Regulatory Compliances issues in Oil and Gas

It is very important for all Oil & Gas companies to be aware that Compliance is the new Key Word in Information & Data Management.

Why should Oil & Gas companies be worried?

• ENRON was an Oil & Gas Company as well as a trading company that did not comply with its company laws & procedures
• The ENRON, Andersen Consulting & WorldCom scandals captured the public & media attention
• The shock of these scandals has made directors, managers & compliance professionals all around the world ask whether their compliance programs could detect & prevent the next ENRON
• Shell's recent reserve overestimation and subsequent share nosedive has caused focus to be brought back onto Oil & Gas

How Compliance affects Oil & Gas Data Management

• Over/Under-estimation of Reserves - proving & knowing the integrity of your data
• Company processes and procedures being complied with by all staff, not just management - having processes & procedures in place
• Being Compliant with DTI's Petroleum Operators Notices (PON) - PON14a&b (oil & gas surveys and shallow drilling) - new reporting requirements & deliverables - PON9 - record & sample requirements for CDA data storage
• The two most pertinent Governance, Risk & Compliance attributes for oil & gas IT/IS departments are:

1. To ensure business objectives are understood and people, processes and technology are aligned to support the objectives.
2. To ensure Information reported to management, the board and stakeholders is accurate, reliable, timely and complete

Taken from GTS Geotech presentations for Sarbanes Oxley Compliance for Oil & Gas Company