Economic Aspects of Taxation & Royalty Systems

Audience

This course is designed for those working in the upstream industry who are not familiar with taxation and royalty systems and require a working knowledge and practical application of the structure, fiscal calculations and economic outputs. The course has a global outlook where numerous worldwide examples are drawn on and fiscal take comparisons made. It is suitable for delegates from all technical and commercial disciplines.

Content

  • Understanding of the evolution of global fiscal systems
  • The fundamentals of economic analysis (cashflow, cost of capital, NPV, rate of return etc)
  • Different methods of applying government royalty
  • Field-based taxes
  • Calculation of taxation including allowances, depreciation and tax losses
  • Taking advantage of tax ring fencing terms to add value to the asset
  • Examine sliding scale fiscal mechanisms including R Factor and rates of return methods
  • How to optimize fiscal terms from both investor and government perspective
  • Construction of a tax/royalty spreadsheet model, the derivation of relevant economic metrics, application of sensitivities and the drawing of conclusions to aid decision-making

Duration

3-day

Number of Participants

Max 20

Prerequisites

Excel™: working knowledge

Software Used

None

Course Format

Classroom delivery with presentations, practical exercises and modelling workshop

Audience

This course is designed for those working in the upstream industry who are not familiar with taxation and royalty systems and require a working knowledge and practical application of the structure, fiscal calculations and economic outputs. The course has a global outlook where numerous worldwide examples are drawn on and fiscal take comparisons made. It is suitable for delegates from all technical and commercial disciplines.

Content

Understanding of the evolution of global fiscal systems The fundamentals of economic analysis (cashflow, cost of capital, NPV, rate of return etc) Different methods of applying government royalty Field-based taxes Calculation of taxation including allowances, depreciation and tax losses Taking advantage of tax ring fencing terms to add value to the asset Examine sliding scale fiscal mechanisms including R Factor and rates of return methods How to optimize fiscal terms from both investor and government perspective Construction of a tax/royalty spreadsheet model, the derivation of relevant economic metrics, application of sensitivities and the drawing of conclusions to aid decision-making



Duration3-dayNumber of ParticipantsMax 20PrerequisitesExcel™: working knowledgeSoftware UsedNoneCourse FormatClassroom delivery with presentations, practical exercises and modelling workshop

Learning Objectives

Duration

Number of Participants

Prerequisites

Software Used

Course Format

Find Out More

CGG GeoTraining offers the most comprehensive industry training based on years of practical experience acquired by our personnel.

Our proprietary courses are fully customizable and can be offered at a time and location convenient to you. Please request a course for more information.