International Petroleum Fiscal Systems

Audience

The course is suitable for delegates of all technical and commercial disciplines from oil and gas companies, governments, banks, legal and accounting organizations.

Content

The aim is provide delegates with a thorough understanding of petroleum fiscal systems to enable them to interpret contracts, negotiate terms and build economic models. Delegates will:

  • Understand the evolution of, and differences between, petroleum fiscal systems globally: production sharing contract (PSC), tax & royalty systems, risk service contracts and pure service contracts
  • Understand the structure of the PSC
  • Calculate with confidence cost recovery, profit sharing and bonuses
  • Examine sliding scale fiscal mechanisms including R-factor and rates of return methods
  • Carry out taxation and royalty calculations applying capital allowances and depreciation
  • Understand the key differences in reserve bookings under the different systems
  • Look at examples across the globe illustrating the different concepts drawing on CGG’s extensive fiscal database
  • Construct a PSC model, derive relevant economic metrics, apply sensitivities and draw valuation conclusions to aid decision-making
  • Understand government take and the different methods of calculation
  • Design their own fiscal system to assess contractor/government take in a ‘classroom competitive bid’
  • Understand how PSC and tax ring-fencing can add value to the asset

Delegates will be provided with electronic copies of workshop solutions and examples. They will all have a comprehensive hard copy course manual.
  

Duration

5-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

The course is suitable for delegates of all technical and commercial disciplines from oil and gas companies, governments, banks, legal and accounting organizations.

Content

The aim is provide delegates with a thorough understanding of petroleum fiscal systems to enable them to interpret contracts, negotiate terms and build economic models. Delegates will:
- Understand the evolution of, and differences between, petroleum fiscal systems globally: production sharing contract (PSC), tax & royalty systems, risk service contracts and pure service contracts
- Understand the structure of the PSC
- Calculate with confidence cost recovery, profit sharing and bonuses
- Examine sliding scale fiscal mechanisms including R-factor and rates of return methods
- Carry out taxation and royalty calculations applying capital allowances and depreciation
- Understand the key differences in reserve bookings under the different systems
- Look at examples across the globe illustrating the different concepts drawing on CGG's extensive fiscal database
- Construct a PSC model, derive relevant economic metrics, apply sensitivities and draw valuation conclusions to aid decision-making
- Understand government take and the different methods of calculation
- Design their own fiscal system to assess contractor/government take in a 'classroom competitive bid'
- Understand how PSC and tax ring-fencing can add value to the asset

Delegates will be provided with electronic copies of workshop solutions and examples. They will all have a comprehensive hard copy course manual.

Learning Objectives

Duration

5-day

Number of Participants

Max 20

Prerequisites

Excel: working knowledge

Software Used

None

Course Format

Classroom delivery with presentations, practical exercises and modelling workshop

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.