Joint Operating Agreements: A Comparison Between the Ioc and Noc Perspectives

1. Auflage 2015
ISBN: 978-1-909416-30-7
Verlag: Globe Law and Business Limited

Buch, Englisch, 299 Seiten, Format (B × H): 162 mm x 240 mm, Gewicht: 642 g

Historically, oil and gas upstream activities were largely open to foreign investment. However, nationalisation in recent decades has concentrated the vast majority of natural resources in the hands of national oil companies (NOCs). Therefore, independent oil companies (IOCs) are increasingly likely to deal with NOCs as a partner.

The joint operating agreement (JOA) was intended as a private document that regulates relationships between private investors. Recent developments under several local laws require the participation of NOCs at some stage of the JOA. In addition, many NOCs are now operating internationally, such as Statoil, Gazprom and CNPC. JOAs will thus be affected, as public or semi-public entities are more likely to be party to a document which was originally constructed for private investors.

This major work analyses the critical concerns and challenges that IOCs and NOCs face in this new type of consortium, and will ultimately suggest alternative solutions to find common ground between these parties. The book is divided into three chapters, which respectively deal with the conduct of operations, the financial issues relating to the consortium and the boilerplates of the agreement. Each chapter will include analysis from the perspectives of four different types of company - large IOCs, large NOCs, young IOCs and young NOCs. This approach will provide a detailed picture of the JOA from the point of view of all players in the oil and gas industry, from small to large companies and private to public entities.

The book serves as an invaluable guide for IOCs, independents, NOCs, consultants, legal advisers and consultants who need to understand the implications of having an NOC as a party to a JOA.

Autoren/Hrsg.

Pereira, Eduardo

Ovcharova, Anna

Fachgebiete

• Rechtswissenschaften Internationales Recht und Europarecht Internationales Recht Internationales Handels-, Wirtschafts- und Gesellschaftsrecht
• Wirtschaftswissenschaften Wirtschaftssektoren & Branchen Energie- & Versorgungswirtschaft Öl- und Gasindustrie

Inhaltsverzeichnis

Introduction

Chapter one:

Conduct of operations 7

1 Scope 10
Eduardo G Pereira

2 Working interest 14
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3 Liability 18
Eduardo G Pereira

4 Operatorship, removal and replacement 34
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5 Information 56
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6 Operating committee (Opcom) 60
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7 Award of contracts 83
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8 Exclusive operations 103
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9 Secondment, project team and staffing 146
Anna Ovcharova

10 Local content 155
Anna Ovcharova

11 Health, safety and environment 158
Anna Ovcharova

12 Disposition of production 162
Anna Ovcharova

13 Relinquishment, surrender and withdrawal 172
Anna Ovcharova

Chapter two:

Funding & Accounting 181
1 Work programme and budget 181
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2 Authorisation for expenditure 197
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3 Insurance 221
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4 Decommissioning 224
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5 Default 228
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6 Cash calls 247
Anna Ovcharova

7 Cost recovery 253
Anna Ovcharova

8 Overheads 258
Anna Ovcharova

9 Accounting 266
Anna Ovcharova

10 Commingling of funds 272
Anna Ovcharova

11 Tax 276
Eduardo G Pereira

Chapter three:

Boiler plates 279

1 Governing law 279
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2 Dispute resolution 281
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3 Termination 289
Anna Ovcharova

4 Force Majeure (chance occurrence) 290
Anna Ovcharova

5 Assignment 293
Anna Ovcharova

6 Intellectual property rights 296
Anna Ovcharova

About the authors 299