A lot of us may wonder why the oil and gas companies buy or sell the interests of other oil and gas
companies in specific properties at that price? Why it should not be more or less? How the value of
oil and gas properties are determined? Many Explorationists, geologists, Finance Manager,
management accountants or students have the same questions. Therefore, We discussed in this
paper the factors that impact the sale price of properties and how they are contributed to assess the
value of those properties. We classified the properties into three categories; exploration properties,
development properties and production properties and the Internal auditor’s role in reviewing the
valuation of such properties.