scholarly journals Resource Allocation in Oil-Dependent Communities: Oil Rent and Benefit Sharing Arrangements

Resources ◽  
2019 ◽  
Vol 8 (2) ◽  
pp. 86 ◽  
Author(s):  
Svetlana Tulaeva ◽  
Soili Nysten-Haarala
Keyword(s):  
Decision Making ◽  
Resource Allocation ◽  
Oil And Gas ◽  
Local Level ◽  
Local Communities ◽  
Benefit Sharing ◽  
Russian Arctic ◽  
Way Of Life ◽  
Oil Companies ◽  
Oil And Gas Companies

This study is dedicated to the interaction between oil and gas companies and local communities that depend deeply on the production of oil. One of the key concerns of all oil-dependent communities is the distribution of oil rent: Who participates in decision making regarding the distribution of oil profits and who can claim the benefits and on what grounds? Benefit sharing arrangements are used to decide such matters in global practice. Using Russian Arctic and subarctic areas as examples, we analyze the main rules and practices of the distribution of benefits from oil production at the local level. This study focuses on the coexistence of oil companies and indigenous people, many of whom practice a traditional way of life. We also pay attention to the institutionalization of the norms and rules of oil-dependent communities at the local level.

scholarly journals The Future of Russian Arctic Oil and Gas Projects: Problems of Assessing the Prospects

2021 ◽  
Vol 9 (5) ◽  
pp. 528
Author(s):  
Amina Chanysheva ◽  
Alina Ilinova
Keyword(s):  
Decision Making ◽  
Oil And Gas ◽  
The Arctic ◽  
Russian Arctic ◽  
Scientific Methods ◽  
General Scientific ◽  
Step Algorithm ◽  
Offshore Oil And Gas ◽  
Offshore Oil ◽  
Oil And Gas Companies

The development of Arctic marine resources is currently the focus of the world’s largest oil and gas companies, which is due to the presence of significant hydrocarbon reserves. However, the decision-making process for implementing offshore oil and gas projects in the Arctic is highly uncertain and requires consideration of many factors. This study presents a comprehensive approach to evaluating the prospects of oil production on the Russian Arctic shelf. It is based on a specific methodology which involves expert forecasting methods. We analyze the current conditions and key factors and indicators, focusing on oil prices and quality of technologies that could influence the decision-making in the oil and gas company concerning Arctic offshore fields’ development. We use general scientific methods—analysis, synthesis, classification and systematization—and propose a method for assessing the prospects of Arctic projects which is based on a three-step algorithm. Together with practical tools presented in the article, it will support decision-making on the project initiation and the development of a particular field.

scholarly journals ACCOUNTING INFORMATION QUALITY AND CORPORATE PERFORMANCE OF OIL AND GAS COMPANIES IN NIGERIA

2021 ◽  
pp. 25-44
Author(s):  
T.C. Macgregor ◽  
J.N Nwaiwu
Keyword(s):  
Information Quality ◽  
Oil And Gas ◽  
Corporate Performance ◽  
Accounting Information ◽  
Return On Equity ◽  
Oil Companies ◽  
Qualitative And Quantitative ◽  
Accounting Information Quality ◽  
Oil And Gas Companies ◽  
The Relationship

But knowing the unknown and therefore estimating the relationship between accounting information quality and corporate performance are still a difficult task. The aim of this empirical study is to explore the relationship between the accounting information quality and corporate performance of oil and gas companies in Nigeria. Data on different types of accounting information quality and return on equity were primarily collected from the respondents and analyzed using ordinary least square regression analysis the data with the aid of statistical package for social sciences version 25.0. The empirical result indicates that accounting information quality significantly relate to return n equity; explaining about 85.1% of the total variation in return and equity. Relevance, faithful representation was each found to significantly relate to return on equity. The study empirically conclude that accounting information quality has the potency to make significant contribution to quoted financial performance of oil and gas companies and recommends that having investigated theoretical and empirical issues, also considering the findings and conclusion, the following recommendations were made: There should be need for preparers of accounting information to improve on the accounting information quality devoid of window dressing and creative accounting, regular disclosure, transparency and accountability of such accounting information is required since investors are sensitive to qualitative and quantitative accounting information in assessing the performance of quoted oil companies in and outside Nigeria. Also in line with qualitative and quantitative of accounting information quality, financial statements of quoted oil companies in Nigeria should be prepared and presented according to laid down regulations and ethical standards duly observed to ensure accounting information presented for among users, most and public consumption do represent the oil companies’ economic reality during reported periods.

Social licence has changed. It is time to build trust with society using the tools of today

2019 ◽  
Vol 59 (2) ◽  
pp. 615 ◽  
Author(s):  
Amber Johnston-Billings ◽  
Louise Pogmore ◽  
Mike Kaiser
Keyword(s):  
Social Media ◽  
Local Community ◽  
Oil And Gas ◽  
Local Level ◽  
Oil And Gas Industry ◽  
Investment Strategy ◽  
Gas Industry ◽  
Global Issues ◽  
Time To Build ◽  
Oil And Gas Companies

International oil and gas companies have poured significant resources into building social licence since the 1990s. Despite this extensive effort at a local community level adjacent to operations, social licence has not been consistently gained and broad-based community trust in the industry is lacking. This paper argues that social licence has not been achieved globally, because oil and gas companies have failed to respond directly and appropriately to the concerns of all stakeholders. We argue that while international oil and gas companies have largely been successful in achieving and communicating the benefits they bring at a local level, in terms of royalties, local community investment, jobs and even in environmental credentials, they have not achieved social licence because it is no longer granted by only local communities. It extends to a potentially more powerful group of largely urban dwelling broader society, enabled by technology, especially social media. A new way of communicating and operating is required if oil and gas companies want to avoid the loss of social licence in future. This article contends three distinct opportunities to strengthen social licence in today’s context: 1. Understand and use social media to proactively address the concerns of all of your stakeholders. This includes responding to societal and global issues, which no longer centre on the ‘jobs, taxes and philanthropy’ dialogue that has been the mainstay of oil and gas industry communications; 2. Stress the role gas has as an enabler of renewable energy development and penetration; and 3. Review your investment strategy in light of the scientific reality of climate change. To gain social licence in future, action will be required to follow the lead of some fossil fuel majors who have already moved to build a new world, decarbonised portfolio of the future.

Territorial Changes to Municipalities and Inter-Municipal Cooperation: A Comparative Overview and Orientations for Slovenia

2014 ◽  
Vol 12 (3) ◽  
pp. 731-748 ◽  
Author(s):  
Iztok Rakar ◽  
Bojan Tičar ◽  
Maja Klun
Keyword(s):  
Decision Making ◽  
Local Level ◽  
Local Communities ◽  
Democratic Legitimacy ◽  
Local Democracy ◽  
The Past ◽  
The People ◽  
Decision Making Processes ◽  
To Receive ◽  
Public Decision

Local self-government has faced a number of challenges over the past decade. The financial crisis has revealed new dimensions of the eternal question of financing self-governing local communities, while distrust and a lack of interest in participation in local democracy among the people have led to considerations of different approaches to public decision-making concerning local issues. A comparative overview shows that the question of the “perfect size” of municipalities is currently very relevant and aimed at finding dimensions that would enable the municipality to ensure both local-level democracy and identity and economic efficiency in the delivery of public services. The most popular tool for achieving this goal is the merger of municipalities, although other approaches also exist, including various forms of inter-municipal cooperation. Some forms of inter-municipal cooperation have already taken firm hold in Slovenia, although the question of the potential impacts of alternative forms of inter-municipal cooperation on the democratic legitimacy of decision-making processes and the potential of these processes for the developmental breakthrough of Slovenian municipalities has yet to receive adequate attention.

scholarly journals Group Collaboration And Group Decision Making Information Technologies In Petroleum Industry

2005 ◽  
Vol 9 (3) ◽  
pp. 47-52
Author(s):  
Alpana M. Desai
Keyword(s):  
Decision Making ◽  
Group Decision Making ◽  
Management Practices ◽  
Business Processes ◽  
Oil And Gas ◽  
Group Decision ◽  
Petroleum Industry ◽  
Oil Industry ◽  
Oil And Gas Industry ◽  
Oil Companies

The technical management of important natural resources such as oil and gas resources is a challenging responsibility that faces oil companies. The increasing global demand for oil and gas coupled with declining oil and gas reserves has forced the oil industry to make significant changes in its business processes. Major oil companies have exploration and production operations that span several continents. Massive amount of data that is generated at all levels in an oil company has to be stored, analyzed and disseminated. In this paper, the changes in the management practices and business processes in the oil industry are traced over the past several decades. The use and application of information technology as change agents is also explored and evaluated. In particular, this paper focuses on the role of visualization centers in the oil and gas industry in revolutionizing effective group decision making that has enabled teams to be more productive, innovative, and outcome-focused.

Decision Making under Risk and Uncertainty in the Oil and Gas Industry

2017 ◽  
pp. 181-207
Author(s):  
Christopher Boachie
Keyword(s):  
Decision Making ◽  
Oil And Gas ◽  
Focal Point ◽  
Oil And Gas Industry ◽  
Energy System ◽  
Risk And Uncertainty ◽  
Decision Making Under Risk ◽  
Gas Industry ◽  
Decisions Under Risk ◽  
Oil And Gas Companies

The energy system studies include a wide range of issues from short term to long term horizons. The decision making chain is fed by input parameters which are usually subject to uncertainties. The art of dealing with uncertainties has been developed in various directions and has recently become a focal point of interest. Decision making is certainly the most important task of Oil and Gas managers and it is often a very difficult one. The purpose of this chapter is to review and investigate the decision making processes under risk and uncertainty of Oil and Gas companies. Questionnaires were distributed to eight Oil and Gas companies in Ghana to solicit their view on decision making under risk and uncertainty. Results indicate that most managers use Maximax, Minimax Regret and Expected Value when making decisions under risk and uncertainty.

Market attractiveness of oil and gas companies as a factor affecting the socio-economic development in regions of their business operations

2021 ◽  
Vol 20 (1) ◽  
pp. 124-141
Author(s):  
Sergei G. MARICHEV
Keyword(s):  
Economic Development ◽  
Oil And Gas ◽  
Global Market ◽  
Market Capitalization ◽  
Oil Refineries ◽  
Oil Companies ◽  
Socio Economic Development ◽  
Oil And Gas Companies ◽  
The Impact ◽  
Oil Company

Subject. I address the impact of market capitalization of oil and gas companies on their contribution to the socio-economic development of regions of presence. Objectives. The purpose is to determine to what extent the factor of high market capitalization of the oil company is crucial in the changing the market environment. Methods. The study draws on methods of economic and statistical analysis. Results. I considered the current state of the Russian oil industry in the context of tax maneuver, and the future evolution of the oil and gas sector from the perspective of government authorities’ desire to develop oil refineries. I performed the financial analysis of operations of two large regional oil companies, namely, Bashneft and Tatneft, examined their contribution to the regions of presence in accordance with the level of market capitalization and ownership structure. The paper highlights the key factors, influencing the contribution of companies to the socio-economic development of regions. Conclusions. In addition to the unfavorable global market conditions, changes in the taxation of oil companies in Russia in the form of tax maneuver are the additive factors that negatively affect the profitability of the industry as a whole. The growth of oil companies’ capitalization has a positive impact on their contribution to the development of regions of presence, depending on the specifics of equity structure. In the face of adverse external factors, the influence of high market capitalization of the oil company reduces drastically due to cumulative decline in business profitability.

Petroleum Accounting Methods and Financial Performance of Quoted Oil Companies in Nigeria

2020 ◽  
pp. 145-163
Author(s):  
JN NWAIWU ◽  
SU OKORIE
Keyword(s):  
Central Bank ◽  
Financial Performance ◽  
Oil And Gas ◽  
Financial Statements ◽  
Series Data ◽  
National Bureau ◽  
Return On Equity ◽  
Oil Companies ◽  
Full Cost ◽  
Oil And Gas Companies

Exploration and production of oil and gas companies globally prepare their financial statements using either full cost or successful efforts historical accounting methods. Although, there have been numerous attempts by different standard setting organs to narrow the choice of accounting methods so that the financial statements of petroleum companies are more comparable, the question as to which historical accounting method provides investors with more informative numbers, and this should be mandated for all oil and gas companies is still unresolved. This study aimed to analyze empirically, the relationship between petroleum accounting methods and financial performance of quoted oil and natural gas companies in Nigeria. Time series data on different types of petroleum accounting methods an return on equity from 2009-2019 were collected from the central bank of Nigeria statistical bulletin, National Bureau of Statistics, Annual Central Bank of Nigerian reports and Federal Inland Revenue Service. Ordinary least regression analysis, Auto-Regressive Distribution Lag (ARDL) cointegration and error correction model was used in analyzing the data. The empirical results indicate that petroleum accounting methods significantly relate to financial performance; explaining about 79.3% of the total variation in return on equity. The empirical study therefore concludes that petroleum accounting methods has the potency to make significant contribution to financial performance and recommends that companies that need more asset value should use full cost method while companies that already have large assets should use successful effort method. Companies with low standard deviation should adopt full cost effort method in order to beef up their capital base.

scholarly journals VALUE ANALYSIS AS A METHOD OF INCREASING THE EFFICIENCY OF BUSINESS PROCESSES OF OIL COMPANIES

2018 ◽  
pp. 36-44
Author(s):  
Anna Nikolaevna Tarasova ◽  
Elena Prokofievna Karlina
Keyword(s):  
Cost Analysis ◽  
Business Process ◽  
Business Processes ◽  
Oil And Gas ◽  
Production Costs ◽  
Value Analysis ◽  
Oil Companies ◽  
Priority Areas ◽  
The Cost ◽  
Oil And Gas Companies

High rates of development of the world economy, unstable dynamics of demand and prices for hydrocarbon raw materials in the international market cause the need to search for domestic reserves to optimize production costs. The modern method of management aimed at solving this problem is the functional cost analysis of business processes, which allows not only to estimate the cost of the business process, but also to identify priority areas and sub-processes that require rationalization. The article highlights the history of the value analysis, its detailed characteristics. As a feature of the value method that differentiates it from the other methods of economic analysis there is given a systematic and complex approach to the studied object. It has been stated that earlier there was not conducted a complex research to find reserves for increasing the efficiency of oil and gas companies. This fact explains the need for the full consideration of the problem. There have been considered the stages of a logical realization of the value method. The algorithm of functional-cost analysis in relation to the oil and gas company is considered on the example of the business process “Exploration”, as a result of which its functional model is built. There have been shown the evaluating criteria of business processes for oil and gas producing companies: efficiency, productivity, cost of the process, operating capacity, duration and adaptability. The value diagram of cost coefficients of functions (sub-processes) has been presented. Detailed calculations of the cost factor for the function-subprocess “Oil and gas forecast” allowed to identify priority areas of cost optimization and to offer indicators for evaluating the effectiveness of the use of functional cost analysis in the implementation of project-oriented management in oil and gas companies.

scholarly journals Environment protection during mining in the Russian Arctic: modern trends and perspectives

2020 ◽  
Vol 177 ◽  
pp. 04005
Author(s):  
Violetta Gassiy ◽  
Vasiliy Stoikov
Keyword(s):  
Indigenous Peoples ◽  
State Policy ◽  
Industrial Development ◽  
Local Level ◽  
Local Communities ◽  
The Arctic ◽  
Russian Arctic ◽  
Environment Protection ◽  
The Russian Federation

The paper is devoted to the fundamental issues of the environment protection and mining in the Arctic territory. The author considers the main trends of the industrial development and its impact on the specific ecosystem of the Arctic. The newest laws adopted in the Russian Federation on Arctic development and state policy is researched. In the paper the analysis of the data on the investment to the environment protection in Russia is also performed. It allows developing recommendations for the improvement of environment protection including organizational, legal and scientific measures. The author also researches the industrial development impact on human living conditions and health decreased by the worsening environment of the Arctic. In the paper the necessity of the partnership and cooperation between subsoil user, government and local communities (including indigenous peoples) is justified. The recommendations given in the conclusions include the community councils’ formation for the monitoring the quality of the environment on the local level. It could help to prevent conflicts in the Arctic during mining. Other recommendations consider possible ways for the improvement of state policy in the Arctic as well as the mechanisms of the environment economics.

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