OT02110 - Oil Industry accounting: joint venture accounting - introduction
Entities in the oil and gas industry tend to use joint ventures or other similar arrangements (joint arrangements) to carry out their activities. »Ê¹ÚÌåÓýappse arrangements will normally be governed by a Joint Operating Agreement (JOA). Each joint venture will have an operator who will be responsible for the joint venture accounting and control systems and processes. »Ê¹ÚÌåÓýapp other participants in the joint venture will have non-operating interests.