Oil and Gas
Schneider Downs’ Energy and Resources Industry Group provides specialized financial advice and services to our clients in the oil and gas industry. Our extensive knowledge of industry issues enables us to provide proactive audit, tax and management consulting services. We have assisted our clients with solutions for their business, such as operational matters, mergers and acquisitions and liability concerns. From joint interest billing processing and review of operator overhead charges, to tax planning we provide our clients the solutions needed to be successful.
Our Energy and Resources Industry Group is specifically focused on your industry, and our advisors are experienced in your operating environment. We like to say that we make it our business to know your business, and that is why we regularly schedule multi-disciplinary meetings to monitor industry trends. We are also active members of the Ohio and Pennsylvania Independent Oil and Gas Association (IOGA) and the Independent Petroleum Association of America (IPAA). We attend both local and national continuing professional education sessions dedicated to oil and gas account and tax matters.
Some of the services and capabilities that Schneider Downs provides to clients in the oil and gas industry are as follows:
Attestation and Accounting:
- Comparison of the full cost versus the successful efforts methods of accounting and the effect of each on the financial statement of the entity.
- Assistance with:
- cash flow analysis used in valuation matters associated with future production from wells.
- asset retirement obligations associated with wells.
- depreciation, depletion and amortization accounting
- interpretation of reserve reports
- Revenue distribution policies and procedures.
- Benchmarking comparisons of similar businesses to determine if an entity is operating in an efficient and effective manner and earning an appropriate return on its investment.
- Review of the entity structure to ensure the best possible organizational structure for your business
- Guidance on partnership agreements, drilling contracts and operating agreements to determine the best method of investment.
- Ensure drilling cost elections are properly made and that all intangible drilling costs are properly handled.
- Review and determination the effect that proposed transactions will have on the taxpayer.
- Analysis of operations to ensure compliance and to identify all tax saving opportunities at the state level.
- Evaluation of the company’s tax preference items to minimize the federal alternative minimum tax impact