Gabon

Fiscal Terms

The fiscal terms for the 2018 license round are as follows…

 Shallow Water Deep Water 
ItemsContractual TermsContractual Terms
Exploration Period- Duration: 8 years.
- First phase and minimum financial commitments: to be determined
- Second phase and minimum financial commitments: to be determined
- Duration: 8 years.
- First phase and minimum financial commitments: to be determined
- Second phase and minimum financial commitments: to be determined
Exploitation Period10 years + renewal for 5 years +5 years +5 years for Oil
15 years + renewal for 5 years +5 years +5 years for Gas
10 years + renewal for 5 years +5 years +5 years for Oil
15 years + renewal for 5 years +5 years +5 years for Gas
State participation10% carried during the development and production phase.
State doesn’t participate in exploration costs. (carried through exploration)
on 10% carried during the development and production phase.
State doesn’t participate in exploration costs. (carried through exploration)
GOC Participation15% working interest based on market conditions15% working interest based on market conditions
Surface RoyaltyExploration: 100 FCFA/ha Exploitation: 5000 FCFA/haExploration: 100 FCFA/ha Exploitation: 5000 FCFA/ha
Cost StopOil: 70% Gas: 80%Oil: 75% Gas: 90%
Signature bonusBiddableBiddable
Renewable Bonus AEDP2,500,000 USD2,500,000 USD
Production BonusBiddableBiddable
Royalty RateOil: Biddable Natural Gas: BiddableOil: Biddable Natural Gas: Biddable
Production SharingThe State first tranche can’t be below 45%The State first tranche can’t be below 40%
Contractual FundsExploration:

Hydrocarbon Support: Biddable
Equipping DGH: Biddable
Local Community Development: Biddable
Training: Biddable
Compensation to Environment: Biddable

Exploration:

Hydrocarbon Support fixed: Biddable
Hydrocarbon Support : Variable 0.05b on
cumulated annual production
Equipping DGH: Biddable
Local Community Development: Biddable
Training: Biddable
Compensation to Environment: Biddable

Exploration:

Exploration :
Hydrocarbon Support: Biddable
Equipping DGH: Biddable
Local Community Development: Biddable
Training: Biddable
Compensation to Environment: Biddable

Exploration:

Exploitation :
Hydrocarbon Support: Fixed Biddable
Hydrocarbon Support : Variable 0.05b on
cumulated annual production
Equipping DGH: Biddable
Local Community Development: Biddable
Training: Biddable
Compensation to Environment: Biddable

Decommisioning FundThe amount will be determined by a decommissioning plan approved by the DGH. The funds will be domiciliated in a Gabonese bank. Those funds are cost recoverable; therefore, they belong to the State. Funds to be used only for decommissioning activitiesThe amount will be determined by a decommissioning plan approved by the DGH. The funds will be domiciliated in a Gabonese bank. Those funds are cost recoverable; therefore, they belong to the State. Funds to be used only for decommissioning activities
Domestic Market Obligation15% Discount which is recoverable as a petroleum costs15% discount Included in the petroleum cost account
Social responsibilityPID: 1% of the Gross Revenues, 75% is recoverable
PIH: 2% of the Gross Revenues, 75% is recoverable
PID: 1% of the Gross Revenues, 75% is recoverable
PIH: 2% of the Gross Revenues, 75% is recoverable

Use the link below to download the latest PDF version…