General
Concession
PSC
100
What are the main parties of a petroleum agreement
Host government (HG) and International Oil Company (IOC)
100
what are the main R/T systems
Old R/T systems Modern R/T system
100
what are the main characteristics of PSC
Cost recovery limit profit spilit
200
State the two main fiscal systems and two terms for each
Concession (R/T) system and Production Sharing Contract (PSC) Royalty and Tax
200
State the differences between old R/T system and modern R/T system
duration lease area
200
what are the terms govern government profit
Royalty Tax Profit oil
300
What is the main fiscal terms for government profit and from where they are calculate
Royalty from GR Tax from Taxable incom
300
What is the name of cost recovery in R/T system. state examples of the components composing this term.
Deduction
300
State the steps of PSC calculations
GR NR Cost recovery (to be within the cost recovery limit) profit spilit
400
Write down the fiscal regimes applied to E & P
Concession [old style] Production License [new concession] Production Sharing Agreement Joint Venture Service Contract
400
What is the difference between: - gross revenue and net revenue - net revenue and taxable income
net revenue=gross revenue-royalty taxable income=net revenue-deduction
400
Name two examples of PSC regimes and discuss the difference between them
JV: HG participation service contract: HG pays fees to IOC
500
State the E&P project execution phases and the main activities in every phase
Acquisition of rights Exploration Appraisal Development Production Process/Export
500
Oil barrel price is $60, OPEX=$4, CAPEX=$11, tax=30% and royalty 15%, calculate: the net revenue taxable income HG profit
51 36 19.8
500
which party is entitled for the oil in different fiscal regimes
R/T: IOC (less royalty) PSA: HG (IOC may entitled for profit oil JV: HG Service: HG
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