Category Archives for Oil & Gas Accounting

How W Energy’s Cloud-Based Platform Propels the Industry

The oil and gas industry is not known for creating and adapting innovative technology quickly. But with our highly digital world, this is changing, and W Energy saw that writing on the wall in 2009. This week’s episode of the Oil and Gas Accounting Podcast continues with a series that highlights different software being used in the industry and showcases what each one brings to the table for the professionals that it serves. This week’s guest is Pete Waldrop, CEO of W Energy Software. Pete discusses the challenges and changes the industry is facing today

and what W Energy is doing moving forward to expand their product, functionality and business.

Highlights:

2:24 W Energy’s current market share and what drives it

4:39 Why W Energy made the decision to make their technology cloud based back in 2009

6:21 W Energy’s midstream offerings

8:38 The three things that drive clients to W Energy

12:03 Keeping information secure

14:39 W Energy’s recent acquisition

18:09 The three reasons W Energy got into oil and gas and how they serve their customers

About Pete Waldrop:

With over 27 years of experience in software, consulting and the energy business, Pete has helped clients, such as ExxonMobil, Shell Oil, Anadarko Petroleum, Targa Resources and many others, design and implement better software solutions. Prior to joining our team in 2010, he served as a partner at Capitalize Consulting, was a founder and EVP at Quorum Business Solutions, and was the original developer for TIPS in 1992 while at Andersen Consulting — now Accenture. Pete holds a degree in electrical engineering from Oklahoma State University.

Connect with Pete:

www.wenergysoftware.com

About SherWare, Inc.

If you’re enjoying this episode, please subscribe to our podcast and share with a friend! We also love ratings and reviews on Apple podcasts.

SherWare creates software to simplify your accounting needs so you have more time to do the things that matter. We serve independent oil and gas operators, accountants and investors with a platform to manage their distributions and joint-interest billings on a platform — and we’re the only software on the market that can integrate with your QuickBooks company.

Click here to watch a demo of the software in action right now.

About COPAS:

COPAS provides expertise for the oil and gas industry through the development of Model Form Accounting Procedures, publications, and education. We are a forum for the active exchange of ideas which result in innovative business and accounting solutions.

Find a society near you.

www.copas.org

#030: Upgrade Your Oil And Gas Software For 2022

In this episode Tom is joined by a guest co-host, Mallory Schlabach, Sherware’s marketing strategist, and also a special guest, none other than his co-host, Phil Sherwood. Phil talks about how he got started in oil and gas and what made him start his company creating software for the industry. He also goes into detail about the different product options and integrations that are available for oil and gas operators and accounting professionals through Sherware.

Highlights:

2:14 How Phil got started in software

5:10 How writing software transitioned Phil into the oil and gas industry

6:31 The business started taking off

14:12 The Sherware difference

16:59 Legacy software

20:09 Changes due to Covid

23:03 SAAS model and how it affects the future of Sherware

26:30 Sherware’s new product

About SherWare, Inc.

If you’re enjoying this episode, please subscribe to our podcast and share with a friend! We also love ratings and reviews on Apple podcasts.

SherWare creates software to simplify your accounting needs so you have more time to do the things that matter. We serve independent oil and gas operators, accountants and investors with a platform to manage their distributions and joint-interest billings on a platform — and we’re the only software on the market that can integrate with your QuickBooks company.

Click here to watch a demo of the software in action right now.

About COPAS:

COPAS provides expertise for the oil and gas industry through the development of Model Form Accounting Procedures, publications, and education. We are a forum for the active exchange of ideas which result in innovative business and accounting solutions.

Find a society near you.

www.copas.org

#028: COPAS Economic Factors That Affect Everything You Calculate -Part 2 with Mike Cougevan

In part two of this episode of the podcast, Tom and Phil are back with Mike Cougevan, Vice President of Martindale Consultants. They’re talking about worker’s compensation rates, employees benefits, vehicle rates, and loading and unloading rates. They discuss the purpose of these remaining economic factors and the issues that using them can solve for operators in the industry.

Highlights:

1:28 Worker’s Compensation Rates

5:20 Employee Benefits

13:26 What can be charged for different types of employees

16:24 Vehicle rates

21:46 Loading and unloading rates

About Mike Cougevan :

Mike began his Martindale career in 1994 and is a Vice President of the firm. He provides senior leadership, expertly manages clients’ joint venture audit and other projects, and shares his extensive industry experience and knowledge to train Martindale employees. Mike also provides expert witness and litigation support and been accepted and designated as an expert in numerous State courts and in Federal court. Mike previously worked for Conoco (now ConocoPhillips) for 13 years in various positions, including financial analysis, joint interest accounting, internal reviews, managing non-operated properties, negotiation of agreements, and settlements of joint interest and revenue audits and disputes.

Connect with Mike:

Website | LinkedIn

About SherWare, Inc.

If you’re enjoying this episode, please subscribe to our podcast and share with a friend! We also love ratings and reviews on Apple podcasts.

SherWare creates software to simplify your accounting needs so you have more time to do the things that matter. We serve independent oil and gas operators, accountants and investors with a platform to manage their distributions and joint-interest billings on a platform — and we’re the only software on the market that can integrate with your QuickBooks company.

Click here to watch a demo of the software in action right now.

About COPAS:

COPAS provides expertise for the oil and gas industry through the development of Model Form Accounting Procedures, publications, and education. We are a forum for the active exchange of ideas which result in innovative business and accounting solutions.

Find a society near you.

www.copas.org

#013- The Must-Have Reference Items In Your Oil And Gas Accounting Library with Jim Allison and Robert Toudouze

In today’s episode, Tom and Phil are joined by Jim Allison, Vice President of Accounting Operations at Trinity Petroleum, and Robert Todouze,Revenue and Division Order Manager at Trinity Petroleum. They discuss the different materials that they refer to when they come across issues that they aren’t sure how to handle. They give different examples of how networking through COPAS and other relationships in the industry have helped them navigate unfamiliar situations that have arisen with things like JOAs and unbundling.

Highlights:

2:46 Reference materials that Jim and Robert keep in their library

6:46 The relationship between COPAS and ONRR

10:33 The best way to handle situations you aren’t sure how to manage

12:06 The challenge of interpreting existing regulations

13:44 Resources and references on operations

21:09 The importance of communication between departments in oil and gas

23:17 The value of a COPAS membership when searching for guidance on different questions and issues

31:18 How Jim and Robert facilitate continuous learning inside their company

34:54 Websites to use for reference

About Jim Allison:

Jim’s career in oil and gas started as a roustabout during summers in college. After graduation, Jim went to work for Eastern American Energy working in operations accounting.He was then transferred to the Denver headquarters from their eastern office after a few years. 30 years later, he is the VP of Accounting of Operations for Trinity Petroleum. Prior to that he was also with Oildex, Barrett Resources and Apache Corporation. He previously served as President and Board Member of COPAS Colorado.

Connect with Jim:

https://www.linkedin.com/in/jim-allison-a245649/

[email protected]

303.296.1908

About Robert Toudouze:

Robert graduated from Abilene Christian University in 2000 and spent three years in ministry in Aurora, Colorado, working with teens and preaching. He married Carrie in 2003, and started working in oil and gas at Forest Oil and Gas as a revenue analyst. After 10 years at Forest, Robert joined Trinity. He’s been there for eight years as a revenue accountant, revenue supervisor, and now, revenue and division order manager. Robert has been active in COPAS for most of his career, and he served as the revenue co-chair for COPAS in Colorado for three years.

About SherWare, Inc.

If you’re enjoying this episode, please subscribe to our podcast and share with a friend! We also love ratings and reviews on Apple podcasts.

SherWare creates software to simplify your accounting needs so you have more time to do the things that matter. We serve independent oil and gas operators, accountants and investors with a platform to manage their distributions and joint-interest billings on a platform — and we’re the only software on the market that can integrate with your QuickBooks company.
Click here to watch a demo of the software in action right now.

About COPAS:

COPAS provides expertise for the oil and gas industry through the development of Model Form Accounting Procedures, publications, and education. We are a forum for the active exchange of ideas which result in innovative business and accounting solutions.

Find a society near you.

www.copas.org

#011- How the Economy Currently Impacts Oil and Gas Accounting and Financial Reporting with Diane Kirk

In today’s episode, Tom and Phil are joined by Diane Kirk, Director and CPA at Plante Moran. They discuss how the current state of the economy has affected the oil and gas industry and some different scenarios that companies may face in the coming year. Some of the challenges they talk about include severance accounting due to layoffs, lease concessions, erosions of accounts receivable, the impact of the PPP loan on a company’s balance sheet, contract renegotiations, taxes and more.

Highlights:

3:08  Destination Imagination – What Diane does outside of accounting

4:45  How the current environment is challenging those in oil and gas accounting and reporting

14:28  Impact of PPP loans on a company’s balance sheet

15:32  Why the PPP loan wasn’t a huge help to the oil and gas industry as a whole

18:13 PPP Audits

20:54 The significant amount of bankruptcies in the industry this year

29:38 How reserves will be affected by current events

34:11 Asset impairments on financials in the upcoming year

38:32 Other challenges oil and companies are facing right now

About Diane Kirk:

Diane is the technical leader for the energy industry group at Plante Moran. She provides technical accounting and financial reporting expertise and support with an emphasis on complex debt and equity, derivatives, employee compensation, mergers and acquisitions, SEC regulatory compliance and reporting, and risk management. Diane is also actively involved in the training and development of the energy group team.

Diane has over 25 years of experience and focuses on distilling complex accounting topics and financial reporting into easy to understand language so that clients and team members can take appropriate actions. She has enjoyed helping to grow the oil and gas and energy practices while helping these clients address the challenges they face with running their business. 

Diane is a member of the AICPA, Colorado Society of CPAs, Colorado Oil and Gas Association, Western Energy Alliance, Women’s Energy Network, and the Council of Petroleum Accountants Societies (COPAS). She is also on the planning committee for the AICPA/PDI National Oil and Gas Conference and is a contributing editor to certain industry publications.

She was named a Top Women in Energy by the Denver Business Journal in 2018 and has spoken to client and industry groups and firm-sponsored educational events on such topics as accounting and reporting updates and industry hot topics.

Connect with Diane:

[email protected]

LinkedIn-Diane Kirk

About SherWare, Inc.

If you’re enjoying this episode, please subscribe to our podcast and share with a friend! We also love ratings and reviews on Apple podcasts.

SherWare creates software to simplify your accounting needs so you have more time to do the things that matter. We serve independent oil and gas operators, accountants and investors with a platform to manage their distributions and joint-interest billings on a platform — and we’re the only software on the market that can integrate with your QuickBooks company.
Click here to watch a demo of the software in action right now.

About COPAS:

COPAS provides expertise for the oil and gas industry through the development of Model Form Accounting Procedures, publications, and education. We are a forum for the active exchange of ideas which result in innovative business and accounting solutions.

Find a society near you.

#010-Creating Impact In The Industry As Part Of COPAS with Melissa Gruenewald

In today’s episode, Tom and Phil are joined by Melissa Gruenewald, founder and CEO of Green Forest Financial, PLLC, a CPA and advisory firm, and sitting vice president of Council of Petroleum Accountants Societies (COPAS). They discuss the many benefits of being an active member of COPAS, and how it has helped Melissa develop her career skills, relationships and leadership abilities. They also talk about things you can do to invest in yourself during the pandemic and making decisions moving forward.

Highlights:

2:41  Why Melissa decided to start her own firm in the middle of the Pandemic

4:20  How COPAS has benefited Melissa’s career in oil and gas

6:09  How COPAS helps in your day to day duties

9:03  Developing leadership skills

13:17 Why consensus is a big part of the process at COPAS

13:58 The true value of networking within an organization like COPAS

17:56 Ways that members can be involved in COPAS

20:53 Getting started in oil and gas even when you think you need more experience

23:03 The value of attending local and national COPAS meetings

29.55 The importance of patience in the current industry downturn

37:33 Decision making and planning for the future during the pandemic

41:07 Melissa’s vision for the coming year as president of COPAS

About Melissa Gruenewald:

Melissa Gruenewald is the founder and CEO of Green Forest Financial, PLLC, a CPA and advisory firm.  For 24 years, Melissa worked at large and small oil and gas companies with varying accounting responsibilities including joint interest, revenue, joint venture audit, gas balancing, payout, compliance, and financial reporting.  Melissa is currently on the Board of the Council of Petroleum Accountants Societies (COPAS) and serves as the Vice-President.  She also currently serves as the COPAS-OKC Audit Committee Co-Chair.  Melissa received a Bachelor’s in Accounting from Southern Nazarene University and a Master’s in Accounting from DeVry University.  She is a licensed Certified Public Accountant, Certified Management Accountant, and Accredited Petroleum Accountant.  

Connect with Melissa:

[email protected]

About SherWare, Inc.

If you’re enjoying this episode, please subscribe to our podcast and share with a friend! We also love ratings and reviews on Apple podcasts.

SherWare creates software to simplify your accounting needs so you have more time to do the things that matter. We serve independent oil and gas operators, accountants and investors with a platform to manage their distributions and joint-interest billings on a platform — and we’re the only software on the market that can integrate with your QuickBooks company.
Click here to watch a demo of the software in action right now.

About COPAS:

COPAS provides expertise for the oil and gas industry through the development of Model Form Accounting Procedures, publications, and education. We are a forum for the active exchange of ideas which result in innovative business and accounting solutions.

Find a society near you.

Quotes

Quite honestly, you can go and you can get a degree or you can read a book, but growing in your leadership really comes from doing it.-Melissa Gruenewald

COPAS is not just documents, it’s people. It’s a group of people, they create documents, they create kind of the framework around how oil and gas accounting is done.- Melissa Gruenewald

Being involved in the organization gives me access to the people who can help explain the why. And that makes me a better oil and gas accountant. – Melissa Gruenewald

You know, leadership is not about getting out there and telling people what to do, you’ve really got to listen and understand and serve other people.- Melissa Gruenewald

And I just think it’s important for our listeners to know, you know, you’ve got to just jump in somewhere, you can’t just sit there and go, well, when I get enough experience, I’ll be able to contribute.- Tom Wierman

#008:Understanding Oil and Gas Reserves with Deb Ryan

In today’s episode, Tom and Phil are joined by Deb Ryan, Senior Manager of Engineering at Sproule. Deb talks about how she is able to juggle all of her different roles, and gives valuable insight on how she helps companies calculate reserves. She discusses what companies can do before bringing in consultants to assist with reserve calculation, and how important it is to resist relying completely on automated systems for reserve calculation as they can leave quite a bit of room for error.

Highlights:

3:08 How Deb got started in oil and gas and eventually reserve analysis

5:40 Steps and factors in calculating reserves and why they are important

7:06 Determining which evaluation to use in different situations

11:47 The importance of reserves

15:25 What data are the reserves based on?

20:02  How production forecasts and decline curves are calculated

23:13 Why accounting automation can be a challenge when it comes to forecasting

24:19 How the current environment may impact year end reserves

32:38 Tips for companies that need help with reserve calculations

33:28 The importance of due diligence when it comes to calculating reserves

About Deb Ryan:

As Senior Manager, Engineering, Deb is responsible for managing Sproule’s Denver office and is part of the team that spearheads Sproule’s business development initiatives in the U.S. market. Deb’s 15-years of oil and gas industry experience includes reserve and contingent resource evaluations and audits, US and international fair market evaluations, and expert witness testimony. Deb has experience building dynamic simulation models and also provides instruction for various reservoir engineering classes for PetroSkills. Prior to joining Sproule, Deb held various positions with MHA Petroleum Consultants, Arrow Energy and Woodside Energy.

Deb was recently named as the North American Regional Director for Society of Petroleum Engineers (SPE) International Board of Directors. She is also on the SPE International Committee of Business Leadership and Management and was previously the Chair of the Denver Section. She currently serves as the Treasurer for the Women’s Energy Network (WEN) Foundation. Deb is also a member of the Society of Petroleum Evaluation Engineers (SPEE) and the Society of Women’s Engineers (SWE). In 2019 she was named by Denver Business Journal as one of the 40 Top Women in Energy and received the 2019 SPE Rocky Mountain Service Award. She is a registered Professional Engineer (PE) in Colorado.

Connect with Deb:

https://www.linkedin.com/in/deb-ryan-p-e-a838005/

About SherWare, Inc.

If you’re enjoying this episode, please subscribe to our podcast and share with a friend! We also love ratings and reviews on Apple podcasts.

SherWare creates software to simplify your accounting needs so you have more time to do the things that matter. We serve independent oil and gas operators, accountants and investors with a platform to manage their distributions and joint-interest billings on a platform — and we’re the only software on the market that can integrate with your QuickBooks company.
Click here to watch a demo of the software in action right now.

About COPAS:

COPAS provides expertise for the oil and gas industry through the development of Model Form Accounting Procedures, publications, and education. We are a forum for the active exchange of ideas which result in innovative business and accounting solutions.

Find a society near you.

#007: The Benefits of The Accredited Petroleum Accountant Certification with Lary Sides

In today’s episode, Tom and Phil are joined by Lary Sides, Senior Auditor with Chevron’s Audit Department, as they discuss how to stand out in the oil and gas industry with the Accredited Petroleum Accountant (APA) certification.  Lary details eligibility, preparation, the exam process, and retention of the certification, how to get started and how it’s helped him in his 39-year career. 

Highlights:

1:45 What is the Accredited Petroleum Accountant (APA) Program?

3:49 How the APA credential helped Lary stand out in the industry

6:03 Eligibility requirements for the APA credential

8:07 Preparing for the APA Exam

9:53 The process COPAS went through to create the APA Exam

13:28  Why specialists outside the industry were recruited to assist in the creation of the exam

14:08 How to take the exam

16:11 Keeping the APA credential once it’s obtained

16:48 Why you should get certified

About Lary Sides:

Lary Sides is a senior auditor for the Non-Operated Joint Venture Audit Center of Expertise team, within Chevron’s Corporate Audit Department.  He has 39 years of experience conducting joint venture audits and working with business units in joint venture accounting and audit issues for both US and international joint ventures.  

Lary is an Accredited Petroleum Accountant (APA®) and Certified Internal Auditor (CIA).  

Lary and Vicki Cromer chaired the COPAS Board of Examiners overseeing the APA® exam through its transition from an 8-part paper and computer-based exam to the current single exam format administered by Scantron.  Lary and Vicki were awarded the COPAS Eagle Award in 2017 for our efforts in developing and promoting the APA® credential.

Lary is a past president of the Petroleum Accountants Society of Houston, member of COPAS, IIA, and former member of the AIPN.  He has served on writing committees for the COPAS auditing guidelines and other committees for COPAS and AIPN.

Married with two adult kids and enjoys hiking, camping, fishing, and golf.

Connect with Lary:

https://www.linkedin.com/in/sidesl/

About SherWare, Inc.

If you’re enjoying this episode, please subscribe to our podcast and share with a friend! We also love ratings and reviews on Apple podcasts.

SherWare creates software to simplify your accounting needs so you have more time to do the things that matter. We serve independent oil and gas operators, accountants and investors with a platform to manage their distributions and joint-interest billings on a platform — and we’re the only software on the market that can integrate with your QuickBooks company.
Click here to watch a demo of the software in action right now.

About COPAS:

COPAS provides expertise for the oil and gas industry through the development of Model Form Accounting Procedures, publications, and education. We are a forum for the active exchange of ideas which result in innovative business and accounting solutions.

Find a society near you.

#006: Property Taxes in Oil and Gas with Drew Harold

In today’s episode, Drew Harold, director of state and local tax with Crest Tax Partners, talks about the importance of overcommunication within your team when it comes to property taxes in your organization. and how his experience in the field helped him gain a better perspective when it came to dealing with taxes.

Highlights:

1:53 How Drew got his start in oil and gas

4:18 Tips on internally managing communication about property tax

7:03 Most important aspects of effectively managing your company’s property taxes

11:14 Differences in the ways states arrive at a property’s market value

15:29 The importance of oil and gas companies being involved in governments

17:28  Opportunities for oil and gas companies to utilize various technologies related to their property tax

19:04 Reduced rates, incentives, exemptions, and tax liabilities for property taxes

22:11 Where to start when taking a closer look at your property taxes

About Drew Harold:

Drew is currently the Director of State and local tax with Crest Tax Partners. Prior to Crest, Drew spent 11 years with Chesapeake Energy in various state and local tax rolls including managing the property tax and sales and use tax groups. Prior to Chesapeake Drew was an industrial appraiser for Pritchard and Abbot in their Houston, TX office. With these various roles Drew is an energy industry professional with experience in property valuation, state and local tax planning, negotiating with state and local governments, providing legislative testimony related to state and local tax policy, and internal and external stakeholder communications.

Connect with Drew:

www.linkedin.com/in/drew-harrold

https://www.linkedin.com/company/crest-tax-partners

About SherWare, Inc.

If you’re enjoying this episode, please subscribe to our podcast and share with a friend! We also love ratings and reviews on Apple podcasts.

SherWare creates software to simplify your accounting needs so you have more time to do the things that matter. We serve independent oil and gas operators, accountants and investors with a platform to manage their distributions and joint-interest billings on a platform — and we’re the only software on the market that can integrate with your QuickBooks company.
Click here to watch a demo of the software in action right now.

About COPAS:

COPAS provides expertise for the oil and gas industry through the development of Model Form Accounting Procedures, publications, and education. We are a forum for the active exchange of ideas which result in innovative business and accounting solutions.

Find a society near you.

#005: The Steps You Need to Take To Reduce What You’re Paying in Severance Tax with Sarah Magruder

 

In today’s episode, Sarah Magruder, President of Safire Oil and Gas Consulting, breaks down some of the confusion and misconception surrounding severance tax. She talks about how important it is for all team members to have knowledge surrounding every aspect of the oil and gas process, and how that can help reduce overall severance tax payments.. 

Highlights:

2:57 What is severance tax?

5:30 Why some states have a lower severance tax

10:14 Two ways to reduce your severance tax

23:45 The importance of seeing the big picture in oil and gas

32:26 Understanding what you’re paying for

32:26 Knowledge is key when it comes to reducing overpayments

35:31 What to do in the case of an underpayment

38:19 Steps to take to reduce your severance tax

About Sarah Magruder:

Sarah Mcgruder is President of Safire Oil and Gas Consulting, a severance tax consulting group based out of Houston, Texas. Sarah holds a bachelor’s degree in finance from LSU and her MBA from the University of Houston. Sarah spent her almost 19-year career in severance tax, splitting her time between working directly in medium and large oil and gas companies. And as an outside consultant, is an active member of the Petroleum Accounting Society Houston, where she chairs the golf committee and is a presenter at the revenue committee, as well as an education day sponsor and presenter. Sarah has also been a speaker at numerous COPAS meetings from outside of the Houston area and presented multiple times at the API severance tax forum. She lives in Montgomery, Texas with her husband, four year old son, five horses, and two dogs.

Sarah can be contacted via email: [email protected].

Safire Oil & Gas Consulting’s website is www.safireogc.com.

About SherWare, Inc.

If you’re enjoying this episode, please subscribe to our podcast and share with a friend! We also love ratings and reviews on Apple podcasts.

SherWare creates software to simplify your accounting needs so you have more time to do the things that matter. We serve independent oil and gas operators, accountants and investors with a platform to manage their distributions and joint-interest billings on a platform — and we’re the only software on the market that can integrate with your QuickBooks company.

Click here to watch a demo of the software in action right now.

About COPAS:

COPAS provides expertise for the oil and gas industry through the development of Model Form Accounting Procedures, publications, and education. We are a forum for the active exchange of ideas which result in innovative business and accounting solutions.

Find a society near you.

I wanted to understand every single penny that I was paying to the state. Why am I paying this and is there a way I can reduce this?

If you don’t set up some checks and balances in place, you’re just going to keep doing the same thing over and over, you’re going to keep overpaying your tax, and then when you get a chance going back and getting a refund

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