Country Report
Brunei Darussalam upstream fiscal summary
Report summary
Recent upstream licences are awarded under Production Sharing Contract (PSC)-based fiscal regime, while all production licences are currently governed by older concession terms. Royalty, cost recovery ceilings and profit oil splits vary by area and hydrocarbon type, with the latter based on a sliding scale rates linked to production. Profit oil splits are biddable/negotiable, while cost recovery ceilings and royalties are set for each licensing round. Corporate income tax, supplementary payment and research contributions are payable. State companies have the right to take a working interest of up to 15% in any commercial development. Past exploration costs incurred by an IOC are reimbursed by the state from its share of production if it does exercise its right.
Table of contents
- Basis
- Licence terms
- Government equity participation
-
Fiscal terms
- Ring fencing
- Bonuses, rentals and fees
- Indirect taxes
- Royalty
- PSC cost recovery
- PSC profit sharing
- Additional petroleum taxes
- Supplementary payment
- Research contribution
- Corporate income tax
- Fiscal treatment of decommissioning
- Product pricing
- Summary of modelled terms
- Recent history of fiscal changes
- Stability provisions
- Split of the barrel and share of profit
- Effective royalty rate and maximum government share
- Progressivity
- Fiscal deterrence
Tables and charts
This report includes 28 images and tables including:
- Split of Barrel - oil
- Split of barrel - gas
- Share of profit - oil
- Share of profit - gas
- Effective royalty rate and minimum state share - onshore, oil
- Effective royalty rate and minimum state share - onshore, gas
- Effective royalty rate and minimum state share- shelf, oil
- Effective royalty rate and minimum state share- shelf, gas
- Effective royalty rate and minimum state share- deepwater, oil
- Effective royalty rate and minimum state share- deepwater, gas
- Maximum government share and maximum state share - onshore, oil
- Maximum government share and maximum state share - onshore, gas
- Maximum government share and maximum state share - shelf, oil
- Maximum government share and maximum state share - shelf, gas
- Maximum government share and maximum state share - deepwater, oil
- Maximum government share and maximum state share - deepwater, gas
- State share versus Pre-Share IRR - oil
- State share versus Pre-Share IRR - gas
- Investor IRR versus Pre-Share IRR - oil
- Investor IRR versus Pre-Share IRR - gas
- Bonuses, rentals and fees
- Indirect taxes
- Contractor profit share - oil
- Contractor profit share - gas
- Contractor profit share - oil (
- Contractor profit share - gas (
- Depreciation schedule for a hypothetical US$100 million platform
- Assumed terms by location - oil and gas
What's included
This report contains:
Other reports you may be interested in
Country Report
Indonesia upstream fiscal summary
Detailed analysis of the fiscal system applicable to new licences.
$1,650
Country Report
Sudan upstream fiscal summary
Detailed analysis of the fiscal system applicable to new licences.
$1,650
Country Report
Brunei Darussalam upstream summary
Brunei has been producing oil and gas since 1929 and also exports LNG. Brunei Shell Petroleum is the dominant player.
$5,400
