An Interactive 10-Day Training Course

The 10-Day Oil and Gas Contracts Training

Mastering Key Liabilities and Issues

The 10-Day Oil and Gas Contracts Training

Course Overview

This 10-day Oil and Gas Contracts training course will provide participants with comprehensive understanding of the full spectrum of oil and gas contracts.  It is a highly interactive training course covering the key legal and commercial aspects of these contracts and the inherent risks in the different types of contracts. Participants will learn how to deal with negotiating, drafting and administrating these contracts in the oil and gas and marine sectors. Further we will also focus on the pros and cons of the different types of contracts and the suitability of each one for your specific needs. We delve into specific contracts like Production Sharing Contracts (PSC), Licensing and Concessions used in upstream operations and EPCIC (Engineering, Procurement, Construction, Installation & Commissioning) Contracts, EPCM and Alliance contracts used for complex offshore and onshore projects.  

Understanding the allocation of risk by mastering the ins and outs of these contracts will prove to be a valuable tool in driving effective contracting strategies to minimise risks and liabilities. Further, in this training course participants will also enhance their knowledge and raise their awareness of best practices in managing the supply chain process which culminates in the awards of these contracts to the right party. Participants learn to appreciate how best to deal with the ripple effects of major disasters by looking at case studies like the Deep Water Horizon – Macondo Blowout and the lessons learned from that episode. Limiting of liabilities with contractual provisions like knock for knock indemnities and other contractual clauses to mitigate risk exposure in oil and gas contracts.

This GLOMACS 10-Day Oil and Gas Contracts training course is specifically designed to provide participants with a well-tested and practical guide on:

  • Major types of oil and gas contracts and the key clauses to master
  • Evaluate different contracting strategies and their inherent risks, liabilities and benefits
  • Fully appreciate the legal and commercial risks and how best to manage these risks
  • Appreciating the main aspects of upstream contracts like Production Sharing Contracts, Concessions and Licenses
  • Putting EPCIC contracts in the context of the different models of EPC Contracts
  • Comparing the EPC contracts with EPCM and Alliance Contracts and knowing their benefits and disadvantages
  • The challenges of EPCIC lump sum contracts and the ways to manage cost over-runs
  • Structuring the contract to address the issues of the several parties to the contract to ensure a positive project outcome
  • Pros and Cons of the split EPCIC contract form
  • Insights into the current issues affecting oil and gas contracts like pollution, HSE and local content
  • Best practice in supply chain management
  • International dispute resolution frameworks
  • Negotiation Strategies and Negotiation Techniques to help you become a better negotiator of contracts and contractual claims resolution

Modules

This training course is split into two modules:

Module I - Oil & Gas Contracts

Module II - EPCIC Contract Management in Offshore & Marine

Each module is structured and can be taken as a stand-alone training course; however, delegates will maximise their benefits by taking Module 1 and 2 back-to-back as a 2-week training course.

Training Objectives

At the end of this 10-Day Oil and Gas Contracts training course, participants will:

  • Appreciate the uses of various types of oil and gas contracts
  • Identify, assess and manage key contractual risks
  • Understand fully the EPCIC contracts and assess operational, commercial, legal and financial risks
  • Compare the difference between EPCIC, EPCM and Alliance contracting methods
  • Appreciate the essential elements of the different contract stages from pre to post tender then on to completion and delivery of project
  • Address key issues faced during project lifecycle and how to tackle these through enforceable contractual clauses
  • Avoiding pitfalls and ambiguous contractual terms
  • Evaluate the most appropriate way to dispute resolution
  • Perform more confidently in negotiations

Training Methodology

In this Oil and Gas Contracts training course, participants will gain greater knowledge through presentations by an experienced international practitioner designed to both educate and challenge. This training course will utilise a variety of proven adult learning techniques to ensure maximum understanding, comprehension and retention of the information presented. This includes exercises designed to improve and sharpen the skill sets of delegates in planning, negotiating and managing Oil and Gas contracts, through interactive session with case studies, role playing and discussion groups and scenario building. The objective of the interactive sessions is to enable participants to apply the knowledge and understanding gained during the training course to certain factual scenarios. This will help participants gain invaluable practical insights into managing the risks and enhancing their rewards and improving bottom lines for their corporations.

Organisational Impact

All commercial activities attract risk, yet the oil and gas sector is different from most others given the level of government intervention and control.

Your organisation will benefit by:

  • Providing contract management team with a fresh and rational approach to contracting
  • Analysing and solving contract problems before they cause organisation in time and money
  • Provide an eye-opener on the importance of clarifying contract ambiguities prior to signing of contracts
  • Gives procurement and other project personnel fresh insights into negotiating of contracts
  • Strategizing on risk management techniques that can be used in the contracts to safeguard organisations interests
  • Senior management given options that are available to enable them to negotiate better terms and conditions of for upstream and downstream contracts
  • Enhancing internal management capacity to manage contractual risks
  • Exploring alternative ways of reducing the impact of risks and disputes on the organisation

Personal Impact

Attendees will gain by participating in this training course as a result of:

  • Having a one-stop reference on all aspects of oil and gas contracts and effectively dealing with the problems that may arise
  • Appreciating the different nature of oil and gas contracts
  • Familiarising themselves with different contract clauses
  • Dealing with Changes to contract terms, and differences in approach between standard contracts and bespoke contracts
  • Detailed understanding of contract documents required for creation of an Oil and Gas Contracts and in particular EPCIC, EPCM and Alliance contracts
  • Obtaining thorough guidance on contract negotiation techniques
  • Knowledge of different contracting strategies to meet organization’s goals
  • Applying supplier performance management techniques
  • Reviewing the most appropriate forms of dispute resolution
  • Enhancing your ability to effectively negotiate with confidence

Who should Attend?

This 10-Day Oil and Gas Contracts training course is suitable to a wide range of professionals but will greatly benefit Contracts and Procurement Professionals and Project Managers operating in complex offshore and onshore projects both in oil and gas and marine contracts whether at beginner, intermediate or advance levels including:

  • Project and General Management
  • Commercial and Contract Professionals
  • Commercial Operation Professionals
  • Contract Engineers, Administrator and Managers
  • Procurement Supply Chain Professionals
  • Risk Manager / Contract Risk Professionals
  • Procurement Managers and Purchasing Staff
  • Engineering, Operational and Maintenance Personnel
  • Commercial, Financial and Insurance Professionals

Training Outline

Module 1: Oil & Gas Contracts
DAY 1: Introduction to Oil and Gas Contracts, Licencing and Production Rights
  • Principal Licensing and Contractual Arrangements
  • Upstream and Downstream Contracting
  • Financing in the International Oil & Gas Industry
  • Specific Risks in Upstream & Downstream Contracts
  • Sale and Purchase and Transportation Agreements
  • Contractual Claims and Resultant Disputes
  • The Role of Negotiation Strategies in Dispute Avoidance under Oil & Gas Contracts
DAY 2: Emergence of New Contractual Arrangements
  • The Modern Concession Contracts
  • The Production Sharing Contracts
  • Participation Agreements and Joint Operation Agreements (JOA)
  • Service Contracts, Pure Service Contracts, Risk Service Contracts
  • Environmental Impacts in the Context of Protection Policies and Requirements
  • Regulatory Framework, Institutional Factors and Infrastructure
  • Comparative Analysis of the Different Contract Forms
DAY 3: Stabilisation Clauses and International Petroleum Agreements
  • Stabilisation Clauses Defined
  • Typology of Stabilisation Clauses
  • Validity and Efficacy of the Stabilisation Clause
  • Stabilisation Clauses and the National and International Law
  • The Re-negotiability of International Petroleum Agreements: Stability vs. Flexibility
  • The Triggering Events for Renegotiation
DAY 4: Key Contractual Issues & Risk Allocation in Oil and Gas Contracts
  • Liabilities & Exclusion and Limitation
  • Indemnity and Exclusion Clauses: Why the need?
  • Distinctions and Definitions: Indemnity vs. Exclusion vs. Limitation
  • Mutual Hold Harmless – The ‘knock for knock’ regime
  • Forms of Exclusion Clauses (and why it matters) Common Carve-outs
  • Performance & Penalties
  • Termination Clauses and Right to Terminate
  • Force Majuere, Change in Law and other Disputes
DAY 5: Methods of Dispute Resolution under Cross Border / International Agreements
  • Arbitration & Mediation – Important Differences
  • Mediation and Conciliation, Adjudication, Dispute Boards - save time and costs
  • Enforcement of International Arbitration Awards under the New York Convention
  • Contemporary Developments in Case Law and Legislation
Module 2: EPCIC Contract Management in Offshore & Marine
DAY 6: EPCIC Overview, Legal Framework & Contract Structure and Risk Allocation
  • EPCIC, EPC. EPCM Contract Structure and Strategy
  • Legal formation of contracts  
  • Maximizing Parties’ Rights and Interests
  • Contractor’s Single Point of Responsibility and Its Effects on Parties
  • Fixed Price Lump Sum Contracts
  • Split Contract Structures to Minimize Tax and Legal Exposure
  • EPCIC used in Shipbuilding Contracts for “Floaters” and Floating Platforms
  • Collaborative Contract Strategies to Avoid the “Blame Game”
Certificates
  • On successful completion of this training course, GLOMACS Certificate will be awarded to the delegates
  • Continuing Professional Education credits (CPE) : In accordance with the standards of the National Registry of CPE Sponsor, one CPE credit is granted per 50 minutes of attendance
Accreditation

GLOMACS is registered with NASBA as a sponsor of Continuing Professional Education (CPE) on the National Registry of CPE Sponsors. NASBA have final authority on the acceptance of individual courses for CPE credit. Complaints regarding registered sponsors may be submitted to the National Registry of CPE Sponsors through its website: www.learningmarket.org.

All Training Seminars delivered by GLOMACS by default are eligible for CPE Credit.

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Additional sessions in international locations

Venue: London - UK
Fee: US $11,900
Date: 01-12 Jul 2024
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Venue: Singapore City - Singapore
Fee: US $11,900
Date: 09-20 Dec 2024
Book a seat
Venue: London - UK
Fee: US $11,900
Date: 07-18 Jul 2025
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