To provide participants with an in-depth understanding of the concepts, mechanisms and articles of Production Sharing and Joint Operating Agreement.
Public :
Exploration and production professionals, legal personnel entering the E&P scene, service companies managers and government employees.
Level :Skilled
Prerequisite :
Basic knowledge of the technical and economic environment of E&P.
Course Content
PRODUCTION SHARING AGREEMENTS (PSA)
-
Duration : 1 Day
Introduction
Origins, concept and scope of the PSA.
Comparison of PSA to other contracts.
Contents and structure of a typical PSA.
PSA mechanisms
Cost oil, profit oil split, “Government Take”.
Bonuses, first tranche petroleum, tax holiday, cost recovery ceilings, uplifts, investment credits, government “back-in”.
Typical PSA cash flow forecast chart.
Case study: comparative reading of a mining law and a PSC.
MAIN ARTICLES OF AN E&P CONTRACT
-
Duration : 1 Day
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.
Real-life examples from the news.
JOINT OPERATING AGREEMENTS (JOA)
-
Duration : 1 Day
Introduction:
The purpose of the joint ventures and use of a JOA.
The relationship of the JOA to other oil industry contracts.
Structure of a JOA, definitions and terminologies.
The operator: appointment, rights and duties, liabilities, responsibilities, resignation, removal.
The partners:
Rights and duties, liabilities, responsibilities.
The operating committee and sub committees.
Establishment, powers and duties, notices, voting procedures, impact of voting, pass-mark.
Case study: discussing the main articles of a selected Joint Operating Agreement (JOA).
Learning Objectives
Attendees will be able to implement the following skills:
Identify the main concepts, principles and articles of a Production Sharing Agreement which contractually binds petroleum companies with a ministry and/or a state oil company,
Evaluate the management of Petroleum Exploration and Production partnerships to successfully find and produce hydrocarbons,
Discuss the practical aspect of contracts: identifying key issues, understanding constraints and deadlines, getting familiar with the document.
Ways & Means
Case studies.
Exercises on Production Sharing Contracts.
Analysis of Joint Operating Agreements.
Examples of petroleum laws and fiscal regimes around the world.
Learning assessment
Participants will be evaluated during the training through quizzes and case studies.
More
Coordinator :IFP Training trainers having expertise and experience in the legal framework of exploration-production activities.
To French entities : IFP Training is referenced to DataDock ; you may contact your OPCO about potential funding.
Please contact our disabled persons referent to check the accessibility of this training program : referent.handicap@ifptraining.com