Production Sharing Contracts Sample Clauses

Production Sharing Contracts. (a) All financial and work commitments due and required to be fulfilled under the Production Sharing Contracts have been fully performed. (b) As of the date hereof, each of the Production Sharing Contracts is in full force and effect and no member of the Addax Group, and to the knowledge of Addax, no other party is, in default of any Production Sharing Contract.

Production Sharing Contracts. The Qinnan PSC and that certain Production Sharing Contract for Exploitation of Coalbed Methane Resources for the Shouyang Area in Shanxi Province, Qinshui Basin, the People’s Republic of China, dated April 16, 2002, by and among China United Coalbed Methane Corporation Ltd. and ▇▇▇▇▇▇▇▇ China Inc., each as amended prior to the date hereof, are in full force and effect and no notice of default, termination, or breach thereunder has been received by the Company nor, to the best knowledge of the Company, any other party thereto.

Production Sharing Contracts. In the international petroleum industry, production sharing agreements (PSAs) or production sharing contracts (PSCs) are the most common type of oil and gas contract.2 The PSC could be for exploration, development and production (EPSC) of a certain field, or it could be for no exploration, but only for the development, which is known as development and production sharing contract (DPSC).3 ▇▇▇▇▇▇▇▇ argues that at first, Bolivia used PSCs and then adopted by Indonesia in the 1960s.4 Besides, ▇▇▇▇▇▇▇▇▇▇▇ at a seminar on the PSCs in 1998 stated that the first concept for production sharing was used in the beginning of the 1950s in Bolivia, however, PSCs in their current form were successfully applied in 1960s in Indonesia.5 Artono argues that the first PSC was signed in September 1961 between Permina and Asamera Oil (ind) Ltd., in North Sumatra, Indonesia.6 However, ▇▇▇▇▇▇▇▇ states that "[t]he first modern PSC was signed in 1966 [on 18 August in respect of the Offshore Northwest Java Block that called the ONWJ PSC7] between the Independent Indonesia American Petroleum Company (IIAPCO) and Permina, Indonesia’s National Oil Company at the time." 8 Moreover, ▇▇▇▇▇ and ▇▇▇▇▇▇▇, 9 ▇▇▇▇▇▇▇, 10 Ikwan and ▇▇▇▇▇▇▇ 11 declare that PSC was first introduced in Indonesia in 1966. Hence, in the mid 1960, it became the blue print of Indonesia’s Model PSC and standard petroleum fiscal regime in what is now regarded as the modern form and many other countries* then followed this form.12 PSCs may be the best approach to enhance developmental interests whereby a large exploration risk exists. This type of contract recognizes that the ownership of the natural resources rests with the host State but it permits a contractor to manage and operate the development of the oil field at the same time.13 ▇▇▇▇▇▇ ▇▇▇▇▇ states that “the contractor explores for, develops, and produces hydrocarbons. An agreed upon share of gross hydrocarbons revenues, often referred to as cost oil, is made available to the contractor for recovery of exploration, development, and operating costs.”14 One of the best definitions of a PSC is ▇▇▇▇▇’▇ definition who defines it as: A contract between a state and an investor, in which the investor at his own cost and risk agrees to explore, develop and produce petroleum resources for the state for a specified period of time. In return, the state rewards the investor with a share of the petroleum resources. The investor is usually first given “cost oil” to cater for th...