How does a production sharing contract work?

How does a production sharing contract work?

Production Sharing Contract (PSC) is a contractual arrangement for exploration and production of petroleum resources where the contractor undertakes all the financial, technical and operational risks associated with petroleum operation in return for a share of profit oil after payment of royalty, cost and tax oil.

What is a PSA energy?

ENERGY STAR PSAs represent the growing number of people across America who are making a simple choice – to save energy at home and at work, and protect the climate for future generations. The campaign encourages YOU to join the millions who have already made ENERGY STAR the simple choice for energy efficiency.

What is PSA agreement?

A professional services agreement (PSA) is a form that firms or consultants can use to create a contractually binding arrangement with a highly skilled business or individual. These agreements usually cover single projects with defined scopes or timelines.

How do you write a profit sharing agreement?

A Profit-Sharing Agreement template should contain several sections, which can include the following:

1. Introduction.
2. Nature of the Relationship.
3. The Subject.
4. Parties’ Rights and Responsibilities.
5. Governing Law.
6. Contact Information.
7. Signatures.

What does PSA mean on oil?

Production sharing agreements (PSAs) or production sharing contracts (PSCs) are a common type of contract signed between a government and a resource extraction company (or group of companies) concerning how much of the resource (usually oil) extracted from the country each will receive.

What is a joint venture agreement in Nigeria?

JOINT VENTURES IN NIGERIA. A joint venture is a business entity/ agreement entered into or created by two or more parties to accomplish a specific task or business goal while retaining their separate identities.

What is the cost oil?

1. n. [Oil and Gas Business] A portion of produced oil that the operator applies on an annual basis to recover defined costs specified by a production sharing contract. See: production sharing contract, profit oil. © 2022 Schlumberger Limited.