The Road To First Oil

Introduction Column 19 last week summarised how petroleum produced is shared between the Contractor and Guyana represented by the Minister.

Part 19 Disposal of Production Recall that under a production sharing contract, costs are deducted from the value of production to arrive at profit oil to be shared between the contractor and the Government of Guyana in the proportion set out in the contract: Article 11.6.

Trotman and Turbot The good news This column keeps meeting distractions from week to week.

Introduction Today’s column looks at what is called Cost Oil, both in the petroleum industry around the world and in the Petroleum Agreements signed by Guyana with contractors.

Trotman’s new Agreement Today’s column seeks to address an issue which has largely gone under the radar because Mr.

There is a wide variety of petroleum contracts which countries, with the single exception of the USA, may choose to adopt.

The importance of royalty In the last column which appeared on August 17, I indicated that I would touch next on royalty in petroleum contracts.

Introduction Much is being made of the world class calibre of the advisers to the Granger Administration and Minister Raphael Trotman as they construct a path to First Oil in 2020.

The column today seeks to demystify the question of taxation and the oil companies.

Part 11   Today we conclude our review of the Petroleum Commission Bill which was begun last week in Part 10.

Part 10 The contract confidentiality debate The petroleum contracts signed with oil companies has featured prominently in public discussions and letters in the print media during this week.

Introduction The absence of or rather failure to appoint inspectors and a Chief Inspector was highlighted in last week’s column.

Introduction Today we turn our attention to how the country, and more particularly the PPP/C Government and the APNU+AFC Coalition Government have managed the country’s potential and discovered petroleum resource.

In today’s column we conclude our review of the science and technology which goes into the prospecting, exploration, development and production of petroleum products.

Part 6 – June 30, 2017 You will have noted that the title of the column this week has been changed from Oil and Gas – the new Economic Horizon.

Local Content So far, these columns have taken a narrative approach and it was intended that once all the information was placed on the table, some analysis, both critical and policy directed, could be undertaken.

“We use or produce oil but the contracts that make it all possible have been secret.

“There are not many places left on earth where you can put together an acreage portfolio like this ….

The second in this series of columns on Oil and gas turns its attention to the legislative and regulatory framework for the exploration and production of oil and gas in Guyana.

As Guyana moves to First Oil – that long dreamt event with the possibility of transforming our country – it is hoped that this column will contribute to a better understanding of the vast opportunities and the unobtrusive pitfalls that await us.