A Hybrid Petroleum Fiscal System for Investment in the Exploration and Production E&P of Hydrocarbon

2021 ◽  
Author(s):  
Oghenerume Ogolo ◽  
Petrus Nzerem ◽  
Ikechukwu Okafor ◽  
Raji Abubakar ◽  
Mohamed Mahmoud ◽  
...  
Keyword(s):  
Oil Field ◽  
Cost Recovery ◽  
Oil Price ◽  
Government Revenue ◽  
Profitability Analysis ◽  
Fiscal System ◽  
Exploration And Production ◽  
Host Government ◽  
The Cost ◽  
Spreadsheet Modelling

Abstract Globally, there are two types of petroleum fiscal system; the concessionary and the contractual petroleum fiscal system. The main differences between the two types of petroleum fiscal system is the ownership of the resources and some distinct fiscal terms. The contractual petroleum fiscal system specifies a cost recovery option and profit oil split unlike the concessionary petroleum fiscal system that allows the contractor to recoup his capital before payment of tax. This tends to increase the risk associated with the host government revenue as investment in the production of hydrocarbon is filled with uncertainties. There is a need to redesign the concessionary petroleum fiscal to enable it reduce the risk associated with the host government revenue by making the host government to earn revenue early from petroleum investment. This research therefore evaluated a hybrid petroleum fiscal system for investment in the exploration and production of hydrocarbon. The concessionary petroleum fiscal system was adjusted to include a cost recovery option. Petroleum economic model for investment in a typical onshore oil field was built using spreadsheet modelling technique with the fiscal terms in the hybrid petroleum fiscal system embedded in it. The cost recovery option and oil price in the model were varied between 0-100% and $20-$100 per barrel. The NCF, IRR and payout period of the investment were determined. It was observed that the lower the cost recovery option, the higher the host government revenue. From the profitability analysis of the investment in the hybrid petroleum fiscal system, it was observed that when the price of oil was $100/bbl, the NCF of the host government was $9146 and $8426.3 for 0% and 80% cost recovery option. The lower the cost recovery option, the higher the payout period and the lower the internal rate of return. Though lower cost recovery increased the host government revenue more but it may make the hybrid petroleum fiscal system unattractive for investment in periods of low oil price. Hence a higher cost recovery option was recommended for the use of this type of petroleum fiscal system.

Conventional and unconventional hydrocarbon resource economics

2015 ◽  
Vol 55 (2) ◽  
pp. 410
Author(s):  
Bob George ◽  
Florent Rousset ◽  
Cecilia Jing Cui ◽  
Tianjiao Yan
Keyword(s):  
Regulatory System ◽  
Oil Field ◽  
Production Sharing ◽  
Provision Of Services ◽  
Exploration And Production ◽  
Resource Exploration ◽  
Contract Type ◽  
Host Government ◽  
Fiscal Regime ◽  
Unconventional Resource

The abundance of unconventional hydrocarbon resources in North America is not unique, though it is the only region that has seen significant progress in extracting and monetising these resources. Many countries have successful conventional exploration and production activities, and have developed suitable fiscal terms and governance models, but these models are challenged with the relevancy of these terms when applied to unconventional resource exploration, evaluation and development. This extended abstract reviews factors that are largely in the control of a host government (for example, the fiscal, licensing and regulatory system), and where challenges lie in cost disadvantages (the provision of services and infrastructure, for which different considerations and approaches need to be applied). It also compares the fundamental economic characteristics between similar-sized investments in an onshore unconventional play and in a conventional oil field in deepwater. Previously, the authors compared these investments in a US environment and the same characteristics will be used for examining typical terms in other environments around the world. By isolating impacts from leasing and fiscal terms, the economics will also be analysed before the overlay of fiscal terms, and then with a royalty/tax and a generic production sharing contract type of fiscal regime. The findings will help in understanding what can facilitate and accelerate the development of unconventional resources, and which enabling environments might be required to attract resources such as capital, technology and expertise.

ANALISA PERBANDINGAN LAPORAN KEUANGAN DAN RASIO KEUANGAN SEBAGAI ALAT UKUR KINERJA KEUANGAN PADA KOPERASI KARYAWAN SUCOFINDO (KOPERASI SUCOFINDO JAYA) TAHUN 2009 – 2011

2019 ◽  
Vol 9 (2) ◽  
pp. 35
Author(s):  
Sri Marti Pramudena
Keyword(s):  
Financial Performance ◽  
Balance Sheet ◽  
Fiscal Year ◽  
Percentage Increase ◽  
Net Worth ◽  
Average Value ◽  
Financial Position ◽  
Profitability Analysis ◽  
Equity Ratio ◽  
The Cost

This study aims to determine the financial position and financial performance Cooperative Sucofindo Jaya (KOPSUCOFINDO JAYA) from fiscal year 2009-2011 through a comparative analysis / comparisons and ratio analysis. From the research, the authors obtained a picture that results of the financial position and financial performance of KOPSUCOFINDO JAYA as follows: (1) To Horizontal Analysis of the Balance Sheet shows the overall unfavorable developments as the rise of short-term debt experienced a greater percentage increase than the increase in current assets (2) For Horizontal Analysis of the SHU, SHU in 2010 an increase of 125.38% compared to 2009 and in 2011 increased by 282.47% compared to 2009, but this increase was not followed by a reduction in the burden of cost of goods, especially business and this increase was obtained from the contribution percentage increase in other income. (3) For Vertical Analysis of the Balance Sheet shows that in terms of assets, current assets are assets that make up the largest component but also cause considerable investment value embedded in current assets and also showed asset turnover, receivables turnover and working capital is very low under 1 times. (4) For the SHU Vertical analysis shows that income JAYA KOPSUCOFINDO more than 85% absorbed in the Cost of Goods. (5) For liquidity analysis showed that highly liquid KOPSUCOFINDO JAYA obtain an average value above 400%. (6) For solvency analysis shows that the performance is not good / not solvable because the results of the analysis LITA average of above 95%, Total Debt to Equity Ratio in the top 2.000%, and Net Worth Debt Ratio to average below 4%. (7) For activity ratios indicate that the performance is not good for Turnover of Assets value of 1 times. (8) For the rentability analysis KOPSUCOFINDO JAYA show results for ROA of 0.86% (2009), 1.31% (2010), 1.18% (2011), ROE in 2009 is 14.81%, 26.43% in 2010 and 2011 amounted to 31.11%, for the ROI of 0.56% in 2009, in 2010 was 0.96% and by 0.93% in 2011. (9) For the analysis of profitability, for the analysis of GPM in 2009 amounted to 1.49%, in 2010 of 2.31% and 3.92% in 2011. As for the analysis of NPM in 2009 amounted to 0.97%, in 2010 by 1.70% and by 3.10% in 2011. Keywords:  Cooperative Financial Performance, horizontal analysis, vertical analysis, Analysis of Liquidity, Solvency Analysis, Activity Analysis, Profitability Analysis, profitability analysis

Water Pricing and Cost Recovery in Water Services in Portugal

2013 ◽  
Vol 10 (4) ◽  
pp. 333-354 ◽  
Author(s):  
Alexandra Aragão
Keyword(s):  
Water Pricing ◽  
Cost Recovery ◽  
Water Services ◽  
Member States ◽  
Economic Agents ◽  
European Water ◽  
Polluter Pays Principle ◽  
Resource Costs ◽  
The Cost

The European water directive forced the Member States to rethink the regulation of water services. Water pricing is now guided by the cost recovery principle. The costs to take into account are manly the environmental and resource costs, but also the financial ones. Portugal was no exception. The evolution from a heavily subsidized activity to a business bound by the polluter pays principle required fast changes and a somewhat difficult adaptation both of economic agents and households.

Penetapan Tarif Ambulans Untuk Evakuasi Medis Berbasis Unit Cost

2021 ◽  
Vol 7 (1) ◽  
pp. 167-173
Author(s):  
Kelvin Riupassa ◽  
Narizma Nova ◽  
Endah Lestari ◽  
Sri Juniarti Azis ◽  
Wahyu Sulistiadi
Keyword(s):  
Recovery Rate ◽  
Unit Cost ◽  
Cost Recovery ◽  
Maintenance Costs ◽  
Total Cost ◽  
Medical Evacuation ◽  
Operational Costs ◽  
Emergency Ambulance ◽  
The Cost ◽  
Cost Components

Background: An ambulance is a vehicle designed to be able to handle emergency patients, provide first aid and carry out intensive care while on the way to a referral hospital. Ambulance operations require a large amount of funds obtained from APBD funds through tariffs that were passed through the DKI Jakarta Governor Regulation five years ago. For this reason, a new tariff is required to adjust to current conditions. Objectives: The purpose of this study is to calculate the unit cost of ambulance services in DKI Jakarta to be a consideration in the tariff setting policy in DKI Jakarta province. Research Metodes: This study uses a quantitative descriptive approach to obtain information about the unit cost of the Jakarta ambulance production unit. The method used is the calculation of real cost using the basis of the causes of costs. This research was conducted at the DKI Jakarta Emergency Ambulance using secondary data on investment costs, operational costs and maintenance costs in 2018. Results: The total cost of emergency ambulance in 2018 is known that the proportion of three cost components, namely operational costs, is 76%, followed by investment costs of 20% and maintenance costs of 3%. The calculation of the total cost of medical evacuation using the double distribution method is Rp. 98,915,016,805.00 divided by the number of medical evacuations in 2018 of 37,564 activities, the unit cost of medical evacuation for the AGD of DKI Jakarta Health Office is Rp. 2,633,215.00 without subsidies. APBD costs, while if the subsidy component is included in the calculation, the unit cost for one trip to the AGD of the Health Office is Rp. 604,071.00. This is still far above the current tariff of Rp. 450.00, so the cost recovery rate (CRR) is still below. 100%. Conclusion: From the three cost components consisting of investment, operational and maintenance costs,the largest proportion was operational costs at 76%. The Cost Recovery Rate has not reached 100% so that the existing rates have not covered the costs incurred.   Keywords: ambulance; price fixing; unit cost

Impact of High Resolution 3D Geomechanics on Well Optimization in the Southern Gulf of Suez, Egypt

2021 ◽  
Author(s):  
Mohamed Elkhawaga ◽  
Wael A. Elghaney ◽  
Rajarajan Naidu ◽  
Assef Hussen ◽  
Ramy Rafaat ◽  
...  
Keyword(s):  
High Resolution ◽  
Pore Pressure ◽  
Cost Optimization ◽  
Oil Field ◽  
Wellbore Stability ◽  
Gulf Of Suez ◽  
Geomechanical Model ◽  
3D Geomechanical Model ◽  
The Cost ◽  
The Impact

Abstract Optimizing the number of casing strings has a direct impact on cost of drilling a well. The objective of the case study presented in this paper is the demonstration of reducing cost through integration of data. This paper shows the impact of high-resolution 3D geomechanical modeling on well cost optimization for the GS327 Oil field. The field is located in the Sothern Gulf of Suez basin and has been developed by 20 wells The conventional casing design in the field included three sections. In this mature field, especially with the challenge of reducing production cost, it is imperative to look for opportunites to optimize cost in drilling new wells to sustain ptoduction. 3D geomechanics is crucial for such cases in order to optimize the cost per barrel at the same time help to drill new wells safely. An old wellbore stability study did not support the decision-maker to merge any hole sections. However, there was not geomechanics-related problems recorded during the drilling the drilling of different mud weights. In this study, a 3D geomechanical model was developed and the new mud weight calculations positively affected the casing design for two new wells. The cost optimization will be useful for any future wells to be drilled in this area. This study documents how a 3D geomechanical model helped in the successful delivery of objectives (guided by an understanding of pore pressure and rock properties) through revision of mud weight window calculations that helped in optimizing the casing design and eliminate the need for an intermediate casing. This study reveals that the new calculated pore pressure in the GS327 field is predominantly hydrostatic with a minor decline in the reservoir pressure. In addition, rock strength of the shale is moderately high and nearly homogeneous, which helped in achieving a new casing design for the last two drilled wells in the field.

scholarly journals PROFITABILITY ANALYSIS OF MARKETING OF FROZEN FISH IN KADUNA METROPOLIS, KADUNA STATE, NIGERIA

2020 ◽  
Vol 4 (2) ◽  
pp. 577-583
Author(s):  
M. B. Usman ◽  
O. S. Aaasa ◽  
O. S. Balogun ◽  
U. F. Yahaya
Keyword(s):  
Tertiary Education ◽  
Primary Data ◽  
Integrated Marketing ◽  
High Concentration ◽  
Profitability Analysis ◽  
Multi Stage ◽  
Return On Capital ◽  
Result Show ◽  
Frozen Fish ◽  
The Cost

This study investigated the marketing of frozen fish in Kaduna metropolis, Kaduna state. Ten (10) markets were purposively selected due to high concentration of frozen fish marketers and the volume of trading activities; Primary data were generated through the use of structured questionnaire administered to hundred (100) randomly selected retailers and fifteen (15) purposively selected wholesalers. The data were analyzed using descriptive statistic, budgeting technique, net marketing and rate of return on capital invested. The result show that majority 80 percent and 53 of the retailers and wholesalers were female, Majority (70prcent) of the retailers had primary education but most of the wholesaler’s attained tertiary education. The frozen fish marketing channels identified in the area are made up of zero and multi stage channels. Furthermore, the cost and return analysis revealed that the wholesalers realized about N121, 000.00 naira while the retailers got N56, 000.00 naira per month while return to per capital invested (RPCI) was 11 kobo and 22 kobo per Naira invested for the wholesalers and the retailers respectively. This implies that the enterprise is profitable. Transportation difficulties and marketing charges ranked were major constraints confronting frozen fish marketers. It is recommended that provision of good roads network and formidable integrated marketing system will further improve the profitability of the enterprise in the study area.

Public-private partnerships: A profitability analysis of the partnerships in the energy sector in Albania

2021 ◽  
Author(s):  
Kostandin Nasto ◽  
Junada Sulillari
Keyword(s):  
Comparative Analysis ◽  
Negative Impact ◽  
Energy Sector ◽  
Future Generations ◽  
Public Private Partnerships ◽  
Public Finances ◽  
Profitability Analysis ◽  
The Future ◽  
The Government ◽  
The Cost

The aim of this study is to realize an analysis of public-private partnerships (PPPs) in Albania. Our focus will mainly be the PPPs in the energy sector. Public-private partnerships contracts have experienced a significant increase in the last decades in Albania. They have had a great impact on public finances of the country, this is why they have often been “attacked” for the negative impact that they might have on the actual and especially the future of the country. We will work to make a comparative analysis of the cost and benefits that Albania has had from signing these contracts. We will also work to analyze the management of these public-private partnerships during the pandemics, which will be helpful to reveal the possible difficulties that the government might have in managing them. Something that has inspired us to make a deeper analysis of them is related to the energy crises that the country has experienced in the last years. We want to “dig” deeper in order to see if these PPPs are really worth it or not. Is it worth or it brings a burden for the actual and future generations of Albania?

ANALISA PENCEMARAN LAUT OLEH PTT EXPLORATION AND PRODUCTION (PTTEP) AUSTRALASIA TERHADAP LAUT TIMOR INDONESIA

2020 ◽  
Vol 4 (2) ◽  
pp. 127
Author(s):  
Paulin Yosephin Marini ◽  
Sherlly Monica Bonsapia ◽  
Johni R.V. Korwa
Keyword(s):  
Oil Spill ◽  
Oil And Gas ◽  
Oil Spills ◽  
Marine Ecosystem ◽  
Oil Field ◽  
Australian Government ◽  
Compensation Mechanisms ◽  
Exploration And Production ◽  
Data Collection Technique ◽  
The Impact

<p><em>This study aims to analyze a blowout from an oil and gas leak owned by PTT Exploration and Production (PTTEP) Australasia in the Montara oil field in the Indonesian Timor Sea, and how to resolve disputes between Australia and Indonesia. A qualitative approach was used in this study, whilst the data collection technique was through library research. The theory of state responsibility, the concept of human security, and the concept of international maritime law are used to analyze disputes between Indonesia and Australia. The study found that the Montara oil spill had not only damaged the marine ecosystem but also polluted Indonesian waters. It also found that although the Australian government had formed a special commission to resolve cases and even used dispersant, it had not satisfied all parties. Several points are summarized. First, the Montara oil spill in Australia is a transnational study because the impact has crossed national borders. Secondly, UNCLOS has a weakness in the settlement of the Montara case because the Convention only provides a description related to ‘Responsibility of Each Country’ and does not specifically arrange material compensation mechanisms to countries that cause sea pollution. Third, the Montara oil spill has caused huge losses for Indonesian seaweed farmers, especially 13 districts in NTT. The recommendations are that the Indonesian government along with the Montara Victim Peoples’ Advocacy Team should continue to follow up the case of oil spills from the Montara platform and continue to fight for compensation to the Australian government and the PTTEP as the responsible party.</em></p>

South Sudan may struggle to attract oil investment

2021 ◽  
Keyword(s):  
Foreign Direct Investment ◽  
Foreign Exchange ◽  
Direct Investment ◽  
Oil Price ◽  
Fiscal Year ◽  
Government Revenue ◽  
Content Type ◽  
Oil Price Shock ◽  
Price Shock ◽  
Almost All

Significance Crude oil is central to South Sudan’s economy, providing between 80% and 90% of government revenue and almost all export earnings. Last year’s oil price shock hit the economy hard and prompted two disbursements by the IMF under the Rapid Credit Facility (RCF) in November 2020 and April 2021. Impacts Net foreign direct investment (FDI) will turn positive in fiscal year (FY) 2020/21, following three years of outflows. The central bank’s weekly foreign exchange auctions will continue to reduce the gap between the official and parallel market rates. Following a contraction of around 4%, GDP is expected to grow modestly at 2-3% in FY 2021/22 and FY 2022/23.

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