In production sharing agreements, when discovering the commercial amount of oil, the investing company have the right to recover its costs which was carried in the exploration, development and production phases, that by utilizing from the proceeds of
specified percent of each period production,
Due to the views about the appropriate accounting treatment for capitalizing and recovering the costs under production sharing agreements were different; the accounting policies for processing and recovering the costs in the foreign petroleum companies which invested in Syria were different.
The aim of this research is to present the different Accounting Treatments applied for Recovering the costs in the Oil and Gas Companies under Production Sharing Agreements, and determine its impact on the amount of capitalized costs and the income, that through an applied study included the accounting treatments in both (SIPC) and (CNPC) “Foreign petroleum companies invested in Syria”, the actual accounting numbers of SIPC modified to be in accordance with the accounting treatments of CNPC.
The research completed to pay the attention that the Accounting Treatment of processing and recovering the Costs have a significant and material impact on the income and amount of capitalized costs, and preferred recognizing or treating the proceeds of recovering the costs as Oil Revenues not a recovery (amortizing) of capitalized costs.
The aim of this research is to study and prognosis oil and gas by utilization of Remote Sensing (RS) data Geographic Information
System (GIS) and Digital Elevation Model (DEM), and 3D. The integration of the data by using program (Arc GIS). The inte
gration data led to divide the lineaments circular structures and drainage network. Which present direct and indirection indicate on earth surface for surface and subsurface structures Which play important role in prospecting oil and gas.
