Joint Development: An Alternative Legal Approach to Oil and Gas Exploitation in the Nigeria-Cameroon Maritime Boundary Dispute?

2006 ◽  
Vol 21 (4) ◽  
pp. 489-522 ◽  
Author(s):  
Chidinma Bernadine Okafor

AbstractThe delimitation of a maritime boundary is not necessarily a panacea for disputes over offshore resources. Neither petroleum reserves, which are fugacious in character, nor fish or marine mammals respect national boundaries. Even successful delimitation may still require a degree of close cooperation if opposite or adjacent states are to exploit such transboundary resources rationally. Such cooperation can be achieved by the concept of joint development. This paper reviews the literature on the joint development of offshore petroleum resources and the controversy surrounding the concept. The paper further examines its applicability as an alternative approach to the Nigeria-Cameroon maritime boundary dispute.

2021 ◽  
Author(s):  
Mendos James

Abstract Unitisation has evolved globally as the best mechanism for the joint development of hydrocarbon bearing reservoirs that straddle two or more concessions or licenses. The concept of unitisation is underpinned by the need to avoid competitive exploitation of hydrocarbon resources, maximise its economic recovery, eliminate proliferation of production facilities and reduce development and operating cost.1 The practice of unitisation in the Nigerian oil and gas landscape has gained traction over the years with several straddle fields identified as candidates for unitisation and more than ten (10) agreements for joint development (both Pre Unitisation Agreements and Unitisation and Unit Operating Agreements) executed in the industry. This has occurred under a regulatory regime for unitisation that has evolved from the concise provisions of Section 48 of the Petroleum (Drilling and Production) Regulation 1969 as amended, to the robust Guidelines for Unitisation issued by the Department of Petroleum Resources (DPR) in 2008 (revised in 2019) (Guidelines) in response to the complexities of joint development encountered by parties. While the Guidelines is an excellent attempt at providing a process for unitisation, it does not provide sufficient guidance on the contract regime for unitisation as the bedrock for joint development. A critical look at the contracts governing joint development in the light of global best practices is important to ensure that it meets in an effective manner the objectives of unitisation. A review of the contract regime for unitisation would be incomplete without recognising the impact that underlying contracts governing separate concessions have on unitisation. To this end, the posture of Production Sharing Contracts (PSCs) on gas development in a unit is worth reviewing in the light of the benefits of commercialising gas to the State and the Contractor. This paper reviews the contract regime for unitisation in Nigeria as regulated by the Guidelines and the impact that underlying contracts (particularly PSCs) have on unitisation. The paper will proffer recommendations for inclusion in the Guidelines with a view to improving the process of joint development of shared reservoirs in Nigeria.


2002 ◽  
Vol 17 (1) ◽  
pp. 79-122 ◽  
Author(s):  

AbstractA new Timor Sea Arrangement is to be adopted by Australia and East Timor upon East Timor's full independence. It is a potentially significant achievement in the prospects for joint development of the petroleum resources in the Timor Gap. This article analyses the legal implications of this latest development in the Timor Gap saga. The new Arrangement implements a modified version of the joint development principle enshrined by the earlier 1989 Timor Gap Treaty much more favourably to the imminent East Timor state. However, the uncertain legal status of the new Arrangement raises questions as to its continuing viability following East Timor's independence. Analysis of this Arrangemcnt suggests that it is sufficiently robust to stand the test of time. More generally, it can now be argued that joint development is mandated under international law as a viable legal alternative to straightforward continental shelf boundary delimitation in the presence of common hydrocarbon deposits.


2020 ◽  
Vol 58 (3) ◽  
pp. 397-424
Author(s):  
Jesse Salah Ovadia ◽  
Jasper Abembia Ayelazuno ◽  
James Van Alstine

ABSTRACTWith much fanfare, Ghana's Jubilee Oil Field was discovered in 2007 and began producing oil in 2010. In the six coastal districts nearest the offshore fields, expectations of oil-backed development have been raised. However, there is growing concern over what locals perceive to be negative impacts of oil and gas production. Based on field research conducted in 2010 and 2015 in the same communities in each district, this paper presents a longitudinal study of the impacts (real and perceived) of oil and gas production in Ghana. With few identifiable benefits beyond corporate social responsibility projects often disconnected from local development priorities, communities are growing angrier at their loss of livelihoods, increased social ills and dispossession from land and ocean. Assuming that others must be benefiting from the petroleum resources being extracted near their communities, there is growing frustration. High expectations, real and perceived grievances, and increasing social fragmentation threaten to lead to conflict and underdevelopment.


2014 ◽  
Vol 29 (2) ◽  
pp. 193-243 ◽  
Author(s):  
Robert C. Beckman ◽  
Clive H. Schofield

In the face of seemingly intractable territorial and maritime disputes in the South China Sea, the article examines how the 1982 United Nations Convention on the Law of the Sea (losc), sets out what maritime claims States can make in the South China Sea and how it establishes a framework that will enable States to either negotiate maritime boundary agreements or negotiate joint development arrangements (jdas) in areas of overlapping maritime claims. It provides an avenue whereby the maritime claims of the claimants can be brought into line with international law, potentially allowing for meaningful discussions on cooperation and maritime joint development based on areas of overlapping maritime claims defined on the basis of the losc.


2021 ◽  
Author(s):  
Lilibeth Chiquinquira Perdomo ◽  
Carlos Alvarez ◽  
Maria Edith Gracia ◽  
Guillermo Danilo Salomone ◽  
Gilberto Ventuirini ◽  
...  

Abstract As other companies registered in the US stock market, the company reports oil and gas reserves, in compliance with the definitions of the Securities and Exchange Commission (SEC). In addition, it complies internally with the guidelines established by the Petroleum Resources Management System to certify its resources. The PRMS focuses on supporting consistent evaluation of oil resources based on technically sound industry practices, providing fundamental principles for the assessment and classification of oil reserves and resources, but does not provide specific guidance for the classification and categorization of quantities associated with IOR projects. Recently, the company has implemented EOR pilot projects, and their results seem to show commerciality for future development or expansion to new areas, displaying multiple opportunities and proposals to incorporate reserves and resources. So far, the pilot projects and their expansions have been addressed only from the point of view of incremental projects, as an improvement over the previous secondary recovery. The company does not have sufficient track record in booking reserves or resources from EOR projects, their quantities have been incorporated following bibliographic references and results of EOR projects with proven commerciality around the world. For this reason, the need arose to have a tool that provides the company with methodological criteria to evaluate the resources and reserves inherent in this type of project, that incorporate the "best practices" of the industry and that respect the guidelines and definitions of PRMS for incremental projects. That was how, the need to meet this challenging goal led company to develop its "EOR Resources and Reserves Assessment Guide" with the advice of a renowned consulting company. Although the Guide is not intended to be a review of the large body of existing IOR literature, it contains several useful references that serve as a starting point for understanding the IOR project for assessment process of resources and reserves. This document shows the process of development and implementation of the EOR guide, complementing the existing guides within the corporation and providing the company with a positive result within the internal processes of Audit, reserves and resources for this type of projects.


2020 ◽  
Author(s):  
Sanaa Taha Alharahsheh ◽  
◽  
Feras Al Meer ◽  
Ahmed Aref ◽  
Gilla Camden

In an age of social transformation characterized by globalization, wireless communication, and ease of travel and migration, more and more people around the world are marrying across national boundaries. This has occurred worldwide with the Gulf Cooperation Council (GCC) as no exception to this trend. As with the rest of the GCC, Qatar has witnessed remarkable social changes because of the discovery of petroleum resources that have affected the daily lives of people within Qatar in myriad ways. This includes marriage patterns, whereby cross-national marriages (marriages with non-Qataris) have shown a marked increase during the past few years, reaching 21% of total Qatari marriages in 2015 compared with only 16.5% in 1985.


2002 ◽  
Vol 40 (1) ◽  
pp. 83
Author(s):  
Raymond E. Quesnel

This article examines the current core legislation that governs oil and gas activity in Canada's North. While there has been increased industry interest in the Northwest Territories, there has thus far been a lack of actual oil and gas projects against which to measure the efficacy of the current regime in the context of northern development. An historical analysis of the legislative developments indicates that the northern regime formed the basis for the legislative framework now governing east coast megaprojects. The author evaluates the current basis on which rights are granted and recorded, the tenure system, the royalty regime, and the project approval process. He concludes that, while the northern regime is suitable for large scale developments, it may require certain changes to accommodate smaller, more conventional projects likely to be undertaken.


2018 ◽  
Vol 7 (1) ◽  
pp. 7-10
Author(s):  
Judit Toth ◽  
Sandor Szlovák ◽  
Robert Magda

Abstract The model of Blue Economy by G. Pauli is inspired by nature. Its main task is to develop innovative methods based on the use of available resources and the use of nature-based solutions. The principle of Blue Economy requires close cooperation of research and development and business activities; and it seeks implementation options in the structure of local economies. Based on the theory known as ‘blue economy’, in order to overcome certain problems of mankind – for example, energy production and consumption –, we must recognize and use some methods given to us by nature. This may be provided to us by new innovations that think according to system theory, that is, occupy the exceptionally effective self-regulating processes of nature in the economy. Methanol may play a key role in succeeding sustainability regarding nature, economy and society. Methanol economy can contribute to reducing human impacts on Earth’s climate by reversing atmospheric carbon dioxide, and it provides the opportunity to get rid of our dependence on dwindling oil and gas resources.


2021 ◽  
Author(s):  
Aen Nuril Hadi ◽  
Stephen Leonardo ◽  
Khairul Anwar ◽  
Tuan Manotar Aritonang ◽  
Devialina Puspita Dewi ◽  
...  

Abstract Managing oil and gas reserves and resources of Pertamina, an Indonesia state owned energy company, has always been challenging processes as the company's portfolio is sparsely located throughout Indonesia. Moreover, since November 2013 the company has also managed its international assets spread across three regions, namely Africa, Asia, and Middle East. In total, there are ~480 fields and ~870 geological structures with different degree of geological background, environment, uncertainty, and maturity of the fields/projects. Obviously, to cope with all those complexities, Reserves Management Department need to figure out its way to properly manage reserves and resources of the company. Reserves and resources of oil and gas is a key strategic priority of the company. It is aligned with both portfolio management and development and production of the assets. Company decision in terms of work program and budget is also mainly derived from reserves and resources potential of the projects. Therefore, to obtain a standardized reserves and resources management, the company has launched company guideline which is mainly influenced by SPE Petroleum Resources Management System (SPE-PRMS, 2007). SPE-PRMS is a project-based system, where reserves and resources estimation, categorization, and classification are on project basis. To properly manage all the projects, since 2019, Reserves Management Department introduced a tool named Project Box which enable reserves analyst to properly map all the projects, evaluate the portfolio, and monitor the progress of the project both in development and exploration phase. Furthermore, to be aligned with company's digitalization campaign, all the reserves and resources data, Project Box, and many other strategic information are stored and maintained in an in-house software named Promyst which will be launched in early 2021. This tool will enhance data accessibility for both management and analyst, increase data integrity and security, provide data analysis platform, moreover this software could also generate cost efficiency for the company. In 2017, along with the final version of the company guideline, the company has fully adapted PRMS. This paper will explain how the company adapt PRMS to its company guideline in which some necessary adjustments took place with respect to company's business processes, the application of Project Box throughout all company's subsidiaries, and implementation of Promyst along with its features and future projection of the software. The result and benefit of implementing those items will be explained in this paper. These extensive works performed by the Reserves Management Department contribute significantly to the company not only for technical but also for commercial aspects therefore promoting a good corporate strategic planning and decision making.


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