OASIS Discussion Forum #3
March 13, 2012
Agenda
• Introductions / New OASIS team members
• Ongoing User Experience
– OASIS Project Application Process
– OASIS Royalty Reporting
•
•
•
•
•
•
•
Findings in Jan 2012 Submissions
Submission Turnaround Document
Payout Balance Statement
Production Reconciliation Report
Royalty Submission Status Report
Reports in XML Format
Operator Involvement in Testing
2
User Experience
• OASIS Project Application Process
• OASIS Royalty Reporting
3
Jan 2012 Report Month
Submission Findings
Common reporting issues
• Incorrect Project Id format
– OSR16 vs OSR016
• Incorrect Operator Id format
– OABC vs 0ABC
• Reporting to more than the required # of decimals
• Failing conditional reporting rule
– sales volume but no sales value
• Renaming the tabs in the template
• Deleting the Admin tab in the template
• Copy/Paste displacing Form Id/Admin Tab hyperlink
4
Submission Turnaround Document
• Purpose is to provide key reporting and calculation details
on the royalty submissions provided by operators after
DOE royalty verification processes are complete
• One Turnaround generated for each royalty form
submitted
• Turnaround also generated for Department initiated
amendments (audit adjustments or recalculation of
subsequent periods’ royalty from amounts carried
forward)
• Turnarounds from operator submissions are sent to
submitting ETS Client Account
• Turnaround from Department initiated amendments are
sent to the operator’s ETS Site Administrator Account
5
Submission Turnaround Document
• Industry Feedback
– General Acceptance
– Requests for consideration:
• Reported and Expected Production Volumes
• Cumulative Cost and Revenue Opening Balances on
Pre Payout EOP Turnaround Reports
• Reported and Expected Project Expansion PNCB
6
Submission Turnaround Document
•
•
•
Validation Edits
• Errors – cause submission rejection
• Warnings – may result in royalty recalculation
Reported vs. Calculated Values
• BVM Hardisty Price
• Rates (Royalty, Return Allowance)
• Carried Forward Costs on Post Payout EOPS
• Cumulative Cost at Beginning of Period on Pre Payout EOPS
• Cumulative Revenue at End of Period on Pre Payout EOPS
Royalty Calculation
• BVM Floor Price
• Third Party Disposition %
• Applicable Unit Price
• Revenue and Diluent (Project, Gross, Revenue for Royalty Calculation)
• Total Allowed Costs and Allowable Other Net Proceeds
• Monthly/Annual Royalty Calculated
• Previous Royalty Calculated
• Royalty Charge/Charge Adjustments
7
Submission Turnaround Document
Samples (draft version)
• See SubmissionTurnaround.xls
• Royalty Template Specific
• Documents differ slightly due to differing information
content in each royalty template
8
Payout Balance Statement
• Purpose is to provide the Net Cumulative Balance of a
Project as at the end of a Period
• “PRE 2 on Pre Payout EOPS”
• Generated when EOP calculations are performed and the
net cumulative balance is changed.
• Generated for the initiating EOPS’ Period and subsequent
EOPS’ Periods
• No re-filing of subsequent Periods’ EOPS is necessary by
Operators unless costs and revenues need to be
amended
• Sent to the operator’s ETS Site Administrator Account
• No Estimated Payout Balance Statement will be created
to track payout balances from MRC filings before EOP is
due
9
Payout Balance Statement Sample
(draft version)
10
Production Reconciliation Detail
Report
• Purpose is to identify discrepancies between operator
reported production on the royalty submission and the
expected production from Department records
• On Demand Report that operators can request from ETS
• Production reported is used for analytics
• Operators may be asked to explain production differences
11
Production Reconciliation Detail Report
Sample
(draft version)
12
Royalty Submission Status Report
• Purpose is to identify the expected Project Royalty
submissions for an operator for the specified report
month, reporting the missing and received submissions
13
Royalty Submission Status Report
(draft version)
14
Reports in XML Format
• Confirm need by operators
• If needed, which ones?
15
Operator Involvement in Testing
• Operator Expectations
• DOE Boundaries
– Industry Expectations
– DOE Boundaries
• Operators provide “regular” files to test normal course of
business only
• DOE will conduct scenario testing
• Limit number of participants and test duration due to
resource constraints to support
• Determine when conditions are stable enough to enable
added value
16
Questions & Next Meeting
17