with governments and understanding the dynamics of their fiscal systems and/or production sharing contracts can mean the difference between success and failure.

Long-time industry consultant, negotiator and lecturer, Daniel Johnston, provides an extremely clear and practical perspective on:

• International exploration economics and risk analysis,
• Petroleum fiscal system analysis and design,
• Contract negotiations,
• Economic, financial and accounting aspects of: production sharing contracts, and royalty/tax systems.

International Exploration Economics, Risk, and Contracts Analysis is an anthology of articles from Johnston's column in the Petroleum Accounting and Financial Management Journal (PAFMJ) - Institute of Petroleum Accounting, University of North Texas. While some chapters date back a number of years, the key chapters and concepts have been dramatically updated with detailed examples.

Contents:

• Exploration economic modeling-"How to" and things to look for
• State-of-the-art in petroleum fiscal system analysis
• Government take-strengths and weaknesses
• Detailed explanation of effective royalty rate, savings index, and entitlement index
• Alignment of interests between governments and oil companies
• Booking barrels
• Insights into the competitive bidding dilemma
• Value of reserves in the ground
• Gas development options
• Summary and analysis of example fiscal systems
• Detailed glossary
• Index

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There has always been a bit of magic in the stock market, especially when it comes to oil companies. When the oil industry and stock market get together, the affair is usually dynamic and not always pleasant. Basic principles are widely understood in the financial industry, but the terminology and analytical techniques can vary greatly. Written for shareholders, managers, and anyone interested in the forces that influence stock values, this book explains financial concepts in a nontechnical, practical way so that professionals from all disciplines can understand this aspect of the business.

Features and Benefits:

• Abbreviations and expanded definitions of key terms
• Energy conversion factors
• Reporting systems & statements
• Stock tables explained

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This book is a detailed instructional describing basic and advanced aspects of upstream exploration economics and decision theory as well as downstream projects. It explains both theory and practice on a variety of issues ranging from analytical methodology, to review/audit procedures for economic models, and state-of-the-art in project evaluations both upstream and down. The book includes chapters on basic financial/economic theory, modern decision theory (risk analysis), fiscal system analysis and design, cost data worldwide, geotechnical information including basic equations for reservoir engineering and reserves analysis (that all professionals in the industry should be familiar with), and downstream information covering transportation, refining and marketing for both oil and gas. It is an excellent source of information and reference material for anybody entering the petroleum industry as well as experienced professionals. It includes summary and analysis of 25 petroleum fiscal systems/contracts. It also includes a detailed glossary and an extensive index.

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"The Petroleum Accounting and Financial Management Journal is in its 19th year of publication. Published three times per year, the Journal targets a readership of petroleum and financial professionals at the mid- to high-management levels."
-Journal website

Daniel was the guest editor for the Special International Issue of the Journal in 1994 (ISBN 0890-8140) and has been associated with the Journal since then. In 1999 Daniel became a column editor for the Journal with regular contributions. A collection of his articles and column was published in book form by PennWell Books in 2003 "International Exploration Economics, Risk, and Contract Analysis"

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The natural resources of a nation, particularly the minerals, often constitute the lion's share of the nation's wealth. This is particularly true of the OPEC nations and other exporting countries. It is also true of many developing nations. But for other nations it is true to various degrees. And in almost all countries oil and gas production represents a disproportionately large share of the nation's budget.

Most Government officials view the mineral wealth of their nation as a gift from God. Furthermore, most of them as custodians of the nations' mineral wealth, consider how their actions and decisions will be viewed by future generations. They believe their job is important-a sacred trust. The risk of "waste" looms large in their perspective.

Many believe considerable waste occurs when a reservoir is depleted too quickly, that it reduces recovery efficiency. Often too, terms such as "rape and pillage" are used to refer to what are considered to be aggressive oil reservoir depletion practices. And, in the case of gas "rape, pillage and burn". This is because so much gas is flared worldwide-approximately 10 billion cubic feet per day in the late 1990s.

Thus the relationship between the rate-of-extraction from an oil or gas reservoir and ultimate recovery is an important subject. It receives a dramatic and emotional response from the geotechnical and engineering ranks as well as politicians and citizens.

The central question is:

Do oil companies only care about short-term profits and produce fields too quickly thereby leaving behind more oil or gas than they should?

The objective here is to strip away the emotional baggage and focus purely on technical and financial aspects of the relationship between how quickly oil and gas fields are produced and expected ultimate recovery (EUR).

The conclusions here are based on research collected as well as numerous formal discussions held on this subject over the past 20 years.

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The Journal of World Energy Law & Business (JWELB), Published by the Association of International Petroleum Negotiators and the Oxford University Press, is a new publication.

The Journal of World Energy Law is the new official journal of the Association of International Petroleum Negotiators (AIPN). It is a peer-reviewed journal of record providing objective coverage of relevant issues. It provides high-quality articles that combine academic excellence with professional relevance and will benefit from the expertise of a Board of internationally respected academic, lawyers and other energy professionals.

The Journal publishes articles on legal, business and policy issues in the international energy industry.

Daniel Johnston is the Vice Chairman of the JWELB Executive Committee. A copy of his first article in the JWELB can be downloaded from http://jwelb.oxfordjournals.org.

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