Contractual Framework of Exploration & Production


Who should attend?

  • To provide participants with a good understanding of the shape and dynamics of Oil & Gas Exploration-Production contracts.
Audience :
  • Professionals from the E&P sector and managers who need a practical understanding of all the concepts, principles and rules of Oil & Gas patrimonial contracts between host countries and international oil companies.

Level : Foundation

Course Content


      • Objectives of actors, role of national oil companies, stakes in E&P.
      • Principles of rent sharing, property of hydrocarbons and State sovereignty.
      • Procedure for contracts awarding, different regimes and petroleum laws in the world.
      • Legal approach of petroleum law conception and implementation.

      • Main evolutions in contractual relationships.
      • Concessions contracts: principles, State's revenues, examples of tax regimes and case studies.
      • Production-sharing contracts: principles, examples, of tax regimes and case studies.
      • Risk-service contracts and technical assistance contracts.
      • Fiscal and non-fiscal constraints.
      • Objectives of a flexible and progressive tax system.
      • Exercise: comparison of concession and production sharing contracts.
      • Case study: comparative reading between a HC law and an E&P contract.

      • General structure of patrimonial contracts.
      • Exploration phase: duration, commitments, surrender, data and information, etc.
      • Appraisal phase: work program, gas provisions, commerciality, etc.
      • Development phase: financing, State participation, budgets and development plans, unitization, etc.
      • Production phase: work conduct and supervision, audit and accounting, financing, taxation, transportation and marketing of production, hydrocarbon price determination, etc.
      • General terms & conditions: title transfer, sole risk, force majeure, local content, environmental protection, governing law and dispute resolution.
      • Conclusion: recent trends in oil taxation and patrimonial contracts.

      • Main legal provisions in a Joint Operating Agreements (JOA).
      • Other agreements: JSBA (Joint Study & Bidding Agreement), unitization, farm-in/farm-out.

Learning Objectives

  • Upon completion of the course, participants will be able to:
  • identify the key issues and constraints in the contractual negotiations between host countries, NOCs and IOCs,
  • categorize the different tax systems and contractual frameworks in existence,
  • identify the main contractual and fiscal clauses of E&P contracts.

Ways & Means

  • Comparative reading on a HC law and a E&P contract.
  • Exercises on rent sharing.
  • Examples of petroleum laws & fiscal regimes around the world.