Oilfield Services: Complex Financial Reporting: Hedging with Derivatives

An oilfield services company (OFS Co.), engaged Opportune for assistance with implementing hedge accounting for their Euro denominated revenue contract. OFS Co. was concerned a strengthening U.S. dollar (USD) would erode the margin budgeted for the revenue contract.  Opportune provided guidance on hedge strategy development and presented the hedge accounting implications of each strategy.  OFS Co. entered into a foreign currency swap that was designated as a cash flow hedge. […]

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Complex Financial Reporting: Accounting for Derivatives

Precious Metals Mining Company (PMM Co.) is a domestic publicly listed precious metals producer focused on mining, developing, and exploring properties.  It currently operates a wholly owned gold mine, in addition to a number of early and advanced stage exploration properties in the U.S.  PMM Co. consumes a significant amount of diesel fuel in its daily operating activities for transporting waste rock and ore in large haul trucks and for […]

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Downstream: Process & Technology: Enabling Commercial Success

Headquartered in Philadelphia, Pennsylvania, Sunoco is part of the Energy Transfer Partners, L.P. family of companies. Sunoco engaged Opportune’s Process and Technology practice to implement an integrated Energy Trade Risk Management (ETRM) System solution to support their Retail and Marketing business function. As Sunoco’s business model was evolving, Sunoco faced the challenge of re-tooling its IT infrastructure and applications portfolio.  Sunoco was replacing their mainframe-based legacy applications with current technology […]

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Midstream: Process & Technology: System Integration

An oil and gas midstream company (the Company) headquartered in Dallas, Texas, with midstream assets in Texas, Louisiana, and Marcellus regions, acquired natural gas assets in September 2014. The $235 million acquisition included 1400 miles of intrastate and interstate natural gas pipelines and 11 billion cubic feet of storage. The Company engaged Opportune to lead the integration of the acquired assets into their commercial, operational, and IT organizations.  Opportune’s Process […]

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Upstream: Complex Financial Reporting: Derivatives Valuation

Parsley Energy Inc. (Parsley) is an exploration and production company with operations in the Permian Basin and is based in Midland, Texas.  Opportune was engaged to assist Parsley through its initial public offering (IPO) process, including filing a registration statement on Form S-1 (S-1) with the U.S. Securities and Exchange Commission (SEC). Opportune’s derivative specialists worked with the complex financial reporting team to convert Parsley’s records from a cash basis […]

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Downstream: Dispute Resoltution & Chemical Engineering: Value of a Petroleum Refinery

In a dispute between the buyer and seller of a petroleum refinery, the buyer asserted that environmental contamination allegedly caused by the seller had diminished the value of the refinery.  Opportune’s Chemical Engineering practice was engaged to provide expert analysis of the historical operation of the refinery and to evaluate if the value of the refinery might have been affected by environmental contamination. Assessing the total economic impact of the […]

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Downstream: Dispute Resolution & Chemical Engineering: Origin of Groundwater Contaminants

Groundwater contamination at a site adjacent to a refinery led to a dispute over the origins of the contamination.  Opportune’s Chemical Engineering practice was engaged to examine the historical operations of the refinery and determine if the contamination found on the groundwater at the adjacent property could be attributed to the refinery. Refineries typically have very long economic lives and may stay in operation over many decades.  A site may […]

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Downstream: Chemical Engineering: Acquisition of African Assets

A privately held midstream and downstream fuels marketing company (company) owns fuel storage terminals, marine loading facilities, refineries and trading operations that support commercial and retail fuel sales in emerging markets throughout the world.  The company initially entered the African downstream sector in 2002 and has since rapidly expanded throughout sub-Saharan Africa. The company’s acquisition of southern African marketing businesses in 2010 consisted of shareholdings in five separate business operations […]

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