Commercial Strategies for International Joint Ventures in the Oil and Gas Industry

Identify the success factors and learn how to make Joint Ventures work

Attend this three-day interactive course to gain insights into:

  • Develop commercial strategies in new markets and geographical regions to strengthen growth and development
  • Explore opportunities during economic downturns to decrease capital risks by sharing in investments
  • Understand the management strategies and tactics of different stakeholders involved in IJVs
  • Utilise proven business tools for effective management of IJVs
  • Gain insights into business valuation techniques to improve the capitalisation of future earnings
  • Understand and apply business success criteria to ensure profitability

What is the programme about?

In today’s oil and gas industry, exploration, production and refining projects are getting more and more complex. To reduce risks and share costs the popularity of Joint Ventures with parties from a wider range of countries and participants is increasing. Although Joint Ventures create both new synergy effects and new values, the involved parties do not necessarily share the same goals and perspectives.

This course will enable delegates to develop a win-win situation for successful long-term collaboration and gain access to the industry and new markets. Delegates will learn how to balance commercial interests, responsibilities and risks to ensure a robust cooperative effort and manage critical issues of scope, roles, joint and exclusive operations, default, transfers and decommissioning.

Oil and gas professionals who require an advanced understanding of current and emerging best practices of setting up and managing international Joint Ventures:

  • General Managers
  • Joint Venture Managers
  • Joint venture Accountants
  • Joint Venture Coordinators
  • Business Development Managers
  • Commercial Managers
  • Finance Analysts
  • Strategy and Planning Managers
  • Legal Advisors

Module 1: Recap of IJVs

  • Overview of IJVs, Strategic alliances and mergers
  • Legal structures
     
Interactive workshop
Delegates will analyse the advantages and disadvantages of IJVs and identify mistakes that should be avoided.

Module 2: IJV Strategies – Lessons learned from other sectors

  • Overview of strategies
  • Retail sector: TESCO in China
  • Aviation: Qantas / China Eastern, Airbus
  • Property Development: Lend Lease
  • Auto Manufacturing: Ford (China)
  • Home Furnishing: IKEA
  • Oil and Gas
  • Caltex (Chevron / Texaco)
  • Caltex / BAPCO
  • Caltex / Shell / PTT Thailand
  • Chevron


Module 3: Commercial Opportunities

  • Opportunities during economic downturns
  • Access to unique business opportunities
  • Access to new geographic regions
  • Increasing investment opportunities
  • New business infrastructures
  • Maintaining foreign relationships
  • Skills training
  • Acquisition of new technologies
  • New local revenue streams
  • Cooperation with local communities and foreign governments
  • Local / regional commerce and trade


Module 4: Business Tools for an Effective Management of IJVs

Business overview

  • Typical Business Diagram
  • The loosely coupled nature of most enterprises!
  • Organisation Overview / Support etc.
  • Dupont Diagram (Value Elements)
  • Governement role

Management

  • Levels (Strategic / Tactical / Operational)
  • Functions (POSIC)
  • Roles (Interpersonal / Informational / Decisional)
  • The CEO role
  • The Board role
     
Interactive workshop
Delegates will review and analyse three different types of strategies to identify strengths and weaknesses and how to adapt and implement them best.

Bottom-Line Calculations

  • NOPAT
  • EBIT/Sales and NOPAT/Sales
  • Shareholder value

Financial Ratios

  • Liquidity rations
  • Leverage rations
  • Profitability rations
  • Valuation ratios
Interactive workshop
Delegates will review and analyse the limitations of financial ratios and explore causation factors. 

Business Valuing Techniques

  • Definition of value
  • Purpose of valuation
  • Capitalisation of future earnings
  • Discounting of future cash flows (NPV)
  • Asset based valuations
  • Industry rules of thumb
  • Balance Sheet Value
  • EBITDA multiples

Data Analysis

  • Data collection
  • Data analysis tools
  • Data transition
Interactive workshop 
Delegates will review and analyse business success criteria and explore how to implement them best to improve performances and bottom line results. 
Course Categories

Topics Covered: 

Joint Ventures

Testimonials for our Courses

“Very positive Organisation.” 
 

Delivered by

John Etherington, BE (Chem), MBA, FAICD has over 40 years’ experience in the int

Dates & Locations



This course is only available as a custom course tailored for your business, contact us to discuss your requirements.