Indonesia's upstream oil and gas industry has experienced significant transformation with the

coexistence of the traditional Cost Recovery Production Sharing Contract (PSC) and the Gross Split

PSC regime. Finance, accounting, commercial, and audit professionals are therefore required to

understand both fiscal mechanisms, their accounting implications, taxation, financial reporting

requirements, and regulatory compliance expectations.

This intermediate-level program expands participants' knowledge beyond basic PSC accounting by

focusing on accounting treatments, cost allocation methodologies, Joint Interest Billing (JIB), lifting

and entitlement calculations, tax implications, financial statement preparation, audit readiness, and

compliance with Indonesian upstream petroleum regulations.

The program combines technical accounting concepts, fiscal policy, case studies, practical exercises,

and discussions based on current Indonesian PSC regulations and international accounting standards

applicable to upstream oil and gas operations.

TRAINING OBJECTIVES

Upon completion of this program, participants will be able to:

• Understand the Indonesian upstream petroleum fiscal framework.

• Compare Cost Recovery PSC and Gross Split PSC from accounting and financial perspectives.

• Record upstream transactions in accordance with applicable accounting standards.

• Perform cost allocation and Joint Interest Billing (JIB).

• Analyze lifting, entitlement, underlift and overlift accounting.

• Understand inventory valuation in upstream operations.

• Recognize petroleum taxation applicable under each PSC regime.

• Prepare PSC financial reports and supporting schedules.

• Improve compliance with SKK Migas, Ministry of Energy and Mineral Resources (MEMR),

Ministry of Finance, BPKP and BPK requirements.

• Enhance audit readiness through proper documentation and internal control.