Oil and Gas Modeling - Resources?

Sovjet:

I used BIWS, an am currently working in ER as a result. Can't compare to WSP though.

I found the program was thorough and well explained - though certain things more specific to ER would have been useful (more discussion surrounding technologies, industry jargon, etc.) in my case, specifically. I imagine it's a lot more useful for banking, where your role is less analytical and industry knowledge based, and more modelling/monkeying. Overall, I can recommend it.

Thanks for your feedback..sent you a pm

Do not buy their introductory modeling packet if you are focused on the O&G industry; they use the same case study to illustrate the basics before moving on to O&G specifics. That being said, I think the content is pretty good, but the examples can sometimes be riddled with errors. Still a worthwhile buy if you are going into the industry because the formatting is spot on.

Opps, I realize I was describing Wall Street Prep...My apologies. Relevant info either way though.

Thanks Houston. I'm going through BIWS excel and modeling package and like it. Canada is alot of O&G so I want to prepare ahead of time.

I'd get it but it's too expensive. Wasn't it just $97 in December? Why did they hike prices?

The O&G package is great. It goes through multiple valuation models and gives a lot of background on why things work the way they do. If you're not already comfortable with general modeling then you may not like it as it doesn't really go into the basics of building a model, but if you need that their advanced modeling course is good.

wow, that's a huge increase in price Jeff.

^ Thanks Rupert.

yeah, its ridiculous. I was going to buy it but now that they jacked the prices up I aint anymore.

I think the discount was for holiday special (slaps face for not buying it)

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The BIWS one is good for the basic concepts but use XOM-XTO as an example so you have some simplifications. Ie. instead of type curves you could basically assume a flat decline in reserves since no one property really impacts Exxon a lot.

Agreed with kalga. I was pretty disappointed with the BIWS oil and gas package. I was hoping for something a little more substantial. I also caught some serious technical mistakes (for example converting oil reserves and production to mcfe basis in his comps analysis).

Wall Street Prep course is excellent but expensive. The intro book does a good job covering all of the O&G industry basics, including O&G accounting. It goes through an O&G company’s financials to explain all the O&G specific disclosures and footnotes. The modeling is fairly straight-forward - if you haven't done regular modeling, a lot of the LBO, M&A, and DCF concepts will be new are are covered thoroughly. If not, you can blow by it quickly - O&G modeling is very similar to regular modeling beyond the NAV and specific operating drivers which are covered in the intro book.

I have an interview coming up with a BB in Calgary in their oil and gas group. I have gone through all the oil and gas modeling 101 guides and sample videos. I think I have a good basic understanding of all different things that flow into valuing an O&G firm. Do you guys still recommend getting the full BIWS package for oil and gas? It seems a little bit pricey...

Any feedback will be greatly appreciated!

i put together a side by side comparison of the best financial modeling programs right here: http://www.wallstreetoasis.com/financial-modeling-training hope that helps!

Yes

Learn how to do Net Asset Value analysis. You typically can't use a DCF for O&G because it will often yield artificially negative cash flows. This is due to the high capital requirements of the industry. NAV is pretty straightforward though, shouldn't take to long to learn once you know the intuition and assumptions.

Also interested.

PV10...

Zero. Unless for some reason you have something on your resume that would make it seem like you would know O&G specific modeling.