The idea for this article arose from the publication in September 2009 of full commercial terms and cash flow analysis for a Production Sharing Contract (PSC) signed by the Iraqi Kurdistan Regional Government (KRG) and Shamaran Petroleum Company. The Shamaran documents offer a rare glimpse of the detailed commercial terms of one of the KRG’s PSCs. The model PSC published by the KRG lacks the precise commercial terms (in particular cost recovery limit and profit oil parameters) to permit third parties to analyze the contracts. These terms and the published terms of the Technical Service Contracts (TSCs) signed by the Ministry of Oil in Baghdad provide enough information for a comparison of the two contract forms.

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