Publications

The economics have been done and the project has been sanctioned, now it is time to deliver the value that was promised, of course the project needs to be a technical success but your business processes also need to be right to ensure delivery of the promised value. In the PSC environment costs are only recovered if your business processes and your organisation can comply with the legislation, unexpected cost not eligible for recovery will destroy project value. Santos has been working in the Indonesia PSC environment since the 1990’s and have developed best practice business processes that aim to comply with SKK Migas and Government regulations. These practices and processes are focused in the areas of procurement, AFE, VAT, cost control and internal audit. The investment made in ensuring compliance with the regulations has shown clear benefits with a low number of audit issues and a good record of cost recovery acceptance.