CA Student
15927 Points
Joined May 2011
The internal auditor would need to check whether the PSC Reports are submitted as per the provisions and timelines of the PSC. The following statements are usually submitted either on a monthly or a quarterly basis:
> Production Statement
> Value of Production and Pricing Statement
> Statement of costs, expenditures and receipts
> Cost recovery statements
> Profit sharing statement
> End of year statement
> Budget statement
The following should also be verified by the internal auditor:
> The base figures supporting the statements
> Adherence to the timelines
> Review and authorisation of the statements
> Any clarification sought by DGH (Director General of Hydrocarbons) on the statements
(For more insight, refer the below attached file:
Technical Guide on Internal Audit in Upstream Oil and Gas Companies
The Institute of Chartered Accountants of India)