OMS provides back-office service and support to the upstream E&P industry. We offer full service land management, accounting, regulatory filing, and gas and crude oil marketing to both operators and non-operators. We utilize the skills that our personnel learned during a combined 50+ years of prior E&P employment. We take care of the details so our clients can focus on achieving their goals.
Under the Graves & Co. banner prior to 2008, we have provided the following services to clients:
■ Transitional land department for an international company entering the U.S., including lease acquisition, lease records set-up and maintenance, preparation of division orders, and negotiating joint ventures. One land manager and one land secretary/lease records clerk for one year engagement.
■ Full accounting department function for the E&P subsidiary of a geophysical company, including AP, AR, lease operating statements, payout statements, joint interest billings, royalty distribution, production reporting for operated properties, cash flow statements, and financial reporting to the client’s lender. One oil and gas accountant for twelve months performed these functions and prepared the client to receive an incoming joint venture audit, and handled audit liaison duties.
■ Conversion of lease records to a new computerized system for a mid-sized domestic E&P company. One lease technician for a four month engagement.
■ Full land department and gas marketing functions for a small independent operator for 6 years. One land manager, one landman, two division order clerks, and one gas marketer provided lease negotiation and acquisition, seismic data trades for permits, farmouts, prospect marketing, division of interest calculation and division order preparation, negotiation and preparation of participation agreements, joint operating agreements, gas balancing agreements, assignments, seismic license agreements, confidentiality agreements, voluntary unit agreements, and unit declarations, lease and contract file set-up, lease map preparation, and gas and crude oil marketing and sales contract preparation. We assisted with the blowout response on an operated barge rig location on inland navigable waters.
■ Land management, primarily lease and farmout negotiation and documentation, and trading permits for 3D seismic data, for a significant mineral owner in Texas and Louisiana covering several hundred thousand acres. One land manager part time for 6 years.
■ Division of interest calculation and division order preparation for a mid-sized independent E&P company. Analysis of leases and title opinions required one landman part time for several months.
■ Land management for a large U.S. independent company that had sold the majority of its assets to third parties. The files for 6 remaining properties had been accidentally transferred with those sold. We rebuilt the client’s lease, map and contract files, helped them understand what leases they owned, their location, what portion of the leasehold remained in effect, and where they were the operator versus the non-operator. We prepared summaries and maps of each property, and assisted in selling the properties or farming them out to third-party operators by assisting in negotiating and documenting the transactions. We saved a crucial, producing State of Louisiana lease that had been erroneously released by the operator (Ask us about this one. It was fun!). One land manager part time for one and one-half years.
■ Division of interest calculation and division order preparation by one accountant for two months for a significant A&D company.
■ In-house and field land management, including leasehold title review in the courthouse, lease file rebuilding, lease acquisition and new file set-up, and drillsite permitting (Parish, State and Corps of Engineers) for an international independent based in London. On their behalf, we have responded to inaccuracies in the division order title opinion of a farmee. This part time project is ongoing, and has involved our entire staff at one time or another.
■ Lease, regulatory and accounting management for the E&P subsidiary of a worldwide construction firm entering the U.S. market for the first time. This one and one-half year engagement included limited land department functions during a transition to the client’s in-house staff, primarily Louisiana unitization advisory and support, shepherding drilling permits and rights-of-way for barge locations in open water through the Louisiana Office of Conservation, Louisiana Coastal Zone Management, the Corps of Engineers and the Coast Guard, handling Louisiana “One Call” duties for barge rig mobilization and demobilization, negotiating Voluntary Unit Agreements with a parish and the State of Louisiana, regulatory filings in support of production operations including air permits, and the calculation and filing of production reports and severance tax reports.
■ Oil and gas accounting on a consulting basis for a small, domestic non-operator, including AP, AR, payout statements, earned interest calculations, lease operating statements, profit and loss statements, and other financial reporting.
■ Full accounting department functions on a consulting basis for a small, public E&P company, including AP, AR, revenue distribution, production and severance tax reporting, advalorem tax payments, lease operating statements, incoming audit preparation and liaison, payroll, and full financial statement preparation, including periodic reports to the Securities and Exchange Commission (pre-Sarbanes-Oxley). One management-level accountant for one year.
■ Leasehold title review, abstracting of court house records, regulatory reporting, well pumper liaison, and landowner relations on domestic properties for a significant international E&P company. We handled the environmental assessment, clean-up and reporting on for a spill on the client’s wellsite.
■ AP, AR, lease operating statements, payout statements for an international client. This engagement of one accountant for six months included the preparation of financial statements and the conversion of financial statements to Swedish GAAP.
