Energy (Including Oil & Gas)



"In an uncertain operating environment, PwC is working with our clients across the Oil & Gas value chain to find solutions to industry challenges."

Oil and Gas operators in Australia are grappling with a growing list of challenges – an impending carbon price economy, ongoing skill shortages, safety and environmental concerns, growing taxation requirements and competition for funding. Despite this, however, major capital project spend remains at an all time high, with Oil & Gas mega-projects being established often with aggressive production targets and timelines. Operators are therefore not only being forced to meet industry challenges against the massive scale of these projects, but also need to ensure a balance of speed versus precision as they move from appraisal all the way through to completion.

How can you keep your eye on the detail and stay focused on project outcomes?

At PwC, we bring together a multi-disciplinary team that features local, national and international experience to help ensure your project is meeting key milestones, while containing costs and managing risk. We work across all areas of the business to:
  • materialise your investment objectives
  • provide certainty in your investment outcomes
  • manage operational, financial, regulatory and fiscal risks
Our service offerings focus on adding value through the lifecycle of your project, while reducing complexity along the way.

Are you positioning your project for success?

Upfront governance, planning and structuring your capital project investment.

PwC can work alongside your teams from the outset to provide strategic advice and guidance for the implementation of your capital projects. This includes:
  • navigating the intricacies of new and unfamiliar regulatory, fiscal, operating and commercial hurdles;
  • organising and managing necessary external compliance and reporting requirements so that your project can progress without delay;
  • providing corporate commercial and joint venture structuring to accommodate flexibility and project growth going forward;
  • providing vigorous valuations, project/financial modelling and validation of key project and financial parameters;
  • managing staff visa and taxation obligations, as well as structuring remuneration packages for expatriate employees, secondees and contractors;
  • assessing project and transaction costs to optimise concessions and incentives – accelerating the payback on the project.

Have you invested in project protection?

Manage risk to maximise opportunity throughout the capital project lifecycle

The PwC team offer an integrated approach to risk. We work with our clients to help them build resilient and successful businesses by:
  • identifying and maximising opportunities
  • protecting reputation
  • mitigating downside threats
  • designing and implementing optimised control environments.

Creating Value

Consolidating Value

We have created value for Australian major capital projects through: We have consolidated value for Australian major capital projects through:

project portfolio investment analysis – ‘real options’ analysis to inform the define and select phases contract management effectiveness, contractor claims/variations and dispute analysis
pre-FID independent investor reviews of project cost, contingency, schedule, PMO capabilities, and risk evaluation analysis independent project review and assurance controls to ensure on time, on budget, and delivered to specifications
project risk and governance framework build shareholder and joint venture partner assurance
optimising controls and systems for project set-up: tendering, procuring, capital spending, system selection, and reporting needs data management services including forensic analysis and confidential data security threats
regulatory compliance help across multi-faceted approvals process risk-based project internal audits

Are you maximising the value of your capital spend program?

Navigating complexity and locking-in value

PwC’s Project Value Optimisation (PVO) approach helps resolve complexity and maximise value through a rigorous approach of identifying, validating and locking-in major value improvements to detailed feasibility studies. It achieves this by reviewing capex, opex and schedule value-drivers at the business model, supply chain / flowsheet and engineering solution levels.
  • PwC brings a proven approach, strong analytical rigour, an independent perspective and, where available, benchmark references to major capital projects.
  • previous engagements have realised a 20–30% reduction in the project capital estimate for our recent clients, representing a material improvement to project rate of return.

Are you effectively managing project costs and financial risk?

Accurately predicting capital project outcomes.

Through to the execution phase, capital project owners must manage and balance the speed and precision of implementation, as well as the ongoing costs. We can work with your teams to ensure capital project owners can comfortably answer questions, such as:
  • what is going on within the projects and what are the real issues?
  • has the project schedule and capital contingency been risk-adjusted?
  • is there confidence that the variation is within contractual terms and what impact will it have?
  • how effective is management of supplier relationships?
  • is there a simple KPI dashboard reporting project progress and likely outcomes?
  • are there sufficient skills and resources on the bridge as well as in the engine rooms?

Have you evaluated the outcomes of your project against objectives?

Completing a project and assessing its success.

PwC can help increase the sustainability and long-term value of your investment. We work within the project team representing the interests and concerns of Operations before the project is handed over. Alternatively, we can perform operability reviews at different points in the project lifecycle. This can help reduce implementation risk and help to ensure you are proud of what you have achieved.

Finally, we can provide a post-implementation review assessing whether objectives have been achieved, addressing project success as well as key issues and their root causes. By engaging an independent reviewer, key learnings can be captured ensure that change sticks in the future.