Designing a Financial Model for Oil, Gas, and Petrochemical Industry Projects Based on Corporate Governance Approach
Keywords:
Financing, Corporate Governance,, Oil Industry Projects, Gas and Petrochemical ProjectsAbstract
Financing oil, gas, and petrochemical industry projects, as a critical pillar of economic growth and development, requires a transparent and effective mechanism. The objective of the present study is to design a financial model for oil, gas, and petrochemical industry projects based on a corporate governance approach. This research is exploratory in nature and adopts a qualitative methodology. The study was conducted through interviews with 15 experts in the field. A snowball sampling method was employed for data collection, and the extracted data from documents and interviews were categorized and analyzed using thematic analysis. Ultimately, 60 initial codes, 17 basic themes, and 7 organizing themes were identified. The organizing themes include: the role of banks in supporting energy projects, banking and credit policies and regulations for the energy sector, bank facilities available for oil, gas, and petrochemical projects, risk management in energy projects, credit evaluation indicators for energy-oriented companies, financing challenges in the oil and gas industry, and stability and sustainability of energy-based companies. Finally, the interpretive structural modeling (ISM) method was used to derive the final model. The proposed model can ultimately serve as a strategic framework for policymakers, financial institutions, and energy industry managers to improve the financing process through a transparent, accountable, and sustainable approach.
References
S. Abdolmaleki, "Examining the Role of Financing Methods in Improving Investor Decision-Making Behavior in Tehran Stock Exchange," Applied Studies in Management and Development Sciences, vol. 2, no. 2, pp. 41-53, 2017.
H. Faraji Hajikandi, "Examining the Relationship Between Financing, Investment Efficiency, and Financial Crisis," Summer 2020, 2020.
M. Nodehi, "Corporate Governance and Financing During Financial Crisis in Companies Listed on Tehran Stock Exchange," 2017.
M. Li and L. Song, "Corporate governance, accounting information environment and investment-cash flow sensitivity," International Journal of Accounting & Information Management, vol. 26, no. 4, pp. 492-507, 2018, doi: 10.1108/IJAIM-04-2017-0049.
C. Sprenger and O. Lazareva, "Corporate governance and investment-cash flow sensitivity: Evidence from Russian unlisted firms," Journal of Comparative Economics, vol. 50, no. 1, pp. 71-100, 2022, doi: 10.1016/j.jce.2021.05.004.
M. Ghamami and N. Khan Zadeh, "Examining the Legal Aspects of Corporate Financing," Quarterly Journal of Private Law Studies, vol. 51, no. 2, pp. 335-353, 2021.
M. E. A. Asadbeigi, M. Ranaei, and M. Khosravi, "Application of Factoring in Business Financing and Introduction of Contract-Based Financing Methods," pp. 1-25, May 2019 2019.
M. A. Solavatian and S. M. Hosseini Dowlatabadi, "Challenges of Business Financing Through Issuance of Sukuk (Islamic Financial Instruments)," pp. 1-23, October 2019 2019.
S. Zubair, R. Kabir, and X. Huang, "Does the financial crisis change the effect of financing on investment? Evidence from private SMEs," Journal of Business Research, vol. 110, pp. 456-463, 2020, doi: 10.1016/j.jbusres.2020.01.063.
F. Chien, Q. T. Ngo, C. C. Hsu, K. Y. Chau, and R. Iram, "Assessing the mechanism of barriers towards green finance and public spending in small and medium enterprises from developed countries," Environmental Science and Pollution Research, vol. 28, no. 43SP - 495, p. 510, 2021, doi: 10.1007/s11356-021-14907-1.
R. A. Espinoza, J. Gamboa-Arbelaez, and M. Sy, The fiscal multiplier of public investment: The role of corporate balance sheet. 2020.
K. Rostami, A. Shiri, E. Mohammadi, and A. Yasini, "Designing a Financing Model for Cooperative Companies in Ilam Province," Cooperation and Agriculture, vol. 7, no. 25, pp. 119-145, 2018.
S. Babalouyan, Introduction to Models and Methods of Corporate Financing. Tehran: Financial Academy Publishing, Omid Investment Management Group, 2020, pp. 1-80.
M. Ahmadian, M. Shahbazi Ghiathi, S. A. Sayyah, and S. E. Khandoozi, "Financing Model for Small and Medium Enterprises: Microfinance; Global Experience and the Situation in Iran," 2016.
M. Taheri and A. Jalili, "Financial Constraints in Companies and Their Relationship with Financing Strategies, Emphasizing the Moderating Role of Corporate Governance," Asset Management and Financing, vol. 11IS - 2, pp. 1-18, 2023.
S. Edwards, D. Allen, and S. Shaik, "Finance, institutions and human development: Evidence from developing countries," Economic Research-Ekonomska Istraživanja, vol. 31, no. 1, pp. 1-17, 2018.
A. Arabmazar, M. Nemati, and A. Darvishi, "Examining the Effect of Lending Relationships on the Transaction Costs of Bank Loans: A Case Study of Agricultural Bank," 2017.
A. A. Hapsari and D. M. Puspitasari, "The influence of financial technology on the advancement of financial inclusion in micro, small, and medium enterprises (MSMEs) in West Java," Accounting Studies and Tax Journal (COUNT), vol. 1, no. 1, pp. 48-60, 2024, doi: 10.62207/5v4t9q48.
M. Aghli, S. Nikmanesh, H. Rashidi, and P. Jalali, Thesis Writing and Article Composition. Tehran: Dibagaran Book Institute, 2023.
K. J. Chung, S. D. Lin, and H. M. Srivastava, "The complete and concrete solution procedures for integrated vendor-buyer cooperative inventory models with trade credit financing in supply chain management," Applied Mathematics and Information Sciences, vol. 10, no. 1, pp. 155-171, 2016, doi: 10.18576/amis/100115.
Downloads
Published
Submitted
Revised
Accepted
Issue
Section
License
Copyright (c) 2025 Morvarid Rahimian, Mojtaba Azizi (Author)
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.
