Petroleum Accounting Consultants, PLLC can review your Joint Interest Billings to ensure you are charging out all the expenses that you are allowed to under your joint operating agreements.
Most joint operating agreements allow the operator to make adjustments within 24 months following the end of the calendar year in which the billings are made.
An example of the types of charges that most joint operating agreements allow the operator to bill out are as follows:
1. Salaries and wages of field employees
2. Material purchased or used on the joint property
3. Equipment furnished by the operator
The previous list is not all inclusive and is only meant to provide you with an idea of the types of expenses that can be billed out to the other working interest owners.
For more in-depth information on what charges can be billed under COPAS contact one of our consultants today and quit paying 100% of the expense on charges that you could be billing out to your other working interest partners.