The Production Sharing Contract is perhaps one of the most fundamental forms of contract to be found in the International Oil and Gas Industry. ..
Nevertheless, it is without a doubt one of the most centrally significant legal agreements to be found. The purpose of any contract is to establish what the rights; duties and obligations of the parties are in terms of both performance and conduct. PSC’s normally involve the granting of certain rights (exploration and production) from a Host Government to an International Oil Company (IOC) in order to search for and develop hydrocarbon resources. They are high value; represent a significant investment (for the IOC); tend more towards the longer term and often have a higher risk profile. This course has been specifically designed to provide the delegate with a clear insight into some of the central issues and mechanisms that define a PSC. The course is an immersive experience with case studies and exercises throughout.
Understand why a PSC is of central importance to the International O&G industry
Grasp what is meant by the term ‘Contract Area’
Become familiar with the time elements of a PSC
Know what a relinquishment is and how they operate