{"schema_version":2,"canonical_url":"https://asc.understandingaccounting.org/asc/720/932/#30-initial-measurement","source":"FASB Accounting Standards Codification, Basic View","usage":"Study and research edition. Verify current requirements with the official source. Summaries, enrichment, and tags are machine-generated study aids. Paragraph html preserves source markup; snippet is abbreviated. Pending content is not necessarily effective.","topic":"720","topic_title":"Other Expenses","subtopic":"720-932","subtopic_title":"Extractive Activities—Oil and Gas","section":{"number":"30","label":"30 Initial Measurement","anchor":"30-initial-measurement","is_sec":false,"groups":[{"block":null,"heading":null,"paragraphs":[{"citation":"720-932-30-1","para":"30-1","html":"<div class=\"asc-body\"><div class=\"norm-text\"><span class=\"sfragment\" id=\"sfr_EB500131-6E93-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">When the operating entity maintains its own <a href=\"/glossary/e/#exploration\" class=\"term\" title=\"Exploration involves both of the following: Identifying areas that may warrant examination Examining specific areas that are considered to have prospects of containing oil and gas reserves, including drilling exploratory wells and exploratory-type stratigraphic test wells.\"><span>exploration</span></a> department, it is customary for costs of that department to be accumulated and allocated to exploration activities and projects. The allocation is based on standardized charges, such as cost per day for a crew, costs per shot-point for seismic work, hourly basis for engineers, and the like. Frequently, employment contracts with geologists or geophysicists call for the employee to receive ownership interests in leases acquired as the result of exploration. </span></span></div></div>","snippet":"When the operating entity maintains its own exploration department, it is customary for costs of that department to be accumulated and allocated to exploration activities and projects. The allocation is based on standard…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:af2ce9243bce4db7d2828b29857a6cbb1c36de6ecc6142e8d11b3e0bd40414cd","downloaded_from":"2026-09-10T01:10:47.285Z","last_downloaded_at":"2026-09-10T01:10:47.285Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479155","source_sha256":"fd95ea1e16ee55164614e1b939db2c27f578496ba80184bc30d43823f973920a"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:6467178dd831913eb9c333385c79d006e045c2c06a8c0124203346e46cd617d3","downloaded_from":"2026-09-10T01:10:47.285Z","last_downloaded_at":"2026-09-10T01:10:47.285Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479155","source_sha256":"fd95ea1e16ee55164614e1b939db2c27f578496ba80184bc30d43823f973920a"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:a756ec30cb74733974eb2a4131569bb6f6fb8a1f597e64f93606cb9a57f6b572","downloaded_from":"2026-09-10T01:10:47.285Z","last_downloaded_at":"2026-09-10T01:10:47.285Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479155","source_sha256":"fd95ea1e16ee55164614e1b939db2c27f578496ba80184bc30d43823f973920a"}},"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:a756ec30cb74733974eb2a4131569bb6f6fb8a1f597e64f93606cb9a57f6b572","downloaded_from":"2026-09-10T01:10:47.285Z","last_downloaded_at":"2026-09-10T01:10:47.285Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147479155","source_sha256":"fd95ea1e16ee55164614e1b939db2c27f578496ba80184bc30d43823f973920a"}}