Upstream: Litigation Support: Testimony In Connection With Transition Services Agreement

Upstream: Litigation Support: Testimony In Connection With Transition Services Agreement

Undisclosed Oil & Gas Co. (“the Company”) is a privately owned, independent oil and gas company that operates offshore assets in the Gulf of Mexico (GOM) from Florida to Texas. The Company currently operates more than 600 producing wells from approximately 500 structures and 66 fields. The Company is based in Dallas, Texas, and has operations staff in New Orleans, Louisiana, and Houston. In 2016, the Company completed a transaction with Chevron to purchase 19 oil and gas fields primarily located on the GOM Outer Continental Shelf (OCS) and in Louisiana state waters.

Opportune was engaged as an independent expert on behalf of the Company to provide testimony related to disputed charges that were incurred under a Transition Services Agreement (TSA) arising from the purchase of offshore properties from Chevron.

Opportune’s contributions to the project included:

  • Prepared a detailed expert report analyzing the over $37 million in operating expenses billed under the TSA.
  • Analyzed over 12,000 documents provided via legal production and mapped invoice-level support to individual charges billed under the TSA.
  • Identified greater than $300,000 in charges incorrectly billed to the Company under the TSA.
  • Prepared a rebuttal report arguing insufficient documentation had been provided relating to greater than $10 million in charges billed under the TSA.
  • Presented a detailed presentation to an arbitration tribunal detailing the findings and outlining the lack of support provided.
  • Won an opportunity to formally audit a significant portion of charges billed under the TSA on-site at Chevron’s corporate offices.

Opportune’s oil and gas accounting expertise and the associated expert report led to the reduction in amounts owed to Chevron that was billed under the TSA. Additionally, the Company was allowed to perform a limited audit of some of the charges billed under the TSA to gain better comfort on the amounts charged.

Opportune’s financial professionals have extensive experience serving as experts in various challenging and high-stakes legal disputes. Our deep technical skills and experience in successful dispute resolution consulting have equipped us to assess, advise, and negotiate disputes at any stage. We tailor our solutions to each client’s unique needs to determine the most appropriate course of action and provide litigation support and alternative dispute resolution services. For more information, CLICK HERE..

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Gregg Laswell

Gregg Laswell

Managing Director

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