Oil and Gas Business Development and M&A activities

Course Information:

Venue:	Duration:	Date:	Price:
Online	20 hours	Flexi-date	£3,500.00
In-House	Agreed with client	Flexible	POA
London	5 days	27 February 2023	£4,250.00
London	5 days	8 May 2023	£4,250.00
London	5 days	4 September 2023	£4,250.00

If you are unable to attend this course on the dates above, please contact us to discuss alternative options.
Please note that prices shown above are exclusive of VAT (20%).

Who should attend?

This course is designed for a multi-disciplined audience from commercial, technical, corporate, business development, economics, human resources, planning, strategy, portfolio, financial, legal and risk management backgrounds. Course content addresses issues and skills relevant to professionals and support staff involved in mergers, acquisitions and divestment activities from across the industry. This would include, but not be limited to: acquisition advisers, asset managers, analysts, bankers, buyers, economists, engineers, geologists, financiers, insurers, investors, lawyers, negotiators, planners, portfolio managers, and risk analysts.

Accreditations

Outcomes

Identify the current legal and political challenges for the energy industry
Describe the basics of the acquisition process
Review financial management and structure of transactions
Explain representations, warranties, covenants and indemnities
Discuss common litigation issues arising from Energy M&A deals and terms
Demonstrate best practices for integration of acquisitions in the energy space

COURSE TOPICS:

A brief background of Oil and Gas M&A

Oil & Gas Transaction Types
Project development process; Bidding process; Petroleum project phases; Project development process; Bidding process
What investors look for; Pricing concepts.
Understanding key M&AD Theory, The Five-Stage (5-S) Model
M&AD Activities from a strategic perspective within oil and gas company
Portfolio Management

Valuation & Economic Modelling

Corporate and Asset Valuations
Effective, Economic and Closing Dates – what do they mean?
Debt Capacity & Cost of Capital Calculations
Taxation Issues Risk Factors and Probabilistic Valuation
Valuation of stand-alone firms and assets
Trading and Transaction Multiples
DCF Valuation and Economic Value Added
Valuation of long-life assets: limitations of discounted cash flow techniques
Equity and Debt Valuation, Valuing Synergies, Liquidity and Control Real Options
SWOT analysis of acquisition / divestment participants
Evaluate terms for a farmin / farmout agreement
Farmout and asset swap agreements: structures and objectives
Completion of agreements – what this usually entails
Effective dates for transactions and their significance
Representations, warranties, covenants, and indemnities

Sale and purchase agreements (SPA)

Review a pro forma SPA
Preferential rights or pre-emptive rights or rights of first refusal
Letters of intent outlining agreement terms subject to conditions
Forms of Consideration for the Seller
Considerations in selecting a form of payment

Financing M&A

Assessing the financing aspects of a transaction
Implications for financial returns of the deal (leveraged and unleveraged deals)
Security on deal financing
Managing commodity price risks and Deal Design, Bid Tactics & Negotiation
Leveraging acquisition values using debt finance
Deferred considerations and earnouts partially hedge deal outcomes
Hedging oil or gas prices to manage risk and secure finance
Integrating tax synergies: asset versus corporate deal structures
Real options as an alternative to valuing certain assets
Portfolio approach to acquisition/ divestment evaluation and selection