About this Training Course
Nearly half of the world’s petroleum regimes involve some form of production sharing between Contractors and their Host Country. This 3-day course examines the operational, fiscal and legal aspects of the different types of Production Sharing Contracts (PSC) in use around the world.
The Fiscal System of the PSC is analysed using discounted cash-flow model to illustrate the impact on investment criteria such as net present value, internal rate of return and pay-out from changes in factors such as cost recovery, profit sharing, royalty and income tax.
In addition to the provisions within the four-corners of the PSC, the agreements related to the various stages of petroleum operations such as Bidding, Exploration, Development, Production and Decommissioning are examined. They include joint venture operations, drilling and well services and agreements for the sale of crude oil and natural gas. Discussions of these agreements will be illustrated with the use of detailed Checklists.
The final session covers emerging issues that will impact the future of PSC operations such as International Dispute Resolution, transfer of Late Life Assets, Global Climate Change, and International and Bilateral Investment Treaties and Trade Sanctions.
By the end of this course, participants will be able to:
- Understand the types of PSCs used by host governments to promote the exploration and development of their petroleum resources
- Discuss and apply economic decision-making criteria that is relevant to petroleum development
- Understand the various types of commercial agreements related to petroleum operations under a PSC
- Develop a strategy for negotiating the terms and conditions of the PSC and related agreements
- Effectively participate in operational decisions concerning emerging issues that affect PSC operations
This course will benefit:
- Commercial managers in the oil and gas sector looking to improve their contract negotiation skills and overall commercial performance
- Contract managers for operators or national oil companies
- Policy makers and regulators in the petroleum sector
- Legal practitioners looking to specialise in petroleum agreements
- Insurance and risk managers looking to reduce the legal and contracts risks for their companies
Your expert course leader is an international legal expert in petroleum law who is based in Scotland. He received the degrees of Juris Doctor from the University of Wyoming and LLM-Energy Law from the University of Utah. He has been listed in the Guide to the World’s Leading Energy and Natural Resources Lawyers. In over 30 years of practice, he has been chief legal officer in petroleum companies, consultant to development banks and aid programmes, and law professor.
His private sector experience included positions as General Counsel of the Petroleum Corporation of New Zealand and Chief Legal Officer for Sinclair Oil Corporation in the United States. He has been a consultant to the Asian Development Bank, The World Bank and the European Investment Bank on petroleum sector policy, gas sales agreements, and production sharing contracts. This has included assignments in Cambodia, Bangladesh, India, Indonesia, Laos, Pakistan, Papua New Guinea, Philippines and Vietnam.
Your expert course leader has been an adviser and trainer on negotiations for various petroleum companies including BP, BG Group, Gazprom, KazMunayGas, Perushaan Gas Negera, Pertamina, PETRONAS, Philippine National Oil Corporation, Total, Shell and Statoil. He was appointed by Economic Community of West African States (ECOWAS) as the lead negotiator on behalf of four West African governments for the West African Gas Pipeline Project.
His academic credentials include appointment as Distinguished Visiting Professor for Oil & Gas Law at the University of Wyoming. He is currently Honourary Professor for International Petroleum Law at the University of Dundee Centre for Energy, Petroleum & Mineral Law and Policy. At CEPMLP, he has been the Course Director and principal instructor for seminars on Petroleum Industry Negotiations, Petroleum Service Contracts, Gas Industry Contracts, and Downstream Petroleum Law. He is the course author of International Comparative Petroleum Law. His publications include A Framework for Negotiating and Documenting International Petroleum Transactions and A Framework for Negotiating and Managing Production Sharing Contracts and Related Agreements. His academic work has been published in the Land and Water Law Review, Tulsa Law Journal and Journal of Comparative and International Law.